If you are a parent of young children, you undoubtedly want to protect and provide for your children in your estate plan. Doing so requires careful planning and a well thought out and constructed estate plan. To help you get started, Nashua estate planning attorneys at DeBruyckere Law Offices discuss estate planning concerns for parents with young children.
Why Is Estate Planning for Parents with Young Children Necessary?
As a parent you will undoubtedly focus much of your energy and efforts at creating a stable and financially secure life for your children. You will also try to pass down your wisdom, ideals, and belief system to your children. While you are present and capable of doing so, you will ensure that your children are protected and loved. What happens, however, if you are not here one day or you are no longer capable of caring for your children? Without an estate plan in place the answer to that question is less than certain.
One of the first problems is that your minor children cannot legally inherit from your estate in the event of your death. Consequently, someone must manage the assets you leave behind for them. Your estate plan is your opportunity to decide for yourself who that person will be. It is also your opportunity to create guidelines and rules to be followed regarding how that inheritance can be spent. Furthermore, if your children are minors, they will need a legal guardian if the worst were to occur and neither parent is able to care for them. Again, your estate plan offers the only formal method of telling a judge who you want to act as your child’s guardian.
Eventually, your children will become adults; however, that does not diminish the need for careful estate planning. Though your children may stand to inherit through intestate succession, you probably want specific assets to be passed down to specific beneficiaries, hence the continues need for an estate plan. Making your wishes clear also greatly diminishes the likelihood of litigation when your estate goes through the probate process following your death. Finally, your estate plan allows you to express your wishes regarding end of life medical treatment as well as funeral and burial planning. Without an estate plan in place to provide guidance on these issues, your adult children may be unsure of your wishes and not know how to proceed. If they don’t agree on how to proceed, a costly and divisive court battle may ensue that could cause a rift in the family for many years to come.
What Estate Planning Tools Might a Parent Need?
Fortunately, many of the most basic estate planning tools and strategies can be used to provide you with the peace of mind that every parent wants and needs. Starting with your Last Will and Testament, you can ensure that specific assets are passed down to the beneficiaries of your choosing. You will also be able to appoint your Executor and nominate someone to be your children’s guardian if one is ever needed. While your children are minors, a trust can be established to protect and manage the inheritance you leave behind for your children. As the Settlor of the trust, you choose the Trustee who will manage the trust assets and administer the trust using the terms you create. That same trust can be used to stagger your children’s inheritance when they become adults to avoid the problems often associated with a sizeable lump sum inheritance. Once they are adults, including an advance directive and funeral planning in your estate plan ensures both that your wishes will be honored at the end of your life and that your children will not be forced to make difficult decisions during such an emotional time period. A well thought out estate plan benefits both you and your children throughout your lifetime and beyond.
Contact Nashua Estate Planning Attorneys
If you have additional questions or concerns, please contact the Nashua estate planning attorneys at DeBruyckere Law Offices by calling our New Hampshire office at (603) 894-4141 or our Massachusetts office (978) 969-0331 to learn more or visit our website at http://dadlawoffices.com .
It is never too early to start an estate plan. Ideally, you should already have a basic estate plan in place when you become a parent for the first time.
Your estate planning attorney can help you choose a Trustee; however, you may wish to consider appointing a professional Trustee.
You should routinely review your plan. In addition, when your youngest child reaches adulthood is a good time to update your estate plan.
- The Intersection of Asset Protection Planning and Estate Planning – Part I - September 20, 2022
- If an Estate Owes Federal Gift and Estate Taxes, How Do I Pay Them? - September 15, 2022
- 5 Signs Pointing to a Will Contest - September 13, 2022
