Naming guardians for dependent children can be the most challenging decision in estate planning. Your choice affects both your children and those caring for your kids should something happen to you.

A trust is not responsible for naming guardians. That task is handled by a last will and testament. When accompanying a living trust, this will is called a “pour over will”.

Without a will a court will use the facts they have in front of them to appoint your children’s guardians, creating a reasonable chance the person the court chooses would not be your first choice.

Before you begin choosing guardians, know:

• Guardians must be adults
• The person you name as guardian is not obligated to take on the role
• Guardians are not paid
• A court will ultimately determine the legal guardian but will use your will to help make the decision

The guardians do not have to be the financial managers of your children’s money. A living trust, testamentary trust or other well-constructed estate plan can appoint non-guardians to manage the assets. Who should you choose as guardians? First, remember someone you ask may ask you to reciprocate in return. Would you want to take in their kids? Are the guardians at a similar point in life as you? Are your potential guardians about to become empty nesters and looking forward to it? Do the potential guardians have children of a similar age, which could help the transition? Non-family members as guardians have their own extended families they typically spend time with over holidays. How will that affect your children spending time with your extended family? If naming a married couple as guardians, in the event they divorce would you be comfortable with either person or only one of them? If so, list just that person. Listing a primary guardian with one or two backups should put you in a good shape with getting the right guardian. The other half of the equation is making sure you have enough cash to properly cover health, education, maintenance and support needs until your children become self-sufficient. Life insurance is an important part of estate planning when children are dependent and a trust can be used to hold the money until your children are grown and fiscally responsible.