Every time a celebrity dies it seems there is an estate planning lesson to be learned. Most recently, after the death of Whitney Houston, we learned she was in a dispute with her father's husband over issues related to his estate, a life insurance policy and money that Whitney loaned to him.
Did Whitney have a will? You'd hope so, but wealth doesn't guarantee that a person has done proper estate planning. In America, we all live by the mantra of "when I win the lottery, and if I die." We all believe we are invincible and going to live forever.
Here's the lesson to be learned. Have an estate plan created by a professional that meets the unique needs of your family. Your attorney should be willing to teach you the questions you don't even know you need to ask. Your attorney should be curious about not just what you own, but how you own it and who it is intended to benefit. Your attorney should be fully acquainted with the details about your children and other familiy members. Does everyone get along? Does anyone have a drug, alcohol, gambling or other issue? What is the status of each person's marriage? Are they spenders or savers? Is anyone receiving government benefits because of a disability? Are there pets that need to be planned for? What are your goals for protecting the people (and pets) you love and care for?
Your estate plan should be your plan - not the one the attorney decides to give you. The plan should be co-created and well-counseled. You should understand what you've done and why you've done it. And then when you're done - you're not really done. Once you've created your estate plan you need to insure that it is relevant at the relevant time. You must keep it updated. Review your plan every two to three years. Make sure it is consistent with the four (4) L's - Changes in the Law, Changes in your Life, Changes in your Lawyer (their experience) and Changes in your Legacy.
Creating and maintaining an estate plan is essential to providing for you and your loved ones in the event of disability or death. Don't leave something this important to chance, get good, professional advice. Happy planning!
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