Why Estate Planning Should Matter to You

Estate planning is for everyone. Whether you’re a Manhattan professional, a retired New Yorker, or raising a family just outside the city, creating an estate plan is one of the most meaningful steps you can take for yourself and your loved ones. 

When someone passes away without a plan, the process of distributing their assets can become stressful, time-consuming, and expensive. Fortunately, with the right plan, you can provide clear guidance, reduce confusion, and honor your wishes. 

Below, we’ll explore why estate planning is essential, what’s involved, and how to get started. 

What Exactly Is an Estate Plan? 

An estate plan is a set of legal documents that outlines how you want your assets—everything you own—to be handled when you’re gone. Did you know this includes more than just your money? Your home, car, jewelry, retirement accounts, and even pets are part of your estate. 

The goal of an estate plan is straightforward: to ensure that your belongings are distributed according to your wishes and in the most efficient way possible. Without it, New York State law decides for you under strict intestacy rules. 

Do You Automatically Have an Estate Plan Without Creating One? 

Technically, yes—but it won’t reflect your intentions. When someone passes away intestate (without a will), New York law steps in to dictate how their assets are distributed. Typically, this means your heirs are decided by marriage or blood ties alone. 

For example, if you don’t have a will, a lifelong friend you value like family could be entirely left out, while estranged relatives might inherit instead. An estate plan brings clarity and control, allowing you to include friends, charities, or even set up trusts for your pets if you prefer. 

What Happens to Your Assets After You Pass? 

Your assets fall into two categories—probate assets and non-probate assets. Understanding the difference is critical for effective estate planning in New York. 

What Are Probate Assets? 

Probate assets are anything you own solely in your name. These might include real estate, savings accounts, or personal property like jewelry or artwork. These assets require court oversight (called probate) to be distributed after your death. 

What Are Non-Probate Assets? 

Non-probate assets bypass the court and go directly to beneficiaries upon your death. Examples of non-probate assets include life insurance policies, joint bank accounts, or retirement funds with designated beneficiaries. Properly identifying these assets can simplify the process for loved ones. 

Why Is Knowing the Value of Your Assets Important? 

Evaluating the value and title of your assets isn’t just about staying organized—it’s vital for understanding tax implications. 

Are Estates Taxed in New York? 

Yes, New York State taxes estates that exceed a certain value, and larger estates may also be subject to federal taxes. Proper planning can help you minimize these taxes so more of your legacy goes to your beneficiaries. 

Who Benefits Without an Estate Plan? 

Without an estate plan, unintended people could inherit your assets based on New York’s default laws. This might include estranged relatives or individuals you wouldn’t have chosen. 

Meanwhile, the people you care most about—such as close friends or a charity you want to support—might receive nothing. Estate planning ensures your legacy reflects your values, relationships, and priorities. 

How Can an Estate Plan Assist Your Family? 

Planning ahead provides peace of mind for everyone. Here’s how it helps your family specifically: 

• Reduces family disputes and confusion. 
• Simplifies the process of settling your estate. 
• Protects loved ones from unnecessary legal expenses. 

An estate plan is also an opportunity to appoint guardians for your children, outline healthcare wishes, or select someone to manage your finances if you become unable to. 

Can Pets Be Included in Your Estate Plan? 

Your furry friends are part of your family too. With a pet trust, you can ensure they are cared for after you’re gone—whether that means setting aside funds for veterinary care or designating a loving caregiver. 

What About Blended Families and Estate Planning? 

If you’re part of a blended family, estate planning becomes even more essential. By creating a clear plan, you can account for children from previous marriages and ensure they are not unintentionally excluded from your estate. 

Blended families in Manhattan often face unique dynamics, and having a plan in place helps avoid conflict and miscommunication between loved ones. 

Is Talking About Estate Planning Difficult? 

We get it—starting the conversation can feel overwhelming. But think of it this way: talking about estate planning is a way to protect your family and honor your wishes. Start small by discussing a specific aspect, like naming a guardian for children or clarifying property ownership. 

The earlier these discussions happen, the smoother the process will be. 

How Can You Start Creating an Estate Plan? 

Getting started may feel like a big step, but it’s easier than you think. Start with these basics: 

1. Create a Last Will and Testament – This is the foundation of your estate plan and ensures your assets go to the right people. 
2. Consider a Trust – Trusts can simplify and speed up asset distribution. They can help bypass the probate process with the court altogether or minimize the value of the estate passing through court. Plus, a Trust is a private document, unlike a Will, which is a public document available online to the general public. 
3. Name Beneficiaries – Check that your non-probate assets (like retirement accounts and insurance policies) have updated beneficiary designations. 
4. Plan for Healthcare and Finances – Include documents like a healthcare proxy and power of attorney to prepare for the unexpected. 

Is It Ever Too Early to Create an Estate Plan? 

Not at all. Life is unpredictable, and having an estate plan is one of the smartest ways to protect yourself and your loved ones, no matter your age or financial situation. 

Even if all you have is a small checking account or a rented apartment, an estate plan ensures the people you care about most are taken into account. And if you’re a parent to minor children, a will is absolutely essential. It lets you designate guardians for your children in case something happens to both biological parents, ensuring their care and future are secure.

The Final Step? Partner with the Law Offices of Vlad Portnoy 

Estate planning is about protecting your legacy, your loved ones, and your wishes. At the Law Offices of Vlad Portnoy, we’ll help you create a plan tailored to your unique needs. Whether it’s crafting a will, setting up a trust, or minimizing estate taxes, our approach is personalized to ensure your plan fits your life. 

Take the first step today. Contact the Law Offices of Vlad Portnoy to schedule a consultation and secure your future.