Why Young Families Need an Estate Plan
"Securing the Future: Why Estate Planning is a Must for Young Families"

Estate plans protect your family's finances for the future, but many young families mistakenly believe estate planning is only for those middle-aged and over. People of all ages need an estate plan to safeguard their loved one's financial stability. Taking action now will help young families secure the future for their children should any unexpected events curtail their plans.
Reasons Estate Plans Are Essential for Young Families
Some people think estate plans are for older people or those with substantial assets, but anyone who owns property needs an estate plan. The following are the top reasons estate plans are so critical for young families.
Estate Plans Protect Beneficiaries
Estate planning is obtainable for all families, no matter how large or small or the value of their estates. Estate planning allows families to plan. What if the breadwinner suddenly experiences a catastrophic injury or becomes ill? What would happen to the family's finances?
Without a plan, you will have no say over what happens to your assets. The most essential aspect of estate planning involves assigning heirs to assets. Even if it is only a small second home, planning who gets it saves headaches. Many young families turn to an estate planning attorney in Cullman to help them go through the planning process.
Estate Plans Protect Your Children
No parent wants to consider the unthinkable of them dying and leaving their children parentless. Unfortunately, the unimaginable can and does happen. The will portion of estate planning allows parents to designate caregivers for their minor children. Without a will, the court will decide who gets custody of your children.
Estate Plans Protect Against Family Disputes
When people die, the remaining family members sometimes quarrel over who gets what. One person may feel they deserve more than another. Estate planning can help prevent these issues because it details the deceased's wishes.
Estate Plans Protect Heirs from Huge Tax Bills
Estate plans protect loved ones against unexpected and costly tax bills. Individuals can transfer their assets to heirs with the lowest tax implications possible with estate planning. Without planning, heirs may be in for a rude awakening when the IRS comes calling.
How Do Young Families Get Started with Estate Planning?
There are a few steps involved in estate planning. What is the first step in estate planning for someone with a family that includes young children? The first step entails writing a Last Will and Testament.
Last Will and Testament
Estate planning begins with a Last Will and Testament. Wills are an essential component because they spell out in great detail the individual's final wishes.
A Last Will and Testament covers the following:
- Names the executor of the will
- Provides disposition of assets
- Names a trustee to manage your property
- Names a guardian for your minor children
While there are multiple steps involved in estate planning, completing each of them with a pragmatic approach will make them easier. Couples should work together and involve family members and other trusted individuals.
It is essential young families realize their needs will change throughout the years. Writing a will is not a one-time occurrence. Individuals must revisit the will as the family dynamics change or new assets are acquired.
Decide Guardianship for Minor Children First
One of the most challenging steps in estate planning is deciding who will be the guardian of your minor children. The decision on guardianship will affect the child's upbringing and could impact the rest of their lives.
Every family is different, so there is no cookie-cutter approach to selecting a guardian. In some families, grandparents are an obvious choice, but others may choose an aunt or uncle. Carefully consider this step before making the final decision.
Name the Executor of Your Will
After deciding on guardianship, naming the executor is the next most critical step. The executor should be trustworthy and understand the importance of overseeing the will's execution. Executors can be family members, friends, or professionals. Some people make their lawyer the executor. Others choose a bank to act as their executor. No matter who you select, choose wisely.
Establish a Trust for Your Children
Establishing a trust for your children is an essential step in a young family. Testamentary trusts only come into action when you die. In addition to establishing the trust for your children, you will also need to choose a trustee. The trustee manages the assets passed to the children. Most people select a professional as the trust because the role requires expertise, and the individual may keep these duties for many years.
Select Durable Powers of Attorney
A durable power of attorney takes over your estate if you become incapacitated due to an injury or illness. This person manages your financial affairs. Without a durable power of attorney and a successor, your family would have to go through the court process to decide on power of attorney.
Purchase Term Life Insurance
In addition to the steps above, you should purchase term life insurance. No one wants to think of their demise, but an early death is not always avoidable. Term life insurance is a critical part of estate planning because it fills in gaps between your financial assets and your family's needs. Young families should get professional guidance to ensure they purchase term life insurance wisely.
Do Not Put Off Estate Planning
Young families often look to the future without hesitation, thinking there is time to handle complex tasks like estate planning. While young families are busy raising children and advancing their careers, this does not mean they can put off the inevitable.
Now is the time to start the process of estate planning. Waiting too long puts your family in danger. The steps above are not as challenging as they may seem.
Because estate planning is essential to your family's future, getting help from a lawyer is wise. Lawyers guide young families through estate planning so they can rest assured every detail is legally sound. Young parents can experience true peace of mind after completing estate planning.



