People often think of estate planning as a task meant for the elderly. As time goes on, the urgency of estate planning indeed increases, but people of every age should be investing time into planning for the future. This is especially true if you happen to have young children. Establishing a will or trust is an essential component of ensuring that they are not just financially secure in the future, but cared for, too.
There are many reasons why you should establish an estate plan when you have kids. Whether you are a single parent or are married and starting your family, a will or trust can provide peace of mind. Consider enlisting help from an attorney to ensure that you are addressing all your family's needs in yours.
Minimize work to be done later
According to the AARP, 60 percent of Americans have not yet invested the time and effort to create a will or trust. This lack of planning can lead to a number of obvious issues, but it is worth noting that delaying estate planning simply creates more work to be done later. Establishing a will or trust and updating it continually is far less effort than waiting and creating it later.
The future is unpredictable
Young parents obviously do not expect that they will need to provide financially for their kids in the event of death any time soon. It is true, however, that the future is unpredictable. Accepting this can save your child a lot of trouble and heartache if the worst were to happen. Rather than deny the possibility of passing away, put a plan in place that will give your kids the protection they need.
Ensure kids have designated guardian
A will or trust is not just about establishing financial protections for your children, it is also the best way to identify your kids' caretakers if anything were to happen to you. Without a legal document indicating who these people should be, your children's custody would be in question. You can avoid this by drafting a will that outlines your wishes.