There are plenty of reasons why you should start the estate planning process in your 30s. If you’ve recently gotten married or you just had your first child, those are just two major events that should spur you into making an estate plan.
When you start working on estate planning at this age, you may be going through a lot of changes. As a result, your estate plan should start with the basics and then work toward adding on additional protections for you, your family and your property.
What documents will you need in your estate plan in your 30s?
To start with, you need basic estate planning documents when you reach your 30s. You should set up your:
- Last will and testament
- Living will
- Financial power of attorney
- Advance medical directive
If you have children, you should consider adding a guardianship to your estate plan to make sure that there is someone to care for your kids if you and your spouse or partner pass away or become incapacitated.
After you set up the essential estate planning documents, you can consider other options that will add additional protections such as:
- A trust to hold your assets and help you with Medicaid planning
- Trusts for assets you’d like to pass on to others at a specific point in their lives or after your death
Since you’re young now, having the essential documents in place is a good way to start your estate plan. Then, you can add on to your estate plan as needed in the future.
How often will you need to add to or change your estate plan?
You may need to alter your estate plan when you go through major events in your life, such as if you have another child or get a divorce. You may also adjust it if you get a significant raise or come into money.
Every person’s estate plan is different, which is why it’s good to go over your options and then to start building an estate plan that gives you the protections you need based on your own personal circumstances.