Despite their priorities, nearly half of Americans over 55 still dont have a will

Despite their priorities, nearly half of Americans over 55 still dont have a willDespite their priorities, nearly half of Americans over 55 still dont have a willLast week, Merrill Lynch and Age Wave published findings from their new study Leaving a Legacy A Lasting Gift to Loved Ones. The study explores the importance of leaving a legacy to loved ones after death. I spoke to Kevin Hindman, Managing Director and National Trust Executive at Merrill Lynch, about the findings of the study and what readers should take away from it.Nearly Half of Americans Over 55 Do Not Have a WillThe major takeaway is that nearly half of those over 55 have elend yet created a will. To make matters worse, only 18 percent of people in that age range have all of the recommended legacy plan essentials a will, a health care directive, and durable power of attorney.When people think about estate planning, they probably mainly think about the need for a will. However, that is not the only important piece. A he alth care directive and durable power of attorney are necessary in case you get sick or injured and are unable to make decisions for yourself. Having these in distribution policy ensures that you will have an advocate and your wishes will be followed.Follow Ladders on FlipboardFollow Ladders magazines on Flipboard covering Happiness, Productivity, Job Satisfaction, Neuroscience, and moraThey Believe They Should Have Their Affairs In Order By 50Despite the above finding, there is a widely held belief that one should have their affairs in order by age 50. The disconnect was particularly striking, said Hindman. Perhaps it is because most people want to be remembered for more than just the money they may be leaving behind. In fact, 69 percent say they most want to be remembered for memories shared with their loved ones. Hindman had more thoughts about the reasoning, which is discussed more below.They Feel More Comfortable Talking About DeathDeath has traditionally been a taboo topic tha t people try to avoid. However, according to this study, 90 percent of people are open to discussing end-of-life options with family and friends. This is an important and encouraging trend. However, the conversations need to be followed up by action.They Worry They Wont Have AdvocatesForty-three percent of respondents over 55 are worried that they lack an advocate to look out for their best interests toward the end of their life. During this time, priorities include deciding where you want to live, how you will be supported personally and financially, and what medical treatments you may or may not want. Americans say they want to remain in control of those matters late in life. This is especially important for women who, due to their higher life expectancies, are far more likely to outlive their spouses or partners. Having a health care directive and durable power of attorney will ensure that your wishes are known and followed.Protecting Loved Ones Is A PriorityPeople say they want to avoid becoming a burden or causing financial hardships for their loved ones. In fact, they say that this is their number one objective. However, more than half admit that their lack of effective end-of-life planning could leave long-lasting problems, confusion, and emotional turmoil for their families.Whats Holding People Back?Since there is such a disconnect between feelings and actions, I asked Hindman what is holding people back from being prepared. People dont know where to abflug, he said. They dont know the basics about what they need and how to prepare the necessary documents. When you dont know where to start, its hard to start at all. Its easy to put it off and then never get to it until its too late.It is also the case that most people do not experience the aftermath of estate planning, or lack thereof, until their own parents or other close family members die. It doesnt feel like something that needs to be addressed until it influences people personally, and this exper ience is happening later and later in life as life expectancies rise.Why Is This Important?A legacy is one of the best gifts we can give to those we love, says Hindman. If you die without your affairs in order, you put your loved ones in a time-consuming, expensive, stressful process while they are already in mourning. It is an additional burden that they have to worry about. Without a clear estate plan in place, assets get sent to probate and a court decides how to divide them up. So not only does it take a long time to be sorted out, but your loved ones wont know what you really hoped to do with those assets. Planning ahead will protect your loved ones from this additional stress.But its not just the benefit to your loved ones, it also benefits you to plan ahead. Those who do have the three legacy essentials in place feel far more in control over their end-of-life affairs and are far more confident that their family could advocate for their needs. Those who dont say that it keeps them up at night. If you have a clear directive in place, you can rest assured that your wishes will be carried out if you were to get sick or injured.What Should People Do to Get Started?Hindmans main piece of advice here is to just get started. Its more important to actually take the action and modify as appropriate, instead of waiting until the perfect time. The truth is, there will never be a perfect time to plan for death, so its better to start early and just make changes later. Otherwise, you might keep putting it off until its too late. How can you do that?Talk to Family and FriendsHindman said that talking to peers is a helpful place to start. As Ive written before, its always important to talk about financial matters with friends so that you feel less alone and confused. It will be especially helpful if you talk to people who have lost parents and dealt with their estate afterward. They may even be able to refer you to a financial advisor or lawyer to start the process.Wor k with a Financial AdvisorThe next step is to meet with a financial advisor. An advisor can provide you with a reality check on the cost of long-term care, which most people underestimate or incorrectly assume will be covered by Medicare. An advisor could also offer some perspective on legacy planning as a whole, including ways a trust or life insurance can help you minimize taxes and manage assets for your loved ones.Ask the Right QuestionsOnce you have spoken to your friends and family and met with a financial advisor, then you should talk to a lawyer. Find out what the estate laws are in your state of residence. Find out which steps youll need to take to complete the process. Once you feel comfortable that you understand the process, the lawyer can begin to create the planning documents for you.The most important takeaway is that there is never a perfect time to take care of estate planning. It will never be an exciting activity to complete since its pretty morbid. However, youll feel much better once its done, and your loved ones will benefit more than you can imagine. So start having those conversations and taking the necessary steps. Dont put it off any longerThis article originally appeared on Maggie Germano.You might also enjoyNew neuroscience reveals 4 rituals that will make you happyStrangers know your social class in the first seven words you say, study finds10 lessons from jngste im bunde Franklins daily schedule that will double your productivityThe worst mistakes you can make in an interview, according to 12 CEOs10 habits of mentally strong people