Estate Planning for Young Adult Children
Posted on March 24, 2025 by Teresa Tallarita
The job of parenting can be consuming with the drive to protect children in all circumstances, including the unthinkable. However, the topic of estate planning for children still looms large on the mind of most parents. Estate planning clients of young-adult children often express concerns about ensuring their children are cared for in the event of an emergency, but they often fail to realize the importance of encouraging their adult children to plan for similar emergencies. Young adults graduating high school, heading off to college, and/or starting their adult lives and establishing independence are afforded responsibilities and privacies under the law. These newly established rights can cause major concerns for young adults and their families in the event of an emergency especially if they have failed to consider their personal estate planning.
Parents typically have limited access and rights to help their adult children when certain critical estate planning documents are not in place. To help address this gap, some key documents to discuss with and to have your adult children implement are:
Durable Power of Attorney for Health Care
Illness or injury can strike anyone regardless of age. If a young adult is unconscious or incapacitated, a health care agent designated under a Medical Power of Attorney allows a trusted individual to make health care decisions and authorize medical treatment for the young adult in crisis.
Authorization for Disclosure of Health Information
The federal Health Insurance Portability and Accountability Act (HIPAA) severely restricts medical professionals’ abilities to provide information to anyone other than the patient. This can be problematic for college students or young adults who are still covered by the parent’s insurance plans. When a young adult designates a Healthcare Agent and executes a medical release form, the adult authorizes a trusted agent to discuss treatment and medical issues as well as help with any insurance or billing issues.
Advanced Directive to Physicians
While the idea of a young adult facing a terminal condition or vegetative state is unthinkable, the reality of facing such a situation without proper preparation would be even more disastrous. If a young adult were to face such an unfortunate situation and be unable to communicate any desires for medical treatment, having an Advanced Medical Directive could help provide a voice. The Advanced Medical Directive allows someone to specify, in advance, whether the individual wants medical interventions to prolong life. Advanced Medical Directives can also help relieve family and loved ones of the additional uncertainty and anguish in what are already difficult circumstances.
Durable Power of Attorney for Assets
While the Health Care Power of Attorney designations and Advanced Medical Directive cover medical issues, allowing agents to make medically related decisions for someone who is incapacitated, young adults still have financial issues to be dealt with. A Durable Power of Attorney for Assets enables an agent to handle financial matters, including the paying of bills, accessing accounts, and handling legal matters. If, for example, a college student was to get into an accident and be heavily sedated or incapacitated for a period of time, severe financial consequences may result as bills go unaddressed and become delinquent thereby compromising one’s credit. If a young adult authorizes a trusted agent, an agent could be empowered to address financial and/or legal matters as needed.
The estate planning team at Lasher is available to help customize and establish essential documents to help protect the young adult in your life.
