Single Parent? Your Minor Child Needs Your Estate Plan Today

Being a single parent isn’t just about bandaging scraped knees or mastering the art of juggling work with soccer practice. It’s about being the superhero who safeguards your child’s future – even when you can’t be there. How, you ask? By creating a solid estate plan that ensures their care, custody, and financial security.

Captain Custody: Choosing Your Child's Guardian

Picture this: Your minor child (under the age of majority, depending on state law) wakes up one day and their superhero parent is unable to care for them. Who steps in? If you haven't designated a guardian in your estate plan, that decision falls to a judge, who might not pick the person you’d have chosen.

In case the other legal parent is unavailable, it's important to have a backup plan. You can nominate a guardian in a last will and testament, pour-over will, or even in a separate document in some states, allowing flexibility in changing guardians without rewriting your entire will.

Your Trusty Sidekick: A Temporary Caretaker in Emergencies

Life can be as unpredictable as a comic book plot twist. You might be temporarily unable to act or make decisions due to illness, or maybe you're traveling and need someone to make decisions for your child. By designating a temporary caretaker, you can ensure your child is taken care of for a short period, such as six months in some states.

Remember, this person can't agree to major actions like adoption or marriage on behalf of your child. But they can step in when your child needs a hero, and you're temporarily out of action.

Managing Your Child's Inheritance: From Chaos to Order

Minor children can't manage their own financial affairs, and without an estate plan, their inheritance may end up in the hands of a court-appointed person or the other legal parent, if available.

But with an estate plan, you get to choose the financial superhero who will manage the money and property you leave for your child. And the best part? You can decide when and how your child receives their inheritance.

With a trust, you can draft instructions for how your child's inheritance should be used. You can create a revocable trust or include these instructions in your will (known as a testamentary trust). While a will is public and overseen by a judge, a revocable trust can be managed privately, without probate.

You could set it up so your child receives a certain percentage at specific ages or use an incentive trust to link disbursements to achievements like completing education or maintaining sobriety. Alternatively, you could use a discretionary trust, where the trustee decides how and when to distribute the funds.

When selecting a trustee, you could choose a family member, a close friend, or even a professional trustee. Each option has its pros and cons, so it's essential to consider them carefully.

You Have the Power

Estate planning is about more than just paperwork. It's about ensuring the well-being and security of your child when you can't be there. It's about shaping their future, choosing trusted individuals to guide them, and creating a legacy of love and care.

So, why leave it to chance? Let's work together to create a plan that suits your child's unique circumstances. Give us a call to schedule an appointment, and let’s ensure your little sidekick's future is in safe hands.