Estate Planning Myth: I’m Too Young for Estate Planning

When should you start planning for your death or final illness? Do you need to have a substantial estate, or could you start sooner? Is it an estate planning myth that you can be too young for estate planning? Here is how young people, couples, and families can benefit from creating an estate plan early in life, and some tips on what to include.

When Should You Get an Estate Plan?

One common estate planning myth is that you don’t need to start planning for your estate until you get old. It is very common for young adults and newer couples to put off speaking to an estate planning attorney or even considering what they want done when they die, simply because they assume they can do it later. The reality is it is almost never too early to start making preparations. Even college students and single young adults can benefit from some of the documents included in common estate plans.

The only real requirement around what age you should consider estate planning is that you must be a legal adult to sign your Last Will and Testament. Parents or guardians make decisions on behalf of their children, even when they are healthy. In the very unfortunate event that a child or teenager dies or is unable to express their medical preferences, their parents or guardians will also be the ones to decide what happens to their (generally few) assets and how their medical treatment will be handled.

Why You Should Start Your Estate Planning Early

There are a few reasons why you are not too young for estate planning, even if you think you are. The most obvious reason is that you cannot know for certain when or how you will die. Accidents happen and fatal illnesses and injuries are often unexpected. Having your estate plan ready well before you need it gives you the piece of mind to know if something does happen, your interests and assets will be protected.

The other reason to start your estate planning early is that a complete estate plan isn’t just about what happens when you die. It is also about how to handle your affairs if you are not able to do so yourself. Powers of attorney, healthcare directive, and HIPAA waivers all serve a purpose during your lifetime. The documents may become helpful if you:

• Have surgery
• Travel abroad for an extended period of time
• Experience a serious but temporary medical or mental health condition
• Are away from home for college or to serve in the military

By designating specific people that you trust (including your parents if you choose) to handle your affairs, you can make sure you are covered if the worst happens, or if you are temporarily incapacitated or unavailable.

Estate Planning for Young Adults

Young adults, especially college students, can benefit from completing an estate plan soon after becoming a legal adult. When teenagers turn 18, they become legal adults and their parents can no longer make decisions for them. But some young adults still need or want their parents’ help handling day-to-day financial and medical affairs. A durable power of attorney and designation of a healthcare surrogate can allow your parents (or any other person you choose) to:

• Make medical appointments for you while you are in college
• Pay bills on your behalf easily
• Guide you in medical decision making by talking to your doctors
• Transfer money into your bank accounts for use while deployed or traveling overseas

Young adults may not have many assets to divide in a will, but that doesn’t mean they shouldn’t have one. Before you are married or have children, it may be unclear who will inherit your belongings after you die. Especially, if your parents have already passed away, identifying your next of kin may make your probate estate more complicated. Resolving that question if you die without a will could use up your limited resources in court fees, rather than passing them on to those you care most about.

Estate Planning for Young Families

Once you have a child you have additional reasons to start your estate planning. Your will can and should include a guardian designation to name the person or people you want to care for your children after your death. A guardian designation will not prevent your child’s other parent from assuming custody, but it will give the Connecticut probate court a guide to who should come next in order of priority if you are a single parent or something happens to both your child’s parents at once.

Young parents can also use estate planning tools to make sure their money goes to supporting their children when they need it most. When money or assets are awarded to a child in a will, the Connecticut probate court will designate a trustee to manage that money on their behalf. You can name that trustee yourself, and create a living revocable trust or roll-over trust that will give your child (and their caretakers) access to funds more easily than going through a lengthy probate process after your death. Having separate trustees and guardians will also make sure no one takes advantage of your child after you are gone.

Get Help Creating an Estate Plan

Connecticut has laws that control how estate planning documents are completed and executed which you may not know as a young adult. To make sure your wishes are honored, work with an experienced estate planning attorney now to create and execute an estate plan that will set you and your family up for success in the future. The Connecticut estate planning attorneys at Lawrence & Jurkiewicz, LLC represent clients in Hartford and Litchfield Counties. Please call us at (860) 264-1551 or contact us at your convenience to discuss your estate plan and prepare your last will and testament.