You Are Never Too Young For Estate Planning
As college students graduate at this time of year and embark on “adulting,” it is important to understand the benefits of being proactive about planning for the future. At this point in life many young-adults will get their first “real job” and start receiving benefits and insurance plans for the future. With these firsts comes many important decisions that will lay the framework for much of their financial future. Among these decisions is taking the necessary steps toward estate planning. Unfortunately, many believe that estate planning is only something that older people should worry about; however, the reality is that estate planning is far more effective the earlier you begin. The future is uncertain and knowing that you have a plan can be a source of great peace.
What is Estate Planning?
The term estate planning is a broad term used to describe the control over your assets and decision making both while you are alive and after you pass away. The primary components of effective estate planning include developing a last will and testament, designating power of attorney, and/or creating a trust. People normally think that estate planning is for giving your property away when you die, however, it can also be invaluable if you become incapacitated at some point in your life. In the event that this occurs, and you have a predetermined power of attorney, they will be able to make critical health care decisions on your behalf. Most people do not realize that a doctor in these circumstances will need to rely on the decision making authority of your spouse or power of attorney. Additionally, as you age and your life develops you are able to go back and redesign your will however you see fit. Thus, as you get married or have children you can go back and revise your will to account for the various members of your family.
What If I Die Without A Will?
Only 42 percent of Americans have a will. This figure is particularly shocking, because if something were to happen to these people, they would leave behind no documentation on how their property, assets, and benefits should be distributed. These tasks would instead fall into the hands of a court that has no connection to the family. The exact distribution of what they leave behind will be governed by Florida state law. In most instances, your belongings will be distributed based on what is known as “intestate succession”. Generally, this means that your property will be given to the relatives that are closest to you based on the predetermined hierarchy that the state has laid out. Unfortunately, certain members of your family may be entirely left out of this distribution in the event that you die without a will.
Do You Need Help?
It is important to recognize that you are never too young to begin estate planning. The common misconception that planning for the future is only for the elderly is a myth that ultimately hurts many families when a loved one passes away. With the help of a knowledgeable Sarasota estate planning attorney, the process of formulating and designing your will can be a simple one. To learn more about estate planning contact Moran, Sanchy & Associates for a consultation. Do not let the future security of your family go to chance; call today.