Estate Planning Fundamentals for Every Life Stage
By Brandy Branstetter, CFP®
Planning for the end of your life is certainly not a pleasant item on anyone’s financial checklist, but if you believe your affairs are modest and don’t require the effort and expense of having a Last Will or Power of Attorney, you’d be mistaken.
One of the core elements of good and effective financial planning is estate planning: considering and documenting your wishes regarding your personal affairs and financial interests after death. Despite its importance, the majority of people neglect to address this area, especially early in life. At Beyond Wealth, we believe estate planning is for every adult, not just retirees, and should be updated regularly as life evolves.
While each person’s own needs and situation are different, let’s take a look at common estate plan documents and when each might be considered throughout a lifetime.
Young Adults Need Core Documents
Even young adults who are embarking on their life and career should consider having a basic estate plan. There may be personal possessions and financial accounts to pass on to heirs, such as bank accounts or non-IRA investment accounts that require direction with an unexpected passing.
For this reason alone, even a simple Last Will and Testament should be one of the first documents drafted to address these assets. Otherwise, without a Will, assets and other affairs are decided by the probate court in the state of residency (called dying “intestate”). In this case, the Court (not parents, siblings, or close friends) will decide who gets the remaining assets and how last affairs will be settled.
In addition, even a young independent adult may wish to designate someone other than Mom or Dad to make financial or health decisions in case of incapacity to conduct one’s own affairs. This is accomplished via a Healthcare Proxy and a Durable Power of Attorney - Financial, where an “agent” is appointed to represent someone who is cognitively incapable of conducting their own affairs and making decisions about their healthcare or finances.
For Young Families, Estate Planning Is Critical
New parents already have so much to consider when children arrive that arranging for a Will and other documents often falls to the bottom of the list (if considered at all). Ironically, however, the importance of estate planning ramps up considerably at this stage. It’s not just the one individual or two spouses anymore; there is the lifetime of the children to consider if the young parents aren’t around anymore.
Naming guardians for the children is the crucial decision, and this is documented in the Last Will. Otherwise, like asset distribution, without a Will, the courts will decide and appoint who will care and raise the children if neither parent is alive. The Will may also be drafted to include provisions for a “testamentary trust” for each or all of the children.
This is a trust that doesn’t exist prior to the execution of the Will, but is created via the Will. It specifies how assets (and life insurance proceeds) that will be placed in the Trust will be utilized for the child(ren)’s health, education, and welfare until they are adults. Young parents should also update their Power of Attorney documents to reflect their current wishes.
Mid-Life Professionals: There’s More to Consider
As life advances, so does the complexity of one’s estate. By mid-life, many professionals have acquired a home and maybe other property (and perhaps in another state) as well as significant financial and other assets. Normal lifestyle and expenses may have elevated with career success and at this point, it may be a balancing act between aging parents, college-bound children, a business, and growing wealth for the future.
All this points to the need to revisit and upgrade the basic estate plan to a more sophisticated and advanced version. At this stage, revocable living trusts, asset transfer techniques, and providing contingencies for incapacity, disability, and the elevated responsibilities left behind become essential to consider. Adding trusts to shelter assets from the probate process or for special-needs purposes may be beneficial.
Additionally, this is no time for DIY endeavors. Advanced estate planning requires coordination between wealth management professionals, qualified estate planning attorneys, and tax advisors to integrate these specialties into an efficient and effective estate plan.
Retirement: It’s Now or Never
Once retirement appears on the horizon, a crucial shift takes place in the estate plan. The “accumulation” days are winding down, the children are off on their own life journey, and the risk of not coming home one evening changes more from “providing for others” to “preserving what remains.” The focus, therefore, shifts to legacy planning, protecting assets from long-term custodial care costs, potential asset transfers, and minimizing taxes, (both currently and on those future transfers).
Going forward, estate documents need to reflect new realities about declining health, physical and cognitive incapacity, and the fact that passing away could occur quickly or at any time. Careful consideration of how the combined and surviving estates of spouses will pass on to heirs or others. New trusts that shield assets for Medicaid eligibility or to hold life insurance and assets outside the estate may be beneficial. Again, coordination between attorneys, wealth managers, and tax professionals is essential.
Even after the final plan and documents are drafted and set into motion, estate planning should not be a finished project. Life will continue to change and evolve, as will tax and other laws that could affect the plan. Periodic reviews (every 3-5 years or after a life event) are important to be sure the provisions are still effective and intentions are fulfilled.
Partner With Us to Guide You Toward Financial Freedom and Your Legacy
At Beyond Wealth, we focus on the most efficient strategies to help you realize your objectives and life aspirations. Our independent advisory firm offers an array of services—focused on our clients—to help pursue a confident financial future.
As fiduciary advisors, our goal is aligned with yours: Connect your wealth to your life’s objectives and empower you to choose and follow the financial road that feels right for you and your family.
Are you ready to take charge of your financial future? Give us a call (913) 871-7980 or email brandy@beyond-wealth.com to schedule an introductory meeting and start this year on a better financial path toward your own vision.
About Brandy
Brandy Branstetter, CFP® is Principal & Wealth Advisor at Beyond Wealth, a fiduciary financial advisory firm based in Overland Park, Kansas. Beyond Wealth is dedicated to empowering clients to make confident and meaningful financial decisions. Specializing in helping mid-career professionals and business owners navigate their work-optional lifestyle, the firm provides personalized comprehensive wealth management services to the Kansas City metro area and beyond.
Brandy’s approach is collaborative and values-driven, helping clients pursue financial independence while aligning their plans with their unique goals and aspirations. She began her financial career in 2005 and became an advisor in 2012. Throughout her journey, she noticed a disconnect in how many firms communicated with female clients, inspiring her to establish a practice focused on genuinely engaging and supporting women in their financial journeys. In 2012, she co-founded Beyond Wealth with a mission to provide clients—especially female professionals and entrepreneurs—the guidance needed to navigate their financial complexities. Together with her business partner, Andrew, Brandy developed the “Good, Better, Best” financial planning framework to deliver tailored strategies that help clients achieve meaningful progress towards their financial aspirations.
Brandy earned a BSBA in Finance from the University of Tulsa and holds the CERTIFIED FINANCIAL PLANNER® designation. Outside of work, she enjoys spending time with her husband, Jon, and their two children, Alexa and Ethan. In their downtime, they love golfing, exploring new vacation spots, and attending live events—everything from rock concerts to Broadway musicals. A dedicated sports enthusiast, Brandy especially enjoys watching Oklahoma Sooner football and cheering on the Kansas City Chiefs. With a lifelong dream of living by the beach, she’s always planning her family’s next big adventure. To learn more about Brandy, connect with her on LinkedIn.