Why should we pay an estate planning attorney when we can download forms from the internet for free or use online do-it-yourself services for a lower price?

We hear that question often, and the answer is this:  When you work with an estate planning attorney, you are paying for experience, education, knowledge, and customization.  When you download and modify forms, or use online software, you must provide the education, customization, knowledge, and experience. Can you?

Search Engine, Esq., has a lot of “knowledge” in the form of aggregated information, but cannot guide you through which parts of that knowledge are necessary or advisable for your unique situation.  Reputable online estate planning programs and software are a bit better, but they don’t work well unless you understand what potential planning pitfalls might apply to you, identify and provide all the necessary information, and then execute the documents in compliance with your state’s laws.

Most people do not have the legal knowledge necessary to determine what clauses and language should be included in a will or trust to accomplish estate planning goals. Nor are they familiar with state laws and to comply with them.  If you download and modify forms from the internet, or use an online program, your final documents may contain wording, formatting, and grammatical errors that make them unenforceable. The online programs, which often use Artificial Intelligence (“AI”), cannot understand your unique situation and will not help you solve a complex legal issue unless you know it is legally significant.  More importantly, they cannot ensure that the documents are properly executed, witnessed, and notarized.  All of this means that you’ve saved a little bit of money now to create a lot of potentially costly problems for your loved ones later.

Ask yourself the following questions:

• How well do I understand my options for protecting my money, property, family, or business while I am alive, after my death, or in case I cannot afford to pay for long-term care?
• Do I have a complex financial situation with large amounts of property, income, or debt?
• Is my family structure one that requires specialized or more detailed planning (for example a blended or non-traditional family)?
• Am I undecided about my wishes (how to divide my money and property or what to include in an advance healthcare directive)?

Ease and Convenience versus Legal Expertise

Online estate planning programs that use artificial intelligence are designed to streamline or automate the process, making it more accessible and cost-effective for those on a tight budget. While they may provide convenience and accessibility, they provide limited guidance, and they do not offer the same level of customization, legal expertise, and personalization that an experienced estate planning attorney can provide.

Each program requires you to answer a series of questions in an attempt to tailor various legal documents, such as wills, trusts, advance directives, powers of attorney, and other estate planning documents, based on the information you provide. You may have trouble providing accurate and specific answers for several reasons:

• Legal knowledge. Crafting precise answers to estate planning questions requires familiarity with legal terms, their context, and how they should be structured in a legal document.
• Clear intentions. Vague or ambiguous answers can lead to inaccurate, incorrect, or inadequate documents for your situation.
• Complex legal requirements. Legal documents must adhere to specific formatting, contain specific language, and comply with legal requirements that vary by state and are not always straightforward.
• Legal consequences. Certain instructions or clauses within a document require predicting and avoiding potential legal issues; being unaware of the risks has adverse legal consequences.
• Omission and oversight. You may overlook critical details or legal considerations necessary to achieve your estate planning goals, resulting in incomplete or ineffective documents.

If you do not understand which estate planning strategies should be implemented to address your unique situation, how can you ensure that the software is creating the appropriate documents for your needs?

Errors That Make Online Documents Unenforceable

Estate planning attorneys help you avoid the following common mistakes that they almost find in documents prepared using online forms or software.  These errors can make the documents unenforceable, require a court to interpret them, or lead to fighting among your loved ones:

• Ambiguity in wording. Ambiguity can lead to disputes and legal battles among potential heirs.
• Improper use of legal terms. Misusing legal terms like property, beneficiary, or per stirpes can lead to confusion or incorrect interpretation of your intent.
• Incorrect names or identities. Misspelling the full name of a beneficiary or heir or using a previous name after a legal name change makes it challenging to identify the intended recipient.
• Inconsistent terminology. Using different terms to refer to the same asset (e.g., house, residence, property) may create confusion about what is being inherited.
• Improper witnessing and notarization. Failing to properly witness or notarize a will and other legal documents according to state laws can render them invalid and unenforceable.
• Lack of clarity in distribution. Vague instructions regarding who will receive your accounts and property or how they will receive them, such as “divide my estate fairly among my children,” may cause disputes if there is no clear definition of terms like fairly.
• Failure to address contingencies. Not accounting for contingencies, such as what to do if a beneficiary predeceases you, can leave money and property without designated recipients and subject it to the state’s “off the rack” rules which might not be what you want.
• Inadequate powers of attorney. Failing to grant adequate powers of attorney, such as financial or medical decision-making authority, creates complications in managing affairs during incapacity and with advance directives at the end of your life. This could require your loved ones to get a court involved, which is what the powers of attorney were meant to avoid.
• Conflicting instructions. Providing contradictory instructions within a single document or across several documents leads to uncertainty about your intentions.

There are many considerations and potential scenarios that should be included in your estate plan. Online legal programs cannot adequately address unique situations or additional estate planning details, exposing you to unnecessary risks.  An estate planning attorney can address the unique needs and goals of you and your family. They will educate you about your situation and allow you to make informed decisions.

If you are ready to create a legally enforceable, customized estate plan, give our office a call to schedule an appointment.  We’d be happy to help.