Indiana adults should have estate plans in place that allow them to provide for their loved ones after passing away. While an estate plan is an incredibly smart thing to have, it’s possible to make mistakes when preparing or updating one or more of its components. To help you avoid making these blunders, here are the most common estate planning mistakes.
Not having an updated list of assets
Throughout life, it’s common to watch your assets and the number of possessions you have gradually grow. There’s nothing wrong with accumulating more items in life, but don’t let it wreak havoc on your estate plan. Instead, create a cheat sheet that lists all your major assets and their values. Without a list of everything you have, it could be difficult to distribute everything to your beneficiaries.
Neglecting to keep an eye on your accounts
During the estate planning process, many people are closely focusing on their beneficiaries and lists of assets. But don’t let these tasks make you forget about your investments. During this time, it’s good to make sure that your investment strategies are still paying off. Doing this helps ensure you leave plenty of money behind for your beneficiaries.
Choosing the wrong executor
You can only do so much to properly set up your estate. Fortunately, your estate’s executor is in charge of settling your estate after you pass away. Before you choose an executor, make sure they can handle such an important responsibility. For instance, someone with a full-time job and family might not be able to handle the duties of an executor.
As you can see, it can be easy to make mistakes when updating your estate plan. Unfortunately, even small ones could lead to a lot of headaches for your beneficiaries in the future.