The Divorced Mom of Two Onward Webflow HTML Website Template

The Problem

Catherine, a divorced mom of two daughters (15 and 9) received a devastating cancer diagnosis. She had two $1 million life insurance policies (one for each girl), a house worth $500,00, and a small retirement account. The doctors said her cancer was terminal, so she worried not only that her daughters would grow up without a mother, but also that they would need access to money for their education and management of their inheritance after her death.

Key Objectives

Guardianship: Because she split custody with her ex-husband, first-line guardianship was no problem (he would be their guardian). But Catherine wanted back-up guardians to care for her daughters. So, she named her parents and then her sister as back-up.
Providing a Good Education: Catherine wanted her daughters to go to the best schools. She wanted her oldest to go to the best private high school in St. Louis. Knowing her daughters would have access to a sizeable inheritance after her death, she wanted to ensure that those funds were used for education purposes.
Financial Management: Since the girls were still so young, Catherine worried about their long-term financial needs (college, weddings, buying a house). She wanted to ensure that the money she worked hard for would be put to good use and not wasted.
Flexibility: Catherine also wanted additional flexibility with regard to her estate plan, even after she was gone.

The Solution

Catherine created a Standard Trust Plan with GoGo Estate®. Because of the timeliness of her diagnosis, she was able to work with her attorney to build a comprehensive plan quickly. After she recorded the deed prepared by her attorney, the trust owned the house and was named beneficiary to the life insurance policies and retirement money.

When she passed, the trust split in two, one share for each of her daughters. Those shares were placed in further trust for their benefit and managed by her dad (as trustee). The money in those trusts are currently being used to fund their education (the oldest is in college and the trust is paying the tuition) and other necessities. Each girl now gets full access to their respective trust funds when they turn 35. And because the trust became irrevocable after her death (meaning it cannot be changed without court approval), Catherine appointed her GoGo Estate® attorney as "trust protector" to ensure the trust can be changed if necessary.

Conclusion

Through comprehensive planning offered by her GoGo Estate® attorney, Catherine was able to leave something for her girls to remember her by. Her money is now protected for the girls and is being spent for their care and support. Mom is always smiling down on them.