Estate planning often takes a back seat in people’s lives. In fact, Caring.com conducted a poll in 2023 and found that people 55 years old and higher were the group most likely to have an estate plan in place.
The estate planning process involves making decisions about the transfer of your estate after your death, including who will receive your assets and handle your responsibilities. While it might seem like a concern for later in life, starting estate planning early is important for protecting your assets and ensuring others respect your wishes.
Start as an adult
As soon as you turn 18, consider starting your estate planning. Even if you have few assets, having basic documents like a will ensures the distribution of your personal belongings as you wish.
Update after major life events
Major life events such as getting married, divorcing, having a child or buying a home should prompt you to update or start your estate planning. These events often change your priorities and financial situation.
Begin with asset acquisition
When you start acquiring more assets, it is time to plan how to manage and protect them. Estate planning can help structure their distribution efficiently and can help prevent potential disputes after you pass away.
Plan before retirement
As retirement approaches, thorough estate planning becomes increasingly important. This is your chance to ensure your plans align with your retirement goals and consider your financial needs in later years.
When it comes to estate planning, the sooner, the better. By staying informed and keeping your estate plan updated, you can ensure peace of mind for yourself and your loved ones.