Estate planning
This is not legal advice. Please consult your attorney for more information. Always make an informed decision based on your research and legal advice from a professional. We are not liable for any inferences made by you. This is an unpleasant topic. A recent accident in a nearby town in which both parents have tragically passed away has opened my eyes to the importance of estate planning and will. This is much more important in the case of kids with special needs who need additional care.
What if I don't have a will?
In case both parents do not have a will, the court will have to decide on the care for the kids left behind. Usually, custody will be awarded to close family members, friends, fostercare in that order. Either way, we do not want this to go a lengthy court battle. The best thing to do is to get a will done by an attorney and make our wishes clear as to who gets the custody of the kid. If each parent has a sperate will instead of joint will, they should nominate the same guardian to avoid confusion. probate avoidance is our end goal.
Am I leaving behind enough?
As of now only life insurance policy we have are the ones through the employer. I and my wife are covered for twice our annual income. Needless to say, that would not even last them for a couple of years. We are in the process of getting term life insurance policies for both of us with a value upwards of a seven-figure sum. There are a lot of calculators available online. Try to use them to at least get an idea as to what needs to be your insurance policy value.
How is the money going to be managed?
In the unfortunate event of parents passing away, how is the money/assets left behind managed? Now that we have sufficient coverage in life insurance policy, it is important to create an estate with all of our assets. Appoint a property guardian who will manage assets on behalf of the child. Once the child turns 18 assets will go to them. Alternately parents can create minor trust and appoint a trustee. Guardian will then request funds from the estate to take care of kids. We can also mention at what age kids get control of assets, as opposed to 18 years in the option above.
Special needs trust
Leaving behind assets for kids with special needs might disqualify them from getting government benefits like Medicaid and SSI. Having a carefully drafted special needs trust, in which you leave your assets to a trust instead of benefactor directly can help receive government benefits.
I can do this myself online !!
Maybe, if you are aware of all legal jargon that goes into making a will, trust, etc. If you have enrolled in an employer-provided legal plan, you can use those to get these done. Even if you are not, I would advise you to keep your DIY ego aside and get this done by an attorney. You will not get a second shot to fix any issues once you are no more. This is our one chance to try and get everything right to safeguard the future of our loved ones.
Final word
I hope and pray, we do not have to use these policies and trusts. Life is unpredictable, and Ausom parents know this better than anyone else. Take care of your self, so you can take care of your loved ones. These are just a few options, talk to your attorney to learn about various things we can do to make sure our kids are taken care of. Until later, Amar Read the full article
