Are you ready to be the legal guardian of your siblings’ children?

Have you considered what it would be like to become the legal guardian of your siblings’ children? It may seem obvious to accept this responsibility should a tragedy take place, but the reality may be more than you expect.  

We find out what being a guardian entails, and we consider how you could cover the expenses.

Tip: Before taking care of anyone else, you need to take care of yourself. Get your debt under control.

What it means to become a legal guardian

Michelle Orsmond, attorney, notary public, and conveyancer at Hammond Pole Attorneys, says that deciding on children’s guardianship is a critical part of the estate planning process.

“It’s an emotional process that needs to be approached with a great deal of pragmatism, as it involves several sensitive issues in the unfortunate event of the parents’ death.”

Both the parents and the nominee need to note that guardianship is a legal appointment that’s governed by the children’s act.

“A guardian needs to be a fit and proper person and, most of all, they should be able to take over the entire responsibility or role of parent to the child or children. It’s therefore crucial that the proposed guardian accept this nomination during the planning stage,” says Orsmond.

When your sibling appoints a guardian, they should consider factors such as financial stability, the household value system, and moral beliefs.

Even if you and your sibling grew up in the same household, your individual households will not be identical. You need to discuss your current views, as well as the hopes and dreams your sibling has for their children.

“The legal guardian makes all decisions regarding the minor, such as their schooling and where they live. They are also responsible for all their administrative, contractual, and legal matters,” says Orsmond.

“Ultimately, the High Court is the upper guardian of all minor children, and they must protect the child’s interests. But you don’t want to get into a legal dispute after your sibling has passed away – especially during such an emotional time for the entire family,” says Orsmond.

She cautions that guardianship must not be confused with being a godparent. The latter is a more casual role, which is not legally binding. She says that if you are not prepared to accept responsibility for your nieces and nephews, then your sibling will need to find a more appropriate solution.

The finances involved in raising your siblings’ children

Orsmond says that, although being a guardian is primarily seen as an emotional responsibility, it’s a substantial financial responsibility too.

If you inherit funds along with the guardianship of your sibling’s children, these will be at your disposal while you raise them, and it would remove your concerns about finances.

However, you need to ensure the funds will be available at the time of your assuming guardianship, so you don’t have to raise your nephews and nieces out of pocket. You could suggest that your siblings take out life cover to help protect their children’s financial future, whether you choose to be their guardian or not.

If you will not be able to accept this responsibility, you need to be honest with your siblings, and allow them the opportunity to make alternative arrangements while they’re still able to do so.

If you choose to remain the children’s appointed guardian, start saving today to prepare for additional costs.