by Bruce L. Dorner
When I meet with families to discuss wills and estate planning I’m often asked, “if I die, will my kids become wards of the State?” I can assure you that in tax-strapped New Hampshire, the last thing the State wants is to care for your children! The State only steps in when there are no available family members or other suitable persons willing to care for your children.
However, why leave the decision about the care of your children to anyone else? Why should a judge decide who takes care of your kids? Make the decision yourself, and make it now! Make out a will.
One of the most important functions of a will is to name a someone to care for your children in the event of your death. This individual is usually referred to as a “guardian of the person.” This is the friend or relative who tells your darling children where they can stay, how long they can stay out at night, and reminds them to do their homework.
A second type of guardian is a “guardian of the estate.” This is the individual who will manage the money, property, and assets you leave for your children. This person decides if new sneakers are in order, if the trip to Disneyland is affordable, and if a car is in the future for a teenager. Decisions as to how investments are made is also part of this job.
In most wills, the person named as the guardian of the person is also designated as the guardian of the estate. However, there are times where Uncle Joe would be perfect to care for the kids, but he considers a wise investment strategy a trip to Rockingham Park. This is probably a good time to use Uncle Joe as caretaker for the children, but to appoint Aunt Sally, who works at the bank, as the one to manage the finances.
Occasionally, I encounter a family with great child rearing skills, but no common sense when it comes to money and finance. In those cases we often build a team using attorneys, bankers, financial planners, and family members to achieve the best protective plan for the care of children. Each family is different, and careful consideration needs to be given to what is best for your children.
Don’t delay. If you don’t have a will, seek legal advice. If you do have a will, review it to ensure that it is current and that your plan is workable. You owe it to your children to provide for their welfare.