Using online templates for DIY estate planning can undermine your goals.
The plethora of online templates and instructional tools for estate planning can give people a false sense of security due to their simplicity.
Although these tools may seem straightforward, they can be woefully insufficient at addressing the specific laws or unique circumstances for families and individuals.
Those with blended families, minor children, or numerous tangible assets will often find these documents create issues when it is too late to fix them.
Comprehensive and effective estate planning requires consideration of state laws, clear wishes, and preparations for unexpected events.
Making mistakes can lead to conflict or the creation of invalid documents.
DIY estate planning is not as forgiving as DIY craft projects.
One of the most significant issues with DIY estate planning is that these often do not comply with the legal requirements imposed by specific states.
States have their own rules regulating how trusts, wills, and powers of attorney must be executed.
Failure to include notarization or witness signatures can make the plan legally invalid.
Another common problem is the lack of clarity in language.
When online documents may fail to address the nuances of asset structures or family dynamics, legal battles can be triggered by disagreements over interpretation.
DIY estate planning often overlooks contingency planning.
They often fail to address what should be done if the primary beneficiary dies or the executor or trustee is unable to fulfill their duties.
In both of these instances, courts will then be engaged to rule on the intent.
Yikes!
Although DIY estate planning with online templates may seem cost-effective, it can be more expensive than traditional estate planning with a professional.
Why?
If a last will and testament is deemed invalid, the estate may be designated intestate.
If this happens, state law will govern who inherits your assets rather than you.
Even if the documents are not deemed invalid, the costs of resolving conflicts or confusion in the probate courts can drain time, money, and family relationships.
Because DIY estate planning can often neglect to coordinate financial accounts or address taxes, these documents may not align with your designations on retirement accounts or life insurance policies.
Those who choose to use online templates often overlook reviewing their estate planning after significant life events, such as marriages, divorces, moves, births of children, or other major changes.
By leaving outdated instructions in their plans, their current wishes will not be communicated in a legally binding manner.
An experienced estate planning attorney can translate your wishes into clear, concise language to minimize confusion among heirs and executors.
These professionals can help you create comprehensive plans to account for special needs, provide oversight for minor heirs, protect assets from creditors, and limit tax liability.
Estate planning attorneys can guide you through titling property, aligning beneficiary designations with your other documents, and navigating business succession or charitable giving.
If you want to work with an experienced estate planning attorney in Kansas or Missouri, request a consultation with Harvest Law KC.
DIY documents often fail to account for specific state estate planning regulations.
Failing to meet these state law requirements can lead to the estate planning documents being declared invalid.
Because online templates are designed to meet general needs, they often fail to address personal needs or specific tax strategies.
When life circumstances change, documents will need to be updated.
Working with an experienced estate planning attorney is the best way to ensure your family and assets are protected with a comprehensive plan.
This post is for informational purposes only and does not provide legal advice. You should consult an attorney for advice on any specific issue or problem. Nothing herein creates an attorney-client relationship between Harvest Law KC and the reader.
Reference: SmartAsset (Jan. 9, 2025) “The Dangers of DIY Estate Planning”
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