Estate planning could be worthwhile for young people

| Aug 7, 2020 | Estate Planning

Estate planning is a top priority for many people living in Florida. The Sunshine State remains a top retirement destination, so many older residents put effort into drawing up wills, living trusts and other documents. However, young adults might also find it beneficial to spend time working on estate planning.

Estate planning could make things easier for heirs in the event of someone’s passing. Young people might not think of their mortality, but unfortunate things can occur. A young person could pass away in an accident or as the result of an unforeseen illness. What if that young person has assets such as bank accounts, a 401K, a car and a home? Estate planning could direct those assets to desired heirs.

A person need not be wealthy to plan an estate; even people of modest means may craft a will. A person who owns a vehicle worth very little money may wish to see it go to a specific individual.

Young adults may wish to think about other aspects of estate planning. Handing over durable power of attorney to a trusted family member, for example, provides an agent to handle financial affairs. Such a person would have great financial power, so selecting a trustworthy person is essential.

A living will could prove helpful if someone ends up incapacitated. For example, a living will may come into play if a person suffers a disastrous accident, leaving him or her on life support. The document would indicate the person’s wishes regarding such situations. The option exists to draw up a health care proxy, a document that puts health care decisions in another’s hands.

Estate planning assistance may be valuable to someone regardless of their financial situation or age. Taking steps to draw up various documents related to finances, health and more may make things easier for relatives and associates after an individual’s death or illness.