Life happens and as much as we like to think we are invincible, unfortunately we aren’t.  If something happens to you (and your child’s other parent) and you don’t have a legal plan in place, then a judge will decide who will raise your children and who will manage your children’s money.

What Happens If I Don’t Plan?

Because a judge does not know your parenting style and values, the judge may choose a person to be the guardian of your kids that you would absolutely not want to raise them.  The judge could also select a person to manage your children’s money who you know will do so poorly or won’t do so in your kids’ best interest.

Also, without legal planning, kids often get their full inheritance at 18 years old.   Most young people are not prepared to manage a sudden inheritance at this age. This money can get wasted and not be around to help them later in life. This is an especially bad result since they won’t have you there to offer guidance when it is all gone.

Legal Planning Puts you in the Drivers Seat and Protects your Children.

Legal planning allows you to choose who will take care of your minor children if you die or become incapacitated. (Note that it is important to coordinate this decision with the other parent because in Utah the most recent document executed by the last parent to die is the document that governs this decision.) It also let’s you choose who will manage your children’s assets.  By the way, this person can be different than the person who will care for your children.

By creating a plan, either in a will or in a present trust, you can also control (subject to certain limitations) how your money is distributed to your children after you die.  Many parents will have their child’s money held in trust and then have it distributed to the children at certain ages.  Also, a lifetime trust can be established.  By doing this, a trustee of your choosing manages the money and, depending on how the trust is drafted, it can protect the money from your children’s creditors, predators and divorcing spouses.

Also, with legal planning you appoint someone to manage your assets if you become incapacitated. If you become incapacitated, your spouse or your family may need to access your accounts and property to care for your minor children.  Without legal planning, they may be forced to hire a lawyer and petition the court for access to your accounts and property.  This process can be lengthly and costly.  By having a Durable Power of Attorney or a Trust in place, you can designate someone you trust to access your assets on your behalf if you become incapacitated.  This way your children can be readily be cared for if something happens to you.

Jones Waldo Can Help You Protect Your Children.

At Jones Waldo we are parents ourselves. We give careful attention to working with you to create a legal plan to protect and provide for your greatest treasures — your children.