Most people think that estate planning is just for seniors — but that’s very far from the truth. Estate planning is something that everybody should consider as soon as they turn 18 years of age.
While many people put off estate planning until later in life, they shouldn’t. There are many reasons why this is the case.
Why does an 18-year-old need a will?
Reaching your 18th birthday is a rite of passage for most individuals here in the U.S. A person’s birthday is the day in which a parent ceases to be able to lawfully make decisions on behalf of their child. The one downside to this is that a parent can’t generally voice their child’s preferences if the adult child suffers an incapacitating injury without a health care power of attorney in place. This is why all 18-year-olds can benefit from drafting a will and other emergency documents as soon as possible.
How do marriage and divorce affect the estate planning process?
When you marry (or divorce), your assets and your preferences for how those assets will be handled after your death will likely change. You need to update your will, change your powers of attorney around and update payable-on-death designations on your insurance policies and other accounts.
How does the birth of a child affect your estate plans?
As you await the birth of your child, you should think about who you might want to appoint as their guardian if you suffer an incapacitating event or pass away, leaving you unable to care for your child. You may also want to consider funding a trust to care for their future financial needs if a guardian needs to be appointed.
Crafting an estate plan right for your stage in life
It’s always beneficial if you have an estate plan and regularly review it to ensure that it complies with existing laws and aligns with your stage in life. Experienced guidance is key to getting the right results.