For many young couples, having a child can be the first sign that it is time to form an estate plan. Should something happen to you, you want peace of mind that your children will have all of the love, devotion, and stability they currently enjoy under your roof.
Fortunately, there are a host of tools available to help young parents protect the wellbeing of their children in the event of the unexpected. We’ve taken some time to survey a few of the best options here.
Guardianships
Many parents make the mistake of assuming that legal guardianship will be automatically passed to the appropriate family members upon their passing. On the contrary, courts often have difficulty establishing the best possible guardians for children when the parents have not made their wishes known ahead of time. In some cases, courts may place children in Child Protective Services while they attempt to find a suitable home.
To prevent this possibility, it is essential to make your wishes for your children abundantly clear by establishing legal guardians ahead of time. In doing so, you will want to think about the potential guardian’s ability to care for your children into adulthood. Many couples choose their own parents, and they can be a great option, but you will want to consider the likelihood of parents maintaining good health through your child’s teenage years. Once you have come to a decision, sit down with the potential guardians to see if they would be willing to take on such an important responsibility.
Trusts
Trusts allow you to dictate in detail how your assets will be distributed to your children upon your passing. You can make these as broad or as specific as you like. If you would like to designate a specific sum of money toward your child’s college education, for example, you can do so with a trust. Other options include designating different ages to distribute different sums of money.
Life Insurance
Life insurance provides important peace of mind that your children will be taken care of financially upon your passing. This is an especially good option for young parents; being young and healthy greatly reduces the cost of a typical life insurance policy. Be sure to add a good life insurance policy to your estate plan portfolio.
Living Wills
Living wills make your wishes known to your descendants should you lose the capacity to make decisions for yourself. While this benefits you directly, it also benefits your children. Knowing exactly what medical treatment and financial decisions you would have wanted can greatly reduce the stress and anguish of your children and family members during an already difficult time.
Call an Experienced San Antonio Estate Planning Attorney
If you would like to learn more about estate planning options for children,
contact Lisa Galvan Law. We help parents throughout San Antonio and the surrounding area build custom estate plans that protect their most precious loved ones. Call us today at 210-820-2667.