• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

The Potter Law Firm

North Carolina and Kentucky Estate Planning Attorneys

phone iconNC (704) 944-3245
KY (606) 324-5516
Attend A Free Seminar - KY Attend A Free Webinar - NC/SC THIS IS AN ADVERTISEMENT

  • Home
  • About Us
    • About Our Firm
    • Attorney and Staff Profiles
  • Practice Areas
    • Asset Protection & Business Planning
    • Elder Law & Medicaid Services
    • Estate and Gift Tax Figures
    • Family-Owned Businesses & Farms
    • Incapacity Planning
    • IRA & Retirement Planning
    • Legacy Planning
    • Pet Planning
    • Probate
    • SECURE Act
    • Special Needs Planning
    • Trust Administration
  • Elder Law
    • Coping With Alzheimer’s
    • Emergency Medicaid & Nursing Home Planning
    • Guardianship & Conservatorship
    • Hospice Care
    • Medicaid Planning
    • Nursing Home Planning
    • Veterans Benefits
  • Communities We Serve
    • Kentucky
      • Boyd County
        • Ashland
        • Florence
      • Kenton County
        • Covington
        • Fort Mitchell
        • Independence
    • North Carolina
      • Mecklenburg County
        • Charlotte
        • Davidson
        • Huntersville
  • Resources
    • Definitions
    • DocuBank
    • Elder Law
      • Elder Law Links
      • Elder Law Reports
      • Local Elder Law Resources
        • Ashland Elder Resources
        • Covington Senior Resources
        • Huntersville Elder Law Resources
        • Independence Senior Resources
    • Elder Law Reports
    • Emergency Legal Documents
    • Free Estate Planning Seminars
    • Free Estate Planning Worksheet
    • Frequently Asked Questions
      • Estate Planning
      • Frequently Asked Questions for Families Without an Estate Plan
      • IRA & Retirement Planning
      • Legacy Wealth Planning
      • LGBTQ Estate Planning
      • Medicaid
      • Pet Planning
      • Trust Administration & Probate
    • Is Your Estate Plan Outdated?
    • Kentucky Probate Resources
      • Ashland, Kentucky Probate Resources
    • Newsletters
    • North Carolina Probate Resources
      • Huntersville, NC Probate Resources
    • Reports
      • Advanced Estate Planning
      • Basic Estate Planning
      • Elder Law Reports
      • Estate Planning for Niches
      • Trust Administration
  • Contact Us
  • BLOG
Home » Estate Planning » Three Estate Planning Traps to Avoid

Three Estate Planning Traps to Avoid

June 18, 2020 by John Potter

estate planningMost people do not have a full understanding of the reasons why you should plan your estate in a particular way. The ideal course of action will depend upon the circumstances so you should be careful about making assumptions.

Individuals who go forward without the right information often make mistakes that yield negative consequences. In this post, we will look at three common estate planning traps to avoid.

DIY Estate Planning

There are websites that sell generic, boilerplate legal documents, including last wills and trusts. Their marketing material can be quite convincing because they paint a picture of affordable, convenient simplicity. You download a worksheet, you fill in the blanks, and you are good to go.

In reality, DIY estate planning is risky business. When you buy a home or otherwise get involved in a significant transaction with legal implications, you take it very seriously. You are not going to try to take care of all of the legalities yourself because the stakes are high, and things have to be done right.

Estate planning is an extremely important endeavor. You are arranging for the eventual transfer of everything that you own to the people that you love the most. There are state laws you must follow when you execute documents, and there are a lot of details you must address.

Why should you take chances when qualified legal assistance is just a phone call away? There is an investment involved, but a properly constructed estate plan can save your family money in the long run.

Not Exploring Your Options

A lot of people assume that a last will is always the ideal estate planning document unless you are a multimillionaire. The idea is that it is simple, and the people that are in line for inheritances will receive their bequests in a timely manner after your death.

When you hear the facts, you may see the matter quite a bit differently. A will would be admitted to probate, which is a court supervised process. No inheritances are distributed while the estate is being probated, and it will typically take at least nine months.

There are expenses that accumulate during probate, and it is a public proceeding. Anyone that wants to access probate records can do so to find out how you decided to distribute your resources.

To avoid probate, you could use a revocable living trust. The trustee that you name in the document would be allowed to distribute assets to the beneficiaries when the time comes outside of probate. This is one of the benefits, but there are a number of others.

A living trust is the right choice for a wide range of people, but there are other types of trusts that satisfy various aims. You should certainly understand your options before you make any decisions.

Failure to Consider Long-Term Care Costs

One major mistake that people sometimes make is a failure to implement a nursing home asset protection strategy. The majority of senior citizens will need some type of living assistance, and 35 percent of elders will ultimately reside in nursing homes.

These facilities are expensive, and costs have been rising over recent years. Medicare does not pay for the custodial care that you would receive in a nursing home so this gap is a major problem.

Depending on the extent of your assets, nursing home bills can consume all or part of your legacy, and if you are married, the potential impact is doubled. Fortunately, Medicaid does pay for long-term care, and we can help you understand how to qualify.

Schedule a Consultation Right Now!

If you are ready to discuss your estate planning goals with a licensed attorney, we are here to help. You can schedule a consultation with our attorney in Charlotte, North Carolina if you call us at 704-944-3245.  The number in Ashland, Kentucky is 606-324-5516, and there is a contact form on this website you can use to send a message to either location.

  • Author
  • Recent Posts
John Potter
Latest posts by John Potter (see all)
  • What You Need to Know about the Medicaid Look-Back Rule - January 3, 2023
  • How to Pass Down Your Legacy in Your Estate Plan - October 3, 2022
  • Practical Steps to Take after Receiving a Terminal Diagnosis - September 30, 2022

Filed Under: Estate Planning Tagged With: nursing home asset protection, Trusts, Wills

Other Articles You May Find Useful

How to Gift to Your Grandchildren in Your Estate Plan
pour-over will
What Happens If I Leave Property Out of My Living Trust?
estate tax
2022 Estate Tax Exclusion Has Been Set
QTIP trust
How Can You Protect Your Children’s Inheritances If You Get Remarried?
probate
Are There Any Probate Shortcuts in North Carolina?
life estate
What Is the Purpose of a Life Estate?

Free Estate Planning Worksheet

There's a lot that goes into setting up a comprehensive estate plan, but with our FREE worksheet, you'll be one step closer to getting yourself and your family on the path to a secure and happy future.

Texting Permission

Follow Us

  • Facebook
  • Instagram
  • LinkedIn
  • RSS
  • Twitter
  • YouTube

Subscribe to Our Blog

  • This field is for validation purposes and should be left unchanged.

Testimonials

default image

Overall The Potter Firm was very professional. They took what could of been a very complicated process and were able to break it down so it was a lot easier to understand. We are confident we now have made the right decisions in our estate planning. Good firm to work with.

DKS & KMS Client Review August 28, 2020

default image

John Potter has been a real pleasure to work with. He is very knowledgeable and explains things in a very simplistic manner so the average person can understand how/why the laws are written. He is very attentive and asks questions in such a way that not only helps him understand your goals, but also helps you think about what type of goals and expectations you should be considering. Exemplary client service.

David J. Client Review August 28, 2020

default image

My husband and I selected Ms. Potter to assist with our small business. She responsive and attentive every time I have a question or need assistance, and is extremely knowledgeable and able to answer any legal question I have had. I know I can count on Ms. Potter for all of my business legal needs and I would highly recommend her to anyone needing legal assistance with such.

Jillian Client Review August 28, 2020

<< Prev
Next >>

Where We Are

Ashland

ASHLAND
1620 Carter Avenue
Ashland, KY 41101-7631
Phone: (606) 324-5516
Fax: (606) 324-4766

Charlotte

CHARLOTTE
15720 Brixham Hill Avenue
Suite 300,
Charlotte, NC 28277
Phone: (704) 944-3245

Huntersville

HUNTERSVILLE
11330 Vanstory Drive
Huntersville, NC 28078
Phone: (704) 944-3245

Northern Kentucky

NORTHERN KENTUCKY
7310 Turfway Road
Suite 550,
Florence, KY 41042
Phone: (859) 372-6655

Office Hours

Monday8:30 AM - 4:30 PM
Tuesday8:30 AM - 4:30 PM
Wednesday8:30 AM - 4:30 PM
Thursday8:30 AM - 4:30 PM
Friday8:30 AM - 3:00 PM

Map/Location

potter_sidbr_map
potter law logo
  • Facebook
  • Instagram
  • LinkedIn
  • RSS
  • Twitter
  • YouTube

The information on this website is for general information purposes only. Nothing on this or associated pages, documents, comments, answers, emails, or other communications should be taken as legal advice for any individual case or situation. The information on this website is not intended to create, and receipt or viewing of this information does not constitute, an attorney-client relationship.

Privacy Policy | Terms of Service | Disclaimer | Site Map | Powered by American Academy of Estate Planning Attorneys

© 2023 American Academy of Estate Planning Attorneys, Inc. THIS IS AN ADVERTISEMENT