A Guide for Parents: Getting Your Legal Affairs in Order

Becoming a parent is one of the most rewarding experiences in life. It also causes many new parents to suddenly face responsibilities of which they never dreamed. One of these responsibilities is getting your legal ducks in a row.

First and foremost, every parent needs a will. A will is a legal document that specifies who will get your property when you die. A will can leave everything to one person, such as your child, or it can divide property up into smaller increments. Wills can also list a guardian to care for your children in the event of your death. A word of warning, however; children are not property, and the will simply specifies your wishes as to who should care for your children. The ultimate determination will still be up to a court of law, though the parent's wishes generally do carry a great deal of weight.

If you die without a will, your property will be divided by a formula specific to the state where you live. In most states, your spouse would receive between one half and one third of your estate and the rest would be given to your children. However, in many states this money would not reach your children until they are eighteen. In the meantime, the money would be held in trust by a court-appointed trustee. In some cases, your spouse would not be able to access this money at all. In others, your spouse would be required to supply a thorough accounting of how the money was spent to the court every year.

If you have a fairly simple estate, you probably do not need to hire an attorney to write your will. Requirements as to what must be included in a will vary from state to state. Your local library is a good place to start. They will have books specific to your state that tell you what is required to make a valid will. Also, check your state's Bar Association web site. Many offer free materials on will and estate planning.

The next thing parents should do is to check beneficiaries on all of their accounts. The named beneficiary on an account takes precedence over a will. Sometimes this is listed as TOD (transfer on death) on the account paperwork. Specifically, parents should check checking accounts, savings accounts, insurance policies, IRA and 401k accounts. Your financial institution will provide direction on how to change the beneficiary to comport with your wishes.

Finally, parents need to have a medical power of attorney and living will in place. A living will is also known as an advanced care directive. These documents delineate what kind of care you wish to receive should you become incapable of making medical decisions for yourself and designate a representative to communicate your wishes to medical staff. These documents give your family peace of mind that they are following your wishes and help ease the burden of a tragic situation. Again, your local library and your local Bar Association will have information available to assist you in drafting these instruments.

Doing these three things will prepare you to take on the responsibilities of parenthood and insure that your family is cared for should something happen to you. It will also ease your mind that you have done everything possible to legally prepare your family if tragedy strikes.