You can open a bank account, start a retirement, open a business, and more. With the plethora of do-it-yourself websites out there and articles showing you the steps, you might assume that you can create your estate plan using one of these sites and save yourself thousands.
Unfortunately, estate planning is not something you should use a premade template for. Doing so could risk your estate and cause more hassle for your loved ones later.
State laws vary, and do-it-yourself templates are generalized: meaning, they do not specify by state. Therefore, you could use a general template that violates state estate laws, and the court will find it invalid, which means the court will not recognize the plan anyway.
The Reasons Plainview Residents Should Never Use a DIY Estate Plan
You have worked hard to build your estate, so why risk giving your family much less than you anticipated just to save some money creating an estate plan?
If you are convinced a DIY estate plan is just fine, here are a few reasons to reconsider:
You Are Not Receiving an Expert’s Review
DIY estate plans are missing one key element: a legal professional. There is nothing wrong with wanting to save money, but when you do so, you skip out on being able to consult with an attorney. These documents often do not create the results you intend for them to. And if you do not understand the legal or technical aspects of estate planning, you are putting your entire estate at risk.
For example, you sign the deed of your house over to your trust. However, you didn’t create the trust in accordance with state laws; therefore, it was never active. Now, your home is not part of the trust as you intended.
You Do Not Have a Personalized Estate Plan
Every estate is unique, and that is the point of meeting with a Long Island estate planning lawyer. You want to draft a plan that addresses the unique aspects of your beneficiaries, estate, and assets.
Estate templates are strictly generic. They do not look for those unique factors that make you stand out from the crowd. Using these means you could miss out on a chance to avoid probate, avoid heavy estate tax, and your property might not transfer to the right party.
You Are Unlikely to Follow State Laws
These DIY tools are not specific to the state where you live – even if they advertise as such. Instead, they are a generic one-size-fits-all template. For example, New York has different laws than California, especially when it comes to estate tax and probate. Therefore, your generic DIY template is unlikely to address these laws.
Furthermore, when you create an estate plan, do you follow up on the latest changes to the law? The law regarding assets and estates changes more often than you think, which means your template might be obsolete in as little as a year.
You Might Miss the Hidden Disclaimers
Online programs typically have disclaimers, but they do not make these readily seen.
Commonly, these sites or books will have statements that the information is not a substitute for legal advice nor is it legal. These statements are published because they are legally required, but that doesn’t mean the company makes them easy to spot. The print could be fine, hidden at the bottom of the page under other content, or in areas where these websites often assume you will not read.
You Could Grant Too Much Power to Another Person
While you have the right intention with your estate plan, you might inadvertently grant too much power to another person, especially when that power of attorney document is not clearly written. Ambiguous statements are left to interpretation, which means they might not be interpreted in the way you intended them to be.
The best way to avoid this is to work with an attorney. You can tell them your wishes and the amount of power you want the individual to have. Your attorney can then clearly articulate that in your power of attorney to avoid any confusion.
You Might Not Include Your Business
DIY kits rarely have the capacity to address issues like business succession. Therefore, your estate plan is unlikely to dictate what you want done with your business after death – including whether you want the company sold, who will take over leadership, and so forth.
You Do Not Receive the Complexity Required for Unique Cases
Do you have children? Are they minors? Do you need to set up a special needs trust for an adult child who is disabled? Online programs rarely address complex estate planning issues such as these. Furthermore, they might not adequately address guardianship for minor children. This means the courts would have to decide who gets custody of your children and how the funds are managed for them.
You Are Less Likely to Update Your Will
Estate plans are not a one-time-only situation. You create them, but you can never forget them. You should review them annually and update them when you have significant changes. For example, you might have divorced, but did you create a new estate plan addressing that fact? If not, you may have some issues when it comes time to use your health care directive or when assets are distributed.
Avoid the Hassles: Speak with an Attorney about Your Estate Plan Today
Estate planning is more cost-effective than you might think. Most attorneys charge a single fee for your plan. And when you consider what goes into a well-drafted plan, it is worth every penny.
To save your loved ones from having to deal with an estate plan deemed invalid by the courts, skip the unknowns; get an estate plan that follows New York probate and asset laws, and one that can adjust to future legislative changes as well.
Get started by scheduling a consultation with an attorney today at the Law Office of Andrew M. Lamkin, P.C.
Call 516-605-0625 to schedule your free consultation or contact us online with your questions about estate planning services.
Andrew Lamkin is principal in the law firm of Andrew M. Lamkin, P.C., where he focuses his practice in the areas of elder law, estate planning and special needs planning, including Wills and Trusts, Medicaid planning, estate administration and residential real estate transactions. He is admitted to practice law in New York and New Jersey.
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