Estate planning now with kids
With the pandemic, I felt that it was not too late to get started on estate planning, our kids being 2 and 4. A few things I am unsure about, and the research can be overwhelming/conflicting. Please let me know your thoughts on:
- Do we need a will AND living trust? Our main assets are in the form of 401(k)'s and a few IRA's, plus our house for which we've been paying mortgage for a few years- adding it all up would not exceed 1-1.5MM (including house value). We only have our 2 kids as dependents. I am not sure at what point to decide that a living trust is needed.
- We are considering next of kin for guardianship, but this next of kin is not a US Citizen. Should the unthinkable happen, our kids would have to move abroad, as next of kin would not be able to come here. Any special considerations for this when drawing up the documents? Does this get tricky for how kids would get their inheritance, as no one in this country would be able to manage it for them if our kids are still young? I am also thinking that our assets would go the next of kin for the purpose of caring for our children but also not sure if that also gets tricky, being that this person is a foreigner.
- I have legal insurance through my employer. How long does this process usually take from start to finish?