The short answer: Yes. Everyone needs a will, a trust, or both. These tools ensure that your legacy is carried out according to your wishes and allow you to provide for your loved ones after your passing.
A properly prepared trust can also help you avoid probate—a lengthy, public, and often expensive court process that becomes necessary when there is no legally valid estate plan in place.
And here's the truth: wills and trusts are not just for the wealthy. People with any level of means can benefit from having a clear plan in place to protect loved ones, avoid unnecessary legal hurdles, and ensure that their wishes are honored. Even if your savings are modest or your property holds mostly sentimental value, estate planning tools provide peace of mind and control over what happens after you are gone.
Creating a will or trust should be a priority for several important reasons, including the following:
Handling Digital Accounts
Almost everyone today has at least one online presence. Think about your:
-
Photos stored in the cloud
-
Emails and social media profiles
-
Online shopping accounts
-
Payment platforms (e.g., Venmo, PayPal)
-
Online banking accounts
Without a plan, your loved ones could lose access to valuable records—or even money. An estate plan ensures that your digital life is managed according to your wishes, whether you want accounts deleted, transferred, or carefully preserved.
Avoiding State Recovery for Medicaid Benefits
Nursing homes can cost thousands of dollars per month. Medicaid helps cover these costs if you meet certain requirements—but the state is legally allowed to recover those expenses from your accounts and property after your death.
In some states, this could even mean forcing the sale of your family home. A comprehensive estate plan can help protect your assets and limit state recovery, preserving more for your loved ones.
Reducing Income Tax Concerns with Retirement Accounts
An inherited retirement account isn't always tax-free. Depending on the type of account, your beneficiaries may owe income tax on what they receive.
By including your retirement accounts in your estate plan, you can protect your nest egg and potentially reduce the tax burden your loved ones will face.
Maintaining Control of Your Legacy & Protecting Beneficiaries
Estate planning ensures that your assets are distributed the way you want—not left to chance. For example, if you want to provide for both a surviving spouse and children from a prior relationship, your plan can make that possible.
Proper planning also protects your beneficiaries from:
-
Divorcing spouses or creditors
-
Pending lawsuits
-
Financial predators
-
Their own mismanagement or overspending
The stakes are real. Studies show that 70% of family wealth is depleted within two generations, and 90% within three.1 With thoughtful planning, you can avoid becoming part of that statistic.
An estate plan also passes along your values, not just your assets, by making your intentions clear and legally enforceable. Simply discussing your wishes isn't enough—working with an experienced estate planning attorney is the only way to ensure they are honored.
Take the Next Step
Do not put off this important step. Taking the time to plan now can save your loved ones stress, money, and heartache later.
At Sheil Law Firm, we believe estate planning is more than documents—it's a true gift to your family.
