5 Estate Planning Tips For Young Adults Under 30

Posted on: 4 February 2016


If you think it's too early to begin planning for your future in your 20s, you are wrong. In reality, the sooner you begin planning your wills and estate, the more prepared you will be as life events happen. Still, it makes sense that you want to simplify the process. Here are a few ways you can do that:

1. Just start.

Oftentimes, the hardest part of the process is just getting started. No matter how much money you are making each year, it pays to put some money away for the future. It also makes sense to create an estate plan, even if you do not have many assets at the moment. It does not matter what you have or what you owe; you still need a plan.

2. Make your wishes known to family members and friends.

You should never jump into the planning process without first deciding what you want and what your family needs. Easy transitions come when family members are aware of these things. This also prevents inter-family bickering about different interpretations of your will and estate plan.

3. Know what you need.

The most basic components of a plan include life insurance, power of attorney, living will, and will. Of course, you may opt out of some of these elements if you don't think they are necessary at this time, but it is important to remember that you just don't know if or when something could change your entire world. The earlier you decide to invest in life insurance, the more affordable it will be.

4. Designate a trustee you can count on.

The trustee, sometimes called the durable power of attorney, is the person in charge of distributing your assets. Additionally, your trustee may be in charge of getting into your financial accounts and selling property you own. In some cases, an estate planning professional is the best person to step in and handle this job.

5. Update your plan regularly.

Just as you need to implement a plan, you also need to update it. This is especially important when you are young and you reach different milestones at work or in your personal life. You need to update documents about every five years, especially as laws change. If your salary changes, you buy new property, or you decide to have children, you definitely want to make sure your estate plan is up to date.

It's never too early to begin planning for your future, especially if you have a family that counts on you. Get started before you need to begin worrying about them. For more information, contact a company like Kobewka Stark Law Office.