As a parent, one of the most difficult situations to consider is what would happen to your children if you died unexpectedly. While this thought may be difficult, you need to plan for this possibility sooner rather than later. Doing so will ensure your kids are provided for if something happens to you and will prevent the state from interfering with how they are raised.
Generally, the best way to ensure your children are provided for in the event of your death or incapacity is to formally name a guardian for them and set up a revocable living trust to provide for their financial needs.
As the grantor of the trust, you will appoint a trustee to administer the funds on your behalf until your children reach a particular age (of your choosing), and you can decide how your children receive assets—either as an outright distribution at a specific time or as a staggered distribution over time. Also, given the nature of revocable living trusts, you can amend your plans as your children grow and your needs change.
Your specific plan for your children will depend on a variety of individual factors, including your family type (e.g., traditional, blended, single-parent family), the age and personalities of your children (e.g., a responsible older teen vs. a toddler), and the availability of potential guardians, among other factors. After reviewing these factors, we will establish a solid foundation for your children if anything ever happens to you, giving you one less thing to worry about as you watch your family grow.
Please contact us today to learn more about planning for your minor children.