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What mistakes can you avoid with your estate plan?

There are plenty of myths surrounding estate planning, wills and trusts. The problem with those myths is that they can negatively impact the very people who need those documents most.

Before you make mistakes, it's time to talk through the most common errors people make when estate planning. Knowing what you shouldn't do can help you avoid issues that may impact your estate, heirs and beneficiaries in the future.

1. Don't die without a will

The first thing to remember is that you should always have a basic will. If you die intestate, without a will or living trust, then the state's laws will dictate how your estate is distributed. It may end up being taxed, or people you didn't want to have receive your assets could get everything.

2. Don't forget to assign a guardian

If you're a new parent, one thing you should look at is your estate plan. You want to add a guardian for your child right away so that there will be someone you trust there to take care of them if you (or you and your spouse) suddenly pass away or are unable to care for your child.

3. Don't forget to review your plan

Finally, don't forget that estate plans should grow and change with you. As you gain more assets, grow your family and get older, you should review it and make changes when necessary.

Good estate planning can make a big difference in the future. With proper planning now, it's easier to make adjustments and to know that your loved ones will be taken care of.

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