A previous post encouraged new parents to consider designating guardianship and purchasing a life insurance policy or trust to be prepared in case a tragic event should happen.
If you have a bun in the oven, there’s no need to wait! The following additional estate-planning tips should be marked off of your checklist before the baby is born and your hands are full!
Create a will!
If you don’t have any estate planning documents, a will is first and foremost. An estate planning attorney can help you write your will so that you are specific about how your assets should be allocated. An attorney can also help make sure any special conditions or requirements your heir should meet to receive your assets are included.
For example, it’s common for parents of minor children to set up a staggered distribution trust, so that assets are distributed incrementally to keep young beneficiary from becoming overwhelmed upon turning 18.
Update or assign Durable Powers of Attorney
One car accident is all it could take to become temporarily incapacitated. Assign or update both a healthcare durable power of attorney and a financial durable power of attorney, so that there is someone available to manage your finances and healthcare decisions if you become incompetent. The agent you select could also make healthcare decisions for your child if you choose to include these stipulations.
Set up savings education
As the cost of higher education rises, it’s a good idea to start making contributions to accounts and investment plans that will set your child up for college someday. An estate planning lawyer can help you review your finances and discuss which options are best for you to invest in.
Verify a prior guardian choice
If you are expecting your second or third child, it’s wise to check in with the guardians you originally chose to ensure they are prepared to care for more than one child. If they may no longer be the most suitable choice, you can revise your guardianship paperwork.
To learn more about estate planning steps you can take to secure your child’s future, contact an attorney for advice. An estate planning lawyer can review your unique financial status and help you establish goals that prepare you and your family for a comfortable, secure future.