An estate plan isn’t just for the wealthy. That’s because your estate is anything you own that will be passed down, paid off, or otherwise disposed of upon your death. An estate plan is made up of the official documents that legally ensure your wishes are carried out. While it sounds complicated, creating an estate plan can be relatively simple, and it doesn’t have to be expensive. In fact, the cost to create an effective estate plan can be very reasonable when compared to its savings for your loved one sin terms of time, effort, and even money after you’re gone.

True, if your assets are substantial, taxes may be a concern. An effective estate plan can help minimize any taxes due from your estate. But even if you’re young or don’t have a lot of assets, a simple estate plan could head off problems for your family. For example, you can designate a guardian for your minor children, set up a trust to care for them financially, and pass along sentimental items to your loved ones with a few simple documents.

Consider getting expert help
With so much at stake, it’s wise to get expert help with your estate plan. You may be smart and capable, but if your expertise is in a different area, you may not be the best choice to take on this task. Consider John. He’s a university professor who owns a primary residence, a vacation home, and an antique car. He has earned a pension from the university system and has saved for many years in an IRA. John’s life insurance comes through his job, which he has held for 20 years. John is confident that his estate is in order.

Although John is an educated, savvy individual, he did not know the questions to ask to make sure his estate would be handled in accordance with his wishes. A short visit and a few hundred dollars could have avoided the problems his family will face when John dies without the insurance he needed to protect his family.

While John’s example illustrates some problems that could occur, there are greater consequences if there are minor children involved. Even if someone has verbally agreed to provide guardianship, unless your decision is legally documented, the court may see things differently.