Estate Planning: When and How to Begin the Process

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“Planning is bringing the future into the present so that you can do something about it now.” – Alan Lakein

When to Start

As long as you are a legal adult, you may begin creating your estate plan at any time. Many people think there’s a perfect time or reason to start making estate planning documents, but the reality is that it’s easy to wait too long. Life is unpredictable, and having a good estate plan can give you peace of mind, especially when it’s set up in advance. The information below will guide you through the estate planning process.

Compile Documents

Organizing and safely storing your documents is a key first step in estate planning, even though it’s often overlooked. In doing so, you are setting yourself up for success in several ways. Keeping an accurate record of important documents makes it much easier to list assets, prove ownership, and legitimize your beneficiary designations. Once your estate planning documents are created, it will allow you and your loved ones to access them, whether you need to make updates or if there’s an emergency.

Prepare for Estate Planning Consultation

While it is possible to create an estate plan without outside aid, many opt for a helping hand, which can greatly facilitate the process and reduce the margin for error. If seeking assistance from an estate planning professional, you may be required to complete a preliminary questionnaire. You might also need to provide them with documents pertaining to asset ownership, marriage status, existing trust funds, financial documents and balances in financial accounts. Additionally, come prepared with questions and concerns that you would like to address during the consultation.

Expect Future Revisions

As you experience major life changes, it is completely normal to rethink how you want your estate to be divided, who you want to name as beneficiaries, and even your medical choices in an Advance Directive. With rare exceptions (for example, with an irrevocable trust) it is possible to change the terms of your estate planning documents. Common reasons to update your estate plan include getting married, losing a spouse or beneficiary, having a baby, or acquiring new assets.

When revising your estate plan, consider (and reconsider) your estate planning goals. What do you wish to leave your loved ones when you are no longer around? Difficult as it may be, this question is key to crafting a thorough, complete, and considerate estate plan.

Information in this article is provided for educational purposes only and not intended to constitute legal advice. Please consult with a licensed attorney in your jurisdiction for help with your specific situation.