The Importance of Estate Planning?

One perfect example of the importance of estate planning is in Wisconsin. Everyone in Wisconsin has an estate plan by default. If you die leaving no instructions about whom gets your assets, the state has decided for you. It follows a pattern and it may be exactly what you want but one should check. Assets do pass to spouses, children, parents before moving on to others – is that what you want? But it won’t fit everyone’s situation, which is what makes an estate plan so important. 

Estate planning can help identify and prevent issues before they happen. People complete a will and feel markets are taken care of. It depends. Your main assets may be a home registered to someone you were attached to before your marriage or retirement accounts where a friend is listed as a beneficiary. Perhaps it lists a parent who is no longer living. You think your wife and children will inherit everything you own if you die first because your new will states this, but you do not realize your beneficiary instructions and your registration on the home state something else. Afraid of taxes on your estate? Not a worry for most people any more. Your estate can be $5,000,000 in value and that amount now falls below the amount that will be taxed when you die. (That’s estate tax; but there may be income tax.) If done correctly, there are simple answers and assets will move quickly and efficiently to your beneficiaries when you die. Timely estate planning will save everyone costly fees and confusion later on.

The importance of estate planning cannot be overstated. If you’re looking to create an estate plan, click here to learn about our estate planning services or speak to a financial planner right now.