All of us have items of value, be they emotional, or financial. It is, therefore, beneficial to everyone to have an estate plan at hand, in case of difficult and unforeseen circumstances. Your safest bet is to reach out to estate attorneys in San Diego to help you with that usually daunting task. Learn more about a probate lawyer’s role and responsibilities to get informed about the matter, and once you decide on professional assistance, do your research and find the most reliable trust and estate planning attorney in your area. An experienced attorney will help you prepare your will, divide your assets, but also point you to the most common estate planning mistakes to avoid.

#1 – No estate plan

This is the obvious choice among estate planning mistakes to avoid, and although many know the benefits of having a well-drafted estate plan, some people still choose to ignore them. An estate plan ensures that all your financial and personal affairs are handled properly and with care after the inevitable, and that everything transpires according to your wishes.

#2 – Forgetting to update your will

Unfortunately, things change, both for the better and for the worse, and you never know how your family situation can evolve. Births, divorces, property acquisitions… All of these occurrences can affect the actions presented in your will, so it is wise to periodically update it to avoid any unwanted events from happening.

#3 – Not considering potential disabilities

Your personal, as well as your financial affairs, can be greatly impacted by either a short-term, or a long-term unpredicted and unwanted disability. That is why every plan should contain certain mechanism if such an event should take place. You need to specify the person to handle the finances, take care of your children, and make decisions about your health and wellbeing. You might want to consider appointing a power of attorney, or creating a trust.

#4 – Placing the name of your child on the deed

Although putting your children’s name on the deed shows a degree of affection and love, it is a bad idea, because, as previously said, only gifts of up to $15,000 a year are excluded from estate tax. That means that by doing this, you’re leaving your child open to paying a rather substantial estate tax. You should, instead, make an estate plan that passes such items via inheritance.

#5 – Leaving a wrong person in charge of your estate

As estate planning mistakes to avoid go, this is a rather big one. If you choose poorly, that means all of the inheritance you’ve left behind will be in the hands of a person who will handle it inadequately. So, when trying to find a good executor for your estate, think twice.

#6 – Forgetting to transfer life insurance to a trust

Believe it or not, life insurance policies are subject to extreme estate taxes after the inevitable happens. Many people are not even aware that this is one of the estate planning mistakes to avoid. In the end, the IRS might end up getting most the proceeds of your life insurance, instead of your beneficiaries. That is why you need to create a life insurance trust which is going to act as an owner of your policy. This helps avoid taxes, and spares your beneficiaries the hardship of waiting for months on end for the pay-out.

#7 – Failing to take advantage of federal exemptions

If you’re married, it is rather easy to lower the estate tax by each spouse using the federal exemption. It is currently set at $11.18 million dollars a spouse. Each spouse can create “portability election”, which serves to pass all the unused exemptions from the deceased spouse to surviving spouse, thus possibly doubling the about of the exemption.

#8 – Procrastination

Although it can sound a bit grim, and a bit too cold, that doesn’t mean it isn’t true. Unfortunately, when some individuals finally do decide to create an estate plan, it turns out to be too late, and that there is insufficient time for them to get all their affairs in order. That is why drafting an estate plan should be done sooner, rather than later. You need to stay ahead of any undesirable eventualities.

#9 – Not asking for professional assistance

Finally, we, again, need to point out that not every estate plan is easy to make. Some estate plans tend to be awfully complicated due to numerous reasons, and it is easy to succumb to the many pitfalls that exist. Experienced estate and trust planning attorneys can help you during every step of the way, making sure your loved ones are well taken care of.

We can assist you with all the estate planning mistakes to avoid

Irina Shebak of the Law Offices of Irina Sherbak is the go-to trust and estate planning attorney in San Diego. Her immaculate track record, pristine education, and years of experience just illustrate her skills in helping people finalize all their affairs and making sure their wishes are respected. She and her team are here to help you avoid all the most common estate planning mistakes, and create the perfect estate plan that will take care of your beneficiaries. You can contact us today, and we will answer all your questions.