Estate planning is essential to providing for your loved ones, protecting your assets, and ensuring your wishes are fulfilled after you are gone. Many Texans wonder when to start estate planning — and the answer is usually sooner than you think. While many believe it only becomes necessary later in life, beginning the process even in your 20s or 30s offers significant benefits.
At Massingill, we offer estate planning services to meet your unique needs. With transparent flat-fee pricing, secure online document access, and unlimited revisions to document drafts, we make the estate planning process straightforward. Contact us today to set up a consultation.
What Is Estate Planning?
Estate planning is the process of creating legal documents and strategies to manage your assets, healthcare decisions, and family responsibilities during your lifetime and after your death. It goes beyond simply writing a will — a comprehensive estate plan addresses who inherits your property, who makes decisions on your behalf if you become incapacitated, and how to minimize taxes and legal costs for your loved ones.
In Texas, estate planning is especially important because the state has its own laws governing community property, intestate succession, and probate procedures. Under the Texas Estates Code, specific rules determine how your assets are distributed if you die without a plan, making it critical to establish your wishes in writing.
What Does Estate Planning Involve?
Estate planning involves creating legal documents to establish what should happen to your debts and assets when you die. You typically also create documents that provide direction for your loved ones if you become unable to communicate your wishes or manage your affairs.
Wills
In your will, you:
- Specify who inherits which of your assets,
- Name guardians for minor children, and
- Include necessary instructions for managing specific property.
For a will to be valid, the will’s creator (the “testator”) must:
- Be at least 18 years old and of sound mind when they make the will,
- Record the will in written form, and
- Sign the will.
Two individuals must witness the testator sign the will and then sign it, too.
Texas Tip: Under Texas Estates Code § 251.051, a valid will in Texas must be in writing, signed by the testator (or another person at the testator’s direction and in the testator’s presence), and attested by two credible witnesses over the age of 14. Texas also recognizes holographic (handwritten) wills under § 251.052, though these can be more difficult to probate.
Trusts
Trusts are versatile tools offering additional control over asset distribution and management. Many trusts also bypass the often lengthy probate process.
There are several types of trusts, including:
- Living trusts—created during the creator’s (“grantor’s”) lifetime;
- Testamentary trusts—funded upon the grantor’s death;
- Revocable trusts—can be altered or revoked during the grantor’s lifetime; and
- Irrevocable trusts—typically cannot be altered or revoked.
You may use a trust to, for example:
- Provide for a special needs child,
- Qualify for Medicaid long-term care coverage without sacrificing assets,
- Protect wealth for future generations, or
- Support charitable organizations.
Trusts may have various other purposes that meet your specific needs.
Powers of Attorney
A power of attorney grants someone you select the authority to act on your behalf in financial or health-related situations. The document takes effect if you become unable to make your own decisions.
Advance Directives
An advance directive outlines what medical treatments you would prefer to receive or not receive in specific circumstances, like:
- Life-sustaining treatment like ventilators or feeding tubes;
- Treatments for pain management and palliative care; and
- Resuscitation or do not resuscitate (DNR) orders.
Advance directives provide clarity for your loved ones and healthcare professionals when you cannot express your wishes.
What Happens If You Do Not Have an Estate Plan?
Failing to create an estate plan risks creating serious challenges for your loved ones. Without a plan, your property passes through the “intestate succession” process, which allows for little control and risks conflict and delay.
Intestate Succession
Intestate succession is a process where the law selects your legal heirs. The process involves identifying your family members who are still alive. Assets then pass to your closest surviving family members, typically passing first to your:
- Spouse,
- Children,
- Parents and siblings,
- Aunts and uncles, and
- Grandparents and cousins.
This process occurs regardless of what you may have wanted, preventing you from providing for anyone not legally related to you.
Consequences of Lacking an Estate Plan
Not having an estate plan may lead to:
- A lengthy probate process, which may create financial strain for your heirs;
- Family disputes, which may erode relationships and consume significant time and money; and
- Extra fees and taxes resulting in unnecessary costs for your loved ones.
Additionally, if you have minor children and fail to designate a guardian to care for them if you die, the courts may decide who takes responsibility for their care, potentially contrary to your wishes.
When to Start Estate Planning
Estate planning is essential for everyone, but when to start estate planning depends on your circumstances. The short answer: as soon as you turn 18, you should consider having at least basic documents in place, such as a power of attorney and an advance directive. At a minimum, consider starting when you experience major life changes or acquire significant assets, such as:
- Getting married,
- Having children,
- Purchasing a home, or
- Starting a business.
Starting earlier allows you to benefit more from the estate planning process. Even if you are in your 20s with few assets, establishing a basic estate plan protects you against unexpected events and ensures someone you trust can make decisions on your behalf. process.
Benefits of Early Planning
Early estate planning provides benefits like:
- Protecting your loved ones from unexpected events, such as accidents or illnesses, that can occur at any age;
- Controlling what happens to your assets;
- Enabling you to protect your assets while qualifying for Medicaid long-term care benefits;
- Minimizing gift and estate taxes;
- Simplifying the revision and update processes; and
- Creating a record of changes you make to your plan.
Early planning also allows for opportunities to explore more complicated estate planning tools, like charitable giving strategies or establishing a family foundation.
What to Expect When You Start Early
When you start estate planning earlier in life, you may need to adjust the plan multiple times. Modifying your plan may involve updating your:
- Will,
- Trusts, and
- Beneficiary designations.
When events happen, your estate plan may no longer account for your life as it is. You may need to adjust your plan if you:
- Get married, separated, or divorced;
- Have a child through birth or adoption;
- Acquire significant property or start a business;
- Move to a different state; or
- Experience significant changes to your health or your loved ones’ health.
By default, your spouse is generally entitled to some portion of your property, so you should update your estate plan whenever your marital status changes.
Texas Tip: Texas is a community property state, meaning most assets acquired during marriage are owned equally by both spouses. Under Texas Family Code § 3.002, this distinction significantly affects how your estate is distributed. If you move to or from Texas, your estate plan should be reviewed by a Texas attorney to account for community property rules.
Estate Planning Checklist: Steps to Get Started
If you are ready to start estate planning, here is a step-by-step checklist to guide you through the process:
1. Take inventory of your assets: List your property, bank accounts, retirement accounts, life insurance policies, investments, and any debts or liabilities.
2. Identify your goals: Determine who you want to inherit your assets, who should care for your minor children, and what medical decisions you want documented.
3. Choose your key people: Select an executor for your will, a trustee if you create a trust, agents for your power of attorney, and guardians for minor children.
4. Draft essential documents: At a minimum, you need a will, a durable power of attorney, a medical power of attorney, and an advance directive.
5. Consider whether you need a trust: If you have significant assets, minor children, or want to avoid probate, a trust may be beneficial.
6. Review beneficiary designations: Check that beneficiaries on retirement accounts, life insurance, and other financial accounts match your estate plan.
7. Store documents securely: Keep originals in a fireproof safe or with your attorney, and ensure your executor and agents know where to find them.
8. Schedule regular reviews: Review your estate plan every 3–5 years or after any major life event such as marriage, divorce, a birth, or a significant change in assets.
When Should You Get an Estate Plan?
In summary, when should you get an estate plan? When do you need estate planning, and at what age should you start?
There is no perfect age to start planning, but most estate planning attorneys recommend having at least basic documents in place by age 25, and a more comprehensive plan by the time you have dependents or significant assets. You should reach out to learn more if you:
- Have one or more children,
- Get married or divorced,
- Obtain significant property interests,
- Start a business, or
- Want to leave property to anyone or anything other than your family.
Ultimately, the more property you accumulate over time, the more essential an estate plan becomes.
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Frequently Asked Questions About Estate Planning in Texas
At what age should you start estate planning?
While there is no mandatory age, most attorneys recommend starting at 18, when you can legally execute documents like a power of attorney and advance directive. By your mid-20s to early 30s, especially if you have assets, dependents, or are married, you should have a comprehensive estate plan in place.
How much does estate planning cost in Texas?
Estate planning costs in Texas vary depending on the complexity of your plan. A basic will may cost a few hundred dollars, while a comprehensive plan with trusts, powers of attorney, and advance directives may range from $1,500 to $5,000 or more. At Massingill, we offer transparent flat-fee pricing so you know your costs upfront.
Do I need an estate plan if I am not wealthy?
Yes. Estate planning is not just about distributing wealth. It also covers healthcare decisions, guardianship for minor children, and ensuring your loved ones are not burdened with a complicated probate process. Even a basic will and power of attorney provide meaningful protection.
What happens if I die without an estate plan in Texas?
If you die without a will in Texas, your assets are distributed according to the state’s intestate succession laws under the Texas Estates Code. This means the court decides who inherits your property, which may not align with your wishes. The probate process may also take longer and cost more without a will.
How often should I update my estate plan?
You should review your estate plan every 3 to 5 years or whenever you experience a major life event, such as marriage, divorce, the birth of a child, a significant change in assets, or a move to a different state. Texas community property laws make it especially important to update your plan after changes in marital status.
Contact our Estate Planning Attorneys in Austin
Estate planning earlier in life usually benefits you and your loved ones. At Massingill, our estate planning attorneys in Austin can help you create a unique plan tailored to your life, loved ones, and goals. Contact Massingill today to schedule a consultation. Let our team guide you and provide peace of mind, knowing your affairs are in order.
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Joshua Massingill
Joshua Massingill is an attorney practicing in Austin, Texas. He serves on the Texas State Bar’s Law Practice Management Committee, the Leander Educational Excellence Foundation (LEEF) Board of Directors, and the Success-Werx Board of Advisors. He mentors young entrepreneurs in Leander ISD’s INCubatorEDU program and is active in his church.
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