Content area
Full Text
In this final of a two-part series on wealth distribution planning
LAST issue, we looked at Wealth Distribution Planning and how it is especially challenging when there are minor children involved, focussing on their special needs as minors. In this concluding part, we look at the solutions to what can be a potentially painful predicament without proper planning.
SOLUTIONS
1. Choosing a guardian for your children
If your spouse survives you, you can probably assume that your spouse will automatically become your children's guardian. However, provision still needs to be made for the situation of both dying together. If you are a single parent or a widow, the need for appointing a guardian for your children is even more obvious.
The guardian is an important person to your children in your absence. He or she will make all the major and minor decisions you would have made in raising your children. To appoint a guardian, you have to name the person you want to be the guardian of your children in your Will. If you do not appoint a guardian in your Will, anyone who is interested can apply for the position. The court must then decide, without the benefit of your opinion, who will do the best job of raising your children. Legally, you can appoint co- guardians. However, this is normally not encouraged because of the possibility that the co-guardians might disagree with each other on various issues regarding the children.
Some of the factors to be considered when appointing a guardian are:
* Is the prospective guardian at or above the majority age? (He or she must be an adult - 21 and above),
* Does the prospective guardian have the time to handle the job?,
* Do you and your spouse have confidence in the prospective guardian? Will the prospective guardian have a genuine concern for your children's welfare?,
* Does the prospective guardian share you and your spouse's beliefs and values?,
* Would your children have to move far from their current environment?,
* Is the prospective guardian physically able to take care of your children's daily activities?, and
* If you do not leave enough estate...