Yes, you need an estate plan
Caring.com carries out annual surveys to track the percentage of adults with an estate plan. They released their findings for 2024. They found that only 32 percent of American adults are prepared from an estate planning perspective.
For millennials, the figure is about 25 percent. It is true that people between the ages 28 and 43 are less likely to die, but it still happens. As a case in point, look no further than the Kobe Bryant tragedy that included his daughter and other young people.
Parents of Dependent Children
The worst part about this unpreparedness among young adults is the fact that people in this age group are typically the parents of minor children.
If you are one of them, where would your family be if your income vanished suddenly? Who would take care of your children if both parents passed away in an accident?
You are putting your children and your partner at risk when you go through life without an estate plan.
Estate Plan Essentials
There is no one-size-fits-all estate plan that is right for everyone. This is because there are many different circumstances. At the same time, some bases must be covered regardless of your situation.
When it comes to the parents of minors, you should have a will within which you can name a guardian for your children. The financial aspect is also important. You will need to designate a person to manage assets for your minor children. You would be the trustee as long as you are alive. You can control your assets while you’re still alive. In the trust declaration you name the trustee who will manage the trust after you pass away. Life insurance is an affordable solution. Term life insurance is affordable, and a trust can be the beneficiary of a life insurance policy.
Incapacity Planning Component
The other important base that must be covered when you are establishing a rudimentary estate plan is the incapacity planning component. People sometimes become unable to communicate decisions after they have been in devastating accidents, and there are incapacitating illnesses.
From a financial perspective, you can name an agent in a durable power of attorney for property. If necessary, this person would make financial decision for you. If you have a living trust, you can designate a disability trustee to take over as the trustee in the event of your incapacity.
Advance directives are another consideration. One of these is a living trust, which records your preferences for life-support. You can also include organ and tissue donation and pain relief medication preferences.
The Health Insurance Portability and Accountability Act is in place to protect patient privacy. A provision in this measure prevents medical professionals from communicating healthcare information with anyone other than the patient.
Because of this, your healthcare decision-maker would not have the necessary information unless you include a HIPAA release in your incapacity plan.
Access Our Estate Planning Worksheet!
We have developed an estate planning worksheet that you can go through to gain a renewed understanding of this important process. There is no charge, so you should definitely take advantage of the opportunity to build on your knowledge.
To get your copy, head over to our worksheet access page and follow the simple instructions.
We Are Here to Help!
Our doors are open if you would like to work with an Oklahoma City estate planning lawyer to put a plan in place. You can call us at 405-843-6100 to schedule a consultation appointment, and you can alternately send us a message through our contact page.
We also have an office in Tulsa, and that location can be reached at 918-615-2700.
After helping his own family deal with a lengthy probate and the IRS following his father’s untimely death in a farm accident, Larry Parman made a decision to help families create effective estate plans designed to reduce taxes, minimize legal interference with the transfer of assets to one’s heirs, and protect his clients’ assets from predators and creditors Read More! Read More!
