If you’ve listened to our Life and Legacy radio show before, you have probably heard us talking a lot about retirees and baby boomers. We have helped retirees and seniors set up effective estate plans. This has facilitated them to stay longer in their homes, while also helping them to protect assets.
We’ve noticed recently, that we are having younger families reach out to us to do estate planning. There are a couple of different times when people will do an estate plan during their lives. The first time is either after they get married or have kids, and they want to get their life together. The next time is around the ‘empty nester’ time period, when kids have left home and these folks are thinking about retirement. When people retire or they are in their senior years, they often review their estate plan, because they’re concerned about healthcare issues affecting them. They are also thinking about their adult children and possibly their adult grandchildren, and leaving an inheritance.
Estate Planning for Young Families
We have seen an increase in the number of young families who have contacted us over the past few months. These folks are in their 30’s and 40’s with young kids, who want to do estate planning. They want to provide for their kids in the event something happens to them as parents. Part of being a great parent is planning for your own absence, so that your kids grow up to be great adults. It’s not just about transferring money, but it includes transferring morals and values. As a family, our conversations at the dinner table every night are not about us giving them money to fend for themselves. Instead, we teach them life lessons, knowing that my kids will be well provided for if something happens to me.
The Sechler Law Firm is an education first law firm, because there is much to learn and understand about how these estate planning ‘tools’ work together. When we work with our more senior clients, we offer these free in person workshops or webinars that are appropriate for seniors and retirees. I’ve been doing estate planning since I was in my late 20s, and have been working primarily with retirees. This means that the conversation in our estate planning workshops is not catered to young families.
Attend our “5 Secrets to Protect Your Family” Webinar
However, since this young family demographic has reached out to us for help, we are delighted to be able to offer various educational webinars and workshops for younger families. We will be teaching them what an effective estate plan looks like. Essentially, we’re looking at something like my estate plan. I am in my 40s with little kids and I believe my estate plan is a good one. I can relate to what other young parents need to think about, and the conversation is more palpable given my current situation.
Maybe you are an existing client whose kids need to do estate planning or you know somebody who needs to get an estate plan. We’re going to be offering webinars to begin with, because I know how busy families with little kids are. These webinars are going to be held at noon and 6pm, so that you can learn about what estate planning is, in order to make great decisions. You’re also going to learn about our law firm and how it all works and operates.
If you’d like to register and find out about these webinars, go to sechlerlawfirm.com/workshops. You will find various events listed, but look for the Webinar called “5 Secrets to Protect Your Family”. It is a free webinar, and is a customized estate planning talk for people with minor children, and those with children who are in their 20’s.
DIY Wills Don’t Work
It seems that most young families go onto the internet, believing that all they need is a simple Will. There’s a difference between estate planning and a simple Will. Unfortunately, most people don’t understand how these estate planning tools work. A Will is just a tool, but there are other tools like trusts, beneficiary designations or powers of attorney that you need to think about.
An estate plan is not about just focusing on one tool and believing you have an estate plan. A Will is not the only tool you need. The purpose of a will is to answer the question of who gets your stuff when you pass away. It won’t answer the question of what happens to all of your assets if you pass away. If your Will says all of your things must go to your wife, but if she is deceased it goes to your kids.
If both parents pass away when the kids are minors, the Uniform Transfer to Minors Act kicks in. This governs the provisions of the Will. There will be somebody who is put in charge of the money until your kids are 21. However, your kids will get the money on their 21st birthday, which we believe is a mistake. Most of the time, a 21-year old adult is not mature enough to handle this financial responsibility.
Do You Have Retirement Accounts and Life Insurance?
Most of what you own would not go through your will if you have retirement accounts and life insurance. Instead these accounts go to the person who is beneficiary designated on your account, which is likely your kids. What kind of person would your kid turn out to be, if they receive a six figure inheritance on their 21st birthday?
The answer to this question may concern you. This is why we urge you to register for and attend our webinar. We have solutions to offer you. You will learn about estate planning strategies. When you make an educated decision, it is the right decision for your family. Register now for our next webinar.
