Protecting Your Children Through An Estate Plan

Most parents would agree that being a parent can be a tough, but rewarding job. The job of a parent is to protect and encourage kids. Parents will go to any length to ensure the safety, security, health and well-being of their children. But one thing that parents don’t want to think about is the unthinkable; “What if something happens to us?” Many parents do not realize the importance of planning for this unthinkable event. Parents give of themselves – financially, physically, emotionally – to ensure the best for their children. They need to plan for the continued protection of their children if they are no longer there to personally watch their children grow up to be adults.

The way to ensure the continuation of what’s best for their children is to establish their estate plan. An estate plan commonly includes a will and/or trust, health care directive and power of attorney. Of importance to many parents, an estate plan allows parents to name a guardian, or guardians, of their children, should they pass away while their children are still minors.

Many times, kids are concerned about what will happen to them if their mom and dad are no longer alive. This issue almost always comes up when there has been a death in the family. Recently, a friend’s six-year old child asked his mom “Who do I live with if you and Daddy die?” The mother was able to respond with clarity and certainty who would care for them because they had recently completed their will. Without a will in place, there is no guarantee your children will go to the guardian you know is best suited to raise your children. Rather, a guardianship proceeding must be opened in the court – an oftentimes costly and lengthy process. In a guardianship proceeding, a judge ultimately determines what is in the children’s best interest, based on what is presented in the hearing by those who wish to have guardianship. The best way to ensure your children will be raised by who you want to raise them in the event something happens to you, is by having an estate plan in place.

Furthermore, an estate plan allows parents to ensure their children are beneficiaries of their estate – something that is not necessarily guaranteed, particularly in blended family situations. Parents can also plan for when distributions will be made and what assets are to be used for by setting up trusts for their children.

I recently had the privilege of working with a husband and wife to complete their estate plan. The couple was young, with a daughter who had just turned two years old before they came to meet with me. Like many couples I work with who have children, they explained that it was the birth of their daughter that led them to want to complete their estate plan.

They brought their daughter with them when we signed their documents. After signing their wills, health care directives and powers of attorney, I handed the stack of documents to the husband who held them in front of his daughter and, leaning over to look at her, said, “This is all for you.”

Parents need to contact their attorney for the sake of their children, and schedule a meeting to talk about their fears and concerns, and learn what preventative measures can be taken. Parents factor in the cost of estate planning to their budget because they want to avoid potential worst-case scenarios – after all no price can be placed on planning for the safety and security of your children.