Taxation & Estate Planning

Wall Street Journal on Will/Trust Programs

By Joel A. Schoenmeyer

People often ask me things like, "Can't I do my Will on my own, using a computer program? Isn't it just a form?"

The answer to the second part of that is easy -- not, it's not just a form. As for the answer to the first part, I don't know. There's no reason for me to spend money buying one of these programs just so I can review it.

Today's Wall Street Journal features a comparison of a few Will/Trust computer programs (here), as part of its "Cranky Consumer" series. The biggest program with the article is that it leaves out the most important question: did the documents accomplish what they were supposed to? By "supposed to," I mean "do the documents leave property to desired beneficiaries in the most efficient manner, with no ambiguities and the fewest tax consequences, and are documents valid under the relevant state law." And yet the article completely ignores this -- here's how it ends:

Each site purports to yield documents that clearly outline our intentions in the event of our demise or death, although we didn't hire a lawyer to review them. We're hoping that we?and our heirs?won't have to worry about it any time soon.

There you go -- the author has spent $X on these programs, and has no idea whether they do what she wants them to do.

Full post as published by Death and Taxes Blog on November 12, 2009 (boomark / email).