A person may be as careful and thorough as possible when addressing matters in an estate plan. For example, you decide who will inherit the real estate investments, valuable jewelry and automobiles. However, sometimes, people may consider certain assets as afterthoughts, neglecting to include them in a will or trust, hoisting the decision onto others as to what becomes of them.
For example, who will inherit your pet that has been an important part of your life for years? How do you address the thousands of dollars in personal loans you provided your homeless adult son who has been living in his car for three years? These represent some of the things often overlooked in an estate plan.
Personal loans, digital assets
Here are a few of the assets and matters that people may overlook when creating an estate plan:
- Personal loans to family members: You love your children and continued to financially provide for them well into adulthood. Maybe you reasoned he or she was down on his or her luck and provided them money for car repairs, a down payment on a house or even to pay for credit card debt. You may forgive these loans or even subtract the amount from his or her inheritance.
- Your pets: Animals including cats and dogs have been loving members of your family. What happens to them when you die? Make sure to address this issue in your estate plan and to set aside additional money for its medical care.
- Digital assets: What becomes of your social media accounts such as Facebook and LinkedIn? With technology a part of everyday lives, you must address what will happen to your digital assets. Along with photographs and documents, they also represent financial accounts such as a bank account and cryptocurrencies.
Leave no stone unturned regarding estate planning. Having a thorough estate plan prevents you from placing the burden onto others in deciding what happens to your assets.