If you’re the first person in your family to build real wealth, nobody sat you down at the kitchen table and walked you through the family trust. There was no family trust. There may not have been a will. And there was definitely no one to call when you started wondering who would raise your kids if something happened to you.

I know that feeling well. My family and I came to America when I was 8; none of us knew English, and we had to figure things out as we went along. Money was scarce, so estate planning or talking about money wasn’t even a topic. As I grew older, I realized how important these conversations truly were through different stages of life. Such as my first paycheck, college expenses, buying my first car, etc.  Before joining Zenith, I worked as a Trust Advisor in PNC Bank’s Private Client division. I spent my days with families whose estate plans had been passed down and polished over generations. Many of the first-gen clients I work with now are building that same kind of plan from a blank page.

That blank page can feel intimidating, but it’s also an opportunity. You get to design a plan around the family you actually have: the kids you’re raising, the parents you’re helping, and the values you want to carry forward. Here’s where I suggest starting.

Why do first-generation wealth builders need an estate plan?

An estate plan is a set of legal documents that says who makes decisions for you if you can’t, who cares for your children, and where your assets go when you die. For first-generation wealth builders, it also replaces the family playbook you never received, so the people you love aren’t left guessing.

In my experience, first-gen clients often put this off for one reason: estate planning can feel like it’s only for families that already have “generational wealth.” But a plan isn’t a reward for reaching a certain net worth. It’s how you protect what you’ve built so far, and how you make sure it’s handled the way you’d want.

A basic plan usually includes:

• A will, which names an executor, directs assets that pass through probate, and, importantly for parents, nominates a guardian for minor children.
• Beneficiary designations on retirement accounts and life insurance, which generally pass outside your will, so keep them current. This means that beneficiary designations will supersede any of your estate documents.
• A durable financial power of attorney, which names someone to manage your finances if you can’t. This ceases to exist after your passing. 
• A health care directive or health care power of attorney, which names someone to make medical decisions and records your wishes.
• A trust, when it fits, which can add structure for how and when assets reach your kids or other loved ones.

How do I choose a guardian for my young children?

When a parent cannot care for their minor child or is deceased, a court appoints a guardian based on what it determines is in the child’s best interests. Putting your choice in writing gives the people involved clear direction about your wishes. (Cornell Law School’s Legal Information Institute)

For many of the first-gen parents I talk with, this is the hardest decision in the whole plan. Sometimes the obvious choice in your family isn’t the right fit, or the person you trust most lives across the country. Sometimes cultural expectations shape who “should” step in. Those conversations are worth having now, while you can explain your reasoning.

A few things I suggest thinking through:

• Two roles, not one. The person who raises your children (the guardian) doesn’t have to be the person who manages their money. Some parents name someone else, or a trustee, to handle the finances.
• Values and logistics. Consider parenting style, faith or cultural values, age and health, where they live, and whether your kids would need to change schools.
• A backup. Name an alternate in case your first choice can’t serve.
• Ask first. Talk to the people you’re naming before you sign anything. It’s a big ask, and they deserve a say.
• A letter of intent. A non-binding letter can share what matters to you: routines, traditions, relationships with grandparents, and how you hope your kids will be raised.

What is a trust, and do I need one?

A trust is a legal arrangement in which one person (the trustee) holds and manages assets for the benefit of others (the beneficiaries), following instructions you write. You don’t need to be ultra-wealthy for a trust to be useful. For parents of young children, it’s often less about taxes and more about control and timing.

The two terms you’ll hear most:

• Revocable living trust. You set it up during your lifetime and can usually change or revoke it. t can help manage your assets if you become ill or incapacitated and can help your family avoid probate. It doesn’t reduce estate taxes because you keep control. (American Bar Association)
• Irrevocable trust. Generally can’t be easily changed once it’s created. It’s typically used for more specific goals, such as certain tax, asset protection, or charitable strategies, and it deserves careful advice.

For first-gen families, a trust can let you say things like “use this money for education and health, and give my kids access in stages at ages 25, 30, and 35.” That kind of structure can matter a lot when a child is about to receive more money than anyone in the family has managed before.

One step people often miss is funding the trust, meaning retitling accounts or updating beneficiary designations so the trust actually holds or receives the assets. A trust that’s signed but never funded may not do what you intended.

How can I support my parents while planning my own estate?

Start by including your parents in your overall plan. That means helping them get their own basic documents in place, deciding what support you can give without derailing your goals, and writing down what should happen to that support if you’re no longer able to provide it.

Many first-gen wealth builders are part of the “sandwich generation.” Pew Research Center found that 54% of U.S. adults in their 40s have a parent age 65 or older and are either raising a child under 18 or financially supporting an adult child. 

Here’s how I suggest approaching it:

• Help your parents name decision-makers. If a parent can’t manage their affairs and has no power of attorney, a court may need to appoint a guardian or conservator, and the family may not get to choose who serves. (American Bar Association)
• Know what they have. Make a simple list together: accounts, insurance, benefits, debts, and where important papers are kept. If a parent receives Social Security and can’t manage it, the Social Security Administration can appoint a representative payee.
• Decide your number & plan for the gap. Set a sustainable monthly or annual amount you can give, and build it into your own plan the same way you’d plan for any other goal. If your parents rely on you, consider how that support continues if something happens to you.
• Mind the gift rules. The IRS annual gift tax exclusion is $19,000 per recipient for 2026, and tuition or medical expenses you pay for someone generally aren’t treated as taxable gifts. Large or ongoing support is worth reviewing with a tax professional.

The cultural piece matters too. In some families, talking about death or money is uncomfortable, or it’s expected that the eldest child will handle everything quietly. You can honor those values and still put things in writing.

How do I start an estate plan from scratch?

Start with an inventory and a short list of decisions, then work with an estate planning attorney to put them in writing. You don’t need every answer before your first meeting.

1. List what you own and owe. Bank and investment accounts, retirement plans, equity compensation, real estate, life insurance, business interests, and debts.
2. Check your beneficiary designations. Confirm that retirement accounts and life insurance name the people (or trust) you intend, with backups.
3. Choose your people. Name a guardian and alternate for your children, an executor, a financial power-of-attorney agent, a health care agent, and, if you use a trust, a trustee.
4. Decide how and when your kids should receive assets. All at once at 18, or in stages with a trustee’s help?
5. Talk with your parents about their documents and any support you provide.
6. Meet with an estate planning attorney to draft the documents. A financial planner can help you organize the numbers and coordinate the plan with your investments and insurance.
7. Fund and maintain it. If you create a trust, retitle assets, store documents where your people can find them, and review the plan after major life events such as a birth, marriage, divorce, move, or new job.

Frequently asked questions

Do I need an estate plan if I don’t have a lot of money? Yes, if you have children, parents who rely on you, or anyone you’d want to make decisions for you. Guardianship, powers of attorney, and health care directives matter at any net worth.

What happens if I die without naming a guardian for my kids? If no parent can care for a minor child, a court appoints a guardian based on the child’s best interests (Cornell LII). Naming your preferred guardian and an alternate in your estate plan clearly states your wishes.

Is a will or a trust better for a young family? It depends on your situation. A will nominates a guardian. A trust can add control over how and when your children receive assets. Many families use both.

Can I leave money directly to my minor child? In most states, people under 18 are presumed unable to manage their own legal and financial affairs (Cornell LII). A trust or a custodial account under the Uniform Transfers to Minors Act lets you name an adult to manage your child’s assets.

How do I help my parents with their estate planning? Start with the basics: a durable power of attorney, a health care directive, a will, and an up-to-date list of their accounts and documents. Encourage them to work with their own attorney.

How often should I update my estate plan? Review it after major life events, such as a new child, marriage, divorce, move to another state, or a significant change in assets, and check beneficiary designations at least every few years.

You get to write the first chapter

Being the first in your family to build wealth comes with real pressure, but it also means you get to define what a family legacy looks like. The plan you start now doesn’t have to be perfect. It just has to exist, and you can refine it as your family and finances grow.

If you’re a first-generation wealth builder thinking through guardianship, trusts, or how to support your parents, I’d be glad to talk it through. Schedule a call today!

Works Cited

• AARP and National Alliance for Caregiving. Caregiving in the US 2025. AARP, 24 July 2025, doi.org/10.26419/ppi.00373.001.
• “Frequently Asked Questions on Gift Taxes.” Internal Revenue Service, www.irs.gov/businesses/small-businesses-self-employed/frequently-asked-questions-on-gift-taxes. Accessed 8 Oct. 2026.
• “Guardian.” Wex, Legal Information Institute, Cornell Law School, www.law.cornell.edu/wex/guardian. Accessed 8 Oct. 2026.
• Horowitz, Juliana Menasce. “More than Half of Americans in Their 40s Are ‘Sandwiched’ between an Aging Parent and Their Own Children.” Pew Research Center, 8 Apr. 2022, www.pewresearch.org/short-reads/2022/04/08/more-than-half-of-americans-in-their-40s-are-sandwiched-between-an-aging-parent-and-their-own-children/.
• Lurie, Victoria. “2025 Wills and Estate Planning Study.” Edited by Matt Whittle, Caring.com, 17 Sept. 2025, www.caring.com/caregivers/estate-planning/wills-survey/.
• “Managing Someone Else’s Money.” Consumer Financial Protection Bureau, www.consumerfinance.gov/consumer-tools/managing-someone-elses-money/. Accessed 8 Oct. 2026.
• “Power of Attorney.” American Bar Association, www.americanbar.org/groups/real_property_trust_estate/resources/estate-planning/power-of-attorney/. Accessed 8 Oct. 2026.
• “Representative Payee Program.” Social Security Administration, www.ssa.gov/payee/. Accessed 8 Oct. 2026.
• “Revocable Trusts.” American Bar Association, www.americanbar.org/groups/real_property_trust_estate/resources/estate-planning/revocable-trusts/. Accessed 8 Oct. 2026.
• “Uniform Transfers to Minors Act (UTMA).” Wex, Legal Information Institute, Cornell Law School, www.law.cornell.edu/wex/uniform_transfers_to_minors_act. Accessed 8 Oct. 2026.
• Fahmin Fardous, CFP® | Zenith Wealth Partners

All written content is for information purposes only. Opinions expressed herein are solely those of Zenith, unless otherwise specifically cited. Material presented is believed to be from reliable sources and no representations are made by our firm as to another parties’ informational accuracy or completeness. All information or ideas provided should be discussed in detail with an advisor, accountant or legal counsel prior to implementation.