Wills, trusts and powers of attorney are often thought of as legal tools that are only useful to elderly individuals. However, the truth is that estate planning can be useful for adults at every stage of life.
In Texas, as soon as you turn 18 years old, you can draft an estate plan. Below is a brief overview of estate planning at different stages of adulthood.
Estate planning in the late teenage years
Why would a teenager need an estate plan? While the teenage years are typically viewed as a more “carefree” stage of life, this shouldn’t be taken literally. Teenagers acquire assets and powers to make legal decisions on their own behalf as soon as they reach 18 years of age. But what happens if something unexpected occurs?
Teenagers are not immune from illnesses or accidents. Should the unexpected happen, teenagers must have someone to look after their interests. For example, a power of attorney can be created so an agent can make healthcare choices and financial decisions on that teen’s behalf.
Family planning in your 20s and 30s
Many adults have children in their 20s and 30s or at least a long-term partner. Even if neither happens, people in their 20s and 30s tend to have developed strong bonds with friends and family members.
Having an estate plan at this age allows assets to go to the right people should something unexpected happen. Furthermore, parents can name guardians in their will. These are individuals who take care of the children should something happen to their parents.
Estate planning in later years
When people reach their 60s and 70s, they tend to think about retiring, and even what will happen once they are no longer around. Real estate, businesses, savings, retirement accounts and life insurance policies are all factors that can be included in an estate plan. Having a sound plan in place can allow people to enjoy their advanced years without worrying too much about how loved ones will cope when they are no longer around.
Whatever stage of life you are at, an estate plan can be useful. Seeking legal guidance will provide you with much more information.
