Why Parents with Young Children Should Consider Estate Planning

Many parents with young children in New Jersey do not realize just how important it is to think about estate planning. There is a common myth or misconception that estate planning is a process that only older adults need to think about, or something that only people with health issues or high net worths must consider. However, these are myths, and estate planning is especially important for New Jersey parents who have children under the age of 18. The estate planning process can be made relatively simple and straightforward with assistance from a Summit estate planning lawyer, but it is essential to create several important estate planning tools in the event of your unexpected death. With help from a lawyer, you should create a will, designate beneficiaries, and consider certain powers of attorney.

Creating a Will and Naming a Guardian 

Writing a will, or a last will and testament, is a way of identifying which parties or entities you want to receive certain assets upon your death, and it is also a document through which you can name an executor of your estate to handle your affairs upon your death. Most important for parents with young children, a will is also a document through which you can name a guardian for your minor children in the event of your unexpected death. By naming a guardian, you can ensure that your children will have the care they need, from the person or persons of your choosing, if you are no longer able to provide that care yourself.

Naming Beneficiaries on Insurance Policies and Accounts 

If something unexpected occurs and you are no longer here to provide for your young children, it will be critical for their guardian to have the assets they need to properly care for them. You can continue to provide for your minor children after an unexpected death by ensuring that your children’s named guardian (or one of the children if they are old enough) is named as the beneficiary of your life insurance policy, your retirement accounts, and any other accounts you own.

Naming Agents in Powers of Attorney Documents 

Even if your children are no longer minors but are still young adults, it is important to make advance directives and to consider a financial power of attorney so that your children do not have to struggle over who will make decisions about your health and finances, or what types of decisions you want made. These documents can help to take some of the stress out of an already very stressful situation for your kids.

Contact a Summit Estate Planning Attorney 

If you have young children, it is important to plan for the unexpected. By working with an estate planning attorney, you can ensure that your children will receive the care and assets they need in the event of an unexpected death. Nobody wants to think about the possibility of a devastating tragedy, but it is better to be safe and to make a plan in the event that the unexpected does occur. One of the experienced New Jersey estate planning lawyers at Dempsey, Dempsey & Sheehan can begin working with you today on your estate plan. Contact us for assistance.

Sources:

law.justia.com/codes/new-jersey/title-3b/

nj.gov/health/advancedirective/ad/forums-faqs/