When news outlets first published the details of David Bowie’s estate plan, it surprised many people that a man who was almost bankrupt in the 1970s left $135 million to his family and several close acquaintances. Not only is this an example of how careful planning and a few great business deals can reverse financial fortune, this story also demonstrates why an estate plan is important.
What can I learn from Bowie’s estate plan?
Bowie’s estate plan split his assets, with most going to his wife Iman, their daughter, and his older son. Bowie’s estate plan also included his longtime personal assistant and the nanny who cared for his son as a child. Through this well-structured estate plan, he ensured those he loved have the financial stability they need in his absence.
Bowie fought liver cancer for more than 18 months, so it appears Bowie believed his death was coming. This gave him time to evaluate and update his estate plan. Like Bowie, you can do what you can to avoid being caught off guard by starting now. No matter the health status, all adults should make estate planning a priority and update their plans regularly.
What are the benefits of estate planning?
While you may not have an estate worth several hundred million dollars, you—like Bowie—do not want to leave your families in a financial lurch or, worse yet, die without a will and leave your estate subject to state law. With a will and other estate planning tools, your assets will go toward your financial and philanthropic priorities even after your death.
It is a common misconception that estate planning is just about money. Estate planning also allows you to make a number of other important decisions to safeguard your family if you pass away. This includes:
- Assigning guardianship for children under age 18 and adult children with special needs
- Choosing a trusted executor to simplify the process of administering your estate
- Reducing the stress placed on your family after your death by preplanning your funeral
- Reducing the costs associated with transferring inherited property and inheritance taxes
How can Lovett & House Co., LPA help?
George Lovett from Lovett & House Co., LPA is a Board Certified Specialist in Ohio estate planning, trust, and probate law. Whether it is basic estate planning or setting up a special needs trust, we can help secure your family’s financial future. We have offices in Dayton, Springfield, and Tipp City. Call us today at 937-667-8805 to schedule an appointment.