Many millennials assume that estate plan is for older and more established clients who have significant assets to protect. Even if you believe that your highest-earning years are still ahead of you, there are a few simple steps to take to form the foundation of the estate plan. It’s not only major assets that need protection and for a small amount of time you can have the confidence that what you do own is protected.
- Make sure that your beneficiary designations are updated. This is especially important as you get married or have children. Retirement accounts and group life insurance policies are a great place to start.
- Consider supplemental life insurance. While an at-work policy may cover a year or so of your income, you can likely get an excellent deal on an affordable policy while you are young and healthy. Group life insurance doesn’t tend to be portable, either, so it’s a wise idea to have your own policy. Factor in mortgage costs, other household expenses, and any amount you want for children’s college savings.
- It’s never too early to outline a will. Although you hope that it won’t be necessary in your younger years, it’s simply smart planning to provide a plan to help your beneficiaries in the event that something happens.
- Put together a power of attorney and health care proxy. These estate planning tools are not specific to any age and outline what will happen to the management of your affairs if something happens to you. Put these together and review them on a yearly basis.
For basic or complex estate planning, it helps to have professionals at your side. Now is a great time to get your estate plan in order for 2015. Call us at 732-521-9455 for more details.