Planning what to do with your assets once you die is a major decision. At times, the estate planning process can be viewed negatively, which may discourage people from making it a priority.
However, negative standpoints on estate planning are often based on misconceptions about the procedure. Planning for the future can actually offer you peace of mind and stability for your loved ones.
As a result, it is important to identify any untruths about the estate planning process. Outlined below are three common misconceptions about estate planning in New Jersey.
Estate planning is only for extremely wealthy people
It is a common view that estate planning is only for those with a high net worth. However, this is not the case. Estate planning is pivotal for anyone with assets they wish to protect and loved ones they want to provide for. Having a solid estate plan in place can ensure that your assets and property offer stability to those you care about the most.
Estate plans cannot be changed
Another common misconception is that estate plans cannot be modified or updated. In fact, it may be beneficial to update an estate plan regularly. The family dynamic tends to change with life events such as births and marriages. Consequently, it is important to have an estate plan that factors in your wishes as they change with the circumstances.
Estate planning only involves money
While money and assets tend to be the key focus of estate planning, other factors are to consider. Incapacity planning is one such factor that often goes unnoticed. However, this form of planning is crucial as it involves deciding how medical and financial decisions are made on your behalf if you are incapacitated.
Understanding the common misconceptions about estate planning could be in your best interests. When planning for the future, it is important to remember that you have legal rights and protections.