Estate Planning Tips for New Parents

Congratulations on the newest addition to your family! Becoming a parent for the first time is a life-altering milestone, as is the most rewarding journey you will ever embark upon. It is also a time where estate planning becomes essential. To help you navigate this new and exciting journey, here are five important tips to consider:

1. Create or Update your Estate Plan

While becoming a parent is a busy and often overwhelming period in your life, it's also an opportune time to create or update your estate plan. A strategic estate plan ensures that your assets are protected and distributed according to your wishes, providing peace of mind for you and your loved ones. An estate planning attorney can provide valuable advice to help you draft a will, choose guardians for your children, and determine who will play key roles.

2. Choose a Guardian

Part of your estate plan will include choosing a guardian for your child in the event that something unexpected happens to you and your spouse. Selecting a guardian is a significant decision and you should consider factors like the guardian's values, parenting style, financial stability, location, and relationship with your children.

3. Establish a Trust

Trusts can provide for your child's financial needs even if you're not around. The trustee will hold and manage assets for the benefit of your child, protecting them until a certain age or until they achieve specific milestones. Your estate planning attorney can help you customize available options.

4. Consider Life Insurance

Life insurance can provide financial support to your family in case of your untimely passing. It can cover immediate expenses and provide long-term financial security for your child. To add additional protection, you can name the trust for your child as the beneficiary.

5. Communicate Plans with Loved Ones

Openly communicate with your loved ones about your estate planning decisions, especially if you have made changes to your plan. Involve them in the process, so they understand your wishes and can be prepared for any future roles.

Remember, estate planning is not a one-time event but an ongoing process. Review your plan upon major life changes like having a child and update it to reflect your life circumstances and any changes to estate laws. By following these tips and taking a proactive approach to estate planning, you will enjoy peace of mind for many years to come, while protecting your loved ones.

The Law Office of Andrew Gavrin provides free initial consultations and is happy to provide more detail on these or other topics, and answer all of your questions. You can find more information at GavrinLaw.com or by contacting Andy Gavrin at andy@gavrinlaw.com or 484.416.5740. The information provided in this article does not, and is not intended to, constitute legal advice; instead, all information, content, and materials are for general informational purposes only. Note that information may not constitute the most up-to-date legal or other information.