When it comes to estate planning, you have probably heard many times how important and urgent the process is. Indeed, it is essential to have a plan in place indicating your final wishes and directions for your property. Too many people view a will as a one-size-fits-all estate planning solution, though, and this is not always the case. In fact, there are many reasons why a will may not be the best option.
The following are three examples of concerns you may have and reasons why a will could be an ill-advised option for your estate planning needs. Consider the following reasons why you should explore estate planning options beyond simply drafting a will:
1. Public record
Your will includes private details of your finances, property, health care and family. Needless to say, you would not want all this information to be readily available to the public, but this is exactly what happens when you include it in a will. According to The Balance, requesting probate records can be easily done online. Most wills become public record after the testator passes away.
2. No tax provision
A major part of estate planning is managing the tax penalties that often apply when major sums of money or property transfer from one person to another. These transactions can incur thousands of dollars in taxes, so it is important to plan strategically to minimize costs. A will does not always give you the ability to accomplish this effectively.
3. Easily challenged
Perhaps the most important reason why a will is not ideal is the opportunity it provides for dispute. It is true that any kind of estate plan may face challenging, but beneficiaries and those not included in your will could possibly challenge its directions if the will is not composed carefully. It is vital to choose the estate planning option that protects your desires most effectively.