Probably the biggest inspiration for estate planning by parents is their children. Developing an estate plan that will protect your children in the event of your untimely death or incapacity, however, is more complicated than just choosing a guardian.
You also need to consider:
- Who your kids should live with and if that person(s) is financially, physically and mentally able to care for your children.
- You should also consider how your children feel about the person(s) you choose as their guardian.
- If the person(s) you choose to raise your children is the same person(s) you would choose to manage their money or should you select a financial advisor as well?
- Discussing your selection with your other family members and, most importantly, with the guardian(s).
- If your children have any special needs that may dissuade your chosen guardian(s) from taking care of them.
- Naming alternate guardians in case something happens to your first choice and they are unable to fulfill their duties.
- Ensuring you have the proper financial instruments in place to provide for your children’s physical and educational needs.