Who needs an estate plan in 2026?
I’ve noticed that "estate" is one of those words that carries a heavy emotional and financial baggage. It sounds like something you should only care about if you’re wearing a tuxedo or debating which of your three summer homes to leave to your favorite nephew.
But let’s be clear: if you have a bank account, a car, or a modest retirement fund, you have an estate. And if you have people you love—or even just people you want to keep out of your business—you need an estate plan.
The idea that you aren't "rich enough" to plan is a persistent myth, and it’s one that often costs middle-class families more than it saves them. In fact, I’d argue that if you have a smaller margin for error, planning is actually more important for you than it is for the billionaire.
The Math of the "Small" Estate
When a billionaire loses 5% of their wealth to legal fees or court delays, they’re still a billionaire. But when a middle-class family loses $20,000 to probate costs and six months of frozen assets because there was no plan, that can be a catastrophic hit.
It’s an unfortunate reality that the "default" plan provided by the state—which is what you get if you do nothing—is designed to be slow, public, and expensive. It doesn’t care about your family’s unique dynamics or the fact that your spouse might need immediate access to your joint savings to pay the mortgage.
It’s Not Just About the Stuff
Recently, I’ve started to wonder why we focus so much on the money aspect of estate planning when the most critical parts have nothing to do with your net worth.
If you have minor children, an estate plan is the only way you get to decide who raises them if you can't. Without a Will, that decision is handed over to a judge who has never met your kids. That’s not a wealth issue; that’s a legacy issue.
Furthermore, a significant part of "estate planning" happens while you are still very much alive.
Healthcare Directives: Who makes medical decisions if you’re in a car accident?
Power of Attorney: Who pays your bills if you’re temporarily incapacitated?
If you aren't "rich," you likely don't have a team of private assistants to manage these crises. You need a legal document to empower the person you trust.
The 2026 Reality
As we look at the data in 2026, the world is undoubtedly getting wealthier in the aggregate, but it’s also getting more complex. We have digital assets, blended families, and retirement accounts that pass by contract rather than by Will.
We’ve been told that estate planning is a luxury service. That simply is not true. It is a fundamental piece of financial hygiene.
None of this is to suggest that you need a 50-page trust document and a team of high-priced attorneys. For many, a simple Will and updated beneficiary designations are 90% of the battle. But staying the course requires knowing where the ship is headed. Ignoring the plan because you think your "estate" is too small is like refusing to wear a seatbelt because you aren't driving a Ferrari.
If you’re still convinced you don’t have enough to worry about, let’s do a quick inventory of what you actually stand to protect. You might be surprised.