If you find yourself reluctant to think about what happens after your passing, you’re far from alone. Studies show that almost 70% of Americans have yet to set up a will and trust, which can leave their beneficiaries vulnerable at the time of their death.
However, estate planning is a crucial tool for both your beneficiaries and your current finances, and it’s well worth the time and effort of finding an expert to help. If you’re not sure why this service is so important, here are a few undeniable financial benefits to consider.
Providing for Your Family
The best estate plan will help you provide for your family long after your passing. When you partner with an estate planner to name beneficiaries, you can make sure that all of your assets go to the people you love.
Without estate planning services, the local court system may decide how to disperse your assets upon your death. This could leave your loved ones in a financial bind, and it might mean a struggle with the help of a seasoned probate lawyer to get the inheritance they deserve.
Minimizing Your Expenses
One of the little-known financial benefits of estate planning is how much it can save your loved ones.
As mentioned above, a lack of estate planning can leave your loved ones to fight for their inheritance in court. This legal struggle during the probate process can be expensive, meaning that your beneficiaries may spend thousands just to get the money they need.
Saving Money During Retirement
Did you know that estate planning can help with your money management while you’re alive? The best estate planners can work to find ways to save you money even during your retirement years. To do this, they’ll help you consider strategies that can reduce your healthcare costs by checking your eligibility for government benefits.
Reducing Your Taxes
If you’re hoping to pass every penny you can onto your family, then it helps to keep as much money as possible in your pocket. Estate planning helps with this by considering the most tax-efficient methods of passing your money onto loved ones. This can help you avoid certain types of taxes while following IRS requirements.
Donating to Beloved Causes
If you’re hoping to leave some of your assets to causes you love, estate planning can help. Partnering with an expert will allow you to donate large sums of money, set up a charitable trust, create a foundation, and much more. They can even help you understand how to transfer your retirement accounts to charities of your choice.
Get the Estate Planning Advice You Need
Whether you’re a multi-billionaire or an average American, estate planning is a crucial way to protect your finances. If you want to save money while making sure your loved ones get the assets you mean to leave them, setting it all down on paper is essential.
Work with an estate planning expert in your area to learn how their services can help. In addition, as you work to safeguard your finances, be sure to check out our other posts for more guides like this one.