Young professionals hear a lot about the importance of establishing a 401(k), paying off their student loans early, saving an emergency fund, and budgeting advice, but far too often one of the most important aspects of financial planning is left out of the conversation: estate planning.
Estate planning is not just for the rich, the famous, or the elderly—it’s for young people too! Young professionals at a minimum should have a basic will that directs where their assets will go upon their passing. In some states such as California where the court process for passing your assets is very long and expensive, a trust should be strongly considered.
Young professionals also need medical directives so designated family members or friends can make their medical decisions in an emergency situation. Under federal laws, doctors and hospitals are prohibited from communicating with your loved ones unless you have specifically authorized them to do so through proper legal documentation.
Estate planning is also not just about money. If you have young children, you also need to consider establishing an emergency plan for your children in case you are seriously injured. Otherwise your children are at risk of temporary foster care, or having a judge choose who raises them. You also need to document your wishes for how you wish for your children to be raised, and preserve important memories and hopes for them if you were to pass away.
The best place to begin evaluating your estate planning needs is by meeting with your Newport Beach family trust attorneys. We can help you understand what would happen if you pass away without planning, and what estate planning strategies are best for you to ensure your money would go to who you want, and your loved ones would be cared for. While online ‘do it yourself’ websites have become more popular, they typically have disclaimers disclosing that they are not attorneys and do not have a fiduciary duty to you, whereas attorneys do. When people do face a medical emergency or pass away, their family quickly realizes that the ‘do it yourself’ approach has failed them.
Call Meier Law Firm today at 949-718-0420 and schedule a planning session to get started.