It’s graduation season, and 18-year-olds everywhere are celebrating their newfound freedom as young adults. Since they believe they’re invincible, they likely haven’t given any thought to their estate plan. Since they’re broke, you likely haven’t given much thought to it either. But young adults can still get hurt or sick, and since they’re (technically) adults, you won’t be able to help them as easily as you did before. Given that, there are three documents your 18-year-old will need for their estate plan just in case their life is not all sunshine and roses:
- Advance Health Care Directive
An Advance Health Care Directive informs doctors about whom they are allowed to speak to regarding a patient’s care. Without it, doctors may be unwilling to share medical information, even with a young adult’s parents. This document also has a section detailing the kind of care the person wants to receive, for example, if they want to be kept on life support if they are in a permanent coma.
- Power of Attorney
The Power of Attorney document gives the named agent the authority to manage a person’s finances. If a young adult is in the hospital, the agent can make sure their bills are paid until they’re back on their feet.
- Will
In the worst-case scenario, someone needs to settle the young adult’s estate. A Will appoints someone to take on this task, and tells everyone to whom the estate should be given. Since a young adult’s estate is likely very modest, the Will doesn’t need to be complex, but it will still make things easier to have one. And it will help make sure their wishes are followed.
Executing these three documents will bring your graduate one step closer to becoming a real adult. And it will help them proactively be prepared, a lesson that will serve them well in the future, and help you to protect your child even when they are an adult. If you would like help putting these documents together to create an estate plan for your 18-year-old (or older because it’s never too late to be prepared), you can contact me at kaway@kawaylaw.com.
