{"id":6750,"date":"2024-10-27T08:10:06","date_gmt":"2024-10-27T08:10:06","guid":{"rendered":"https:\/\/finderica.com\/how-to-change-your-estate-plan-after-your-spouse-dies\/"},"modified":"2024-10-27T08:10:06","modified_gmt":"2024-10-27T08:10:06","slug":"how-to-change-your-estate-plan-after-your-spouse-dies","status":"publish","type":"post","link":"https:\/\/finderica.com\/?p=6750","title":{"rendered":"How To Change Your Estate Plan After Your Spouse Dies"},"content":{"rendered":"\n
\n

\"ScoreCard<\/p>\n

Nobody lives forever, but death isn\u2019t the most pleasant topic. So it can feel all too easy to put off <\/span>estate planning<\/span>, putting you at risk of dying without a will or directions for your final arrangements. But even if you\u2019re among the <\/span>1 in 3 Americans<\/span><\/a> who have a will, your work isn\u2019t done. It\u2019s important to regularly revisit your documents and change your estate plan to reflect your current circumstances.\u00a0<\/span><\/p>\n

This is especially important after a spouse dies. But a spouse\u2019s death can be complicated. These tips will help you tackle the task, one step at a time, when the worst happens.<\/span><\/p>\n

Estate Planning and Couples<\/b><\/h2>\n

If you\u2019re married, you probably created your estate planning documents with your spouse. You outlined your wishes with the assumption that the other party would survive you. However, a spouse\u2019s death will require you to dive back in. But as Gil Baumgarten, founder and president at <\/span>Segment Wealth Management<\/span><\/a>, points out, it\u2019s important to build in contingencies like spousal deaths when creating your initial planning documents.<\/span><\/p>\n

\u201cI would go a step further and make some assumptions about who will likely die first,\u201d he said. \u201cMales tend to have shorter lives, and health issues for either spouse are often known and can aid in assumptions. This can help in more advantageous planning.\u201d<\/span><\/p>\n

4 Steps To Change Your Estate Plan<\/span><\/h2>\n

The death of a spouse leaves a long list of things to do, all while you\u2019re grieving. It can be tough to know exactly what to tackle first. Experts recommend focusing on these steps:<\/span><\/p>\n

1. Update Your Powers of Attorney<\/span><\/h3>\n

Your estate planning documents may include a power of attorney. That designates someone to handle your financial affairs and\/or medical decisions if you become incapacitated. In most cases, people give this designation to a spouse. Donna Stefans, Esq, AIF at <\/span>Donna Stefans Law Group<\/span><\/a>, believes your first step to change your estate plan should be to update your power of attorney.\u00a0<\/span><\/p>\n

\n
\n

50 Effortless Methods to Boost Your Income This Week<\/h3>\n

If you needed extra money, like, yesterday, you\u2019ve come to the right spot.<\/p>\n

Our team has compiled a list of creative ways<\/a> you can fatten your bank account this week.<\/p>\n

This is a long list, so don\u2019t get overwhelmed. Go ahead and start now, but be sure to bookmark this post so you can easily return later. We\u2019ll keep it updated as offers changes or expire.<\/p>\n

Check it out!<\/a><\/p>\n<\/div>\n<\/div>\n

\u201cI believe powers of attorney are the first ones to be updated as the surviving spouse because the person usually first chosen is the spouse, and now we need to ask other people to help us in their time of need,\u201d Stefans said.<\/span><\/p>\n

2. Review Your Will or Trust<\/span><\/h3>\n

After the death of a spouse, another important step is to revisit your will or trust. Dana Blue, Esq., an attorney at <\/span>Dana Blue Law<\/span><\/a>, said updating who gets the money left behind in your bank accounts, life insurance and retirement plans is crucial.<\/span><\/p>\n

\u201cForgetting to update who gets your money can cause it to go to someone you didn\u2019t want it to,\u201d Blue said. \u201cThis can cause fights and delays. Quickly switch who can make decisions for you if you can\u2019t, choosing someone you trust. This keeps everything running smoothly.\u201d<\/span><\/p>\n

3. Revisit Beneficiaries<\/span><\/h3>\n

If you have life insurance and retirement savings accounts, you\u2019ve named a beneficiary. It\u2019s important, after the death of a spouse, to take a look at every account with a beneficiary to make sure it\u2019s up to date. But as David T. DuFault, principal, attorney at <\/span>Sodoma Law<\/span><\/a>, points out, this might not be as urgent as other steps.<\/span><\/p>\n

\u201cLike the estate planning documents, often (and preferably) assets with beneficiary designations will include primary and contingent parties,\u201d DuFault advises. \u201cUnless there has been some kind of catastrophic incident, often the contingent beneficiaries are still in place and would take if the primary beneficiary is deceased.\u201d<\/span><\/p>\n

4. Consider Adding a Trust<\/span><\/h3>\n

Lindsay Graves, elder law attorney and founding partner at <\/span>The Graves Law Firm<\/span><\/a>, believes long-term care planning is essential once a spouse passes away. Many of us will need long-term care at some point, she said. The cost of care hovers around $100,000 per year.<\/span><\/p>\n

\u201cFrom an estate planning perspective, the biggest shift that occurs when a spouse dies is that the surviving spouse is now legally seen as single,\u201d she said. \u201cAll states have individual laws regarding how much of one\u2019s assets can be protected while qualifying for Medicaid, but in almost all states, that number is drastically lower for a single person. For these reasons, a surviving spouse must take steps to protect their assets. Often, that means considering adding a trust to the estate plan to exempt some of the assets that would otherwise be subject to spend down.\u201d<\/span><\/p>\n

The death of a spouse tends to put life on hold for a while. But while you\u2019re dealing with all the arrangements, it\u2019s important to take a little time to review your <\/span>end-of-life planning documents<\/span>. You may need to meet with your attorney to change your estate plan. But it will be well worth it knowing your loved ones are taken care of when you\u2019re no longer around.<\/span><\/p>\n

Stephanie Faris is a professional finance writer with more than a decade of experience. Her work has been featured on a variety of top finance sites, including Money Under 30, GoBankingRates, Retirable, Sapling and Sifter.<\/span><\/i><\/p>\n

\n
\n

5 Companies That Send People Money When They\u2019re Asked Nicely<\/h3>\n

When you log into your bank account, how do your savings look? Probably not as good as you\u2019d like. It always seems like an uphill battle to build (and keep) a decent amount in savings.<\/p>\n

But what if your car breaks down, or you have a sudden medical bill?<\/p>\n

Ask one of these companies to help\u2026<\/a><\/p>\n<\/div>\n<\/div>\n

<\/p>\n

<\/p>\n


\n <\/p>\n

<\/p>\n