What Really Happens Without an Estate Plan

More than half of Americans don’t have a will or estate plan. That means most families are unprepared for the legal and financial chaos that comes when the unexpected happens. Most people assume that if they don’t have an estate plan, nothing happens. But the truth is, a lot happens, probably just not what you would want. 

Here’s what really happens when you don’t have a plan in place:

The Court Decides Everything for You

Without a will, Tennessee state intestacy laws dictate who inherits — not you. Assets may go to relatives you wouldn’t choose, or exclude people (like stepchildren, partners, or charities) you care about. 

Your family will not know if your wishes are being fulfilled, which can cause extra stress in a time when they are already grieving loss.

Probate Gets Long and Expensive 

Families must go through probate, a court-supervised process that can take months (or years), and is often paid for with money that comes out of the estate. On average in Tennessee, probate costs about $15,000 and takes a minimum of 9-12 months to close.

Not only is this a financial burden on the family, but this process can also cause a lot of stress and increase familial conflicts. When the wishes of the deceased were not made clear, it is common for contesting to occur. Unfortunately, this often impacts relationships negatively.

Guardianship of Children Is Up to a Judge

If both parents pass without naming guardians, the court decides who raises your children.

This of course causes distress and uncertainty to the children and can spark disputes within the family— and the kids may have to go into temporary foster care while awaiting the process to be completed.

If you have minor children, it is essential to protect them by creating an estate plan. 

No Say in Your Healthcare

Without power of attorney documents, doctors make decisions, or family members fight over them.

If faced with incapacity, your wishes about life support, medical care, or end-of-life decisions may never be known. No one will want to make a hard decision for you, it is a gift to offer clarity so that your family can have peace knowing your wishes are being honored.

Your Legacy is Lost

State law is blunt, it divides assets by a formula, not by values or intent.

Without a plan, charitable giving, special heirlooms, or personal wishes may never be honored. Furthermore, a significant percentage of your estate will have to go to probate fees. 

Everything you worked for is worth protecting. 

Fortunately, avoiding probate is easy and protecting your legacy and family will cost you a lot less than probate. By creating a simple estate plan, not only will your wishes be clear, but your assets will be protected and your family spared from extra financial and emotional stress. 

Having a plan is one of the best gifts that you can give to your family. If you are ready to take that step, click here to schedule a free 15 minute discovery call. We will make it easy for you to protect them.