Alternate Title: How to Secure the Bag (Forever)

Okay, let’s be real—when you hear terms like life insurance, trusts, or estate planning, your first thought probably isn’t, “Wow, this is thrilling!” It’s more like, “Why would I need to worry about that now?” Totally fair. But hear me out: once you start building wealth (and you will), you’ll want to keep it. Not just for yourself, but for the people you love too.

Let’s break this down in a way that actually makes sense—and might even help you help the adults in your life while you’re at it.

Life Insurance: The Ultimate Backup Plan

Life insurance is basically a financial safety net. If something unexpected were to happen to you (morbid, I know), it ensures that the people you care about don’t have to stress about money on top of everything else.

Here’s how it works:

You buy a life insurance policy and name your beneficiaries (basically the people who would get the money). When you pass away, the insurance company pays them a lump sum called a death benefit (Investopedia, n.d.). That money can help them pay for things like:

• Rent or mortgage

• Groceries and bills

• School tuition

• Paying off loans or debt

Sometimes, it even helps cover estate taxes—which can be a thing when passing on property or money (Bankers Life, n.d.). The point is- it’s a way to make sure your people are okay, even if you’re not there to help them directly.

Trusts: A Fancy Word for “Here’s How I Want My Stuff Handled”

Think of a trust like a rulebook for your money and property. You set it up with instructions: Who gets what, when they get it, and how. You can even say things like, “My niece can’t access this money until she graduates college,” or “Give my little brother $1,000 a year starting at age 25.”

Here’s why people love trusts:

• They can protect your money from creditors (EstatePlanning.com, n.d.).

• They help your stuff get to the right people faster and with fewer legal hoops.

• You can avoid family drama because you’ve already laid out the plan.

Trusts are especially helpful if you want your legacy to support future goals, like education or business building, without just handing someone a pile of cash.

Estate Planning: Organizing Your Legacy (So It’s Not a Hot Mess Later)

Estate planning sounds complicated, but it’s really just organizing what happens to your stuff after you’re gone. That includes life insurance, trusts, wills, and maybe even choosing someone to make decisions for you if you can’t. It’s your way of saying, “Here’s what I want done with what I’ve worked for.”

An estate planner (a professional who helps people with this stuff) can:

• Make sure your loved ones get more of your money and pay less in taxes (Finance Strategists, n.d.).

• Help you set up donations to causes you care about.

• Protect your family business or property for future generations (Reuters, 2024).

Even though you probably won’t need an estate plan for a while, understanding this stuff early puts you ahead of the game—and might even help you start convos with your family.

TL;DR: Build Wealth. Protect It. Pass It On.

Here’s the big picture:

• Life insurance helps your people stay financially stable if you’re not around.

• Trusts give you control over how and when your wealth is shared.

• Estate planning ties it all together and makes sure your legacy lives on the way you want it to.

You don’t need to set all this up right now—but knowing what it is and how it works? That’s power. It’s how you go from just getting the bag to keeping it, growing it, and passing it on.

And trust me, future-you (and your future family or community) will thank you.

Bonus Tip: Create Your Future You Vision Board

Okay, so maybe you're not buying life insurance tomorrow—but that doesn’t mean you can’t start planning for the life you want. Try this: Make a "Future You" Vision Board

Include things like:

• The type of house you’d love to own

• The car you dream of driving

• Places you want to travel

• The causes or charities you’d like to support

• What you’d want to leave behind for family or community

Why this matters: Visualizing your goals makes them feel real. Once you know what you’re working toward, it’s easier to understand why things like life insurance or estate planning might matter down the line. This is how people turn dreams into plans—and then into reality.