Multi-Millionaire Fails To Do Estate Planning Before Dying
June 11, 2014
Roman Blum was a multi-millionaire who had accumulated his fortune mostly through real estate investments and transactions. Blum, who recently died at the age of 97, left behind a $40 million estate. However, Blum made the mistake that many in Florida and elsewhere are making. He failed to do any estate planning, which may result in the state government taking most of his fortune.
The multi-millionaire did not leave behind any will or any other estate planning documents, which are usually used to instruct loved ones on how a person wishes his or her estate to be administered. This means that Blum did not specify any heirs. Currently, his estate has not yet been settled. However, because he did not have an estate plan in place, his estate will now be subject to state laws for distributing his assets, rather than Blum having had a say in what happens to his fortune.
Also, since medical technology and advancements have increased life expectancy for humans, it is now even more important to have an estate plan that includes instructions on what to do in the case of incapacitation before death. A health care power-of-attorney document is designed to provide instructions for a chosen person or entity to make health care decisions during incapacitation. Additionally, a financial power-of-attorney names a specific person or entity to make financial decisions when a person is incapacitated and cannot make those decisions.
However, it is important to keep an eye on the latest changes in estate planning laws in Florida and elsewhere. These can significantly alter one’s ideal estate planning strategies. Additionally, important life changes, such as remarriage or the birth of a child, should be taken into consideration when regularly updating one’s estate plan.