Many young adults don’t realize that they need an estate plan to govern what happens if they can’t make decisions for themselves or if they become incapacitated. Unfortunately, this oversight can have a negative impact on the people who are close to that young adult. We understand that starting out a life on your own and trying to build up that life can be complicated, but you should take the time to evaluate your goals and set your estate plan accordingly.
One specific time in your life that you need to make sure your affairs are in order is when you have a child. Young parents don’t want to think about their children having to grow up being raised by someone else. Still, you need to take an honest look at this because your estate plan can provide instructions for what needs to happen with your children in the event of your incapacitation or death.
As part of your estate planing process, you can set up a guardianship designation for your child. This is a legal instruction that makes it clear who you want to raise the child if you pass away. Make sure that you choose someone who is willing and able to handle the duties associated with this task.
Another thing to consider is that your children will need financial support. Even though you are a young parent, you might be able to help with this. Purchase a life insurance policy and consider a life insurance trust. Set up other trusts if you have assets that can help with the cost of raising your child. Write out a will that has terms set for any remaining assets you have.
We know that this isn’t something you enjoy thinking about. You might come to realize that a little planning for this now helps you to enjoy a life that is less stressful since you know you have made the necessary provisions. We can help you every step of the way.
