You Can’t Take It With You: The Importance Of Estate Planning

As the old adage says, you can’t take it with you, but many Americans seem to be planning to do just that.

More than half (55 percent) of all adult Americans do not have a will, according to a new survey, and that percentage has remained consistent over the past three years. These results come from a survey on estate planning that was conducted by Harris Interactive^® for Martindale-Hubbell^®, a comprehensive online resource for finding lawyers.

A will – an expressed intention of what should be done with one's property after death – is typically the first document considered in an individual's estate plan.

"Surprisingly, the majority of Americans still aren't planning for the distribution of their estate after death," said Alan Kopit, a lawyers.com legal editor. "Virtually every adult dies possessing some form of property, but without a will, it's up to the state to decide how those assets are distributed – which may not reflect an individual's actual desires. People often attach the need for a will to having a lot of assets, which reflects a misunderstanding about a will's actual function."

The estate planning survey found:

• Ignorance is bliss: One in 10 American adults who do not have any elements of an estate plan say it's because they don't want to think about dying or becoming incapacitated.
• People don’t know where to begin: Similarly, nearly one in 10 adults say they don't have an estate in place because they don't know who to talk to about creating such documents. This percentage nearly doubled from 2004.
• People think they don't need a will: Nearly one-quarter of adults say their biggest reason for not having an estate plan is lack of sufficient assets. This was also the top reason cited in the 2004 survey.

There is no law that says you have to make a will or other estate plans. But there are laws that dictate what happens to your property if you don’t.

Is that a problem? Yes. It’s important for you to decide how your property will be distributed when you no longer need it. Only you know the important charities and causes that you hold dear. As you begin thinking about a will and planning your estate, please consider supporting Care For Kids. Donations to charity help the organization and help your heirs by reducing the amount of estate taxes they have to pay. There are several options for helping charities through estate planning, such as leaving and bequesting money to the organization, naming a charity as the beneficiary of your retirement benefits, and creating a charitable trust.

Our pamphlet, The State Has Made Your Will, answers important questions you should consider before contacting your lawyer and advisers about your estate. Call me today at 800-383-8147 or email jimf...@care4kids.org . I will be happy to provide you a copy – and help you ensure that your annual gift to help children can continue, uninterrupted, indefinitely.