Once you turn 18, you are an adult in the eyes of the law. This might be somewhat difficult to accept because you might still be in high school and living at home.
Most 18 year-olds aren’t thinking about estate planning and retirement, that is something they might get to in a few years. But there are several reasons why young adults need estate planning. Goldberg and Associates, your retirement planning service in Atlanta, offers reasons why young adults need estate planning.
Responsible for Others
If you are a young adult with children, estate planning is a must. This is the way you designate a guardian for your children and set up financial support for them.
What happens should you become seriously injured or disabled? If you are 18 years old or older, your parents no longer can make decisions for you. Estate planning would ensure you have someone set up who can make decisions for you in the event of such an emergency.
In the event of your sudden and tragic death, you could leave behind a significant amount of debt. And although some debt may be forgiven upon death, this is not always the case. It would be a shame if, say, your student loan debt would fall on a family member. Estate planning helps alleviate many of these burdens.
You might not have tens of thousands of dollars in assets, but you do have assets. If your mother hasn’t thrown them out, your comic book collection could be worth some money.
Also, you probably have a vehicle, clothes, furniture, jewelry and a bunch of electronics that need to be distributed. You might even have assets that you share with others. All assets need to be protected and the best way to do this is through estate planning.
Fees and Taxes
A good estate plan can save you money on court costs, fees and taxes. These savings are even more critical for a small estate than a large estate. More often than not, young people have the greatest need to save money.
Your Favorite Charities
Having an estate plan in place means that you can donate to your favorite charities. Without a plan, your charities wouldn’t get any money.
You may not think of an inheritance as an asset, especially if it is held in trust for you, but without an estate plan, the disposition of that money will be complicated and slow for any surviving members of your family.
If something unthinkable would happen to you, you have no idea what would happen to your beloved pet or pets. It is a good idea to plan ahead for your pet.
Social Media Accounts
Many young adults spend a lot of time on their social media accounts. But what happens to those accounts should tragedy strike? Without instructions from you, nobody would know what to do with your Facebook and Instagram accounts.
If you are wondering if an estate plan is right for you, contact Goldberg and Associates today.