The Consequences of Not Planning for Your Death
May 12, 2012 By Purcell & Amen, L.L.C.
Millions of Americans have not taken the time to sit down and create a comprehensive estate plan. In addition, a shocking number of Americans have also not sat down and discussed their funeral and/or burial wishes with loved ones. If you are one of those people, stop and consider the consequences of not doing these things now, before it’s too late.
Funeral Wishes: If you do not express your wishes to your loved ones now, they will be forced to make decisions based on what they think you would want. This would be difficult enough under the best of circumstances, but these decisions will have to be made under extreme duress in the midst of the shock and grief they are feeling surrounding your sudden death.
Funeral Expense: If you did not pre-pay for a funeral service, your loved ones will also need to come up with the money to pay for your service. Many factors can impact the cost of a funeral service, but as of 2012 your family can expect to pay from $5,000-$10,000 for the average funeral. Setting aside some money to pay for this expense can relieve some of the stress on your loved one at that difficult time. One way to do this is to set up a Funeral Trust that sets aside a sum of money to pay for those expenses. It gives your loved ones immediate access to funds to pay for the services and relieves any financial burden they may have to assume if you haven’t set aside money to pay for your funeral.
Bank Accounts: If you did not think ahead and convert accounts to pay on death, other forms of joint accounts, or in some cases set up a trust, even your spouse will not likely have access to the funds right after your death.
Assets: Just as with bank accounts, other assets such as your home, vehicles or investment accounts will not be accessible to even your spouse if you failed to plan ahead. These assets will become part of your estate. Your estate will typically need to go through the legal process known as probate. Estate assets cannot be released to anyone until the probate court authorizes the release which can take months or longer.
Divisions of Your Assets: If you failed to leave behind a Last Will and Testament, your estate is considered to be intestate. An intestate estate will be divided according to your state’s intestate succession laws. Anyone not considered a legal heir will not receive anything from your estate, despite your wishes to the contrary. This usually includes a partner to whom you were not legally married, friends, co-workers, or distant relatives.
ABOUT THE AUTHOR: David Purcell
Experienced estate planning attorneys St. Louis MO of the Purcell & Amen LLC offers estate planning and business planning resources to residents of St. Louis MO.
Copyright Purcell & Amen, L.L.C.
More information about Purcell & Amen, L.L.C.
Disclaimer: While every effort has been made to ensure the accuracy of this publication, it is not intended to provide legal advice as individual situations will differ and should be discussed with an expert and/or lawyer. For specific technical or legal advice on the information provided and related topics, please contact the author.
Funeral Expense: If you did not pre-pay for a funeral service, your loved ones will also need to come up with the money to pay for your service. Many factors can impact the cost of a funeral service, but as of 2012 your family can expect to pay from $5,000-$10,000 for the average funeral. Setting aside some money to pay for this expense can relieve some of the stress on your loved one at that difficult time. One way to do this is to set up a Funeral Trust that sets aside a sum of money to pay for those expenses. It gives your loved ones immediate access to funds to pay for the services and relieves any financial burden they may have to assume if you haven’t set aside money to pay for your funeral.
Bank Accounts: If you did not think ahead and convert accounts to pay on death, other forms of joint accounts, or in some cases set up a trust, even your spouse will not likely have access to the funds right after your death.
Assets: Just as with bank accounts, other assets such as your home, vehicles or investment accounts will not be accessible to even your spouse if you failed to plan ahead. These assets will become part of your estate. Your estate will typically need to go through the legal process known as probate. Estate assets cannot be released to anyone until the probate court authorizes the release which can take months or longer.
Divisions of Your Assets: If you failed to leave behind a Last Will and Testament, your estate is considered to be intestate. An intestate estate will be divided according to your state’s intestate succession laws. Anyone not considered a legal heir will not receive anything from your estate, despite your wishes to the contrary. This usually includes a partner to whom you were not legally married, friends, co-workers, or distant relatives.
ABOUT THE AUTHOR: David Purcell
Experienced estate planning attorneys St. Louis MO of the Purcell & Amen LLC offers estate planning and business planning resources to residents of St. Louis MO.
Copyright Purcell & Amen, L.L.C.
More information about Purcell & Amen, L.L.C.
View all articles published by Purcell & Amen, L.L.C.
Disclaimer: While every effort has been made to ensure the accuracy of this publication, it is not intended to provide legal advice as individual situations will differ and should be discussed with an expert and/or lawyer. For specific technical or legal advice on the information provided and related topics, please contact the author.
