Estate Planning for Parents of Minor Children

Unfortunately, I often see parents of minor children put off estate planning. Usually, they think that because they are young and healthy, estate planning “doesn’t apply to them.” However, that is not true – all parents of minor children need an estate plan, uniquely created to fit their situation.

An estate plan for parents with minor children is often much more than just a will that distributes assets. Importantly, it often includes naming a guardian to care for your minor children and naming someone to manage any inheritance of those same minors. A properly done estate plan will also review your insurance needs and plan for disability or incapacity.

Naming a Guardian

If you have minor children and something happens to you, it is expected that the other parent will continue to raise your children. However, if something happens to both parents, who will raise them then? This is an important subject and a critical part of an estate plan. While can be a difficult decision, it is an important one to make. If you do not name a guardian, the court will appoint someone without knowing anything about your wishes, your children, and your family members.

Distribution of Assets

Of course, the distribution of assets is another important piece of an estate plan. Married spouses typically want the surviving spouse to receive all assets. However, if something happens to both parents, you want to have direction as to how the assets should be used. This can help ensure your minor children will be taken care of financially. In the case of minor children, since they cannot own property themselves, it becomes important to name an adult to manage the property and use it for the benefit of the minor children.

Managing Your Children’s Inheritance

Naming someone to manage your children’s inheritance is also important. If you do not name someone, the court will, and sometimes, that can cost money – money that doesn’t go to your children. Additionally, failure to make alternative provisions will result in all assets being handed over to your children when they turn eighteen and become an adult. I have found that most parents prefer not to turn over a sum of money to their children upon becoming an adult, but instead direct that it be used for further education, the purchase of real estate, or kept for the children until they are even older.

Jacksonville Estate Planning Attorney

The above list is not exhaustive, but it highlights some of the reasons parents of minor children need to consider estate planning. If you are in Florida and are interested in discussing whether a will or trust is right for you, contact us today. If you are ready to get started on your Florida estate plan, you can do so here.