There is more than one way to start estate planning but many people make the mistake of planning their estates in the same method as friends or relatives. In reality many people need to slow down and think about what will be best for them, their family, and their situation. Jumping into estate planning simply to get things done will usually result in time getting wasted instead of things getting accomplished.
Find Out State Laws
States handle their inheritance rules and regulations differently. What might be possible in one state is not always possible in another and most states make it difficult to find out what is allowed. States do not make it easy for residents to learn about estate planning and often laws are changed without warning creating even more difficulties for planners and their heirs.
What many do not realize is that mistakes in wills, living wills, or even powers of attorney can render documents invalid. This can be disastrous and in some situations the state might end up with the entire estate. When that extreme example does not take place heirs will often find themselves paying thousands in estate taxes and death taxes that could have been avoided.
Personal Factors to Remember When Estate Planning in Nebraska
There are things that must be remembered when estate planning and the first thing is your own personal situation. People take their martial status and children for granted not realizing that they could affect the estate planning process. Those people who do not have children or dependents can approach estate planning in an entirely different way focusing only on distributing assets and not on seeing to the care of dependents.
Marriage and Estate Planning
Marriage should be one of the biggest factors in estate planning. If you are not married you will probably have far less details to consider but in Nebraska a married individual must make alternative arrangements for children. Nebraska law favors spouses when it comes to inheritance so if a will is not completed or not considered valid children could often be left without property or money.
In order to avoid this start setting up personal accounts when estate planning that will be transferred to surviving children only after death. These transfers are immediate and cannot be stopped. Also, name children as beneficiaries on insurance policies to make sure that they receive the tax free funds. Doing this will give your children added protection in the event that a will is not considered legal.
