Surveys conducted in 2024 by Caring.com and Ameriprise Financial revealed a troubling trend: Americans are falling behind on estate planning. The Caring.com survey found that only 32% of Americans have a will—a 6% decline from 2023. The Ameriprise survey discovered that 52% of couples lack estate plans. These statistics highlight a dangerous disconnect between understanding the importance of estate planning and taking action. Let’s examine these misconceptions and their potentially devastating consequences.
Myth 1: “I don’t have enough assets to need an estate plan.”
This dangerously narrow thinking ignores that estate planning isn’t just about financial wealth. It’s about ensuring your wishes are honored and preventing unnecessary burdens on your loved ones if you become incapacitated or pass away.
If you haven’t created a Life & Legacy Plan (the comprehensive planning I offer), your family could face lengthy court proceedings, unnecessary taxes, and difficulty accessing financial accounts—potentially leaving unpaid bills and financial instability. Estate planning also ensures:
- What you do have goes to the right people in the way you want (avoiding court involvement)
- Your children are raised by the guardians you choose
- Your medical wishes are honored if you become incapacitated
- Only trusted individuals can manage your finances if you’re unable to do so
- Your loved ones receive your most valuable legacy—your values, insights, and experiences
A well-structured plan minimizes family conflict by clearly outlining your intentions. It also saves your loved ones time and money by ensuring they know what you have, where it is, and how to handle it—keeping them out of court and avoiding costly disputes.
Myth 2: “My spouse and I trust each other completely.”
According to Ameriprise, 95% of couples trust each other with finances, and 91% share financial values. However, trust alone doesn’t prevent legal complications. Without a Life & Legacy Plan, a surviving spouse may face probate delays, tax burdens, and restricted access to financial accounts, causing unnecessary stress and financial hardship.
Potential risks include:
- Simultaneous death or incapacity – If both spouses are in an accident, the absence of a plan could leave children or other dependents in legal limbo.
- Remarriage complications – A surviving spouse who remarries may unintentionally redirect assets to a new spouse, potentially disinheriting children from the first marriage.
Proper estate planning protects your spouse and ensures your assets are distributed according to your wishes—not left to chance in the legal system.
Myth 3: “Estate planning is too expensive.”
Many believe estate planning is only for the wealthy, but failing to plan can result in much higher costs for your family. Without a plan, your loved ones could face:
- Expensive probate court proceedings
- Unnecessary taxes
- Legal disputes that drain the estate’s value
The upfront investment in a Life & Legacy Plan saves your family significant financial and emotional burdens. Beyond financial security, estate planning provides peace of mind, ensuring your loved ones are cared for and your wishes are followed. It’s one of the most valuable and compassionate investments you can make.
Myth 4: “I don’t need to worry about who would raise my kids.”
Many parents assume that in their absence, trusted family members will step in to care for their children. Unfortunately, without a Kids Protection Plan, the decision about guardianship will be left to a judge—a complete stranger to your family’s values and dynamics.
Even if you’ve named legal guardians in a will, you may have made one of six common mistakes that could invalidate your choice. I’ve seen well-meaning parents and lawyers overlook these critical details. If you have minor children and want me to review your guardianship plan for potential issues, call my office.
Another often-overlooked factor is the financial burden on the chosen guardian. Without a Life & Legacy Plan that allocates sufficient resources, even the most willing guardians might struggle financially, potentially leading to further court intervention.
Take Action Now to Protect the People You Love
I’ve witnessed too many families suffer unnecessary hardships due to inadequate estate planning. By correcting these common misconceptions, we can break the cycle of strife and uncertainty.
As Your Family’s Lawyer for Life, I start with education—helping you understand what would happen to your loved ones and assets if you become incapacitated or pass away. Then, we create a personalized plan that aligns with your values and ensures your wishes are honored.
Through my Life & Legacy Planning process, you can rest easy knowing your loved ones will be cared for, your assets will be protected, and your legacy will be preserved.
Book a call with us today to get started: https://abarlaw.com/get-started/
