It is easy to associate wills, beneficiaries and inheritance decisions with retirement or old age. However, there is no specific age at which a person suddenly needs an estate plan. The best time to start is usually when there are people, property or financial interests worth protecting.
For many adults, that point in life arrives earlier than expected. For example, buying a first home, getting married or having children can all inspire reasons to put legal and financial wishes in writing.
Estate planning can begin in early adulthood
Turning 18 brings an important legal change. Here, parents usually no longer have automatic authority to make decisions for an adult child. This can make basic estate planning documents relevant even for someone who owns very little.
For example, as a young adult, you may want to consider documents that authorize a trusted person to handle certain financial or health care matters if an illness or serious accident leaves you unable to act independently.
Then, as assets and responsibilities increase, the estate plan can develop with them. Remember, an initial plan does not have to address every possibility for the rest of your life.
Certain life events can make planning more important
Instead of waiting for a particular birthday, it may be more useful to consider what is happening in your life. Estate planning deserves greater attention after changes such as:
- Marriage or divorce
- Having or adopting a child
- Buying a home
- Building substantial savings or investments
- Starting or acquiring a business
- Experiencing a major family change
These events can also serve as useful reminders to review documents prepared years earlier. So, as long as you have loved ones you want to protect, property they care about or preferences about who should act for them during an emergency, estate planning may already be worth considering.
To help ensure that an estate plan complies with state laws and is legally sound, it is vital to work with a legal professional. They can make sure an existing plan continues to reflect your wishes over time as well.
