Estate Planning: Myths, Must-Knows, and Moves to Make in 2025
May 5, 2025When it comes to retirement, most people are focused on the obvious: income, investments, and taxes. But one of the most overlooked—and potentially costly—parts of a retirement strategy is estate planning. Without a clear, legally sound plan in place, your legacy could be left in the hands of courts, creditors, or even the wrong family member.
Let’s debunk a few common myths and outline some smart estate planning moves to make now—not later.
Myth #1: “I Have a Will, So I’m Covered.”
A will is important, but it doesn’t avoid probate. Probate is a public, expensive, and often drawn-out legal process. In Missouri, probate can take 6–18 months and eat up 4–10% of your estate’s value. A revocable living trust is a much more effective tool for most families.
Myth #2: “Estate Planning is Only for the Wealthy.”
Wrong. Estate planning is about control and clarity—not just wealth. Even modest estates need to be protected from unintended heirs, family conflict, or long-term care costs.
Critical Move: Check Your Beneficiary Designations
Your IRA, 401(k), life insurance, and annuities bypass your will and go directly to the named beneficiaries. If those forms are outdated, your ex-spouse—or no one—might receive the funds. This is one of the most common, and costly, estate planning mistakes.
Critical Move: Get Your Powers of Attorney in Place
If you become incapacitated and don’t have a financial or healthcare power of attorney, your family may be forced into court to manage your affairs. AARP reports that over 60% of Americans don’t have these basic documents—don’t be one of them.
Critical Move: Talk to Your Family
Estate plans fail when no one knows what they are. Communicate with your spouse, adult children, and your chosen executor. A short conversation now can prevent decades of discord later.
Want to dive deeper? Join me, Dr. Drew, for our free Estate Planning Seminar at St. Louis Community College – Wildwood on May 13 and May 15. We’ll discuss exactly how to protect your assets, avoid probate, and preserve your legacy. Head on over to Wisdom To Wealth Dot Com to register for the seminar.
🎧 And be sure to catch my latest Wisdom to Wealth podcast episode: “Estate Planning Myths and Musts: What Every Retiree Needs to Know.”
