Do you devote more time to the finer things in life, such as planning for a vacation, choosing a car to buy or selecting restaurants to eat dinner than you do estate planning?

Planning your estate is critical for deciding who will inherit your assets. It may not be a fun task compared to booking a trip or scanning restaurant reviews, but you cannot choose who gets everything you worked so hard for without estate planning.

Estate planning isn’t only for the wealthy. Whatever kind of estate you have, make sure it has ironclad protection. Without a plan, your affairs after your passing could have a long-lasting and expensive impact on your loved ones.

If you are still undecided about getting an estate plan, read on to know why you should have one and how it mitigates potentially devastating repercussions for your heirs.

Can I Write My Own Estate Plan? 

You can write legal documents that make up an estate plan. There are many do-it-yourself templates and resources that will help you write them. The critical question is, should you be writing your own estate plan? Consider the following:

• How valid will those do-it-yourself legal documents be?
• Will they hold up in court?

With plenty of research and study, you could develop an estate plan, but there is no guarantee how well it will turn out.

7 Benefits of Getting an Estate Planning Lawyer

Meanwhile, collaborating with a competent and knowledgeable estate planning lawyer will ensure that you and your loved ones are well-protected. This lawyer can help you with the following:

1.Protect Your Own Needs

Most people believe that estate planning is only for heirs and beneficiaries.

However, an estate plan also protects you and your assets if you become incapacitated and unable to make decisions for yourself. You must factor in your needs if you can no longer provide for yourself.

Estimate your cash flow requirements leading up to retirement and beyond. Moreover, consider designating a healthcare provider or power of attorney to make medical and financial decisions on your behalf when the need arises. Discussing your intentions with a trusted party ensures your wishes and needs are met in the event you are unable to speak for and take care of yourself.

2.     Avoid Lengthy and Expensive Probate Process

Probate is a process in court for transferring a deceased person’s estate to rightful heirs and beneficiaries. This process is costly, can take up to two years and can be accessed by the public. Anyone can receive copies of your will and other pertinent legal documents.

Probate and all its associated nuances are highly complicated. But you can avoid probate when all your assets are designated to heirs and beneficiaries. For this reason, you will need a good estate planning lawyer in Australia who is up to date on the probate process and can assist you and your family should the need arise.

3.     Get Protection for Young Children

Be prepared for the unthinkable, especially if you have small children. This is where an estate plan is invaluable.

To make sure young children are cared for in a manner you approve of, you need to name their guardians in case you pass away before they turn 18. In the absence of a will that names their guardians, the courts will step in to decide who will bear the responsibility of raising your children.

4.     Avoid Big Tax Bites

Estate planning is all about protecting your interests, which means giving protection to your heirs from the Australian Taxation Office (ATO). 

One of the core features of estate planning is transferring assets to heirs and beneficiaries with the least possible tax burden. With estate planning, you can minimise estate taxes and state inheritance taxes. On the contrary, in the absence of a plan, the amount your heirs will owe the government could be quite hefty.

5.     Philanthropic Goals

The estate planning process covers legacy planning to shape how you want to be remembered after you pass away.

For most people, this involves laying down guidelines about their philanthropic intentions to ensure that such goals are implemented into the future. You might want to form a family foundation or set up a charitable trust to support the causes close to your heart. The sooner you make plans, the more you can make your intentions known to members of your family and include them in the process.

6.     Avoid Common Mistakes and Save Time and Energy

An estate planning lawyer helps organise your records and wishes so your family can easily find critical financial records, titles, insurance policies and beneficiary designations upon your passing. This planning process can also help you find and resolve errors and mistakes while you are still able to fix them.

The following are common mistakes an estate planning lawyer can help you avoid:

• Not creating an estate plan
• Not completing the process
• Inadequate coverage in your estate plan
• Leaving certain assets or people out
• Not updating your estate plan when life changes occur.

An estate planning lawyer eliminates the burden on you by drafting a complete estate plan, so you don’t have to pay more professional fees, such as court costs and taxes.

Remember that if you need to go to court to fix your documents, any savings you receive from doing your own estate plan and not hiring a lawyer are lost several times over.

7.     Your Estate Lawyer Will Update Your Documents and Make Sure It Is in Top Condition 

Circumstances change, and you may want to modify your will at some point. Factors, such as divorce, the birth of a child, marriage, aging of named trustees and changes in the family dynamics, could impact your wishes and your family’s needs. For this reason, you must update your estate plan.

Collaborating with the best estate planning lawyer in Australia after milestones and significant life events will guarantee that your legal documents are up-to-date and reflect your current wishes and desires. With their extensive knowledge surrounding the estate planning process, an estate planning lawyer is a lifesaver that helps you avoid costly mistakes and will serve as your advocate.

What Happens If You Die Without an Estate Plan?

The probate laws in your state via the court will distribute your properties in the absence of an estate plan.  

It must be noted that the distribution may not be according to your wishes. There are many instances where heirs complained that their parents or grandparents promised them certain things. Unfortunately, it doesn’t hold if these are not specified in a valid will or trust.

In addition, any minor children will have their inheritance controlled by the court until they reach the legal age of 18. At this point, they will receive a lump sum outright, which they might not manage well.

Key Takeaway

There could be severe consequences for your family and heirs without an estate plan in place. An estate plan keeps your family affairs in order, private and allows you to choose who will receive which assets and the timeline they can receive them.