A significant percentage of American adults do not have an estate plan. While they may have different reasons for not starting estate planning, some are more common. So, what are the “excuses” Americans give for not having an estate plan?
Here are three of them:
Belief that they are too young to draft an estate plan
It has been a social conditioning for years that estate planning is only for older adults. This has been reinforced by day-to-day conversations focused on seniors and marketing materials that often do the same. Accordingly, many young people do not have an estate plan. Another misconception related to this is that estate planning is for the wealthy. When someone is young with fewer assets to distribute, they may not see the reason for creating a will.
Estate planning does more than distribute assets to beneficiaries. Besides having a will, you can state your wishes using other documents, including a durable power of attorney, an advance directive (for healthcare) and guardianship designation if you have a minor child. Further, you can draft a will with your existing assets and update it as you acquire more.
Discomfort with mortality
Many people are reluctant to discuss health issues and death, let alone plan for it. This often causes them to procrastinate estate planning. Thinking about the positive impacts an estate plan can help control this discomfort. Consider how it allows you to distribute your assets according to your wishes and protect your loved ones and legacy.
Belief that it’s too complicated
Although estate planning is a legal process that requires preparation, it doesn’t need to be as complicated as some people believe. You can simply start with the basics. Moreover, you can always get help from professionals like an attorney and a financial advisor.
If you have been avoiding estate planning, it’s crucial to understand its benefits. Learn more about how you can start without going through an overwhelming process.