Estate planning essentials for new parents
If you are a young parent with children, then you might want to start thinking about your estate plans.
Though it may sound daunting, estate planning does not have to be a laborious process if you follow these basics for estate planning as a new parent.
Gather the correct documents and inventory assets
In planning your estate, there are several documents that you may need, depending on your circumstances. These can include:
- Last will and testament
- Living trust
- Beneficiaries for non-probate assets
- Power of attorney and health care proxy
- Advanced health care directives
- Titles and deeds
You will want to make sure that all important records are readily available and that the representative for your estate can access your online accounts. You should also keep track of your assets such as cars, properties, life insurance policies and retirement accounts.
Consider who will take care of your child
To specify a guardian for your minor child, you must create a will. You should plan on providing a backup guardian in case the person you plan on is unable to care for your child. If you do not make a designation, the courts will decide, which may lead to a decision you would not approve of.
The birth of a child is an exciting event. You do not want to imagine ever leaving your young one’s life, but you need to consider how to provide for your child if something ever happens to you. Make sure you protect his or her future by evaluating your estate plans.