Banking on KC – Suzy Hall of Country Club Trust Company
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Kelly Scanlon:
Welcome to Banking on KC. I'm your host, Kelly Scanlon. Thank you for joining us. Occasionally, we introduce you to resources and thought leaders at Country Club Bank to share tips about managing your professional and your personal finances. So with us on this episode is Suzy Hall, the president of Country Club Trust Company. She's here to talk with us about the importance of estate planning as we recognize National Estate Planning Awareness Month in October. Welcome, Suzy.
Suzy Hall:
Thank you, Kelly. I'm excited to be here.
Kelly Scanlon:
Some people might think that maybe they don't have enough wealth to consider estate planning, or maybe they think that they're too young still, or, "It just confuses me, it's too complicated. I'll think about it another day." and then never get around to it. So, with that in mind, why is it that everyone really should do estate planning?
Suzy Hall:
I always like to start with just the simple concept that estate planning is a gift that you give your family. There's all those reasons that you just mentioned why you should do estate planning, but really, when you sit down and think about the work that you put into this now, it's a great gift to give your family when you finally leave this earth. And there's a lot of emotions that the family will be dealing with at that time, and any work you can put in today, whether you're young, old, have changes in life, or anything like that, anything that you put in today is really a great gift to give your family so that they can then grieve and not have to worry about the details and try to guess about what you wanted to do or what you wanted to have happen.
Kelly Scanlon:
Exactly. And what you're saying there at the end is so very true. It makes sure that your wishes get carried out too and that people aren't just wondering how should things be distributed.
Suzy Hall:
Exactly. Exactly. It just takes away the questions, and then it gives the family and the people who care about you a plan to work through after you're gone.
Kelly Scanlon:
Okay. Talking about that plan, what all does it involve?
Suzy Hall:
Estate planning really involves you taking a step back and looking at your entire situation. You look at your financial situation, you look at your medical situation and what you would like to happen. You look at your family dynamics, and you put together a plan in relation to what you want to happen if you become incapacitated or if you pass away.
Kelly Scanlon:
Can you dive deeper into some of those different aspects that you just mentioned?
Suzy Hall:
When you're doing the estate planning, really the first thing you need to do is start the conversation with your family and your estate planning attorney and really think through what do you want to happen with your financial assets. And so that includes not only any money or any investments that you have, but also thinking through your home, your personal property, those types of things. And I've said this before, but sometimes those personal property conversations can be almost the most important, because those are the things that hold the emotional meaning for the family members. But then you'll also want to think through the medical, you'll work through and do a healthcare power of attorney and those types of things. And you'll want to think through really what your wishes are for some of those specific instances that might happen and what you want to do. And those are all things that your estate planning attorney will walk through with you to make those decisions as they put together your plan.
Kelly Scanlon:
And so you really should engage a professional. You mentioned estate planning attorney, so you really should engage a professional. This is not something you really should attempt to do on your own.
Suzy Hall:
I wholeheartedly, firmly believe you need to engage your estate planning professional, your estate planning attorney, but then you also need to think about those other advisors in your life, as far as your bankers, your investment advisors. Think about some of the clients who have more complicated medical situations. You might want to have conversations with your doctors about what are some of their thoughts or recommendations, just at a very high level. It's ultimately your decision. But I would definitely suggest not really trying to attempt to go at this on your own, primarily for that reason that I talked about at the beginning, that this is a gift to your family, and you want this to be set up the way it should be so that your family doesn't have to work through any difficulties at the end.
Kelly Scanlon:
So again, going back to what we talked about very briefly at the beginning, some people might think that they don't have enough wealth or that they're too young and different things like that. So they don't plan, they just don't do it for whatever reason. What are some of the consequences if you don't plan? What happens? What is the likelihood of your wishes being carried out?
Suzy Hall:
Well, if you don't plan, the state has a plan for your assets and the laws and everything that goes around that are set up to really probably more than likely flow as you would expect it to, as far as to your nearest and dearest relatives and then on. But it really goes according to law. And so it takes all control out if there's something different than you want under state law, the piece of the planning is it lets you control what you want.
Kelly Scanlon:
And I assume if you have a plan in place, you don't have to go through probate, which is what I assume you're talking about with the law, right?
Suzy Hall:
Yes. But even with good planning, probate could be a part of it. And so there's sort of a concept out there that, "Oh, you want to avoid probate?" Well, in some situations, going through probate is exactly what needs to happen, and it's not necessarily a terrible thing. But if you have your will, you'll then work with your estate planning attorney to determine if there needs to be a trust created. Trusts aren't for everyone; they're a tool; they're a very useful tool, but not everybody needs a trust. So that's really where that advice on using your team of accountants and CPAs and all of that, they can advise you on the right documents that you do need in your complete estate plan.
Kelly Scanlon:
Talk to us a little bit about some of the common misconceptions about estate planning.
Suzy Hall:
Well, and I think you touched upon them a little bit earlier, but that it's only for the wealthy, that one size fits all as far as... Estate plans are genuinely tailored to your specific circumstance. There's also a misconception that they're expensive. Well, this goes back to my earlier point about the gift that you give your family. There is a cost to get your estate plan and to have it done well, but it's an investment that you make for the future and really the future of your family to get everything set up.
So often people will say, "Well, I don't want to go do that because of the expense that's associated with it," but it's really worthwhile to make that investment now to help with the decision-making that might come at a point where you can't make those decisions and things like that. And then also, a common one that we, a lot of times, hear is that, "While I don't really need to put too much thought into this, my kids know what to do with assets or my family understands what I want." Truly, I think the more communication you can have and then truly going through this planning process, it only helps the family because no matter how much you think they might understand your wishes and your wants, it's good to have those documents in place.
Kelly Scanlon:
So, for those who haven't started the process yet, what are the first steps in creating an estate plan? Walk us through it, like if I had an appointment with you, Suzy, and I was just saying, "I'm interested in getting things in order and getting it done ahead of time," what would you tell me?
Suzy Hall:
Well, I would tell you first to sort of sit down and kind of think through what are your assets as far as thinking through what are your financial assets, and then what are your personal assets? And then I would tell you to start putting your team together for creating your estate plan. And that is something that we at Country Club Trust Company always talk with our clients about choosing their estate planner. It's not a one-size-fit-all experience as far as going and interviewing the different attorneys, asking the questions that you have, bringing your information to them, because this person will likely be a partner to you through the years forward.
Sometimes it's important for families to think about choosing an estate planning attorney that might work well with them, but also think through, "Would this person work well with my children or the other people who will actually be working with the attorney at that time?" And so the first step is getting an idea of all of your assets, which you probably have, and then it's finding the right partners to help. And even the conversations with your bankers and your accountants, they can have recommendations to help point you in the right direction.
Kelly Scanlon:
I'm sitting down with you, Suzy. I'm at Country Club Trust Company, and you're telling me everything you just told me from that conversation until the process is completed. I realize it's an ongoing thing, but that first part, how long does that take?
Suzy Hall:
It depends. Which I know you love those answers, but it really depends on the complexity of your estate plan and what you're putting together. A lot of situations, plans can be put together very quickly, but sometimes that's because of the situation that the family is in, and they haven't done any planning, and there's an urgency due to a medical issue or something like that. Really, the key to this too is seeing the plan through, because sometimes you have your initial motivation to meet with the state planning attorney to get the process started. We see this occasionally where you get the drafts of the documents, but then life starts happening, and you think, "Oh, I never got around to actually signing the documents." And so, really I recommend to clients, is once you commit to do it, really commit to seeing it through, which might be six weeks, a month; it just depends really on the partners that you're working with and what you're putting together that way.
Kelly Scanlon:
Yeah. So everything I hear you saying is that you can get the initial plan completed, but you still have to monitor it.
Suzy Hall:
Yes.
Kelly Scanlon:
It's an ongoing situation, your life changes and so forth. Talk to us about some of those kinds of changes.
Suzy Hall:
I really think, at a very basic level, your estate plan becomes part of your living and breathing life. And so, the way I look at it as far as if you have major changes in family circumstances, marriages, divorce, births of children, changes if you move, if you have a change in a job, you should think about, "Okay, we're in a different state. I probably should reach out to a local attorney and have them look at my estate plans to make sure that what I have put together in Missouri is applicable in Kansas," something like that.
And then also, I recommend every two to three years; even if you haven't had those major life changes, it's worth a review. And sometimes it's just a call to your attorney to check in to make sure that there's been no major changes in the law or anything like that that would at all alter the current estate plan that you've got. You also need to consider things such as if you have a child with special needs or if you have a large estate; there's definitely tax planning that can be put together to help in that regard. If you're a business owner, really, it's a more complex planning that needs to go into that. And so those are all things that you would want to consider as you do your planning.
Kelly Scanlon:
Yeah, and I know that some people set up charitable giving.
Suzy Hall:
Right. Charitable giving is a huge motivator too often in the estate planning process. And that's something too, that most estate planners do a very good job of bringing that up with their clients. But definitely, as you're sitting down and planning to go meet with your estate planner, to think through some of what charities are important to you, how would you like to support them if you support them within your plan, and be prepared to answer those questions.
Kelly Scanlon:
Yeah. Something else that I've been seeing more and more about is starting to get some traction is digital estate planning. So what does that involve, and why is that important?
Suzy Hall:
Well, as you said, it only continues to grow, right? As our digital lives continue to grow each and every day. And so that is specific planning around your social media accounts, your online store accounts, your photos, your videos that are all out there online. And so that is definitely something that's really evolving every day. And it's something, as we were talking about, monitoring your estate plan, and really kind of it's part of your life now, thinking through that because that is something that will be ever evolving, and you'll definitely want to have a continued conversation with your estate planner about that to make sure that they are doing what they need to within your plan to manage all of your digital life, which is growing day by day.
Kelly Scanlon:
Well, and as you talk about that, it strikes me that it's really not just your social media accounts. You have online subscriptions, and a lot of times they renew automatically after-
Suzy Hall:
Exactly.
Kelly Scanlon:
-A year if you don't give them notice.
Suzy Hall:
Yes.
Kelly Scanlon:
So those just keep piling up, and...
Suzy Hall:
There's always those simple instructions out there. But if you think about how many different passwords do you have for every one of these different accounts, and then, with the increased security where you're having to change and create new passwords, and so really, it's a management thing, but as much as you could and work through keeping track of your digital life, that's also a gift you can give to your family.
Kelly Scanlon:
Oh, yeah. Absolutely.
Suzy Hall:
In the future.
Kelly Scanlon:
So finally, as we leave here today, what is the single most important thought that you'd like to leave with our listeners about estate planning?
Suzy Hall:
So it's funny because you asked for single most, but I have two words. One is action, and two is communication. Just do it. You have to make sure, if you're 18, and you've just graduated high school and you're getting ready to go to college, you should think through. And parents, you should think through getting a power of attorney, a healthcare and a financial for your child as they go away, because they get to the age of adult. They need those documents and probably a simple will, but those are things that you should talk to your estate planning attorney about.
Action; do it no matter what circumstance you have. If you have brand-new babies, you'll want to make sure that you've got the guardians for your children. That's a huge thing. Life is busy, but this is an important part that you need to really think about at no matter what age or stage of life you are in. And then communication. Every family handles this differently, but the more communication that you can have with your family members about what you are planning and why you are doing it, it's a piece of that gift that you can give to the family. Because so often, which we see from the trust side, that after that important family member has passed away, if the family isn't totally aware and does not understand why dad did this or why mom did this, sometimes there's that really kind of lasting hurt that didn't have to be there.
Kelly Scanlon:
In the midst of all the grief, they find out something unexpected like that.
Suzy Hall:
Right, right. And so action and communication, I think, are really, it's my one piece of advice. That's two parts.
Kelly Scanlon:
Well, it's very good advice. So on that note, if anyone would like to talk with you further, because I know we just hit the high levels today and there's a lot more detail involved. So, if anyone would like to further this discussion, how would they do that? How would they get in touch with you or your team?
Suzy Hall:
Well, any of our team members are happy to talk to anybody. Again, we at the trust company are a corporate trustee, so we work with clients once they've completed their planning, but we are more than happy to have the high-level discussions and then also work with their attorney and their team that they've got around them to put their plans into place. So a simple phone call. We're happy to answer any questions, and then also we're happy to work with the team that anybody has around them to carry out their wishes.
Kelly Scanlon:
And they can find out the contact information at your website.
Suzy Hall:
Yes, countryclubtrust.com
Kelly Scanlon:
Suzy, thank you so much for joining us today and talking with us about this really important topic during National Estate Planning Awareness Month.
Suzy Hall:
Nothing more exciting. Thanks.
Joe Close:
This is Joe Close, president of Country Club Bank. Thank you to Suzy Hall for being our guest on this episode of Banking on KC to share valuable insights on the importance of estate planning. As Suzy noted, estate planning is a generous gift to your family, ensuring they are taken care of and your wishes are respected. Remember, estate planning isn't just for the wealthy. It's something everyone should consider, regardless of age or wealth. At Country Club Bank, we're happy to guide you through the estate planning process with expertise and care. Our team of advisors is willing to work with you to discuss how you can create a plan that secures your legacy and honors your life's values. Thanks for tuning in this week. We're banking on new Kansas City Country Club Bank, member FDIC.
The opinions and views expressed in this podcast are those of the speaker and do not necessarily reflect those of Country Club Bank, or CCB, or any affiliate thereof, unless otherwise indicated, all information provided is effective as of their courting date. All information provided is subject to change.
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