When people ask me about my area of legal practice, I often mention estate planning. A common response I get is, “So, you focus on real estate law?” While estate planning does involve some aspects of real estate, it is not primarily about real estate. It’s understandable that there are misconceptions about estate planning. Given the low level of personal financial planning awareness in this country, it's not surprising that understanding of estate planning is even lower. Many Filipinos lack a personal financial plan or even a basic retirement plan, so it's expected that most don’t have a comprehensive estate plan. An estate plan is simply a plan for how an estate owner's assets will be handled after they pass away. It considers several factors, such as the owner’s goals, payment of estate taxes, and proper distribution to heirs according to the owner's wishes and legal requirements. Lack of estate planning can lead to several problems: strained family relations, reduced estate … [Read more...]