Most of us spend a considerable amount of time and energy in our lives working for our families and accumulating wealth.

But unless you're careful, all of it will be going to waste.

That's why a well-crafted estate plan is so critical. It ensures that your hard-earned wealth (including intangible, non-financial assets) can pass intact to those you intend to be your beneficiaries, instead of being siphoned off to government processes and bureaucrats, or even being lost. We all dislike handing over our resources to those who don't have our best interests in mind.

A well-made estate plan guarantees that this will NEVER happen to your family.

"But Thomas, what happens if I don't create an estate plan? Doesn't the judicial system have easy steps in place for families?"

Yep, and it's called "probate" (Latin for "prove the will"), and it's an ugly process.

You see, "probate" guarantees government interference in how you transfer your estate (however large or small). Documents must be filed and approval must be received from a court to pay your bills, pay your spouse an allowance, and account for your property. Oh, and even worse--it all takes place in the public's view.

If you fail to plan your estate, not only do you lose the opportunity to protect your family from an impersonal, complex governmental process (that is a burden at best) but it's slapped across the public domain for all to see.

Then, of course... there's taxes. You think the government is incentivized to keep those low on your behalf? There's a variety of solutions for each family's particular situation, but the plain fact is that working without a plan is U-G-L-Y no matter how you slice it.

When it comes right down to it, planning is a gift for your family (the people you love most) because if you don't take care of things while you are living and able, they'll have a mess to clean up when you are gone.

Even more, if you have children, you want to establish the proper (legal) procedure for ensuring they're taken care of properly.

Author's Bio: 

A well-known financial educator, Thomas P. Marshall is President of Virginia Estate and Retirement Planning Advisors, Inc., an independent, fee-based financial planning and investment advisory firm. His expertise is helping retirees and those soon to retire avoid common, costly financial mistakes. Tom has advised over 800 retirees and pre-retirees, including past employees of the U.S. Government, Wyeth Pharmaceuticals, DuPont, CSX Corporation, Dominion Resources, Capital One Financial Corporation, and many others. He has been assisting investors for over 14 years.

Tom is the former Chief Investment Officer of Gradient Investments, where he pioneered the use of tactical asset allocation based on economic cycles. Tom has also served as investment manager at Hickory Venture Capital, a $200 million venture capital and private equity fund.

Tom earned his Master of Business Administration degree from Vanderbilt University and graduated with Distinction from the Virginia Military Institute where he was commissioned in the United States Army, Corps of Engineers. Tom is also a graduate of the Venture Capital Institute.

Tom has lectured widely on financial topics and is a former lecturer at Vanderbilt University. He is also the author of "Retirement Smarts: Plan Well, Retire Well," an easy to read retirement planning guide available on Amazon.com. Tom and his wife Cassie have two sons and live in Richmond.