June can be a major month for parents of children who just recently graduated from college. While there is a sense of pride from seeing your kid finally get their degree after years of hard work, you may also feel dread knowing what they are up against next.
As they are getting their new lives sorted out, you should take the time to examine yours. Estate planning experts often recommend updating your will or trust when a major life event occurs. Most people often associate those events with themselves such as marriage, childbirth and moving states. Even though you’re not the one graduating from college and adjusting to a new life, you should consider how your child’s new circumstances affect your current estate plan.
How much does the new job make?
During their last few months at school, many college students in New Hampshire are feverishly searching through the job market to see where they can put their degrees to good use. Some may end up with a menial position to make some cash before they get the job they want, while others are fortunate to get a high-paying career that they can start right after school.
No matter which type of job your child gets, find out how much they are making and what benefits come with the position. That way, you can see how much you may need to adjust their inheritance in comparison to the other beneficiaries. It’s especially important to stay alert in their first few years after college considering how fast their positions can change during this period.
What new expenses do they have?
Your child may have a full-time job and a degree now, but there are plenty of new adult financial problems to worry about. They may move out of the house and into an apartment. They will start paying for their own groceries and gas soon. Unfortunately, there is also one in four chance that they have some student debt to pay off.
Estate planning is all about making sure you are ready for both the near and far future. Your child is independent, but they also have new needs that your estate could help with. Once the debt is paid off and they get a nice new job and home where they no longer have most of these problems, you can adjust your plan to focus on other beneficiaries.
If you need assistance in adjusting your estate to fit your child’s new needs, contact an experienced estate planning attorney.