If you are a single parent, life for you right now probably couldn’t get any busier. You are likely being pulled between work, school activities, and home — and the inevitable emergencies that fill the lives of single parents everywhere.
Being a single parent is a huge responsibility, even if you do share time with a parenting partner, and especially so if you don’t. Regardless, as a single parent, your children’s lives are now largely in your hands. So, what would happen to them if something happened to you? Who would take care of them? Who would pay for their housing, food, and educational needs? Who would take them to school and ensure they go? These are questions you need to get answered, and the best way to do that is through estate planning.
Having an estate plan that covers the care of your children in case you should be in a severe accident, fall ill, or die brings peace of mind for the single parent knowing everything and everyone they love is taken care of. Here are the must-haves that can protect your children if something were to ever happen to you:
Will
A will lets you name the person responsible for your estate and belongings as well as who will inherit your assets. Most importantly this is a legal vehicle you can use to name a guardian for your children, without a will, the state will decide their fate. The greatest risk you leave behind when ignoring this piece of your estate plan is that your children could be taken into the care of strangers.
Revocable Living Trust (optional, but helpful) There are so many benefits of a living trust for single parents. First, a trust enables you to still control your money and property while you’re able, but if you die or become incapacitated, it transitions that decision-making authority immediately to the person you have named as your trustee (obviously someone you can trust and count on to do what you would have wanted). If your children are still minors or even young adults their inheritance can be handled for them until the time comes when they are capable (and you decide that time). Plus, if you have a trust, your estate doesn’t have to go through probate, which is an addition expense of money and time. This is not ideal if your children need to continue living in their homes and having their expenses paid.
Durable Power of Attorney As a single parent, you are likely the only signatory on your mortgage, your bank accounts, and other financial instruments. What would happen if you became incapacitated and there was no one to pay the mortgage or the bills? That is why it is important to have a durable power of attorney in place. When choosing your power of attorney, it should be someone you trust managing your financial affairs, while also making legal decisions on your behalf if you are unable to do so.
Medical Power of Attorney and Advanced Medical Directive Like the Durable Power of Attorney you need someone to make medical decisions for you if you are incapacitated and that person will carry out your wishes under the advanced medical directive regarding your end of lifewishes. Thisisespecially important if you are not remarried or do not have immediate family members nearby.
Declaration of Appointment of Guardian of My Child This allows you to name a guardian of your minor children and their assets in the event you become incapacitated and your Will is not put into effect.
Wills are so important for every individual, but things happen in our lives that result in an illness, long or short term - it may be devasting and sometimes we need help to get through it. Legally you must name someone to help you with that prior to that incapacity or you can be stuck in a very bad place. Do yourself and your family a great service and plan for the “bad day”.
This article is a service of the Law Office of Lasca A. Arnold, PLLC.
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