Top 10 Reasons to get an Estate Plan

Regardless of your wealth, estate planning is an important part of caring for your family. Since I offer flat rate fees, after a consultation, you will know exactly what your estate planning options will cost. Call, text me at 320-460-1400 or email me at Jim@JTAlawMN.com to schedule your free consultation for estate planning.

1: Reduce conflict in a time of loss

Without a Plan: Regardless of the value of your assets you have things that are important and have sentimental value to your family.

Without a plan: Your family members have no direction for who gets the important assets with sentimental assets which can lead to fights and broken relationshipsWith a planYou decide who gets what and reduce conflict and help maintain those family relationships

2: What If You Become Incompetent?

Without a Plan: The courts pick the successor manager of your affairs.

With a Plan: You pick the successor manager of your affairs.

3. Who Raises Your Children?

Without a Plan: A judge decides without the benefit of your insight.

With a Plan: You nominate the guardian of your choice.

4. How Does Your Family Inherit Your Assets?

Without a Plan: Your family members receive your assets without benefit of your direction or trust protection. Your state’s intestacy statute effectively writes your will. Assets pass according to state laws of descent and distribution.

With a Plan: Your family members enjoy the benefits of the plan you set up for responsible management of your assets. You write your plan. You decide who receives your assets, as well as when and how they receive them.

5. You Have a "Blended" - Multiple Marriage - Family Without a Plan: Your priorities are not even considered, Children from different marriages may not be treated according to your wishes

With a Plan: Your priorities prevail You decide what goes to your current spouse and to children from different marriages

6. You Have a Special Needs Child

Without a Plan: Medicaid and SSI benefits are at risk. Your child may be disqualified from receiving Medicaid and SSI benefits and forced to use your assets for basic care

With a Plan: Medicaid and SSI benefits can be preserved. A Supplemental Needs Trust can hold assets so that the child can qualify for Medicaid and SSI benefits. Your assets remain available for other non-covered expenses

7. You Want Your Money to Stay in Your Family Without a Plan: Your child’s spouse may benefit from your assets If your child passes away prematurely, your daughter/son-in-law and a new spouse may receive your assets

With a Plan: Your child can receive absolute asset protection. A trust can ensure that your assets stay in your family, e.g., pass to grandchildren

8. Can Your Spouse and Children Survive Financially? Without a Plan: They may need to downscale their lifestyle. Without the income replacement provided by life insurance, your family may not have the funds to maintain their current standard of living

With a Plan: They can enjoy financial security With the income replacement provided by life insurance, your family can be protected from having to downscale their standard of living

9. You Have Retirement Accounts

Without a Plan: Your beneficiary designation form may not effectively reflect your current wishes. Your beneficiary may experience burdensome tax consequences because of large required distributions within a short time frame

With a Plan: You choose the optimal beneficiary based on advice and counsel of your Financial Advisor, Attorney and CPA. Your beneficiary may be able to minimize the tax bite by “stretching” out distributions over time and enjoying the benefits of tax-deferred compounding.

10. The Probate (Estate Settlement) Process is Cumbersome

Without a Plan: Your estate is subject to unnecessary delays and excess fees Your assets become a matter of public record

With a Plan: Your assets may avoid probate entirely saving time, money and frustration.