I heard a horrible story the other day. A retired county worker forgot to update the beneficiaries for his work benefits. The family realized this after he was in the hospital and could no longer make decisions. Changes could no longer be made and money was tied up for years. Can this happen?
– Procrastinator on Pomona
Dear Procrastinator on Pomona:
Yes, this happens. If you become incapacitated, it becomes much harder to plan. Making important changes can become difficult, stressful and expensive.
Last night, a new client came over to the house at 8:00 p.m. to have his parents trust reviewed. He was in a panic and had received my name from a loyal client.
His dad, now 91, is now in skilled nursing with diminished mental capacity. His mom is alive and worried – the trust has not been reviewed in 10 years. As you would expect, things were not in order. The trust is outdated, overly complicated and the beneficiaries were incorrect.
I hate to be the bearer of bad news, and I always like to help people. Luckily, I can help this client, but we need to go to court to get permission to make necessary changes. If they looked at the trust last year, we wouldn’t be in this pickle!
Don’t have others put out your preventable fires! Take care of your planning today!