Some people opt to put estate planning off until they’re older, a risky move that could leave their family with no plan at all if they pass away unexpectedly. For others, though, life events at an even younger age get them thinking about their estate planning options. One such event is the birth of a first child.
When that child comes along, life changes dramatically. You now have someone who is counting on you to provide for them. Their quality of life depends on you. For everything from eating to bathing to getting help when they’re sick, that child looks to you. It’s impossible not to have this shake your worldview a bit and get you thinking about the big picture.
What type of estate planning may you want to do at a time like this? It could start with creating a trust for your child. Maybe you want to help them pay for college, even if you’re not around to do it, so you set up a trust to cover tuition costs. Your financial support is then guaranteed even if the unexpected happens.
Or, maybe you’re just interested in picking guardians. You know that someone has to take care of the child if you pass away, and you want a say in who it will be. You also want to talk to these people in advance to limit confusion and make things go more smoothly for your child in the event that the guardians have to take over.
These are just a few areas of estate planning that new parents think about, so be sure to look into all of your options.