If you are a parent to young children, then there is no doubt that you are busy. You are probably busier than you have even been in your life, or ever realized that you would be.
With meals to cook, rooms to clean, children to chase and work to do, creating an estate plan is probably the last thing on your to-do list. But here are three reasons why putting off an estate plan is a huge mistake.
1. Your estate plan gives you control over who should take over guardianship of your children if something tragic happens. While you will most likely live to see your children grow up and start families of their own, there is no guarantee. Tragedies happen every day and you need to be prepared.
By creating an estate plan, you can clearly state who you want to take care of your children if you and their other parent are no longer able to do so. Without this direction, the decision will be made by the court, and the court might not reach the outcome that you would want.
2. Your estate plan can make sure that your children are financially supported. If something tragic does happen, you not only need to make sure that your children are being cared for properly, but also taken care of financially.
You can set up your estate plan to make sure that your children have the financial support they need by setting up a life insurance policy, trust or another estate planning tool.
3. You estate plan allows you to set out your wishes for end-of-life care. This step should really be taken by adults of all ages, no matter if they are parents or not.
If you are young and healthy, then it’s unlikely that these plans will ever be used, but it’s very important to have them in place just in case an accident or sudden illness leaves you unable to make decisions for yourself.
Establishing an advance medical directive, or living will, and durable powers of attorney can make sure that your wishes are met and takes a lot of stress off of your family members.
It certainly isn’t fun to think about a tragedy occurring, but taking the time to plan for one can provide you with a great sense of peace knowing that the people you care about most will be taken care of.