To many people, estate planning is a process that only requires addition after the achievement of certain milestones. Many people anticipate creating estate plans when they become parents or homeowners. Others think of estate planning as critical for those preparing for retirement.
While it is beneficial for those with valuable assets or dependent family members to estate plan, people who are just starting out in life may also need the support of an estate plan. Many professionals recommend that young adults who have just reached adulthood create basic estate plans. Young adults headed to college and those starting their careers could benefit from drafting estate plans, as they are more vulnerable than they may initially realize.
Emergencies leave people in vulnerable positions
Young adults have typically lived their lives with consistent access to familial support. Their parents are available to help them make medical decisions and to support them if something unexpected happens. While their parents may still be present to offer practical and emotional support in an emergency, they may no longer have the legal authority to intervene on behalf of an adult child.
When a young adult becomes a legal adult on their 18th birthday, their parents lose key forms of legal authority. Parents can no longer access and control the resources of their adult children after their 18th birthdays in most cases. Additionally, they no longer have access to their child’s medical records. They also lack the authority to make decisions about an adult child’s medical care.
As such, young professionals and college students may want to establish estate plans that focus on emergencies. Planning for incapacitation can help ensure that college students and professionals have support if they end up in the hospital and are unable to communicate with others.
Powers of attorney can extend legal authority to parents or other trustworthy adults. Advance directives can explain personal preferences regarding medical treatment in an emergency scenario. Even young professionals who do not have any dependent family members and who have yet to acquire valuable property generally require a basic estate plan in case of a medical emergency.
Creating estate planning documents early and then updating them as life circumstances change can give people protection in a broad array of different challenging circumstances. Young adults are among those who may benefit from sitting down to establish an estate plan.
