Almost everyone has an estate… including you. An estate is a collection of personal items, such as your house, car, bank accounts, and businesses. Regardless of how your estate grows and changes over the year, one thing remains constant—you must make a plan regarding what happens to your assets and property after you die. Considering that fact, an estate plan is important and beneficial at any age or stage of life. Estate planning in your 30s is a great way to ensure the possessions and people you leave behind are well taken care of once you’re gone.
Death is not predictable, but it is inevitable. When you plan ahead, you are making sure your family members don’t have to second guess your wishes. Any time is a good time to create an estate plan, but the following scenarios are situations in which you most benefit.
A common misconception is the surviving spouse gets immediate access to the estate upon death. But that’s not true. You or your spouse may be dragged through months of legal proceedings before touching anything while also grieving. Whether you’ve been married one month or one year, you stand to benefit from having a solid plan in place that protects one another when the other passes away.
It doesn’t matter if you’re the founder of a start-up or a CEO running multiple Fortune-500 companies—the fate of your business depends on the plans you put in place now to protect it well beyond your entrepreneurial years. Have you ever wondered, How can I be sure my company can operate indefinitely? Or, Who is trustworthy in running my company and maintaining my brand identity after I pass away? If so, then you stand to benefit from an estate plan. With a proper estate plan, you can maintain and ensure the success of your business and business structure well after you’ve passed away.
Juggling family and work obligations as a 30-something can have your head spinning. You may feel you don’t have enough time to go through the estate planning process, but you also want what’s best for your children. And the best thing you can do for them right now is to build an estate plan that protects their financial future.
Purchasing your first property is a milestone you won’t soon forget. You can protect your hard work and assets by ensuring that ownership is transferred correctly upon passing. By doing so, you can prevent emotional conflict during these times and help your family grieve peacefully.
Estate planning is a great way to build wealth for families who want to leave a legacy for generations. You can easily transfer wealth to your current and future relatives, including nieces, nephews, children, and grandchildren.
If you have any financial accounts, you need to create a plan that designates where those funds should be transferred upon your passing.
That can include the following kinds of accounts:
Failure to choose what happens to these accounts means state law will decide for you. This could potentially put your assets into the wrong hands.
Probate, or estate administration, is a legal process in which your assets are analyzed, managed, and distributed according to your wishes in court. Probate can be a severely slow and complicated process, adding stress to an already difficult situation. Successful estate planning can help you avoid the probate process and allow your assets to be distributed efficiently to your beneficiaries.
An estate plan consists of legal documents that detail your after-life wishes for your estate.
Here are a few documents that may apply to your estate.
In your will, you designate who you want your assets to go to, who should care for your children, and who should execute your Will.
Your trust is an entity that holds your assets while you are alive. You will designate a trustee who will manage these assets. Upon your passing, a trustee will distribute them to your beneficiaries.
A POA is a document that designates a person of your choosing to make financial decisions on your behalf when you can no longer. This designation is only valid while you’re living but is essential to your estate plans.
An HCPA is a document that designates a person of your choosing to make medical decisions on your behalf once you can no longer.
Estate planning in your 30s can feel like an overwhelming task. Our attorneys at Cary Estate Planning can help simplify things by reviewing your assets and financial goals to help you determine an estate plan that works for you. Contact our office today.