According to some reports, it is actually not that common for Americans to have a will or an estate plan. These reports claim that roughly two out of every three Americans have not made a plan yet, so only around 33% of Americans have a will on file.
This can create some significant issues if someone passes away before they get around to making an estate plan. Their family may be more likely to get into disputes, for example, and they may not have the guidance they need when it comes to dividing a person’s estate, distributing an inheritance or making medical decisions.
Why don’t more people make a plan?
There are numerous reasons why people do not create an estate plan, starting with the fact that many of them are simply putting it off. They may think that they are too young to make an estate plan, for example, and that they can do it in the future. They understand that having a plan is valuable, but they mistakenly believe they do not need it yet.
In other cases, people are not convinced they need a plan at all. Someone may think that estate planning is just for the wealthy, for example, without realizing that an estate plan can address low-value family heirlooms, future medical choices, guardianship of a child and many other things that apply to couples in every income bracket.
Do you still need to create an estate plan?
Estate planning can be beneficial at any age, and an estate plan that is created early can always be updated as life changes. If you are in the majority of Americans who have not gotten around to making a plan yet and you want to rectify that issue this year, be sure you know what legal steps to take.