Creating estate plans is a wise move for every family, including the single-parent family. Sadly, many single parents in Florida do not engage in estate planning, partly because they do not understand it. Here are a handful of tips for navigating the process of setting up trusts in particular.
First, it is expedient for single parents to set up trusts that receive money from their estates when they pass away. They can also have their trust receive funds from individual retirement accounts, retirement plans, judgments, claims and settlements, such as those related to life insurance. Single parents can also identify in their trusts the people they would like to serve as their children's guardians in the event that they pass away while their children are minors.
Single parents may also want to spell out how the funds received in their trusts will be used. In addition, they can determine how much power the children have at different ages to decide how to use the money they get in the trusts. Trusts can additionally be used to explain who can take the children with them on vacation and make significant decisions affecting the children, such as those involving their medical care or education.
It is not uncommon for single parents to neglect to set up wills or trusts. Unfortunately, if they fail to do this, their wishes regarding how their children are cared for and how their assets are distributed when they die may not be fulfilled. An attorney can guide parents in Florida through the process of developing comprehensive estate plans that sufficiently meet their and their loved ones' needs.