Sidney Wheelan: [: 00:00:00

way. So, grab your favorite [: 00:01:00

Welcome back to Law Days and Lattes, where we break down the legal side of life over a cup of coffee. I'm Sidney Wheelan, your host and founder of the Wheelan Law Firm of Moberly, Missouri, your go to source for legal issues facing your family and your businesses.

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Did you know that only about a third of Americans have an estate plan in place? And even fewer updated on a regular basis. That means a lot of people are at risk of their wishes not being followed, their assets going through probate, or their families dealing with unnecessary legal battles. So, grab your latte, and let's dive into the biggest estate planning mistakes that people make, and how you can avoid them.

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The result? A long legal process that could have been avoided. And it's not just the rich and famous that we sometimes hear about. It's everyday people like you and me who think that they're doing the right thing. After all They've thought about it and even taken the next steps by contacting an attorney and having the documents drafted.

But, they failed to take the final steps to get their assets into the trust. So, how do we fix it? Well, if you create a trust, make sure your real estate, your bank accounts, and your investment accounts are actually titled into the trust's name. Your lawyer can help with some of this. If you own real estate, you need to deed the property from your name to the trustee of your trust and make sure that the deed is properly recorded.

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Same thing goes for your titles to your motor vehicles. Take the certification of trust. to the License Bureau to make sure that your vehicles will be protected by the trust. If you don't have a Certification of Trust document, please contact your attorney to have one created for you. The second thing I want to talk to you about is outdated beneficiary designations.

e, forgetting to update your [: 00:05:00

As a result, his family ended up paying over $450,000 in unnecessary taxes and legal fees. Even worse, in another case, Kennedy versus plan administrator for DuPont, a man's retirement benefits went to his ex wife. Not something most of us want, because he never updated his beneficiary form on his life insurance or his retirement accounts, even though his will stated his daughter should inherit the money.

in Missouri as well. So, how [: 00:06:00

To avoid this, make sure that your trust is named as a beneficiary or a contingent beneficiary on those policies or those accounts. The next topic I want to talk to you about goes into the category of do it yourself documents, especially wills or other poorly drafted documents. Oh, the trouble we cause when we think we can prepare these documents ourselves without the benefit of real legal advice.

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One in a couch cushion. Because her documents were unclear and inconsistent, her family ended up in court fighting over her estate. So the best way to fix this problem? Don't do it yourself. Work with an attorney to draft a clear, legally binding will that follows your state laws. Next, I want to talk to you a little bit about tax.

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Now, hopefully, your heirs won't end up owing 30 million to Uncle Sam, but how do you ensure that your heirs won't end up with a big tax bill anyway? Consider tax efficient strategies like trusts, charitable giving, and gifting assets during your lifetime to reduce estate taxes. And, if you're unsure about how much of an issue taxes may be for your heirs, talk to an accountant or your estate planning attorney about your unique situation.

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She was an American woman who went into an irreversible, persistent vegetative state after collapsing due to a cardiac arrest, a heart attack, which cut oxygen supply to her brain. She remained in a coma for 15 years, while her family battled over her life support decisions. In another case, this one closer to home in Missouri, Nancy Kurzan suffered severe injuries in an automobile collision, leaving her with no significant cognitive function.

living will or a health care [: 00:10:00

This particular case led to more routine uses of health care directives and durable medical powers of attorney in Missouri. So, the lesson here is to always have a durable health care power of attorney with a health care directive in place so that your wishes are known if you can't make the decision yourself.

Now I want to switch gears a little bit and talk about business succession planning. If you're a business owner, what happens to your business when you're gone? Without estate planning for your business, your business interests could be tied up in legal disputes for months or even years with your heirs fighting over who should have control.

your business assets will be [: 00:11:00

So, how can you prevent these common mistakes? Here's a quick checklist. First, work with professionals. Attorneys, accountants, and financial planners can help. Two, update your plan on a regular basis. Some say review it every two to three years, or even sooner if you have major life events. Three, if you have a trust, make sure it's funded.

spouse that we talked about [: 00:12:00

And finally, communicate with your family. Let them know your wishes. This goes a long way to avoid future disputes. And while we're talking about it, don't forget about your digital assets. Many people now have cryptocurrency, social media accounts, or online businesses that should also be included in their estate plan.

This wraps up this episode of Law Days and Lattes. If you have questions, send them my way. I'd love to address them in future episodes. And if you found this episode helpful, please share it with a friend or leave a review. Next time, we'll talk about the legal side of wealth building, estate planning for entrepreneurs.

ned! Until then, my friends, [: 00:13:00

Disclaimer: This podcast episode contains general information for discussion purposes only. Each case is different and must be judged on its own merits. Missouri rules generally prohibit lawyers from advertising that they specialize in particular areas of the law. This show should not be construed to suggest such specialization.

uld not be based solely upon [: 00:14:00