What Is Estate Planning And Why Is It So Important?

 

For anybody that owns a house or other investments, it is critical to consult with an estate planning lawyer. If you live in the south Auckland area look for a Manukau estate planning lawyer.

What Is Estate Planning and Why Should You Do It?

Estate planning, in its most basic form, is the process of determining what, how much, and to whom you will leave your estate. You might want to leave your legacy to your children or surviving partner, for instance. It also entails having those wishes properly documented in the form of a Will, which is then attested by a trained Manukau estate planning lawyer.

What Are the Advantages of Having an Plan?

When a person dies without leaving a formal will, it is known as intestacy. In this case, your estate will be allocated according to the Administration Act to your life partner and immediate relatives. While the majority of people do this, but you might also donate to a cause you support or particular people such as a cherished local community supporter.  If they are not named in your Will, they will not be beneficiaries of your estate.

 

Some people might want to specify funeral arrangements, or guardianship of any children. Others also specifically mention their wishes, for or against, any organ donation. These will not happen if they are not mentioned in a will or if you don’t have one.

 

What Happens If You Don’t Have A Will

The greatest concern for the majority of people is that their estate will not be passed down to the people or causes they want to look after.  Immediate relatives and the surviving partner will usually be taken care of. However, people and organisations that are important to you may either be ignored or have a difficult time pursuing a claim.

 

A common situation is if you have remarried.

 

If your new spouse has children but you only have children from your previous spouse, without specifics clauses in your Will, your estate will pass to your new spouse. They can then leave that to their children meaning that your natural children are disadvantaged.  A good estate planning lawyer in the area can advise you on how to handle this, and other common, complex issues regarding bequeathing your legacy.

 

Another big issue of concern for people when they realise the fact, is that if you die intestate, then your assets will pass to the State. And who wants to pay any more tax than they did when they were alive?

 

The cost and difficulty of dealing with an intestate legacy is another issue. The administrative complications become far more complex and drawn out if you do not have a will. That, of course, entails a significant increase in costs, resulting in a reduced estate for your heirs.

 

Who Should Be Concerned About Estate Planning?

The simple answer is that it applies to everyone.

 

When people die intestate, they have no control over how their money, property and other assets are bequeathed.

 

Further, it makes an already stressful situation much more difficult.  Without a will, the process of handling an estate takes much longer and will inevitably cost far more. This also increases the stress and emotional problems for people at an already difficult time.

 

If that person had a Will that was written by an estate planning lawyer in Manukau, they would not have to go through that long, drawn-out and expensive process.

 

For people with more extensive assets and investments, having a Will is even more important. Complex financial instruments and ownership vehicles will take more time to process even with a Will but without, the cost and work would be very challenging.

 

Why Do You Need An Estate Planning Lawyer In Manukau?

In plain terms, you must have a Will if you want to have any say in how your finances are passed on.

 

Further, the process of administering a deceased person’s estate will be far more costly and take much more time if there is no Will.

 

Possibly the worst outcome is that your legacy will end up in the hands of the government.

 

It’s never too early to consult with an experienced Manukau estate planning lawyer.

 

McVeagh Fleming is an established law firm in the Auckland area and has an office in Manukau. They can help you with your estate planning.