As a single parent, you have a lot on your plate. In addition to raising your children, you are also responsible for running your own business. This can make it difficult to find the time and energy to focus on estate planning explains Tommy Shek.
However, estate planning is an important part of ensuring that your children are taken care of in the event that something happens to you.
Here are 15 tips to help you get started:
1. Make a will
This is one of the most important things you can do for your children. A will allows you to specify who will take care of them if something happens to you. It also ensures that your assets are distributed according to your wishes.
2. Appoint a legal guardian
If you have young children, it is important to appoint a legal guardian who will take care of them if something happens to you. This person should be someone you trust implicitly and who is willing and able to take on the responsibility.
3. Create a trust
A trust can be an effective way to manage your assets and ensure that they are use for your children’s benefit. You can specify how the trust funds will be used and who will have access to them says Tommy Shek.
4. Make a financial power of attorney
This document allows you to appoint someone to manage your finances if you are unable to do so yourself. This can be helpful if you become ill or injured and are unable to work.
5. Make a healthcare directive
A healthcare directive allows you to specify your wishes for medical treatment in the event that you are unable to make decisions yourself. This can be critical if you become seriously ill or injured.
6. Get life insurance
If something happens to you, life insurance can provide financial security for your children. It is important to make sure that the policy is properly funded and that the beneficiaries are up to date explains Tommy Shek.
7. Make a plan for your business
If you own a business, it is important to have a plan in place for what will happen to it if something happens to you. You should consider who will take over the business and how it will be finance.
8. Have adequate liability coverage
As a business owner, you need to make sure that you have adequate liability coverage. This will protect you from lawsuits if something goes wrong with your business.
9. Keep your legal documents up to date
It is important to keep your legal documents, such as your will and power of attorney, up to date. You should review them regularly and make changes as needed.
10. Stay organized
Tommy Shek says staying organized can help you keep track of your assets and ensure that they are properly taken care of. Keep records of all your assets, including bank accounts, investment accounts, and real estate holdings.
11. Review your beneficiary designations
It is important to review your beneficiary designations on a regular basis. This includes life insurance policies, retirement accounts, and investment accounts. Make sure that the beneficiaries are up to date and that they reflect your current wishes.
12. Have a plan for your digital assets
In today’s world, more and more of our assets are digital. This includes things like online bank accounts, social media accounts, and email accounts. It is important to have a plan for what will happen to these assets if something happens to you.
13. Keep your passwords safe
Keep your passwords safe and secure. You should use a password manager to generate strong passwords and store them in a secure location explains Tommy Shek.
14. Update your contact information
Make sure that your family and close friends have your updated contact information, including your address, phone number, and email address. This will ensure that they can reach you in an emergency.
15. Make sure your property is safe
Make sure that your home and other property are safe and secure. This includes things like making sure the doors are lock and the alarm is set.
Making sure that you have a solid plan in place in the event of your death is critical. There are many things to consider, such as who will take care of your children, how your assets will be manage, and what will happen to your business. Taking the time to plan ahead can give you peace of mind knowing that your loved ones will be took care of.