Why am I glad this summer is over? Probably not the reasons you think. Yes, I am glad the kids are back in school and I am ready for cooler weather, but this summer for us was filled with loss and sickness. Partly, we are at that age, where grandparents, and some parents are passing away. We also have had people around us lose their battle with cancer much too young, and one sweet friend with two tiny kids diagnosed with Cancer. We watch these loved ones battle, and it puts our own mortality in the forefront. I feel like this is always a shock, but we will not live forever. We all know it in our heads, but in our hearts not so much. Someone walked into the doctor today, felt fine yesterday, and is being told they have Cancer.

So besides bumming you out, what does this have to do with personal finance? It has to do with your legacy. What do you want to leave behind when you go? Who will get your stuff? Who do you have to leave behind? Who will take care of them? Just as with anything, the more complicated your life gets the more complicated your estate gets. If you are a single, only-child orphan, you may not care where your stuff goes, but move in with a significant other, you add a layer, get married, new layer, kids, pets, any living thing even a fish can add a new complexity layer to your passing. Some people create entire intricate trusts for their pets. (You do not have to do this, and I am getting ahead of myself).

Who needs an estate plan? My answer would be everyone who will eventually pass away, so everyone. If you do not create a plan for yourself, your plan is your state’s plan. The state chooses who gets your stuff, and where your pets and children will live, and sometimes (in rare cases, the state decides that it gets to keep your stuff). Don’t you want to decide these things? You know your situation better than anyone, so who better to decide? You or some judge who never met you? Also, if you live a great long life and have lots of loving people around you, nothing gets uglier than splitting up the knick knacks. It is funny, you would think the ugly fight would be money, and sometimes it is, but often it is the sentimental things people squabble about.

So what do you need for your estate plan?

1. An estate attorney who is fully versed in the current state you live in’s estate law. If you live in Colorado, don’t use your litigation uncle in Missouri. I know he loves you. I know he will do his best for you, and he may be the smartest guy on the planet, but this is not his area of expertise. Even if he was a Missouri Estate Attorney, I would NOT choose him. He doesn’t know your specific state’s law, and every state is a little different. This is the reason I would never ever do an online will. Those programs are lacking in so many ways. You don’t want a general form. This is personal, and important.

2. A financial planner versed in your state’s Estate Law. Why a financial planner? They can help cut down on your hourly attorney fees. You can express everything you want and need to them, they can then speak legalise to the lawyer, clearly expressing what you need done, and they can review the estate documents, so you are getting exactly what you want. Never underestimate the power of a good financial planner. In the end, they will save you money, and give you the confidence that you are set up perfect for you. If you don’t know what attorney to use, they can usually find you a great one who offers a fair price. Please notice that I said a “good” financial planner. Not all brokers and insurance agents are versed in estate law, but many claim to be financial planners. If I teach you anything, it is that not all financial planners are equal, and not all financial planners only do investments. Make sure yours specializes in estate law, if you are using them for this purpose.

I have another shock for you. There is more to your estate plan than just a will. I know, right!?! Mind Blown! Next week I will tell you about all the different types of documents you may need to complete your estate plan. Don’t worry, I will explain each one.