Whether you are a Baby Boomer or a Millennial, you need to have an estate plan. With the help of a good estate planning attorney, someone in their 20s and 30s can get their estate plan done easily enough. Even if they think they’re immortal, says Wealth Advisor in, “Estate Planning Isn’t Only for the Old and Wealthy,” young adults need estate plans.
First, people can draft a trust to provide directions regarding what happens to their assets, such as who will inherit both financial and personal items. Virtual assets like social media accounts should also be included. You should make a list of usernames and passwords for all your accounts and be sure that a trusted relative or friend has access.
Another important part of estate planning is to designate the beneficiaries for all company-sponsored life insurance and 401(k) plans to avoid probate issues.
As part of estate planning, you should also name a healthcare proxy and a general durable power of attorney. These two documents allow your trusted agent to make medical and financial decisions in the event you’re incapacitated. If you want to give your proxy specific instructions, create an advance directive, known as a living will. This will ensure you and your finances are taken care of in the event of your incapacitation.
As you work through these actions with your estate planning attorney, you’ll see that estate planning is not just for the old and wealthy, nor is it solely about death. It can bring you peace of mind and provide clarity to your loved ones and family, if you should pass away unexpectedly, and enables you to be cared for if you are unable to do so yourself.
Make 2019 the year that you establish an estate plan! Think of it as a gift for yourself and for your loved ones.
Reference: Wealth Advisor (December 20, 2018) “Estate Planning Isn’t Only for the Old and Wealthy”