Tips for Creating an Estate Plan Early in Life

While many assume estate planning is reserved for seniors, others understand that it is never too early to get started with this process. Even immediately after becoming a legal adult, there are certain benefits to creating a simple Will or power of attorney. That being said, younger individuals will approach estate planning with unique needs and priorities compared to their older counterparts. What are some tips for estate planning in Tampa as a younger individual?

Consider a Pour-Over Will 

After a younger individual creates their estate plan, they typically continue to earn income for many decades. While this should not limit you from getting started, your estate plan today might not reflect the level of wealth you’ll have when you pass. This could cause certain legal challenges, particularly if you create a trust.

While a trust offers numerous benefits, it can only protect the assets you specifically select. What happens if you move your wealth into a trust but continue to earn wealth for many more decades? Ideally, you would make periodic transfers to the trust over this period – but there may still be leftover assets outside the trust when you pass. To combat this issue, consider a pour-over Will, which automatically transfers these remaining assets into your trust when you pass.

 Plan for Your Pets 

While you may not have children yet, your pet may be very important to you. Consider what might happen to the animal if you pass away. Who will take care of this cat or dog? Many of these animals live for 20 years or longer, and their future may seem uncertain after you pass.

A pet trust helps provide lasting security for your animal if you pass away. You can set aside a fund to help pay for food and other costs, and this can make caring for your animal much easier. Since a pet is essentially a piece of property in the legal world, you can also use a Will to identify who will inherit the animal. Funds from a pet trust can only be used for the animal.

 Choose Appropriate Trustees and Executors

 When creating an estate plan as a younger individual, it is important to select appropriate trustees and executors. Although it might seem tempting to choose your parents, they will likely pass away before you do. The same logic applies to anyone else in the generation above you. As a result, it might be necessary to choose an executor closer to your own age, such as a younger sibling or cousin. You can also choose a company or financial institution to act as your trustee, as these organizations have longer “lifespans” than humans.

Which Estate Planning Attorney in Seminole Helps Younger People? 

If you’re a younger adult searching for an experienced Tampa estate planning lawyer, consider Knudsen Law. Over the years, we have helped people from all walks of life, and we understand the unique concerns and needs that pre-retirement individuals may face when creating estate plans. That being said, age is only one factor to consider when creating a personalized estate plan. To discuss your unique situation in more detail, reach out today and book a consultation.

Source:

leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0700-0799/0736/Sections/0736.0408.html