It is true that most people don’t have an estate plan. But that doesn’t mean they don’t want one or that they are never going to make one. In many cases, they’re just procrastinating and putting it off for later.
There’s an obvious risk here: Someone could pass away unexpectedly, before they get a chance to make their estate plan. Why is it that people take this risk and delay writing a will or drafting other important documents, like a power of attorney?
It feels overwhelming
One reason is just that they find the process daunting and confusing. Someone may not know what documents they need, how to draft a will, what steps they need to take or how to file the paperwork.
They think they need more assets
Another issue is that people are sometimes just looking at their overall net worth. They think that estate planning is something done by rich or wealthy families, so they put it off until they have more assets later in life.
They assume they have plenty of time
But the biggest issue is often just that people assume they’ll be able to make an estate plan in the future. They’re young and healthy, so they think they have decades left. Naturally, this ignores the potential risk of something like a car accident or an unexpected illness.
The reality is that it’s best to make an estate plan well in advance, rather than procrastinating—and that plan can always be updated in the future. If you do not have a plan in place yet, it may be wise to begin looking into all of your legal options.