New Baby? New Reasons
for an Estate Plan
TEXT: Caroline Ford Bonaviri
I n the midst of sleepless nights, diaper changes and, well, doing
It is not necessary to have great or even moderate wealth to have
what you can to survive each day, probably the last thing you
an estate plan. If you have a life insurance policy, or if you need
want to contemplate as a new parent is putting together an
one, you can coordinate the beneficiary designations of this policy
estate plan. It involves thinking about missing out on your
with your estate plan to ensure the money is there for all of your
little one’s life and making decisions you may not want to consider.

children’s financial needs.

Creating an estate plan is, however, one of the most important steps
ASSET MANAGEMENT
you can take to care for and protect your child.

GUARDIANSHIP When you appoint your child’s guardian in your Will, it avoids any
ambiguity as to who should care for your child if something should
happen to both parents. Undoubtedly, there is no one who could
possibly love and raise your child exactly the way you would. That
said, you may have many relatives who love your child and feel
certain they would be the best choice.

To avoid family conflict, which would inevitably lead to tenuous
relationships or even a courthouse, it is best you make this decision
for everyone concerned. Otherwise, someone – hopefully a loved
one you would approve of as guardian – will have to go through
court proceedings to be named as your child’s guardian.

LIFE INSURANCE
The estate planning process allows you to evaluate your assets and
determine if you need a life insurance policy to help provide for
your child’s living expenses. While college is often on the top of
your mind as an expense category – and college certainly does not
Through an estate plan, you get to select how you want your child
to receive your assets and, almost as important, who gets to manage
those assets for the benefit of your child. (This individual may or
may not be the selected guardian.)
Through your Will or Revocable Trust, you can specify terms
and provide guidelines to the trustee as to how you would like
distributions made for the benefit of your child. Without a trust,
your assets would likely be held in a custodial account for your
child. This account is usually managed by an individual or trust
company selected by your personal representative (i.e., executor)
upon court approval until your child reaches the age of 18.

These are just a few of the reasons new parents need to get their
estate plans in order. Delaying the process because you feel
uncomfortable or think your estate is not large enough can have
dire consequences. Instead, proactively choose what is best for your
child – whether it be a guardian or how he or she receives your
assets. By doing so, you can transform your sense of discomfort into
peace of mind.

Caroline Ford Bonaviri is an attorney at Stein Sperling De Jong
Driscoll PC and a new mom herself. As member of the estates and trusts
department, she regularly assists clients with all aspects of estate and trust
come cheap – you should also consider more mundane expenses,
planning, including wealth preservation, succession planning, charitable
such as clothing, summer camps, music lessons and sports teams.

gift planning and estate and trust administration.

24 November 2016 washingtonFAMILY.com



Washington FAMILY’s
Annual Private School Fair
was held on
Oct. 9 at Kid’s Choice Sports Center.

THANK YOU
to all our participating exhibitors
who made it possible!
• Randolph-Macon Academy
• Prince William Academy
• Browne Academy
• Ashland Equestrian
• Chesterbrook Academy
• Drama Kids International
• Fusion Academy
• Wakefield School
• BASIS Independent McLean
• DaniPress Photography
• Pediatric Partners
for Attention and Learning
• St. Thomas Aquinas Regional
• British Swim School
washingtonFAMILY.com November 2016 25