The estate planning process is different for everyone. If you are a single parent, there are a number of important decisions you will have to make when it comes to estate planning. Read on to learn more about the considerations single parents should take when planning for the future.
Estate Planning for Single Parents
If you are a single parent, one of the most important things you can do is name a guardian for your child. If your child’s other parent survives you, he or she may become the guardian. But, if your child’s other parent passes away or is found unfit to be a parent, your child will need another guardian. As a result, it is important that you name a guardian before this issue arises. If you do not name a guardian, the court will appoint a guardian on your behalf. This will mean that your child may not be raised by the person of your choice.
Another important step to take is to establish a trust. It is important to understand that minors cannot inherit property directly. A trust can allow your children to access the necessary funds immediately. Essentially, the person who creates the trust, a trustor, gives a third party, known as the trustee, the right to manage their assets on behalf of the trustor’s beneficiaries, which in this case, is your child. In other words, the third party of your choice can manage assets on behalf of your child until they are of age.
You should also create a durable power of attorney. These powers of attorney allow an agent to act on your behalf when it comes to various affairs, such as opening bank accounts, signing checks, running your business, and more. This means that in the event of mental or physical incapacitation, you will have a trusted individual to make important decisions on your behalf. This can benefit you and your children in a number of ways.
If you are estate planning as a single parent, you will the help of an experienced estate planning attorney. Reach out today to speak with a skilled attorney.
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The Lauterbach Law Firm is proud to serve clients throughout Rockland County who are faced with legal matters related to estate planning, real estate, foreclosure defense, landlord-tenant law, business law, and criminal defense. If you require the services of an experienced team of attorneys, contact The Lauterbach Law Firm today to schedule a consultation.