3 things new mothers should know about estate planning
Now that you have children who are depending on you, it is imperative that you know your children are taken care of if something happens to you. Though no one likes to contemplate one’s mortality, this is especially important because it lays out the plans for what will happen if you and your husband pass away suddenly. The plans you make now can help to keep your children from having to go into the state’s custody and they can help to ensure your children are cared for when you are gone.
Your estate plan should be multifaceted
Your estate plan should include several different points. It should include a will that specifies what will happen to your assets. It should also include a life insurance policy for you and one for your husband. Using a life insurance trust might be beneficial so find out if this is the case for you. You also need to have information about who is going to make medical and financial decisions if you are unable to do so yourself.
You must plan for your children
You need to plan for what is going to happen to your children if you and your husband pass away. You need to think about short-term and long-term plans. You should make a list of people whom you want to raise your children if you die. This should include someone who is able get the children right away so that they aren’t forced to go with a stranger, such as a foster parent, until everything is sorted out.
This person should be close to you so that he or she can get your children quickly. Your plan should also include a long-term guardian. It is a good idea to choose more than one person and list an order of succession so that if your primary choice is unable or unwilling to care for the children, another person can be contacted.
You must know the laws
Make sure that you know the laws that will apply to your estate if you pass away. For example, the spouse of a person who is deceased can claim an exemption to federal estate taxes up to a certain amount. Knowing this now and relaying the information to your husband can help him out if something happens to you.
Additionally, you should make sure that you have someone whom you trust with your affairs. The law does provide some protections for heirs and beneficiaries, so having someone to guide those left behind will be very important since they will be coping with your death and might need the extra guidance.