Nearly Half of Older Americans Don't Have Wills or Estate Plans

Nearly half of Americans over 55 years old lack a will, according to a new study by Merrill Lynch and Age Wave. The findings come as no surprise to financial planners, who say it is not necessarily about cost as much as not wanting to deal with an uncomfortable subject, reports TheStreet.com . Many people do not fully understand all the implications of dying without a will in place, planners say. A worst-case scenario can happen if someone starts the process of drafting a will and estate documents, typically with a lawyer, and then never finishes the process by signing the documents, noted Eric Walters, president and founder of SilverCrest Wealth Planning in the Denver area. If the person dies, the documents will be invalid, throwing the entire estate into court for the probate system to sort out, which could take months or years. Making clients aware of the importance of having a will and some basic estate planning documents in place is one thing. Getting them to stop procrastinating and take action is another, planners say. Sean Williams, wealth advisor at Sojourn Wealth Advisory in Baltimore, asks new clients if they have a will in place. If they don't, then it becomes an action item. "When we do a financial plan review, we revisit it," said Williams, a CFP. "I think the accountability can be helpful."