Retirement Planning in Southwest Missouri
Serving Families and Individuals throughout Southwest Missouri and the Surrounding Areas
Now, let’s consider something no married couple wants to think about: Retirement Planning in Southwest Missouri.
What if one spouse dies and the other remarries?
Well, if you want to risk losing about half of what you have should the remarriage not work out or disinheriting your own children and grandchildren, then do nothing. On the other hand, it is best to go into a new relationship with both eyes open.
In short, the surviving spouse will need to have a legally enforceable premarital agreement inked before saying “I do” on his or her wedding day.
In a recent University of California study, researchers found that 60% of widowers are involved in a new relationship within two years after losing their wives, while only 20% of widows have a new relationship. You can find more details about this here
According to the U.S. Census Bureau, men are 10 times more likely to remarry after age 65. And the average time before they are remarried is just 2.5 years. When dad remarries a new wife some 20 years his junior, that can trigger all kinds of drama in the family, to say the least.
As you can see, planning for being single again includes planning for any new relationships on the future, while preserving (and protecting) the relationships you already have.
When it comes to your children, great care should be given to protect any inheritance both for them and from them. For starters, wealth representing a lifetime of your hard work and thrift can be squandered in very short order. Dollars earned just spend differently than dollars inherited. In addition to good, old-fashioned squandering, an inheritance can quickly vanish through divorces, lawsuits and bankruptcies.
Fortunately, with proper (and very careful) estate planning, you can provide an inheritance that is protected for and even from your own children. Remember, two things you cannot choose in life are your own folks and the spouses of your children.
What is your plan to pay for long-term care, if you need it?
Have you noticed how expensive the continuum of care is? From in-home assistance to assisted living to skilled nursing the expenses can destroy savings and investments created over a lifetime of hard work and thrift.
As you near retirement, lock-in a long-term care insurance policy while you are still able to qualify physically and mentally. Some versions of coverage only pay if you need longterm care assistance, but others can now do double-duty and turn into life insurance if you do not need such assistance. That is a popular alternative to traditional long-term care insurance.
There is a 70% risk of needing long-term care once you reach age 65. Curiously, 70% of people think they will not be among those 70% needing care (i.e., denial) and 70% of people think Medicare will pay for it (i.e., ignorance)! You do not want to be in that 70% who are in denial, ignorant or both.
If you will need assistance with the activities of daily living (e.g., eating, bathing, dressing, toileting, and transferring), then you may want to hire a professional to take care of you instead of your children.
When you are ready for help with your long-term care planning through appropriate insurance, then we can help you find that, as well.
Fortunately, we can help you avoid probate and replace that impersonal, state-written, one-size-fits-all estate plan with one we design together for your unique circumstances and objectives. We even help you coordinate the beneficiary designations on your life insurance and retirement plans with your estate plan to avoid unpleasant, unintended consequences.
Contact estate planning attorney David Payne