You work hard throughout your life building assets. And you probably do this to ensure financial safety and security to your loved ones. But what would happen to these assets on your sudden demise? Have you given it a thought?
That’s where estate planning comes into the picture. Estate planning is not only for the rich and the old. And it is not an exercise to be looked after post retirement. It simply refers to passing down of your assets from one generation to another.
Before we get into the nitty gritties of estate planning, let's first look at a few common myths about estate planning:
Myth #1: Estate planning is meant only for the wealthy
Fact: Estate planning is essential for all. It does not matter how much you own in your accounts or the number of valuables you have. It is nothing but passing down your assets to the person of your choice.
Myth #2: Estate Planning should be thought of only after retirement
Fact: Life is quite unpredictable and hence, the earlier you plan, the better it is. Having a plan in place is the best thing you can do for yourself and your loved ones.
Myth #3: My legal heirs will handle it maturely
Fact: It is good to hope that they do, but unfortunately many disputes often happen over money in today's world. Hence, it is better to put your wishes explicitly on paper.
These are some of the common myths on estate planning. An “estate plan” does more than guarantee property transfer, it provides a roadmap for loved ones and family so they are taken care of you and ensure your wishes are honored.