When it comes to your belongings and treasured possessions, you want them to be protected. Also, because of their value, you will choose to pass them along to your children. In this piece, we will call those high valued properties and possessions your estate. On that note, let’s talk about estate planning, and how to stay away from the matter of Guardianship.
According to the laws of the United States, a guardian is a person who is selected by law to care for a person, property or both consecutively. They are selected based on the grounds that a person is a minor or are legally incapable of handling their own affairs. This would be normally in cases where a person is under the age of 18 or mentally or physically disabled. If they have assets that must be managed, the person overseeing them and the assets is known as the Guardian of the Estate.
Though you trust uncle perfect, aunt loving, or brother care a lot, you do not truly know their financial situation. Therefore, you would want to be careful that they do not abuse their guardianship privilege as a means of personal financial gain. You have worked hard to take care of your children, and want to be sure that your assets are assisting them and them only. Therefore, if you want to avoid the mix up of family administering to your estate on the children’s behalf, here are three alternatives.
Rather than having a Guardian of the Estate, consider setting up a trust for your children. The best type of trust I believe would be a living irrevocable trust. This one is unique as you can choose when the funds are dispersed and under which conditions. You may pick the ages versus amounts released and special circumstances for your children such as covering higher education or first home purchases.
A last will also has the power to take care of your children and your estate in the event of your absence. In this legal document, you can express your final wishes and which child gets to inherent which possession. You can express which family members can help oversee your children, and how only the children can access their inheritance.
Joint Checking Account
Last, but never the least, an easy route would be to open a joint checking account. Only the names of the people on the account would be able to access its moneys. In this case, make sure that the names sharing access to your abundantly compensated checking account are the names of your children.