It’s wedding planning season and that means it is time to also plan your future family’s estate. Just as important as a seating chart, pairing your assets together in a safe place can ensure peace of mind. As you join together, it’s important to think about protecting your financial future through estate planning. Don’t forget to add building an estate plan to your wedding checklist along with updating your beneficiary.
Good news, starting your estate plan can happen before or after the wedding day so you’ll have plenty of time to decide. Estate planning is not just for retirees, it’s for every age and every stage of life, especially marriage. It protects your assets in the family, your future children’s welfare or inheritance. Many other important documents will also need to be updated after the wedding and an estate plan can help you map out the first steps. At a minimum, you’ll need to create a will that states what your spouse will inherit.
Another popular component to an estate plan for newlyweds is a revocable living trust. In a living trust, you can also designate important components such as power of attorney and health care directives. Collectively, all of these documents and your assets will live in the safety of the trust and you can appoint a trustee to manage and administer the assets of the grantor (you).
The benefit of a trust is that it clearly shows who owned what before and after marriage. Then as you grow your assets over your lifetime you can simply transfer them into the trust and keep them safe while you’re alive and in death. The trust can hold assets such as cars, real estate, property and investments. Property in trust before you get hitched belongs to your trust, which means it’s separate from property you buy during marriage and is off-limits in a divorce. If you outgrow your trust’s original terms, you can change or dissolve it at any time.
Why Trusts Make Sense:
- Protects your assets from creditors
- Protects your assets from probate
- Reduces tax liabilities
- Secures your family’s finances
- Protects beneficiaries
- Protects you in the event of incapacity
- Protects your estate in the event of divorce
We understand that every family is unique in their needs and wishes for an estate plan. Whether it’s updating new documents or creating an entire legacy strategy, our team will customize a comprehensive plan that’s right for your family and your budget. Find out how one of our estate planning attorneys can help you begin no matter where you are in the process.