The reasons people choose to create an estate plan can differ from person to person. In many cases, individuals want to leave behind certain assets for their family members or other loved ones and work to have their affairs in order. However, it may be prudent to know that even after estate planning, issues with the execution of the plan could occur.
If New York parents want to leave property to their children, they may divide their assets and indicate who should receive what items or funds. While this may seem like a typical and beneficial gesture, if those children are not emotionally prepared or do not have the skills to handle a considerable inheritance, they may quickly lose those funds. They may also face other issues such as making bad investments with the money that could leave them worse off.
In order to avoid this type of issue, parents may want to discuss their intentions with their children. By understanding what the parents plan to do, children can better prepare for the potential inheritances. This preparation could include becoming more financially literate in hopes of managing any funds or property well.
Estate planning can have benefits to the person planning and his or her heirs. Of course, successful plans can hinge on a number of details. If New York residents are ready to create their plans or want to further discuss how to make sure their plans create benefits and not burdens, they may want to discuss their specific estate intentions with knowledgeable attorneys.
Source: Forbes, “Most Estate Plans Fail, But Yours Can Be A Success“, Bob Carlson, May 9, 2018