Money can make things complicated, especially when it involves the death of a family member or loved one. Imagine how more complex things might get if the person who passed away unknowingly gifts an ex-spouse with the payout from a life insurance policy or retirement account, leaving a grieving partner without the ability to make ends meet. Even if a beneficiary is not named and the assets move to an estate, problems can arise in the form of additional expenses or risk exposure.
Living trusts are a popular estate planning tool, but retirement account assets should not be transferred or re-titled to a living trust. Naming a trust as a beneficiary is acceptable but should be carefully considered, as it can cause delays and complications, limiting the payment options of the underlying beneficiaries.
Beneficiary reviews are painless, and require just a few simple steps to ensure your loved ones are the ones on the receiving end of your benefits should you pass away. Do you know who the beneficiaries are on your financial accounts? We’re happy to help you get your accounts up-to-date. Simply contact us and we’ll schedule an appointment.