In today's world, everyone is always on the hunt for a good bargain. Whether it's a slashed price on a fancy gadget, a half-priced designer handbag, or even a $4.99 rotisserie chicken, the lure of a deal is difficult to resist. But as with most things in life, you often get what you pay for. Sometimes, that price is much higher than you could've imagined. Just as Costco's seemingly inexpensive chickens have a hidden cost, so too do those cheap wills offered by some attorneys. Let's dive deeper.
The "Costco Chicken" Phenomenon
In an aggressive bid to draw customers, Costco, in 2019, took the unusual step of opening a $450 million poultry processing plant in Nebraska. Their mission? To churn out millions of those $4.99 Kirkland Signature rotisserie chickens. For over a decade, the giant retailer used these chickens as loss leaders, selling them at prices lower than most competitors, including your local grocery stores. In fact, they sold a staggering 106 million of these birds in a single year.
However, a lawsuit has surfaced, challenging the integrity behind this bargain. The allegation? That Costco and its executives have violated animal welfare laws, subsequently breaking their fiduciary duties. This lawsuit sheds light on the extreme measures taken by the company to maintain the price point of this pivotal product, suggesting cruel and unethical treatment of the birds.
The Hidden Cost of Bargains
It's easy to be lured by the charm of a good deal. In Costco's case, their loss-leading rotisserie chickens were successful in drawing countless consumers to their stores. But now, as more consumers learn about the allegations surrounding the treatment of these chickens, the retailer's reputation may be on the line. The very thing that drew customers in could potentially drive them away.
This scenario is a classic example of a 'loss leader' in marketing – offering a product or service at a lower price to get consumers through the door, with the hopes that they will spend more on other items.
The Link to Estate Planning and the Dirty Little Secret of Probate
So, how does this relate to estate planning? The truth is, there are attorneys who offer wills and basic estate planning documents at seemingly unbelievable prices. On the surface, it appears to be a great deal, much like Costco's chicken. However, just as there's a hidden cost to those chickens, there might be unforeseen consequences lurking behind that cheap will.
In order for the terms of your will to be carried out, the will must be validated through a court process known as “Probate”. On average this court process can take a year or more, it is open to the public, and the government’s fees and any attorney and/or executor fees that are paid out of your loved ones’ inheritance can be substantial. To estimate what those fees could cost your family, multiply your net worth by 3 ½ percent – that’s about what Maryland law allows to be paid to them from your estate. In essence, while you may spend a very modest amount for a will up front, and you feel confident that you’ve planned for your demise, your family could end up paying thousands, even tens of thousands, in probate costs down the line.
Conclusion: Value Over Price
Costco's chicken situation serves as a powerful reminder that sometimes what seems like a great deal on the surface might have hidden costs. As consumers, we must look beyond the price tag and consider the value and the ethics behind our purchases.
When it comes to estate planning, the stakes are even higher. It's not just about money; it's about ensuring that your last wishes are honored and that your loved ones are protected without sending them through a long, expensive, public court process just to receive their inheritance. Choosing an estate plan based solely on a low price might seem tempting, but remember the potential consequences.
As the saying goes, "If it seems too good to be true, it probably is." Whether you're buying a chicken or drafting a will, it's essential to prioritize value and integrity over mere cost. Your future, and that of your family, might just depend on it.
If you were surprised to learn that a will must go through Probate there may be more things you don’t know about Estate Planning. To learn the 3 Steps to plan and protect your Estate visit https://www.stoufferlegal.com/steps-to-estate-planning-in-baltimore-maryland-stouffer-legal
Photo credit: CNN
