If you are a newly married couple, your focus is on building a future together and making memories. You may decide to create joint accounts, build a home, update names, or even consolidate your existing assets. Naturally, the last thing most couples think about is creating a will or discussing what would happen if one of them is incapacitated or unexpectedly passes away.
Yet, estate planning is one of the best ways to protect the future you are building together. It ensures that your spouse is cared for and your assets are protected, no matter what life brings. This estate planning checklist covers the essential steps to give both of you greater financial security and peace of mind as you begin this new chapter together.
Create or Update Your Wills
If you do not have a will, now is the time to draft one. If you already had one before getting married, review it to ensure it reflects your current wishes and complies with your state’s laws. For instance, in states such as Maryland and Rhode Island, marriage may revoke an existing will or affect how your estate is distributed.
You should therefore specify who will inherit your assets, who will serve as your personal representative, and how any personal belongings should be divided. This will reduce the likelihood of disputes among surviving family members.
Review Beneficiary Designations
Assets such as retirement accounts, life insurance policies, payable-on-death bank accounts, and transfer-on-death investment accounts are often transferred directly to the named beneficiary. In this case, your will won’t be considered.
After getting married, review every account to confirm the correct person is listed. You may have forgotten to remove former partners or outdated beneficiaries, which can create unintended disputes.
Establish Powers of Attorney and Healthcare Directives
Estate planning is not only about what happens after death. It also prepares you for situations where you may not be able to make decisions on your own due to illness or injury.
A financial power of attorney authorizes someone you trust to manage your finances if you become incapacitated. On the other hand, a healthcare power of attorney allows your chosen representative to make medical decisions on your behalf when you cannot communicate your wishes. You should also consider creating an advance healthcare directive that explains your treatment preferences.
Organize Your Assets and Update Ownership
List all your assets, including bank accounts, investments, retirement plans, vehicles, real estate, and even digital assets.
You should also review how major assets are titled. Depending on your goals and state law, you may choose to hold certain assets jointly or keep others separately. This makes estate administration much easier and ensures that nothing is overlooked if an unexpected event occurs.
Plan for the Future with an Experienced Estate Planning Attorney
Every couple’s financial situation is different. An estate plan that works for one family may not provide adequate protection for another. As such, working with an experienced estate planning attorney will ensure your documents are legally valid and tailored to your unique circumstances.
At Michael F. Kanzer & Associates, P.C., we help newly married couples create comprehensive estate plans that protect their spouses and preserve their assets. Whether you need your first will, powers of attorney, healthcare directives, or a complete estate planning strategy, our experienced team is ready to guide you. Get in touch today.