Best online will for parents of young children: guardians, money for the kids, and what to buy

For parents of young children, a will is not mainly about money. It is about who raises your children if both of you die. Without a will, a court decides, often after a family disagreement you will never see. With a will, you nominate the person, and a court normally follows your choice.

The second job is the money: what you leave your children has to be held and managed until they are old enough, and how that works differs between a will and a trust, and between services. This page covers both jobs, how each online service handles them, and what to buy. All prices and terms are from each company’s own pages, read on the date in the facts tables. We have not bought these plans yet.

What happens if you have children and no will?

If both parents die without a will, a court has to decide who raises the children, usually after hearing from relatives who may disagree. Anything you leave the children may have to be managed under court supervision until they come of age, with the costs paid from what you left them, and in many states they would receive it outright at adulthood. None of that is what most parents would choose. A signed will, even a simple free one, replaces most of it with your own decisions.

The two jobs a parent’s estate plan must do

1. Name a guardian for the children. This is the person who would raise them. You name a first choice and a backup. Every service on this page lets you do this in the will.

2. Hold and manage the money you leave them. Children cannot manage an inheritance, so someone has to. A will can name a person to manage property you leave your children. A trust can do the same job with more control: who manages it, what it can be spent on, and at what age the children receive it.

A parent’s plan also needs the same documents as anyone else’s: a health care directive and a financial power of attorney for each parent.

What each service costs for two parents

Service	Both parents’ wills, directives and powers of attorney	With a living trust
Quicken WillMaker & Trust	$149 (Plus covers both, trust included)	Same plan
Trust & Will	$299	$599
LegalZoom	$249 (Pro Will)	$499
FreeWill	Free	California only
Ethos	Complimentary with certain Ethos life policies (Perks rider)	Included in the same offer

If you are a single parent, the one-person prices are $149 at WillMaker (Plus), $199 at Trust & Will and $149 for LegalZoom’s Pro Will.

How each service handles guardians

WillMaker is the most explicit, because Nolo’s legal manual explains its rules. You can name a couple to act together as your children’s personal guardians, which most parents want when they choose, say, a sister and her husband. But you can name only one person, with a backup, to manage property you leave a child. Nolo’s reasoning is practical: two people who must agree on every money decision can end up in court. You can choose different property managers for different children.

The manual also gives a tip worth following with any service: if you and your spouse each make a will, review them together so you do not name different guardians for the same child.

Trust & Will lists “nominate guardians for children” (and for pets) among its plan benefits, and its couple plan creates both parents’ documents in one account.

LegalZoom includes naming a guardian for your minor children in its will questionnaire.

FreeWill lists choosing a guardian for your children among the things its free will does.

The legal effect is the same everywhere: you nominate, a court appoints, normally honouring your choice.

Will or trust for the children’s money?

This is the decision that most affects which service you should buy.

With a will, you name someone to manage property you leave your children. WillMaker’s home page describes this as appointing a guardian to manage property you leave to young people. It is simpler and cheaper, and for modest amounts it works well. The limit is control: you have fewer choices about how long the money is held and what it can be used for.

With a living trust, the trust holds the money for the children under rules you set, managed by a trustee you choose, and avoids probate. Trust & Will lists “add conditions to distributions” among its trust plan’s benefits, and a trust lets you choose, for example, that each child receives their share in stages rather than all at once.

A rule of thumb: if the main asset your children would inherit is a house, a large life insurance payout or substantial savings, a trust is worth the extra cost. If it is a modest amount, a will with a named property manager is usually enough.

Do not forget life insurance

For many young families, the largest amount the children would inherit is a term life insurance payout, and that money does not pass through your will at all. It goes to whoever is named on the policy’s beneficiary form.

Two practical rules:

1. Do not name your minor children directly as beneficiaries. Insurers generally cannot pay a large sum straight to a child, which can force a court process. Name your trust, or a custodian for the child, as your insurer’s form allows.
2. Make the beneficiary forms match your plan. If your trust is meant to hold the children’s money, the life insurance should be payable to the trust.

If you are shopping for term life insurance at the same time, note that Ethos says wills and trusts are complimentary with certain of its policies through a rider. Its estate planning is Not available in Alaska or Louisiana, and the rider is not available on policies issued in Washington or South Dakota.

When a child has special needs

Leaving money directly to a child with a disability can affect their eligibility for government benefits. WillMaker’s FAQ is explicit: do not use its will to leave property directly to a person with special needs; leave it to a special needs trust instead. Trust & Will recommends its attorney-drafted custom plan for families with a special-needs child.

This is one situation where an online plan alone is not enough. Have a special needs trust drafted by an attorney who handles disability planning, then name that trust in your will or other trust.

Choosing the guardian: questions worth asking

The questionnaire takes a minute; the decision should take longer. Questions parents find useful:

• Would they say yes? Ask them directly, and ask a backup too.
• Could they take on your children practically? Age, health, their own family, where they live, and whether a move would mean a new school and losing friends.
• Do they share your values on the things that matter most to you, such as education, religion or keeping siblings together?
• Are they good with money, or should someone else manage the children’s inheritance?
• Would the rest of the family accept the choice? If not, a short letter explaining your reasons, kept with the will, can help. WillMaker, for example, does not let you put explanations inside the will itself but suggests a separate letter.

Revisit the choice every few years. The right guardian when your children are toddlers may not be the right one when they are teenagers.

Which plan should parents buy?

• Two parents, modest assets, want it done this week: WillMaker Plus. Both of you are covered, and you get a trust and transfer-on-death deed in case you want them.
• Two parents, a house and life insurance: a living trust. WillMaker Plus for price, LegalZoom’s Basic Trust for a complete guided package with nothing renewing, or Trust & Will for the most help funding it.
• Single parent: the same logic at one-person prices; pay particular attention to the backup guardian.
• Buying term life from Ethos anyway: check whether your policy includes the will and trust before paying for another.
• Unsure about your guardian choice or how to hold the money: LegalZoom Premium, so you can ask an attorney before you sign.
• No budget at all: FreeWill’s free will names a guardian. A named guardian today is far better than a perfect plan next year.

Getting it done, step by step

1. Talk to your chosen guardian first, and to a backup. Ask, do not assume.
2. Decide who manages the money, and whether it should be the same person.
3. Choose will or trust using the rule of thumb above.
4. If there are two parents, name the same guardians in both wills.
5. Sign properly, with two adult witnesses who are not in your will, and a notary as instructed.
6. Update life insurance and retirement beneficiary forms to match the plan.
7. Tell your guardian and executor where the signed originals are.
8. Revisit the plan when a child is born or your guardian’s circumstances change.