ESTATE PLANNING FOR YOUNG ADULTS
Jan. 18, 2022
Many young adults assume that they do not need an estate plan at such a young age. This is evident from estate planning statistics among young adults. According to SeniorLiving.org, one in four people aged 18 to 29 believes they do not need an estate plan or are unsure if they need one.
“I do not have children or significant assets to protect, so estate planning can wait,” they think. However, the notion that only older people can benefit from having an estate is not correct. Understandably, planning for your death or incapacity is not the most pleasant or fun thing to do in your 20s.
However, setting up an estate plan is essential regardless of your age or wealth. The skilled estate planning attorney at the Law Office of Rodney Gould works with clients of all ages, from 18 years old to 80s, 90s, 100s. With an office in Sherman Oaks, California, Mr. Gould provides personalized service and efficient guidance to those who need an estate plan. The law firm also serves clients in Los Angeles, Sherman Oaks, Beverly Hills, West Hollywood, and Studio City, California.
At What Age Should You
Consider Having an Estate Plan?
There is no particular age at which you should start planning for your death or disability. However, there is a common misconception that you should consider having an estate plan once you turn 50 or accumulate substantial wealth.
In reality, it is essential to have an estate plan regardless of your age, wealth, health, and marital status. For this reason, even young adults in their 20s should consider creating an estate plan regardless of whether they are married or single, working or studying, living with parents, or moving out. Once a young adult has established an estate plan, they can review and update it every three to five years to keep it current and accurate.
Why Do Young Adults
Need an Estate Plan?
Like their older counterparts, young adults can benefit from establishing a comprehensive estate plan. With an estate plan, young adults can manage their assets, specify their end-of-life wishes, and protect themselves and their loved ones in the event of incapacity.
Anyone who reaches the age of majority (18 in California) becomes responsible for healthcare and financial matters. With adulthood come many obligations and responsibilities. Many young adults in their 20s and 30s go through many major life events such as taking out a student loan, buying a house, getting a mortgage, graduating from college, getting married, etc. These major life events make estate planning more critical.
Essential Documents in
a Young Adult’s Estate Plan
Most young adults do not have significant assets, which is why establishing an estate plan will not be as complicated as for older adults. The documents that young adults need as part of their estate plan depend on their needs and circumstances. Generally, some of the most important estate planning documents for almost every young adult include:
Advance Health Care Directive. Accidents happen to everyone regardless of age. That is why having an estate plan is essential for everyone, even young adults. This legal document spells out the type of medical care the individual would and would not want to receive when they can no longer communicate their wishes. It also appoints a person who would have the legal authority to make important decisions about the young adult’s medical care. The document does not come into effect until the young adult becomes incapacitated.
Financial power of attorney. This legal document appoints a person who would have authority to manage the young adult’s financial and business matters in the event of their incapacity. This is especially important when someone needs to handle insurance issues.
Last will and testament. A will is used to outline a young adult’s wishes regarding the distribution of assets and the appointment of a guardian for minor children.
Let the Law Office of
Rodney Gould Help
If you are a young adult who needs legal assistance with estate planning, you must speak with an attorney to guide you through the process of setting up an estate plan. The Los Angeles, California, estate planning attorney at the Law Office of Rodney Gould helps create an estate plan tailored to each client’s age, needs, and circumstances. Discuss estate planning for young adults with Mr. Gould by reaching out to our office. He serves clients also in Sherman Oaks, Beverly Hills, West Hollywood, and Studio City, California.