Estate planning is highly misunderstood. It is perceived as something that only the wealthy need to focus on. But in actuality, everybody needs to plan for the future. Planning ahead is not only financially prudent, but it also helps you to develop a “blue print” to follow for future needs. Through such planning, you may be surprised to realize what your actual needs may be for your senior years, and this estate planning will make you aware if you are financially over or under your specific marker of needs.

Most people find it difficult to deal with financial issues that relate to their death. It is easy to procrastinate or ignore it entirely. It is a misconception that if we share legal ownership of all our possessions with our heirs, that ownership will automatically be transferred to them. This may be an expensive misconception. Although most people think of their distribution of assets after their death, one should also look at the possibility of distribution before death. One should consider that as a way of preserving the assets. It is wise to take advice from an estate planner and/or a good accountant.

THE WILL
It is important to understand that if one does not have a will, by law, the state has the right to step in and divide your property, with no consideration, or minimal consideration to the deceased’s family. The state can select the heirs your money goes to allow large sums to the tax collectors, and than charge your estate for this service. And those fees can be quite high. Yet even today, seven out of ten people have not had a will made up.

The main reasons people do not have a will is their discomfort in dealing with the concept of their own death, or an indecisiveness as to how to divide their wealth. Most people in need of a will also worry about the cost of lawyers to prepare the will, yet the average cost of a will is between $300 and $500. A will should be reviewed every three to five years to make sure that it is updated to reflect your wishes and financial status.The lawyer should keep the original, while you should keep a copy.

Many people are relying more and more on the abundance of Internet sources that can provide them with a tool such as a will or