Congratulations on your new child! Truly one of God’s greatest blessings. While you may be focused on midnight feedings and nursery decorations right now, updating your estate plan is a crucial step in protecting your growing family's future.
At Mark Ignacio Law, our La Mesa and San Diego County estate planning lawyer helps parents evaluate their existing wills and make necessary changes to ensure their children's financial security and care are properly addressed. Let us show you the vital updates needed to protect your baby's future.
Table of Contents
Why Your Current Will Might Not Be Sufficient to Safeguard Your Child
The will and testament you have now likely focuses on distributing assets between your spouse, family members, and perhaps charitable organizations. However, it doesn't directly stipulate protection for your child’s financial security or guardianship needs.
Now, under California Probate Code sections 21620–21623, any children born after a will is created may still have special rights to inherit if they’re considered a pretermitted heir. This means they weren’t disinherited intentionally and would have been included in the will otherwise. However, it’s risky to leave such important matters as inheritance to chance and the complications of probate.
Additionally, your current will may not include critical guardian provisions that specify who should raise your child if something happens to both parents. These oversights could lead to court intervention and decisions that don't align with your wishes.
Mark Ignacio, an experienced family estate planning attorney, knows firsthand why it’s important that you make every effort to ensure your child’s well-being. Here are some suggestions he often recommends to new parents.
Creating a New Will vs. Adding a Codicil
In most cases, creating an entirely new will is preferable to amending your existing one through a codicil when you have a child. A new will allows you to:
- Comprehensively address your child's needs.
- Remove outdated provisions.
- Ensure clarity in asset distribution.
- Prevent potential conflicts between old and new terms.
- Include modern estate planning strategies.
However, if your current will is relatively recent and only minor changes are needed, a codicil might be sufficient. We’ll discuss both options in detail so you can evaluate which option better serves your family's needs.
Essential Elements to Include in Your Updated Will and Family Estate Plan
Beyond simply naming your child as a beneficiary, your updated will should establish clear guidelines for how your assets will support their development and care.
A well-crafted will serves as a financial roadmap for your child's future. It outlines specifics like who can access funds for their care, how money should be spent on their behalf, and when they can take control of their inheritance.
Your will should also name contingent beneficiaries and backup guardians, ensuring there's always a thoughtful plan in place. This eliminates potential family conflicts and gives the probate court clear direction about your wishes for your child's care.
So your revised estate plan should address several key areas to protect your child:
- Guardianship appointments for both temporary and long-term care
- Trust provisions to manage your child's inheritance
- Health care directives that consider your parental responsibilities
- Insurance policy beneficiary designations
- Educational funding provisions
- Distribution schedules based on your child's age and maturity
Without these detailed directives, your child's financial security could be left to chance, with decisions about their care and inheritance made by courts rather than following your carefully considered plans.
Additional Planning Documents to Ensure Your Child’s Future
An estate plan evolves over the years. Each new milestone you celebrate allows you to further secure your family’s legacy. At Mark Ignacio Law, we want to be by your side, providing advice you can trust to care for your children now and throughout their lifetime.
We often recommend that you expand your plan beyond updating your will to include:
- A living trust to ease the probate process and provide more readily accessible funds for your child's care.
- Powers of attorney that include provisions for your child's medical decisions under guardianship.
- Life insurance policies that account for your child's long-term needs.
- College savings accounts or educational trusts.
It’s like we always say, “Planning + Preparation = Peace of Mind.” One of our clients was particularly pleased with this approach, stating in their testimonial that Mark “brought up situations that we hadn't thought about that could affect our family, and ensured that our living trust and will addressed those potential sticking points, which put our minds at ease.”
