The CNBC list includes the following mistakes to avoid:
- Thinking your state will handle everything – You cannot rely on the state to deal with any assets that are not covered in your estate plan.
- Setting up a trust and forgetting about it – You need to fund your trust or having the trust does no good.
- Setting it and forgetting it – When circumstances change, your estate plan needs to be changed as well.
- Think all assets will follow your will and trust – Some assets such as retirement accounts might not follow your estate plan’s distribution priorities.
- Relying on a DIY trust – You need a trust prepared by a professional, not one created by a form.
- Giving too much too soon – Gifting during your life can be good, but not if you give everything away when you might need it later.
- Not thinking of children’s needs – If your children have different needs, you might want to consider giving to them differently
- Choosing the wrong trustee – It is not always a good idea to name a family member to be your trustee.
If you have questions about avoiding these mistakes, contact an experienced estate planning attorney about how you can avoid making them.
