No one enjoys thinking about life after death, but it is necessary to do so to protect an estate. Inheritances are often a source of conflict for Cumming families when a relative dies. Even though there are estate plans in place, that does not stop some family members from doing everything they can to counteract them. With careful planning, it is possible to keep your family from squabbling over your final wishes.
Choose your beneficiaries wisely
There are no hard rules when it comes to establishing beneficiaries; you can name anyone you want. However, you should practice great caution when choosing who is to inherit from your estate because your designations could cause hurt feelings and conflict amongst your relatives. You can prevent many issues by specifically naming your beneficiaries. Make sure you double-check the spelling of names to minimize confusion later on.
You should try to have some goals in mind when you create your estate plans. These goals can help you to distribute your wealth more efficiently, minimize estate taxes and provide enough income and financial security for certain family members and serve as a gift to others. Or, you may be interested in preserving the family business. When assessing your goals, you should also take into consideration the attitudes and personalities of the people you plan to bestow inheritance to.
Be mindful of distribution portions
If you have children and leave one or more of them a larger portion of your estate and assets than others, there is the chance you are creating a toxic situation for your heirs. If any of your children feel that the portions you have gifted them are unfair, they may contest them to get more. Also, if there are any pre-existing ill feelings between your children, they may attempt to contest your will out of sheer spite.
Avoid making vague statements and requests in your estate plans. You should state your intentions so that they are clear and difficult to misinterpret. Your will is a set of instructions that tells the people who are to inherit from your estate how you want things divided up. By leaving little room for misinterpretation, you can ensure that all your final wishes are honored.
When done correctly, estate planning is a great tool that offers protections for your assets and heirs, and it can also minimize disputes. Regardless of the size of your estate, if you have loved ones whom you want to leave a legacy to and need guidance with drafting your estate plans, you should speak to an attorney about your situation.