Many people think of midlife or later accomplishments as signs to begin estate planning. Getting married, having children, starting a business or acquiring a home could all motivate people to establish estate plans. People facing medical challenges or preparing for retirement also frequently recognize that they need estate planning documents for their protection.
Estate planning can be important for those at the height or end of their careers. They are also very important for young adults who are just starting out in life. Young workers and college students may think they don’t need estate plans because they don’t have dependents or major assets yet.
Why do new professionals or college students need to consider establishing estate plans?
Parents cannot provide emergency support
College students and professionals just beginning their careers often rely on their parents or other close family members when they experience personal challenges. For example, young adults might expect their parents to make decisions about their medical care or to handle their financial needs if they end up in a coma after a car crash.
However, their parents likely do not have the legal authority to perform either of those tasks. Parental control over property and access to private medical records typically ends when their children turn 18. Those who have recently become adults need to actively plan for their protection in an emergency scenario.
An advance directive provides an opportunity to explain personal medical wishes. Powers of attorney can help ensure there are others capable of managing financial matters or making medical decisions.
Young adults just starting out in life may need simple estate plans that grow as they do. Creating protective documents can help limit the risk of financial hardship and other challenges if a medical emergency occurs.