Millennials and young professionals are more wealth management savvy than people may think. According to Wealthfront, an investment management group, millennials (roughly all young people born in the 1980s) have control over an estimated $2 billion in liquid assets. While television, film and the media may portray millennials as college grads living in their parent’s basements, this is far from the truth for many young professionals.
This significant chunk of the market in terms of wealth management is something that should not be ignored. In turn, what millennials should not ignore is a very important step once a person starts to acquire any amount of assets. What exactly is this key part of asset and wealth management that is frequently ignored? Estate planning.
Many young professionals seem to think estate planning is only for the elderly. A legal area that only their parents and grandparents need to worry about. However, this is far from true. Any person, no matter how old or young should consider creating a customized estate plan once they are independent and in the work force. Success early on is great. But it doesn’t mean much if it is not being protected through a proper estate plan.
Suppose a young professional with a decent-sized 401(k) and Roth IRA suddenly becomes incapacitated in a car accident. With no surviving spouse and all of his or her online account passwords unavailable, surviving family members are left helpless in picking up the pieces. What should be a straightforward process is hampered by probate court, red tape and other legal complications.
Do not let this happen to you if you are a young professional in California. Consider getting seasoned and professional estate planning counsel as soon as possible. Protect yourself and your assets.