estate planning for generation x and baby boomers

Why Empty Nesters Need a New Estate Plan

All of your baby birds have left the nest, heading to college, new careers, or new adventures abroad. Now that the childrearing stage of your life is behind you, make sure to review your estate plan as you enter your next stage of life.

Whether you’re a baby boomer or a gen-x, if you’re looking for help with updating an existing estate plan or creating an entirely new one, let’s talk about your goals and how to meet them. Call Haygood, Cleveland, Pierce, Thompson & Short at 334-560-1936 today.

Some Aspects of Your Estate May No Longer Be Relevant

When all of your children have grown up and are no longer living at home with you, some parts of your estate plan may need to be replaced, edited, or taken out entirely. You likely created a will to name a preferred guardian for your children.

Now that they are adults, they don’t need a guardian. Additionally, you may have set aside funds or assets to go to the person who would raise your children in the event of your early death. Now that your children have reached adulthood, you can direct those funds elsewhere.

Consider What You Want Your Children to Receive (and When)

Your initial estate plan may have laid out how much each of your children should receive when you pass away. Now that they’re adults, it may be time to rethink that a little bit.

Perhaps you were completely fine with your children getting their full inheritance as soon as they become adults. The only problem is, Child #1 has maxed out their “emergency” credit card three times since leaving for college, Child #2 genuinely wants to make it as a luxury lifestyle influencer on a part-time income, and Child #3 is the only one with a solid plan for the future.

Your children all have different needs, and it’s okay to address that in your estate plan. If you have a child with a history of substance abuse, for example, you may want their inheritance to be given to them in small amounts over time so they don’t spend in on their substance of choice.

If you know one child simply doesn’t have the self-control to avoid wasting their entire inheritance, you may choose to give them 25% at age 25, 25% at age 35, and 50% at age 50. You’ve worked hard for your assets, and it’s fair to want them to be used appropriately.

Don’t Forget to Plan for Long-Term Care

As you head into your golden years, it’s time to revisit your long-term care plans. While you may not ever need an assisted living facility, you truly never know what the future will bring. It’s wise to plan for this possibility and structure your estate accordingly. It’s admirable to want to leave as much as possible to your beneficiaries, but you also have to make sure that you are taking care of yourself.

Planning for Incapacitation

As you age, the likelihood of being incapacitated due to illness or injury increases. Take this opportunity to set up medical and financial powers of attorney. Doing so ensures that your affairs will be taken care of when you are unable to do so.

There is a lot of flexibility in this area in terms of when it goes into effect and what your named representative can do on your behalf. This is also an excellent time to establish an advance healthcare directive. Spend some time thinking about the healthcare you want to receive if you are no longer able to speak for yourself and create a healthcare directive that states your preferences.

Welcoming New Members of the Family

Now that your children have grown, you might start to see new members of the family in the coming years. A review of your estate plan ensures that you have properly accounted for these new family members.

Start Your Estate Plan with Haygood, Cleveland, Pierce, Thompson & Short

Wherever you are in your estate plan, we’re ready to help you create a plan that meets your goals. Set up a time to talk to our team now—just call us at 334-560-1936 or reach out online to have a team member get in touch with you.

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