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5 Estate Planning Steps for New Parents

Adding a child to your family is a life-changing event that significantly affects every aspect of your life. However, one issue you may fail to recognize, particularly as a young parent, is the importance of estate planning. After the birth or adoption of a child, you likely need to take some steps to review and update your existing estate plan, if you have one, or create an estate plan to benefit you and your family. Working with an estate planning lawyer can help you create an estate plan that protects your family and child. More specifically, a Florida estate planning attorney at Kramer Green can help you determine what your objectives are for your estate plan and how to reach those objectives during the estate planning process.

  1. Choose an estate personal representative.

 

The personal representative of your estate is responsible for carrying out the terms of your estate plan. This role carries great fiduciary responsibilities, so you will want to choose someone you can trust and who has the time and knowledge to perform the necessary duties. You can appoint a friend or family member close to you, but often a trust company makes good sense.   personal representative.

 

  1. Understand the role of life insurance policies in your estate plan and maintain adequate life insurance coverage.

 

Life insurance policy proceeds perform some important functions after your death, such as paying for your final expenses, such as funeral and burial costs. A life insurance policy can alleviate pressure on your surviving family members as they are grieving their loss. Life insurance policies also can pay for estate taxes when your estate is large enough that estate taxes are owed.

Furthermore, life insurance policies can be an important source of income for your surviving dependents. These funds can be applied toward basic living expenses, such as mortgage payments, insurance payments, taxes, and vehicle loan payments.

 

  1. Choose a guardian for your children.

 

You should choose a guardian for your children in the unlikely event that you become unable to raise your children due to incapacity or death. While this may be an unpleasant possibility, you must take this step to ensure that you have made adequate arrangements for your children. In addition, choosing a guardian and stating it in your will can help avoid your surviving relatives fighting over the custody of your children if the unthinkable occurs and it becomes necessary for someone other than you to raise your children.

When choosing a guardian, you should be sure to choose a person who can and is willing to raise your children and will raise them how you want them to be raised. For instance, you may have certain viewpoints about religion, education, and medical care, so you may wish to choose someone with those same ideals or viewpoints.

 

  1. Consider whether a trust is right for you.

 

If you have minor children, they cannot take direct ownership or control of any assets left to them in excess of $15,000 if you pass away before they become adults. One way to avoid this problem is to set up a trust for the benefit of your minor children. When you create a trust, you designate a person or entity as trustee to manage your assets for the benefit of your children until they become adults or whenever you choose to make the assets available to them according to the terms of the trust. For instance, your trust could provide that your children do not receive full access to the assets until they reach age 40 or that they can only access the assets before age 21 for educational purposes.

Look to Kramer Green for Help with Your Estate Planning

As your family grows, a Florida estate planning lawyer at Kramer, Green, Zuckerman, Greene & Buchsbaum, P.A. is prepared to assist you as you review and update or create your estate plan for the first time. We know how to structure your estate plan to preserve your assets and relieve your loved ones of the burdens of complex probate and estate issues to the greatest extent possible. We also are skilled in helping you carry out your wishes for your estate, including maximizing protections for your surviving family members.

Our objective is to guide you through the complex legal matters that estate planning can involve. Contact our office today at (954) 966-2112 or online to schedule a time to discuss your estate planning issues with our estate planning attorney.

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