Estate Planning for Parents

The best type of parenting is the type that outlasts the parents. 

With estate planning, parents are able to provide for their children’s security and well-being, even in the event of the parents’ premature absence.  A parent may, by will, nominate a guardian of the person and/or guardian of the estate for any of their minor children.  Wis. Stat. § 54.15(6).  (Parents can also nominate a guardian for adult children with disabilities.) This simple act can have an incredible and lasting impact on the course of a child’s life.  Have you decided who you would want to care for your children in the event such care becomes necessary?  Lock it in.

Additionally, parents can use estate planning to create a testamentary trust for the support and education of their children, and to provide for management of property for children who may lack the maturity or capacity to manage a lump-sum inheritance.  Distributions from such trusts can provide support during childhood, cover educational expenses such as college or vocational school, and otherwise be made upon designated events or at designated times (e.g., distribute half of the remaining trust assets when the beneficiary turns 25 years of age, and the other half when the beneficiary turns 30).  If allowing your child to receive a lump-sum inheritance at the tender age of 18 seems less than prudent, some basic estate planning may be in order.       

These are just a couple examples of ways that parents can use estate planning to provide for their children’s security and well-being, and in doing so, ensure that their parenting outlasts themselves.