Even with all these great benefits of estate planning, it often gets pushed to the back burner. This happens most often due to bad information.
That bad information is this: I do not need to do estate planning right now because my estate is not taxable.
Many countries have an estate tax that is levied against the value of your assets after your death. Most countries have a threshold that if an estate falls under that threshold, it is not subject to estate tax.
Many people think they don’t need to do estate planning if their estate is under that threshold.
This is not true! While it’s true their estate may not be in urgent need of estate tax planning (although estate tax planning is best done when the value of your estate is low), there is still a need for basic estate planning.
Estate planning is not just about the estate tax. In fact, some of the most important reasons to do estate planning have nothing to do with estate tax.