Most people are aware that estate planning is an integral part of taking care of assets, but many are hesitant because of the seemingly-complex process. However, it is possible to create a will and have it be simple.
This type of will can include things like naming a guardian for your children and distributing property after your death. A simple will is a good idea for people who do not have large estates.
When is a simple will a good idea?
The best use of a simple will is if the person writing it does not have anything in his or her estate that the government will tax under estate tax laws.
Simple wills can be a good idea for people who do not have a lot of money or assets but want to ensure that the law carries out their wishes if they die. Simple wills are becoming very popular with younger married couples who may not have much money. Still, they want to ensure that any assets they do own go directly to the spouse after death without interference from other family members.
When is a simple will a bad idea?
If you would like to establish a trust to provide for somebody else, a simple will may not suffice. Additionally, if the government taxes your estate, a simple will does not cover all of the necessary basics.
Also, if you happen to suspect that somebody will challenge your will no matter what it says, you may need more protection than your will gives you.
Caring For You In The Long Term