In light of the recent arrival of the fifth in line to the throne, and as a new father myself, I felt it important to discuss exactly what you need to plan for in terms of your Will when you become a parent.
Many people feel that at the time of having children you are generally too young, and as you have little in terms of assets (soon to be less once the teenage years are upon us!) that you do not need to make a Will and carry out estate planning. This general consensus however, as we shall see, could not be more wrong!
Executors & Trustees
The Executors of your Will have a huge responsibility, especially when they are handling an estate on behalf of a beneficiary who is under 18. If the child is under 18 when the estate is fully administered, your Executors will become trustees of the monies and assets coming out of the estate. It is therefore important that you chose somebody that is both trustworthy and financially prudent, as whatever comes out of the estate is your children’s future financial stability. If you do not have a Will someone will be appointed, or volunteer to be appointed, someone you may not have chosen for such an important role.
Guardianship
I always say this is probably the most important part of the Will for young parents. A Testamentary Guardian will be responsible for bringing up your child. Naming a guardian in your Will can prevent any disputes, as to who should act after your death, which of course prevents further family heartache.
Children from Different Relationships
You may have children from different relationships. If you do the rules of intestacy (which govern the distribution of somebody’s estate when they die without a Will) does not make provision for step-children. This can have a devastating effect on a family and can be easily avoided by making a Will.
Cohabitation
Many people believe that there is a concept of a common law spouse, unfortunately there is not. Therefore, if you are not married, nothing that you have in your sole name will pass to your partner. It will instead fall to your child, and this may not be appropriate in many circumstances.
Keeping a Will up to date
If you already have a Will it is important to check it regularly. There are many things that can happen in life which can adversely affect the planning that you have already put into your Will, and are therefore worth reviewing on a regular basis.
If you are a new parent, and would like some advice on Wills, we offer a free 20 minute consultation on a Wednesday in our Stockton on Tees Office and on a Thursday in our Office in Newcastle upon Tyne. Although Wills are inexpensive, babies of course can be the opposite! As such, if your little one is under two years of age, Jacksons is happy to offer a 10% discount on the cost of making a Will if you mention this article.
Andrew Steel, Associate Solicitor, Wills Trusts & Probate; E: asteel@jacksons-law.comT: 01642 356 357.
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