Estate Planning for Single Parents: Ensuring Care and Provision for Minor Children

Estate Planning for Single Parents: Ensuring Future Care for Minor Children

Life can be unpredictable. Maybe you never planned to be a single parent, but here you are. Your children’s welfare is one of your top priorities. No matter what happens to you, you want to ensure they will be safe, and their needs cared for. Estate planning is an essential tool to create a roadmap for others to follow in the case of your untimely demise or unexpected incapacitation. In California, estate planning documents allow you to assign trusted individuals as guardians for your children and determine who will handle their financial affairs.

As A Single Parent, What Are the Key Estate Planning Documents I Need?

As a single parent in California, there are a series of documents that make up a complete estate plan. By ensuring that each document is completed, you will be able to ensure the care of your minor children in the event of your passing.

• Will: A will is a legal document that defines how your assets and property will be divided after your death. A will names an executor, the person or entity responsible for carrying out your wishes. It includes beneficiaries, such as your children, who will receive your assets. A will also contains guardianship provisions that direct who will care for your minor children.
• Revocable living trust: A trust is a legal instrument that places your assets in a self-contained entity. This prevents your assets from going through California’s lengthy and expensive public process called probate. Probate is the action of legally proving a will to be valid. A trust provides privacy and allows assets to transfer smoothly to the designated beneficiaries.
• A durable power of attorney: This is a legal directive that allows another to control your financial or legal affairs in the case of your inability to do so. For example, if you were to become incapacitated during a car accident.
• Advance healthcare directive: an advanced healthcare directive designates a trusted person to make healthcare decisions for you and outlines your medical treatment preferences should you be unable to direct your care yourself.

How Do I Choose a Guardian for My Minor Children?

The most important thing about choosing a guardian for your minor children is choosing someone you trust. You need this person to follow your written wishes and to be who you reasonably believe will raise your children as you want them to be raised. Here are some steps that will help you in choosing a guardian for your children:

• Make a list: Think about it and then list individuals you could trust to raise and care for your children in your absence. This could be your parents, a sibling, or, if they still have joint custody, the children’s other parent. You will want to have more than one option if one person is unable or unwilling to fill the position. In making your decision, consider each person’s:
  • Values
  • Parenting style
  • Emotional stability
  • Financial responsibility
  • Relationship with your children
  • Physical location
• Speak to your options: Discuss guardianship with the people you have named. Explain that while nothing is expected to happen, you would like to confirm their willingness to step into a guardianship role if an unexpected tragedy occurs.
• Write them into your will: Once you have two or three people willing to be guardians, put their full names and relationships to you in the will. List your primary choice, followed by your secondary choices, in case a chosen guardian cannot serve.
• Consider a standalone guardianship document: In addition to a will, you can also use a California estate planning lawyer to draft a Declaration of Guardianship or Nomination of Guardianship.

How Can a Declaration of Guardianship Protect My Children?

The California Family Code § 3020 states, “the health, safety, and welfare of children shall be the court’s primary concern” when determining who will have custody or guardianship of a child. Still, it is difficult and risky to leave decisions regarding your children up to the state. A Declaration of Guardianship is a supplementary document to your will that can be added to your estate planning package. A will is only active when the will creator has passed away; a declaration functions in case of death, incapacity, or permanent disability and can be used in case a will is not immediately accessible. A Declaration of Guardianship should include:

• The names of your chosen guardian(s)
• Your reasons for electing them
• The names of your children to be cared for
• Your signature
• The signature and stamp of a notary public

How Can Trust Provide for My Minor Children in My Absence?

Trusts may be formed to provide for your minor children under California Probate Code Section 15200. A trust is a legal entity created to hold assets that will be used for the benefit of another, in this case, your minor children. As the trustor, you will create and fund the trust with your assets. You will assign a trustee who will manage the trust after your passing and ensure the needs of your children, who are named beneficiaries, will be funded. Because a trust is structured according to your wishes, you can dictate where the money is spent and how much. For example, you could specify that the child receives a portion of their inheritance at 21 and the rest at 30.

It is all a matter of preference. The court system will automatically provide minors with their entire inheritance to use as they please at 18. A trust ensures financial responsibility by a mature trustee and can continue to exist to ensure the funds are used for their intended purpose, such as education, healthcare, or housing.

Do I Need a Lawyer to Complete My Estate Planning Documents?

Hiring a professional California estate planning lawyer to handle your estate planning needs is highly recommended. It is possible to use free online services, but in these cases, you “get what you pay for.” The documents created are not guaranteed to hold up in court, and the fine print on such websites indicates these services shouldn’t be used without the advice of a lawyer. Having a lawyer can make the difference between a smooth transition of your assets for your grieving family when you pass and making it a complicated legal obstacle course to decide who gets what in court. Cava & Faulkner can help you:

• Identify your assets and liabilities.
• Execute legally binding estate planning documents.
• Craft your plan to minimize taxes and avoid probate.
• Update your plan as your family’s needs evolve.

Cava & Faulkner Can Help You Protect Your Children

You don’t have to feel overwhelmed. As professional estate planning attorneys, our team at Cava & Faulkner can take the weight off your shoulders. We will simplify the process, turning your concerns into security and peace of mind so that, no matter the circumstances, your loved ones will be cared for. We offer comprehensive estate planning, including trust creation and guardianship documents. Contact us today to schedule a free personal consultation at 916-831-7565.