Many Australians don’t consider estate planning as an urgent and essential matter in their life. They believe that they are too young for it. When they do begin to plan for it, they are inundated with misinformation. These pervasive myths surrounding estate planning are harmful because they negatively impact the future of your loved ones.
Here are a few major myths and their more truthful counterparts.
Only the Rich Need Estate Planning
Most people think of estate planning and see a well-to-do solicitor in a mansion redistributing properties to well-dressed relatives of the deceased. This gives us the assumption that people of a lower tax bracket needn’t bother with estate planning. This is not the case at all.
Your estate is everything you own under your name. This could be a home, land, a car, a motorcycle, bank accounts, jewellery or family heirlooms. These are just some examples of things you would want to consider planning for in the unfortunate event that you become mentally incapacitated or in the event of your untimely demise.
Regardless of the size of your estate, it is still important to have your affairs in order. These belongings you leave behind can greatly help your loved ones such as your spouse, children, other next of kin, or close friends as they mourn your passing. The monetary objects will ease their burden as it removes financial stress. Meanwhile, sentimental objects you bequeath them can help give them closure.
All I Need Is a Will
At first glance, it seems like a will should cover everything you need. However, wills have limitations. They don’t cover life insurance policies, superannuation, or any accounts or properties that you co-own.
If you want to cover these things or more complicated estate matters, consult with your estate attorney. They can help you protect your assets and ensure that your worldly goods will go to who you want to receive them. Don’t be afraid to discuss every detail with your attorney. The clearer you are about what you want, the more help you will receive.
I’m Too Young to Bother With It
This is a common belief. No one wants to think of their imminent departure from this mortal coil. It’s an unpleasant thought. When we’re young, we think we are indestructible. The fact of the matter is, we are fragile. Death can take us at any moment. A drunk driver, an aneurysm, an incurable disease, all of these things are sudden and indiscriminate.
For this reason, it is never too early for estate planning. It is difficult to think about, so direct your thoughts instead to how you are safeguarding the future of your loved ones.
Conclusion
Death and what comes after is a difficult topic to think about, but by having read this article, you have begun confronting your own mortality. It is an admirable journey to take, especially considering how it will benefit the people you care about the most. While you may never see the fruit of this tree that you plant, your loved ones will surely have a bountiful harvest.
Are you looking for a financial adviser on the Gold Coast to help you with estate planning? Reach out to New Wave Financial Planning today! We can’t wait to help you plan for the future.
