The Importance of Estate Planning for Millennials
If You are a Millennial, do Not Miss Out on the Opportunity to Start Planning for Your Future NOW
If you identify as a “millennial,” which means that you are somewhere in the age range between 23 and 37, you may not be thinking much about your financial future or your estate. After all, retirement is long off, not to mention the worst case scenario - death. However, this kind of thinking can be risky, as failing to start putting together an estate plan now could mean that you are caught unprepared. Here is a look at some important reasons why having an estate plan matters for millennials:
The first reason you should meet with an attorney and start to put together an estate plan now, even if you are a young millennial, is that the future is unforeseeable; you never know when an unexpected event might occur that leaves you incapacitated, disabled, or deceased. Having documents like a power of attorney, healthcare directive, and living will in place can provide peace of mind in the event that you are incapacitated. While no one likes to think about it, having death documents in place, like a last will and testament, is also important.
Keep in mind that when you are putting together these documents, having beneficiary designations in place is key, too. For millennials, many assets may be concentrated in 401(k)s and other retirement accounts; make sure a beneficiary is named in the event that anything happens to you.
Perhaps you have children (or even a beloved pet) or are planning to have children in the future. If so, having a will in place that not only names how you want your property and assets distributed, but also addresses guardianship for your minor child (or pet) is critical. Your will can be used to express your wishes for who will care for your child in the event that something happens to you, which is a very important thing for parents. A will can be used to detail who you want to care for a pet, too.
The marriage rate amongst millennials is much lower than it is for other generations. In fact, about 25% of millennials are expected to never get married. But that does not mean long-term, committed relationships are off the table. Just the opposite is true: Many millennials still have long-term partners, they just never actually get around to the legal parts of saying “I do.” If this sounds like you, putting together an estate plan is especially important! While a legal spouse would have a right to your property and assets upon your death, a partner whom you love and care for may not unless you specify so via a will or trust.
If you are a millennial and you do not have an estate plan in place, you should meet with a lawyer to talk about creating an estate plan now. An estate plan can offer peace of mind when it comes to thinking about scary future events and is a smart thing for everyone, regardless of age or income, to create.
To learn more, reach our Texas estate planning lawyer at John Powell III, P.C today by phone or online.