Building a blended family in Michigan comes with joy and liveliness in your home, but it also comes with more responsibilities and a more complicated estate planning process. To ensure that all your children are taken care of, both biological and stepchildren, take a look at how you can plan your estate accordingly.
Why estate planning is important for your blended family
The main reason you must consider estate planning for your blended family is because a simple will won’t cut it. Think of it this way: After you pass away, your spouse might get estranged from your kids or remarry. They can then give everything to their kids or their new blended family, leaving your kids disinherited.
If you really want to take care of your family, make sure that everyone is looked out for no matter what happens to your family after you are gone. Your blended family may be cohesive and strong now, but there is no telling what time and other personal circumstances have in store for your family after you are gone.
How to carry out estate planning for your family
• Set up a trust for your blended family where you designate all your children as beneficiaries for your assets. Choose a sophisticated neutral trustee who will look out for everyone after you are gone.
• Take out a life insurance policy that names your children as beneficiaries. Of course, you can leave most of your property to your spouse, but just to ensure that your children are safe if anything happens, name them as beneficiaries for your life insurance and retirement accounts.
• Name a guardian for your children in case you fear a falling out between your blended family or if your spouse remarries.
• Decide on the person who will make your health care decisions when you are hospitalized.
During the estate planning process, have an in-depth discussion with your partner and keep them in the loop for your plans. This will help ensure that everyone is satisfied with your arrangements for the family.