Health & Fitness
Living Trust Preparation: Why Can’t I Just Use the Internet?
Why you shouldn't use a do-it-yourself kit for creating a revocable living trust for your family.
I’m asked this question all the time by people who need estate plans and are confused by advertisements. I tell them that these programs cannot perform a detailed legal analysis of your true estate planning needs. They also don’t address crucial planning issues such as if a child has problems with debt, is anticipating a divorce, or has special needs.
Most estate planning kits don’t address variations in state law. Since there is no national probate code, a computer program cannot replicate the knowledge of a qualified estate planning attorney.
Using a do-it-yourself Will or other estate planning kits may have undesired consequences. Defective forms or violations of state law are not apparent to most people when their documents are signed. It might be only after a death when such problems are discovered—too late to fix.
Blended families are common these days. When parents draft do-it-yourself Wills and leave an estate to their “children”, legal chaos can ensue and takes the courts to sort it out.
An entire category of Trusts is designed to work within the complex rules and restrictions of government-managed disability benefits. Once again, do-it-yourself estate planning documents don’t take these special rules into consideration. An improper distribution from a parent’s do-it-yourself estate plan could result in your child losing disability benefits, health insurance, educational benefits, or an assisted living arrangement. It can also mean the disappearance of the child’s inheritance due to mismanagement or someone taking advantage of your child.
A good estate planning attorney will have detailed discussions with their clients about their financial situation, goals, and family relationships. You don’t want “cookie cutter” planning documents but rather customized estate plans to meet your unique goals and needs.
Will and Trust kits can seem like a great bargain, but the eventual cost for your family could be quite high. The old adage really is true—you get what you pay for.
