Estate Plan for New Parents: What You Need to Protect Your Child
Yes — having a child is one of the most important reasons to create or update your estate plan. Here’s why an estate plan for new parents is absolutely essential:
Why New Parents Need an Estate Plan
1. Name a Guardian for Your Child
If something happens to you and your partner, a court will decide who raises your child unless you’ve named a guardian in your will. With a legally binding estate plan, you choose who will care for your child — not a judge.
2. Plan for Their Financial Future
An estate plan for new parents lets you:
- Set up a trust to manage any inheritance
- Appoint a trustee to handle funds for your child’s benefit if you cannot
- Decide when and how your child receives assets (instead of them getting a lump sum at 18)
3. Designate Decision-Makers in Case of Emergency
If you’re incapacitated, having a:
- Financial Power of Attorney ensures someone can manage your finances
- Health Care Power of Attorney ensures someone can make medical decisions on your behalf
These tools keep life stable for your child even if you’re unable to act.
4. Health Care Directives
Your estate plan can include a living will to document your end-of-life wishes and avoid burdening your loved ones with those decisions.
5. Make Life Easier for Your Family
Even if you’re young and healthy, life is unpredictable. A good estate plan for new parents will:
- Avoid probate
- with a revocable trust
- Save your family from unnecessary legal and financial stress
- Ensure your wishes are honored at every step
Ready to Start?
Creating an estate plan for new parents doesn’t have to be complicated or expensive. Services like TrustHandled or a qualified attorney can help you quickly and affordably set up the right documents.
