And the reality is that not thinking and planning for that time when you are no longer here, actually causes more problems, and often tension, for those you leave behind. And not only is it kinder towards them, it has ample benefits too. Not convinced that you need to make sure you plan for the future?
Here are the reasons why estate planning is actually so vital:
1. It ensures that you provide for your family
Probably the most important reason why estate planning is essential is to make sure that your family is properly looked after. You really want to make sure that your spouse, children and grandchildren are all taken care of when you are no longer around. And if you plan in advance it allows you to decide exactly how your assets are divided up. It’s a horrible truth but when someone passes away it often leads to a lot of tension between those left behind. It also allows you to plan for any future generations if you have the capacity to do so.
2. It often leads to smoother transactions
Getting your property to beneficiaries seamlessly is a big part of why estate planning is so important. You can make this process so much easier for them by planning ahead. You can arrange that your insurance gets paid directly to your beneficiaries, or put it into a living trust. We recommend speaking to a financial advisor about the best possible way that you can ensure smoother transactions of your property to your beneficiaries.
3. It allows you to put money aside for a charity
Another important reason why estate planning is vital is because it allows you to put money, gifts or any other property that you own, towards a charity or a cause that you strongly believe in and wish to support.
4. It helps you to plan things that might be difficult for your family
An often overlooked reason why estate planning is so crucial, is that it actually allows you to take the pressure and strain off your loved ones when the time comes, and allows you to put in place funeral plans for much later down the line.
5. It makes sure that what you want to happen, happens
A huge reason why estate planning is so important is to ensure that what you actually want to happen when you are no longer around, does. You really don’t want family feuds to arise over what should happen to your property when you are no longer around. Leaving ‘everything you own’ to your children is far from an ideal way to go about it. This is also very helpful if you have a business, and want it to run in a certain way and with a particular person in charge etc. Estate planning allows you to ‘have your say’ even when you are no longer here.
6. It helps you to keep transferral costs down
When asking yourself why estate planning is so crucial, it’s good to remember that if you plan properly, you will be able to keep transferral costs down, leaving that little bit extra for your beneficiaries.
7. It allows you to carefully select executors for your estate
Another incredibly important reason why estate planning is essential is that it allows you to choose the best executor for your estate, which will actually keep costs down and hopefully lessen the chance of tension between family members.
8. It gives you a chance to plan for any special needs
If you have a disabled spouse or child, when you are estate planning, you can set up a special trust for them, so that they are supported and well looked after once you have gone.
9. It allows you to set and meet expectations
A great reason why estate planning is important is that it allows you ample time to set expectations with your beneficiaries that you then need to meet. This will take out a lot of the confusion and tension later down the line, and allows for open channels of communication and clear understanding when it comes to your estate.
10. It gives you time to add to your estate
By planning your estate well in advance, it gives you the time you may need or want to add to what you already own. For example, you could look at diversifying your investment portfolio to make your wealth grow even more. You can leave more to your beneficiaries and purchase a holiday or investment property either locally or abroad.
If you are looking to add to your estate and want to leave something to your family that they will value, then you should look at buying property in Spain. That way your family has a holiday house they can use where they can gather and share stories about their wonderful time with you when you are no longer there to share those times with them. Contact us for more information on property in Calpe, Spain, along the gorgeous Costa Blanca, or to take a look at our incredible property portfolio. We will help you find the best property for your needs and your family.