Plans for the future evolve with time. Young, single people often need a simple arrangement to clarify how their properties will be allocated. While elderly, married couples can need more complex plans that include wills, trusts, healthcare decisions, and powers of attorney.
It is crucial to have an estate plan no matter what stage of life an individual is in. One of the most critical times to revisit or bring together an estate plan is after the child is born. The proposal should specify who will care for the children and how the money will be managed.
Start with these five critical questions before Googling estate planning lawyers near me.
#1 Who Will Look After My Children?
This is one of the most important questions you’ll ask yourself when it comes to estate planning for new parents, and it’s also one of the most difficult to answer. Choosing a guardian now will give you peace of mind, ensuring that your children will be raised by a trusted friend or family member of your choice if either or both parents pass away.
#2 Are You Covered by Life Insurance?
While there are various reasons to purchase life insurance, one of the most important is to ensure that your children have the financial stability they need to pursue their goals. Life insurance will help you pay off debts, retain your children’s quality of living, and even pay for education when you can no longer afford them.
Life insurance plans are not always made equal. An investment planner will assist you in determining the suitable form of life insurance for your specific needs.
#3 Do You Have a Trust?
Any estate plan’s primary goal is to decide who will get what and when. Avoid needless uncertainty and misunderstanding by creating a legal declaration that sets out what you expect to happen to your belongings. If you have minor ones, a trust will help you determine how and when to transfer money and personal property to them.
#4 Who Would Manage All of My Property?
A typical American family may have properties such as automobiles, a home, savings plans, health insurance, and school funds. It could be complex and time-consuming to ensure that your belongings are handled and allocated according to your desires after you pass away.
It’s essential to choose a capable and trustworthy executor, someone who will carry out your final wishes. People sometimes appoint a relative, an older child, or a close friend to act as the executor and manage their assets.
#5 Who Would Make Medical & Financial Decisions for Me?
Many people connect estate planning with death, but it’s also critical whether you’re ill or wounded and unable to make choices about yourself. While laws vary by state, if you’re married, your partner is likely to be able to make crucial medical decisions on your behalf legally.
To ensure that everything goes well, have your counsel write a health care directive and a financial power of attorney, naming your surviving partner or a close friend or family member as an attorney and health care representative.