If you are expecting a new addition to your family, congratulations! This can be an exciting and exhilarating time with plenty of changes, but the changes do not stop at diapers. Secure your child’s future by updating your estate plans across the board. In addition to updating your beneficiaries, you will want to do the difficult work of establishing a guardian for your child. You may also want to consider establishing a trust to begin building wealth for your family and planning for their future alongside yours.
In any event, do not stress. In this exciting time, know that estate planning attorneys are there to help you make all the necessary plans for you, your children, and your family. An experienced attorney will leave no stone unturned in ensuring you have prepared for the care and financial wellness of your children, no matter your individual circumstances.
Updating Your Plans for Baby
The first step in preparing your financial future to include your child is addressing your will. Your will is crucial not only because it designates the heirs to your property and assets, which now will include more than just your partner and family, but also because it designates a guardian for your child in the unfortunate event that something happens to you and your partner.
When choosing a guardian, consider more than just your parents for the role. Consider the age your potential guardian will be by the time your child will turn eighteen. Also, think about naming backups in the event the guardian or guardians you select decline or become incapacitated. Do not limit your options to just family members, as close family friends can be neutral third parties that would be age appropriate and may have children your child is close with. In any event, avoid the court deciding the guardianship of your child by having your plans clearly defined in your will. You can always update your designated guardian if your situation or circumstances change.
Also, consider if you would like to bequeath your assets to your children in addition to your partner. You can also consider setting up other avenues to financially provide for your children, like through trusts or beneficiary provisions of life insurance plans or other accounts and assets. Trust funds for children are not just for the super-wealthy and can be beneficial for tax purposes and asset protection in addition to looking out for your child’s future. Trusts can have a variety of purposes, such as funding higher education, bequeathing real estate or other property, or supplementing your child’s income in the future.
Discuss Your Future Plans with a Houston Estate Planning Attorney
If you are welcoming a new family member and wish to review your plans or create a plan for the first time, contact the Houston estate planning attorneys at the McCulloch Miller, PLLC law firm. Our attorneys have helped with a wide range of estate planning scenarios and have the tools to help you plan for your family’s needs and situation. Call today to speak with a member of our team at (713) 903-7879.