Talking to your parents about setting up an estate plan can be difficult. It is easy to assume that since our parents are older, they have already thought about and set up an estate plan.
However, many elderly individuals do not have a will or estate plan set up for various reasons. They may believe they do not own enough to justify having one or simply not want to think about passing away and leaving their loved ones behind.
Why time is of the essence
Whatever the reasons, it is important to talk with your parents about the importance of an estate plan, and the sooner the better. The conversation needs to occur when your parents are still mentally sound enough to clearly communicate their wishes and provide you with the financial information necessary to set up an estate plan.
Having the conversation now also benefits you. If you are planning for retirement, your retirement plans could be disrupted if you find yourself suddenly needing to take care of a sick parent. An estate plan that includes a long-term care plan could help prevent this.
When and how to have the talk
Since this is a tough and sensitive conversation to have, finding the right time to talk about estate planning is key. Do not do it in the middle of another stressful situation or life-changing event.
Have the conversation in a comfortable environment, such as your parents’ home. Do it at a time when they are likely to be up for listening and considering what you are saying.
For example, if your parents are morning people, do not have the conversation after dinner. If they enjoy having afternoon coffee or tea, perhaps that might be the right time.
Expect to have more than one conversation
You likely cannot cover all estate planning topics at once.
It could help to focus each conversation on a specific topic. One may involve learning where their important financial documents are located.
The next might involve drafting a will and choosing an executor, while future conversations could involve discussions about more complex topics, such as setting up a trust or power of attorney.