When is the right time to start estate planning?

Estate planning isn't just for the elderly or wealthy. I regularly encounter clients who wish they had started their planning sooner. The question of timing is one I hear frequently: "When should I start estate planning?" 

The truth is that there's no single "right time" to begin this process. Instead, there are multiple life events that naturally prompt people to consider their estate plans. Let's explore some of these key moments and why they matter for Idaho residents. 

The Earlier, The Better 

First, let me emphasize that any adult over 18 should have at least basic estate planning documents. Even young adults benefit from having powers of attorney for healthcare and finances in place. These documents ensure someone can make decisions if you're temporarily incapacitated. If an 18-year-old has an accident or a medical incident without legal planning already in place, parents can learn the hard way that they lack the legal authority to make decisions they could have mere months ago for their now incapacitated adult child.  

Home Purchase 

When you buy your first home in Idaho, you've likely acquired your most significant asset. This is an excellent time to create or update your estate plan. You'll want to ensure your property passes according to your wishes. If avoiding probate is a goal, once you own any real estate, a living trust should be considered. And even if probate avoidance is not a priority, you will want to ensure that your real estate goes where you wish after your death. You will also want to ensure that you have selected the person or people who will oversee and manage your real estate as your power of attorney agent during any time that you are incapacitated.  

Marriage 

Marriage represents a natural time to create or amend an estate plan. Without proper planning, your spouse may not receive what you intend under Idaho law. Marriage also presents an opportunity to name your spouse as your agent in financial and healthcare powers of attorney. At the very least, this is a key time to review any existing planning to be sure it matches with your current wishes and goals.  

Children 

Becoming a parent is perhaps the most compelling reason to create an estate plan. Your plan should name guardians for minor children and establish financial provisions for their care. Without these designations, the courts will make these crucial decisions without your input.  

Receiving an Inheritance 

When you receive an inheritance, your financial situation could change significantly. New resources may require protection strategies and tax planning. It's also an opportunity to honor the legacy of the person who provided for you by thoughtfully planning how these assets will benefit future generations. 

When Children Turn 18 

As your children reach adulthood, revisit your estate plan. Adult children can now be named as alternate agents in your powers of attorney once you believe they are mature enough to take on such a role. You might also reconsider how and when they'll receive their inheritance, based on their maturity and circumstances. You may want to put one or more of your adult children in charge of your estate once they are old enough to handle that responsibility.  

Retirement 

Retirement planning and estate planning go hand-in-hand. As you transition to living on retirement assets, ensure your estate plan aligns with your retirement income strategy. This includes reviewing beneficiary designations on retirement accounts, which pass outside your will or trust. 

Special Circumstances 

Certain life events demand immediate attention to estate planning: 

• Diagnosis of serious illness 

• Starting a business 

• Moving to Idaho from another state 

• Blended family situations 

• Significant changes in wealth 

Maintaining Your Plan 

Remember that estate planning isn't a one-time event. I recommend reviewing your plan every 3 years or whenever you experience significant life changes.  

Next Steps 

If you've experienced any of these life events without updating your estate plan, don't worry. The second-best time to start planning is today! Begin by gathering information about your assets and thinking about your goals. Then, consult with an Idaho estate planning attorney who can help create a plan tailored to your unique situation. 

Estate planning provides peace of mind that your wishes will be honored and your loved ones protected. Whatever life stage you're in, taking this step demonstrates your care and foresight for those who matter most.  

My law firm is currently offering free telephonic, electronic, or in-person consultations concerning adult guardianships, probates and creating or reviewing estate planning documents.