Estate planning is not likely to be a high priority for most recent high school graduates. It should be.
Most high school graduates have going to college or getting a job on their minds. They do not often think about possibly passing away and, therefore, creating an estate plan. That is natural as they are young and expect to live long and healthy lives.
Nevertheless, it actually is important that recent graduates get a basic estate plan as the Union Leader points out in "High School Graduates Have Estate Planning Needs."
According to the original article, recent high school graduates should do the following:
- Have Powers of Attorney Drawn Up – If a young person gets in an accident, it is important that someone be legally able to manage both their financial and medical affairs. Once a person turns 18 (in most states) parents can no longer do so without a general durable power of attorney and a health care power of attorney.
- Consider a Living Will – If a young person gets in an accident or gets seriously ill, he or she may not want doctors to take extraordinary steps to lengthen their life when there is no hope for eventual recovery.
- Get a Will – Most younger adults do not need a complicated will. However, a simple will is always advisable as it allows the recent graduate to decide who will get the possessions they do have and who will be in charge of wrapping up their affairs.
- Consider Life Insurance – If a recent graduate plans on getting private student loans, life insurance can be used to pay off the loans should something happen to the graduate.
A qualified estate planning attorney can help prepare an appropriate estate plan for your young adult.