Despite common misconceptions, I have found that women are the driving force in the conversations I have with families about estate plans. In our office, we often communicate primarily with the wife if our clients are married, or a daughter in the case of aging parents. While men actively participate in this work, it is consistently wives, mothers, and daughters who often handle their family’s legal affairs.
According to a recent survey, women have an equal say in major financial decisions in seventy-five percent of households. In homes where one partner is solely responsible for financial decisions, women outnumber men in that role by a four to three margin. This number is astonishing considering that women’s rights to vote, have a credit card, and own property are still relatively fresh in our history – these advances have all been made within the last 104 years!
A recent study by the New England Journal of Medicine suggests that the odds of needing long-term care at some period in life is roughly fifty percent. More than forty percent will spend more than six months in long-term care. When it comes to loved ones providing said long-term care in-home, women are most likely to be the caretakers. Women are three times more likely to cope with their mate’s illness or injury. According to an article from “Sharp Health News” women outlive men by 5 to 10 years and 85% of people who live to be 100 years old are women.
Because women are more likely to be the surviving spouse, it is crucial that they have basic documents in place to protect them and the estate they built with their partner. The documents most needed to cover these needs are a General Durable Power of Attorney, Health Care Durable Power of Attorney, Will, and Revocable Trust.
An all-too common story that plays out in our office goes as such: A wife comes in looking for help handling her husband’s affairs after he has suffered a serious medical condition such as a stroke, dementia, or heart attack. In these cases, the family often has no documents in place aside from a basic will and the husband has lost capacity, meaning he cannot make decisions for himself. Because the will is only applicable upon his death, the wife must undergo a lengthy and humiliating process known as Living Probate where her husband will be declared incompetent by a judge on public record.
The most heartbreaking part is this oes not have to be the case. When families put together a comprehensive plan that includes the basic four documents, we can assist the wives that come in needing to handle their partner’s affairs. They can manage their estate for themselves and their families without having their situation be made available to the public.
In addition to needing comprehensive plans that protect families when tragedy strikes, women are also more likely to reap the benefits of prudently invested portfolios. Because they live longer, it is imperative that the resources they have available to them in investments and retirement accounts last for the duration of their lifetime. When women are left out of the conversation about investments, they are set up to be taken advantage of by financial companies that are speculating and gambling with their money.
The woman, as survivor of the estate, is likely to suffer under the weight from a lack of planning or reap the rewards of security and harmony from smart planning. If you have a mother, sister, daughter, or friend that needs an estate plan, don’t wait to have that conversation. Encourage them to take the first step to protect their families and livelihoods.