Although we generally consider marriage to be primarily a romantic relationship, when two people join their lives together, it is also a financial union. Many studies show that disagreements about finances are the top predictor of divorce. One of the best ways that engaged couples can avoid this pitfall is to be upfront, honest, and proactive about financial plans and concerns from the very beginning. If you are a newlywed or plan to “take the plunge” this summer, it is important to consider the estate planning steps you should take to safeguard your family’s financial future.
Create Your Last Will and Testament or Update Your Existing Will
In past blog posts, we have discussed some of the most ubiquitous misunderstandings about wills. Perhaps the greatest myth regarding wills is that they are only needed after a certain age. The reality is that an adult of any age will benefit from creating a will.
Although it is unpleasant to think about, unexpected tragedies happen every day. By creating a will now, you are safeguarding your ability to make decisions about what happens to your debt and property after you pass away. Furthermore, creating a will helps you identify and explore your current financial situation. This can help you and your soon-to-be-spouse better discuss financial concerns and plans for the future. If you already have a will, you will need to update it after getting married. An experienced estate planning attorney can be a valuable resource when drafting or updating a will.
Update Beneficiary Designations
If you are in the process of planning your wedding or you have recently married, your life is probably quite busy and chaotic. However, it is important for engaged and newly-married couples to find time for important financial and estate planning tasks. One of these tasks should be to update beneficiary designations on things like retirement accounts and life insurance policies. If you are like most people, you probably put your parents down as your beneficiaries when you first opened these accounts. Now you will need to update these documents to show that you wish your spouse to be your new beneficiary.
Contact a Lombard Estate Planning Attorney
For sound legal advice regarding wills, trusts, advanced directives, and more, contact an Arlington Heights estate planning lawyer from A. Traub & Associates. Our experienced team of legal professionals have the experience and skillset needed to help you make the best possible decisions regarding your financial future. Call us at 630-426-0196 today to schedule a confidential consultation.
Sources:
https://www.forbes.com/sites/investor/2018/05/08/the-most-important-conversation-newlyweds-need-to-have/
http://time.com/money/4776640/money-tips-married-couples/