Like most people, you may not want to talk about your financial situation with your children. When working on an estate plan, most older adults do not want to discuss the ins and outs with adult kids. However, when keeping quiet about your estate plan could result in more trouble than it is worth.
According to U.S. News, not speaking with your children in advance could leave a major impact on your legacy.
Talking ensures your money transfers how you want it to
Some people create an estate plan but never discuss their wishes with their children. In fact, some parents name one of the adult kids a trustee or executor but do not tell them ahead of time. Your children need to understand their roles in the estate plan. The more that your children understand your financial situation, your accounts, and your debts, the more likely they are to handle your estate after you pass.
Talking provides comfort to your kids
When you talk with your kids about your estate plan, you can connect with them. What you leave behind will connect you to your kids for the rest of their lives and perhaps the lives of their children. When you discuss the estate plan, your children will understand why you decided to leave certain assets to different kids. For instance, you may leave your children money in hopes that they purchase their first home. If you let them know this, they are more likely to use the money to honor your wishes.
When it comes to your estate plan, you need to be open with your children. It helps with the legality of the estate plan and the emotional aspects.