Why should you revisit your estate plan when expecting a child?

| May 12, 2021 | estate planning | 0 comments

Estate planning isn’t something that you do once and then never address again. You need to make a pointof sitting down to review your estate plan every few years to ensure that its many different components continue to reflect your needs.

It’s critical that you revisit your parenting plan when you find out that you’re preparing to welcome a new child. There are a few different reasons that you should reassess your estate plan at this new stage of your life.

Identifying a guardian for your child

A guardian is someone you would feel comfortable having step in to take care of your child if you become incapacitated or died.

You may want to weigh a few different factors when deciding who may be best suited for this role, including:

  • The parenting style that your candidate employs and how well it aligns with yours
  • How financially responsible your prospective guardian is
  • The stability of the relationship your candidate shares with their partner
  • Whether your children get along well with your prospective guardian’s kids

It’s best if you sit down with your shortlist of prospective guardians to determine how interested they might be in assuming an added responsibility in raising your kids if something were to happen to you.

Setting up a trust to cover future expenses

You may also find it helpful to set up a trust to benefit your kids when appointing a guardian. That individual might be able to use any assets that you use to fund the trust with to help in raising your child in the future should the need arise.

Drafting a will, updating it, appointing a guardian and funding a trust are only some of the many different aspects of the estate planning process. An attorney’s review of your estate plan may reveal that you’re missing some other key documents that allow you to have control over what happens if you become incapacitated or pass away unexpectedly.