Will planning

[fourstardan]

So I'm sat watching the Christmas footy and er indoors drops in to the conversation "My sister and her husband are doing their wills and they want us to be guardians to their only child should anything ever happen"

Both current grandparents are in their 60's/70's now, one retired so viewed as not suitable to look after a 3 year old if (big if of course) anything ever happened.

We currently don't have any children yet, not through want of trying. I feel very honoured to had been considered, They currently have very minimal estate (afaik), so financially any money would be bare minimal to support said child.

This is all about as much of an issue as wondering what I'd spend my lottery winnings on however you just never know in life.

Anybody gone through a similar process?

[dalenorth]

It would be wise for them to set up a family income benefit policy that would pay you an income in the event of their death that would cover the kids living expenses until dependency.

Family income benefit policy cost next to nothing If they’re fairly young and healthy.

[cml24]

Me and my partner really need to get wills done! Been saying it for years, and just seen my uncles partner die without a proper will and it made everything so much worse for the family.

We've asked my sister and a friend and they're both more than happy to look after our daughter if we both went. We both have life insurance and really want to split the money between paying my sister or friend to bring her up and then giving our daughter some money when she's older. Presume that's relatively normal and straight forward in a will? Some kind of trust?

[dalenorth]

Cml24, yes put the life insurance into a discretionary trust. The broker should of set it up and the policy inception. Happy to get one of my guys to sort it if needed.