Why Families with Young Children Need an Estate Plan

Parents with young children need to create an estate plan. Young children are dependent upon their parents for care and financial support.  If the unthinkable (death or incapacity) happens, who will raise your children? How will they have access to your estate assets for support?  Who will help your family when you cannot?  Things do not just magically fall into place without careful preparation and planning.

If you own a home or have assets that exceed $150K, you need a Living Trust. If your total estate is valued under $150K, a Will Package might work for you.

• Inheritance Protection:  An estate plan protects inherited assets so that they can be used by future generations for specific purposes such as education and support.
• Guardianship: An estate plan designates a guardian(s) for your children should something happen to both parents.  Without an estate plan, a judge, not you, will make the decision for your kids. Your chosen guardian might not be chosen by the court. Or worse, someone you would not want could be chosen by the court.
• Asset Preservation:  Your estate plan can ensure that your assets will be available to support your children for their lifetime. Without an estate plan, the value of your assets can be impacted by legal fees and other probate court expenses.
• Beneficiary Planning: An estate plan regulates when and how your children receive your assets. You can also dictate what the assets are used for, such as education expenses. Without an estate plan, your assets could be held up in probate for up to 2 years. And, your children would get their entire inheritance at age 18 to use at their discretion.
• Incapacity: An estate plan allows your spouse or chosen trustee the ability to act in your behalf for management of both your financial assets as well as your healthcare. They will be able to manage your accounts and pay your bills while you are incapacitated.