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Welcome to The Keenan Roberts Advantage, where we discuss how families and business owners tactically grow and preserve wealth for generations to come. There's a right way and a wrong way to protect your business, grow wealth and transfer it. But most people only learn the hard way when it's too late. The advantage you get here is learning the strategies used by the wealthy, by top business owners, and by those who don't just make money, but know how to keep it. I'm here to break down these strategies in a way that's clear. actionable and most importantly something you can actually use.
I am not a CPA, attorney, or financial advisor. The information in this podcast is for educational and informational purposes only and should not be taken as legal, tax, or financial advice. Always do your own research and consult with a qualified professional before making any financial or legal decisions
How a Simple Will Could Cost Your Family Everything
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[00:00:00] Hello, friends and family. Welcome back to the Keenan Roberts Advantage, where we discuss how families and business owners tactically grow and preserve wealth for generations to come.
This episode is brought to you by Asset Smart, and today we're talking about a tough but important topic, how a will could cost your family everything. Yeah. I know most people think having a will means they've got their affairs in order, but that's only part of the story. And in this episode, I'll show you why will alone.
May leave your family exposed to delays, unnecessary costs, and public exposure, and what can you do to make sure your assets are actually protected? So let's get into it
[00:03:00]
Why . will alone. Is not enough. Well, first, and I discuss this quite often. Wills must go through probate, A will has to go through probate. and for those of you that don't know, probate is a court supervised legal process for the distribution of your assets after you're gone. And the thing about probate is that it can take at least six to 18 months and sometimes even longer. Did you know that the average probate in the United States is somewhere around 20 months long, yet only 2% of Americans actually believe that, meaning they have no idea how long it's gonna take.
And the unfortunate thing about this is that the costs alone are going to eat up at least five to 10% of the estate's value. I. Including [00:04:00] court fees, legal expenses, and executive fees. And yeah, we get it. When you go and you set up a trust or you do anything for your estate plan, I mean, you're, you're expecting to spend something, right?
But this is an unexpected expense that doesn't have to happen. The good news is, is that trust avoid probate entirely. It's gonna allow you for a faster. Private and less expensive distribution of those assets, and we'll talk about that throughout this episode. I wanna show you the will, right? And then I wanna show you the trust.
The truth is though, is relying simply on a will is just a bad idea. There's delays, there's expenses, and the lack of control involved in probate oftentimes will catch families off guard at the worst possible time. Using a trust to skip probate is not only [00:05:00] smart, but I can probably argue that it's compassionate. Another thing about wills is that they are public documents, right? , so if we go back to the probate process, it's a public process, which means your will and everything in your estate becomes public record.
Congratulations, you invited the entire world to spectate and participate in your private affairs when you went to go set up a will. And that opens the door for many different things like scams, neath, theft, disputes among family members, which is probably the worst of them. And so you wanna do something that is private when it comes to your estate plan.
And trusts are private, no court, no public record, no one outside your family needs to know your business. Letting the world see your personal business after you die. That's, that's [00:06:00] pretty wild. And in today's world, online databases, identity theft, ai, all sorts of things. Privacy is just the best protection, and that's what a trust will give you.
Okay. Wills offer no protection during incapacity. So if something were to happen to you, not just die, but what if something were to happen to you? Like an illness or an injury, right? A will only goes into effect after you pass away, so if you're injured or incapacitated, your assets are left unmanaged.
Unless of course you've set up a power of attorney or of course, a trust, right? With a trust, you can appoint a successor trustee to immediately take over the asset management if you're unable to. This is where relying only on a will gets dangerous because incapacity is more common than we think.
And if no one's able to manage those assets while you're [00:07:00] alive but unable, your entire financial life is put on pause. And so you wanna make sure you have a backup plan. Wills also provide minimal control over how and when your assets are used,
a will simply distributes those assets outright. It doesn't let you control how or when beneficiaries will receive them, well, with the trust, you can set those conditions. Like milestones, requirements, time distributions, however you want it set up, it should all be written there in the trust documents.
For example, giving an 18-year-old a lump sum inheritance is probably a terrible idea. And so you wanna make sure that they don't blow it, and instead use wisdom with it. And you can guide that from beyond the grave through the trust. wills are. Easier to contest in court, of course, than a trust would be, and I'm not gonna make this out to seem like [00:08:00] this happens often, actually doesn't happen very often, but , a disgruntled family member can challenge your will a lot more easily than they can contest with a trust.
A trust is able to reduce the risk of family disputes because keeping the process smoother is far less stressful for. Your loved ones or your heirs. Family, drama and money are two things that just don't mix. And if you want peace, a trust is a good idea.
If you love your family and you want to leave them clarity and not chaos, \ , the best way to do that is to set up a properly structured trust. So let's get into that then. How do they fill in all these gaps that we just talked about?
First off, avoiding probate trust. Just eliminate probate in general so your family doesn't have to get tied up in court for months or even years. It doesn't matter if it's revocable or irrevocable, it's gonna keep you out of probate.
Of course, whenever you hear me talking [00:09:00] about trust, it's the irrevocable that I believe is the most advantageous for optimal control, I would imagine that you'd prefer to keep your financial life confidential and not in public documents, or you don't have any court dates or unnecessary exposure with the trust.
Total no-brainer. In an age where data leaks and online scams are common. You wanna make sure you protect your private matters.
So what happens if you do get injured? Well, a trust is gonna activate the moment it's created, which is while you're alive, and it gives someone you trust the legal ability to manage those assets if needed. Whether that's a success or trustee or another trustee that's listed on that trust.
. Irrevocable trust can reduce estate taxes and shield those assets from creditors altogether, and [00:10:00] these are protections that. A will simply cannot offer. So if you're running a business, you're investing in real estate, or simply building wealth, this is not optional.
It's strategic warfare. You wanna make sure that you can use every tool available to defend what you've earned, , your life's work
a trust lets you design your plan your way. Every parent should want this type of control, should have this type of control. This isn't being overbearing, it's just being wise and a trust lets you leave money with purpose and not just a payout. Serious question. Are you ready to take control of your time, your income, and your future? If you've ever wanted to own your own business, write your own schedule, and earn while you learn the ultimate secrets of the wealthy, this is your choice. I [00:11:00] work with a team of experts who help business minded people, just like you, build something real.
If you're tired of waiting for opportunities and you're ready to create your own, let's talk. Send me a text message. of the word Mentee, to 50750asset. That's 5075027738 to get connected and start building your advantage today. Again, that's text Mentee to 50750asset now and we'll get you started on a real path to financial control..
I wanna go back to probate for a second 'cause there's still some misunderstandings. . 56% of Americans underestimate probate costs. Many actually believe that it costs under $1,000. In reality, it often costs thousands, sometimes tens of thousands, especially when contested.
That gap in misunderstanding is what [00:12:00] hurts families the most. Probate is expensive when unexpected . Most people think they're doing the right thing by having a will. Without a trust, they're just leaving the door wide open for drama delays, unnecessary cost, and all the above.
Wills are important, but they aren't the only part of the story. If you want to make sure your assets transfer smoothly, privately and on your terms. You want to consider adding a trust to your estate plan. It's one of the smartest moves that you can make for your family in history. You're listening to the Keenan Roberts Advantage.
I look forward to seeing you on the next episode.