Estate Planning for Minor Children

Serving Families and Individuals throughout Houston, Texas and the Surrounding Areas

If you have minor children, selecting a guardian is one of the most important decisions you will ever make. A guardian is the person who will raise your children if both parents pass away or become incapacitated. Without a will that designates a guardian, the court will make that decision for you – and the court’s choice may not be the person you would have selected.

Choosing a guardian is deeply personal and requires careful thought. Here are some of the key considerations:

Values and parenting style. The guardian you choose should share your values and your approach to raising children. Think about how this person would handle discipline, education, religious upbringing, and the day-to-day decisions that shape a child’s life.
Location and stability. Consider where the potential guardian lives and whether your children would need to relocate, change schools, or leave their community of friends and activities. Stability during an already traumatic time is critically important.
Age and health. The guardian should be physically and emotionally able to take on the responsibility of raising your children for the long term. Consider the guardian’s current age, health, and family situation.
Willingness. Never assume that someone is willing to serve as guardian without asking them first. Being a guardian is a tremendous responsibility, and the person you choose should be fully informed and willing to accept the role.

Choosing a Fiduciary for Your Children

In addition to selecting a guardian, you also need to decide who will manage the financial resources you leave behind for your children. This person is called a fiduciary – and the decision is just as important as choosing a guardian. The fiduciary will be responsible for investing, managing, and distributing the assets you set aside for your children’s care, education, and well-being.

Many parents assume that the guardian and the fiduciary should be the same person. That is certainly an option, but it is not always the best choice. Here are three approaches to consider:

Option 1: A Family Member as Fiduciary

Choosing a trusted family member to serve as fiduciary is the most common approach. A family member who knows your children, understands your values, and has good financial judgment can be an excellent choice. The advantage of this option is that the fiduciary has a personal connection to your children and is likely to make decisions with their best interests at heart. The disadvantage is that managing money is a specialized skill, and not every family member is equipped to handle investment decisions, tax filings, and the administrative responsibilities that come with managing a trust.

Option 2: A Professional Fiduciary

A professional fiduciary – such as a bank, trust company, or licensed professional – brings expertise, objectivity, and accountability to the role. Professional fiduciaries are experienced in managing trust assets, complying with legal requirements, and making prudent investment decisions. The advantage is competence and reliability. The disadvantage is cost – professional fiduciaries charge fees for their services – and the lack of a personal relationship with your children.

Door #3: The Pro-Am Approach

Many families find that the best solution is a combination of both: a “pro-am” approach that pairs a trusted family member with a professional fiduciary. In this arrangement, the family member provides personal knowledge and connection, while the professional provides financial expertise and administrative support. This approach gives your children the benefit of both worlds – someone who knows and loves them working alongside someone who knows how to manage money.

Putting It All Together

At The Stegall Law Firm, we help parents throughout Houston and the surrounding areas think through these difficult decisions and implement them in a comprehensive estate plan. We draft wills that designate guardians, create trusts that protect and manage assets for minor children, and help you select the right combination of guardians and fiduciaries to ensure that your children are cared for – both personally and financially – no matter what the future holds. Your children are your most important legacy. Let us help you protect them.