Estate Planning for Families with College Students: A Crucial Step

As your child heads off to college, it’s a bittersweet moment filled with pride and excitement. However, it’s also a time when families need to consider an often-overlooked aspect: estate planning. Many parents assume that estate planning is only necessary for older individuals, but when your child becomes an adult (at age 18!), their circumstances change. Proper planning ensures that both you and your college student are protected and prepared for the unexpected.

A Scenario to Consider

Imagine this: Lisa is a bright, ambitious college sophomore who has just moved into her dorm. One evening, she gets into a serious accident and is hospitalized. As her parents, Mark and Jessica want to be involved in her medical decisions, but they quickly realize that Lisa is now considered an adult. Without proper documentation, they are unable to access her medical records or make decisions on her behalf, leaving them feeling helpless during a crisis.

Why Estate Planning is Essential for Families with College Students

Here are five key reasons why families with college students should prioritize estate planning:

1. Healthcare Decisions: Once your child turns 18, they can make their own medical decisions. Establishing a healthcare proxy and durable power of attorney allows you to make medical choices for your child if they are unable to do so.
2. Access to Information: Without proper legal documents, you may not have access to your child’s medical or educational records. This can create complications during emergencies or even for routine issues.
3. Financial Management: Setting up a power of attorney allows you to manage your child’s finances if they become incapacitated. This is especially important if they are dealing with student loans or other financial obligations.
4. Student Loans and Debt: Estate planning helps clarify how your child's debts, such as student loans or credit cards, will be managed. This ensures that responsibilities are clear and handled appropriately.
5. Legacy Planning: Estate planning isn’t just about what happens in emergencies. It’s also about teaching your child financial responsibility and discussing their goals for the future, including potential inheritance.

Ready to start planning?

Estate planning for families with college students may not seem urgent, but it is an essential step to ensure your child’s well-being. By preparing for the unexpected, you can provide your family with peace of mind and the ability to navigate challenging situations together. Don’t wait until it’s too late; take action now to protect your college student and secure their future.

Reach out to schedule your complimentary 15-minute call today.