There are many things that millennials and young adults put off until they are older, from buying a house to marriage. People are also having children at older ages and delaying retirement.
With all this in mind, it might seem like waiting until you’re older to have an estate plan in place also makes sense. However, there are at least a few reasons why you should rethink this, especially if you are in your 20s or 30s.
Reason #1: You don’t need to have kids to have family worth protecting
Children are not the only people affected by a person’s estate plan. If you pass away, your parents, siblings and your romantic partner could wind up having to deal with upsetting issues if you don’t have an estate plan.
There can be confusion over how to distribute your assets, who will repay debts and whether someone should — and can — manage your digital property. An estate plan allows you to address these items and make decisions so your loved ones don’t have to.
Reason #2: There’s more to estate plans than real estate
An estate plan includes more than details on how to distribute assets, so don’t write off the option if you don’t own a home or other type of property.
As we mentioned above, you may have digital assets to address. For instance, is there information in your email you want someone to have? Do you have your photos in cloud storage? What about your cryptocurrency?
You might also have specific items you want someone specific to receive, like a prized possession or even a pet. Without an estate plan, distribution will be in accordance with state laws.
Reason #3: There is no age limit on accidents
Accidents can happen to anyone at any time. You can save loved ones from having to make very difficult decisions by having in place documents like a living will and powers of attorney. This provides critical guidance and permission to loved ones if you become incapacitated.
You don’t have to wait until you have children or are planning for retirement to have an estate plan in place. While your wishes may change over time, you can create a plan now that protects you and your loved ones in the event of an unfortunate event.