You’re in one of the most exciting times of your life – you’re about to commit to your life partner! Throughout all the excitement comes a lot of responsibilities. Estate planning before your wedding might not be the most romantic thing on your mind, but it’s a major part of your new life together with your soon-to-be spouse.
We’ve collected a few estate planning tips to help those getting ready to walk down the aisle.
5 Estate Planning Tips for Engaged Couples
- Prenuptial Agreement. Commonly referred to as a prenup, this is a written contract you and your spouse enter into before legally getting married. It details what happens to finances and assets during your marriage and, of course, in the event of divorce. A prenup is particularly important if one of the spouses already has significant assets and earnings and wishes to protect them in the event of divorce or death. Be sure to intentionally set some time with your partner to discuss if a prenup is right for you.
- Review your current estate plan. Even if you enter a marriage with an existing plan, it’s out of date as soon as you’re wed. Consult with your estate planning attorney to ensure your plan reflects your new life changes!
- Update your beneficiary designations. Much of an individual’s estate plan takes place by beneficiary designations. Decide if you want your future spouse as a beneficiary of your life insurance, IRAs, or other pay-on-death accounts, & make the updates accordingly.
- Consider real estate. A married couple frequently opts to live in the residence of one of the spouses. This should be covered in the prenup. But what if the owner passes away? Discuss and have a plan for whether you want this real estate to pass to the survivor or if the survivor will have the right to live in the property for a specified period.
- Life insurance. Did you know about 50% of Americans do not have life insurance? You want to be sure that one spouse is taken care of in the event of your death. A married couple often relies on the incomes of both spouses, but death may significantly alter that plan. Think about life insurance as a substitute for a spouse’s earning capacity. If you do not currently have life insurance, consider enrolling in a plan.
Are you soon-to-be-married or recently married? Let’s discuss your estate plan together. Contact the team at Ozarks Legacy Law today.
