Deborah Hoskins, JD, CFP

The Wise and the Wary

Who can you trust? Deb hears this question over and over again in her professional practice as an elder law attorney and a fee-only, holistic financial planner. Let Deb teach you how to protect yourself and your assets from those who might not have your best interests at heart. [Editor's note: Deb no longer contributes to Silver Planet, but we have made her archived blog entries available as a service to our readers.]


Posted 03/10/2009

The 12 Biggest Misconceptions of Estate Planning Clients

Lack of understanding about what the law really says

By Deborah Hoskins, JD, CFP

We’ve all heard the line attributed to Benjamin Franklin: “In this world, nothing is certain but death and taxes.” How true. And that is the concern of estate planning—death and taxes. Throw in planning for disability, and you’ve got the waterfront covered.

I’ve also noticed that people are certain about one more thing—they know what they know. They’ve heard horror stories about probate, or the government taking everything, and they don’t want to be a victim of that, so they call me.

They tell me what they want, or what they think they need, but some pieces are missing in their understanding. They’re scared by what they’ve read or what they’ve heard at a free “information only – no sales” dinner presentation by some overpriced advisor, and they want me to take care of it.

Over the years, I’ve heard a lot of misunderstandings about what can or will happen. Here are a few:

  1. All of my property goes through my will, right?
  2. I just want a simple will. . . .
  3. I want to avoid probate at all costs.
  4. I’ll just leave everything to my daughter—she knows my wishes and will know what to do.
  5. My husband and I own everything together. Why do I need a will?
  6. I don’t want the government to get my property.
  7. I want all my property to go into a trust so that I can avoid creditors.
  8. The government will take everything when Mom goes into a nursing home.
  9. Medicare will cover nursing home expenses.
  10. Dad’s doctor can declare him incompetent.
  11. My living will covers all my medical decision-making.
  12. If I Wind Up in a Wheelchair, My Life Is Over

All of these statements or sentiments show a lack of understanding about what the law really says. That will be the theme of this blog for the next few months. My goal is to educate, and to protect you from unnecessary fear. Stay tuned. . . .

By Deborah Hoskins, JD, CFP
The Wise and the Wary Blog

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