Important Reasons to Consider Estate Planning

Estate Planning

How do you want your Assets to be distributed after your Death? Important Reasons to Consider Estate Planning

Estate Planning is a crucial process whereby you control the process of distribution and disposal of your assets after your death. By requesting the guidance of competent estate planning lawyers, you can provide for loved ones and dispose off your assets in accordance with your wishes. Each person works hard, often over several decades, to acquire financial and property assets as well as other kinds of resources.

You may own monetary assets, homes, plots of land, jewellery and antiques and so on. Some of us are fortunate enough to inherit wealth. Hence, it a good idea to give adequate thought to estate planning. In other words, estate planning involves much more than simply deciding who inherits your grandfather clock.

Estate planning helps you distribute and dispose off your assets to the people or organisations that you want them to go to. This is one of the best things that you can do for yourself and one of the most thoughtful things that you can do for your loved ones. Failure to plan your estate in a legal manner may result in any one or more of the adverse consequences listed below:

  • In the absence of formalised estate planning, there is likely to be increased stress and confusion associated with the disposal of your assets in the aftermath of death.
  • Your estate may then be administered according to Australian law. Your loved ones are likely to face more difficulties with administration issues. The process is more likely to be prolonged.
  • In the absence of clear cut instructions regarding the planning of estate, there are higher chances of conflict and bickering among family members and other loved ones. Legal estate planning helps minimise the likelihood of disputes within family.
  • Parents may not be automatically compensated by your death. Your spouse, for example, may be obliged to sell off your home in order to be able to pay for children’s entitlement.

Failure to pay attention to estate planning results in a loss of control over your hard-earned assets and property and leaves them at the mercy of law. The court will act according to Australian law but your assets may end up getting distributed in a way that is contrary to your wishes.

For those who own multiple assets and properties, for example, estate planning helps provide clear instructions regarding disposal of each. The primary objective of estate planning is that it helps make your wishes clear after your death. The process prevents an ad-hoc and erratic disposal of your hard won assets and property. Careful estate planning can also help in reducing taxes, probate fees and administration costs etc by exploring the best ways to transfer wealth or property.