You may have always thought of estate planning as something that people do in their 60s or 70s. It’s easy to see why elderly individuals need to have a plan for what happens to their assets in the future or why they need to use advance directives to determine medical and financial choices.
But the reality is that you can use an estate plan at any age. Even if you’re just in your thirties, it may be time to put that plan in place. Why is this helpful?
Considering your children
First and foremost, if you are a young parent, you need to think about what will happen to your children. Do you know how to leave your assets in a trust so that they can get them when they reach adulthood? Who do you want to pick to be a guardian to help raise them? A more comprehensive plan ensures that your children have a bright future, no matter what happens to you.
Considering potential incapacitation
Additionally, an estate plan doesn’t just address what happens when you pass away. It can also address what happens if you become incapacitated. If you find yourself in the hospital with no ability to make medical decisions, for example, you may need to use a medical power of attorney to choose the person who will make those decisions for you. Even if you eventually recover and take back control over your own decisions, having an estate plan in place at the time when you need it can be very helpful, both for you and for the rest of your family.
As you can see, creating a solid estate plan is very important at any age, so be sure you know what steps to take.