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Estate Planning for New Parents

This article on family communication is by the Kinnect Team — Kinnect makes it easier for families to share information. Make sure those who rely on you have everything they need, when they need it. Find out more about Kinnect »

Take care of these essential steps to provide for your new family.

Congratulations! You’ve created the gift of life and with it comes a new level of responsibility. Not to worry, we’re here to help you with that all important next step of taking care of those that depend on you.

Most people don’t think about Estate Planning when they’re young and vibrant, like you, but now is the best time to make great decisions to set up a secure future for you and yours. 

In a few steps, you can put your mind at ease.

Get Life Insurance

Yes, having children can be a pricey endeavour, but you can protect your spouse in the unlikely event something happens. Life Insurance will be there to continue providing your children with a safe future.

In most cases, term life insurance is the best choice. Premiums are reasonable and coverage will last long into adulthood where your children are no longer financially dependent. Whole life policies are also available for special cases where necessary for lifelong care.

Create Your Will And Name A Guardian

As a parent, a Will represents more than just who gets your possessions, more importantly it should be used to name a guardian for your children so you know they’re in good hands. 

By selecting a guardian you don’t leave chance to courts or other family members, you’ll be able to choose someone who you trust to share your values in raising your kids. 

Keep Your Beneficiaries Up To Date

Some of your accounts or insurance plans may have already requested you name a designated beneficiary, but once your kids are born, you may want to adjust these beneficiaries to ensure you’re family is covered.

Though it usually makes sense to make your spouse or life partner as the primary beneficiary if you share your children with that person, you can always designate your kids as secondary beneficiaries as well. 

The Option To Build A Trust

There are cases where your children won’t have access to any inheritance left to them until a certain age, or have no strings attached to those assets before their responsible enough to manage them. In either case, you may want to have more control of who and how your assets are received, and consider creating a trust.

A trust allows another designate with your specific instructions to manage assets on behalf of your children. You are able to set conditions on transfer of inherited assets with age restrictions or usage requirements, such as education costs. 

Build A Solid Foundation For Your Family

Although estate planning may not be at the top of your list, it’s easier than you think to get piece of mind and set your family up for success. Kinnect offers a secure place to store your files and communicate clearly with your family. 

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