If you look for “digital wills” or “estate planning” online, you’ll find dozens of different websites offering low-cost, do-it-yourself (DIY), and sometimes even free estate planning documents, such as wills, trusts, powers of attorney, and healthcare directives.
From these types of sites, DIY legal documents seem like a cheap and easy way to finally get Estate Planning done without paying a lawyer. After all, you’ve been able to prepare and file your taxes online for years; is estate planning that much different? And aren’t lawyers using these types of forms you find on these DIY document websites?
This kind of thinking is exactly what DIY and online estate planning services would like you to believe, but it’s far from true. Relying on DIY or online estate planning documents can be one of the costliest mistakes you can make for your loved ones.
Remember, just because you created “legal” estate planning documents, that doesn’t mean they will work when you—or, most importantly, the people you love—need them. Without a thorough understanding of your family dynamics, the nature of your assets, and how the legal process works upon your death or incapacity, you will likely make serious mistakes when creating a DIY or online estate plan.
Knowing this, let’s look at the top 2 ways DIY planning can go wrong by looking at them.
Number 1: Thinking A Will Would Be Enough
One of the ironic things about estate planning is that the one legal document everyone thinks they need most is the one that accomplishes the least. Yes, you know you need a will, but a will does not keep your family out of court. In fact, relying on a will alone ensures your family and friends have to go to court when you die. Plus, a will doesn’t even come into play if you are incapacitated. And if you have children, relying on a will alone to designate their legal guardians could leave your kids vulnerable to being taken out of your home and into the care of strangers.
Number 2: Not Doing the Right Way
You could have the best documents in the world, but you need to sign them or sign them the right way to ensure they work. It may seem silly, but it’s true. We’ve seen family after family who brought us an estate plan after the death or incapacity of a loved one that we were not able to support them and act upon because the documents were either not signed or were signed improperly. To be considered legally valid, certain estate planning documents like wills must be executed following very strict legal procedures.
When done right, the value of estate planning is genuinely priceless because it results in the right plan for your family at the proper budget for you, and it leaves your loved ones with not just a set of papers but a person you can trust and who will be there for them when you cannot be. And this is what we can precisely help every client do in Legacy Counsel, so don’t hesitate to contact us or schedule your FREE 15-minute call here.
