Congratulations on your pending nuptials in Florida! However, since it is the second time, you probably need to take a look at your estate plan. Major changes in your life, such as marriage, require updating your plan to ensure it is still in alignment with your wishes. In addition, a second marriage means you now have to combine two families and make changes accordingly.
Adding your soon-to-be spouse into your estate plan is probably one important change, but you also have to prepare for the issues it may cause. Here are three special considerations you should make as you embark on the changes in your life and your estate plan.
- Update beneficiaries
Fidelity suggests going over the beneficiaries included in your estate plan to be sure they are still who you want them to be. A second marriage may mean adding your new spouse or additional children to your plan. You may also need to remove your previous spouse if you have not done that yet.
- Talk with your family
You do not want to go changing everything in your estate plan without talking it over with your family first. Obviously, there will be changes because you will have a new spouse, but you need to make sure everyone understands what you will do and how it may affect them. Handle questions and concerns at this time so your estate can avoid issues once you die.
- Think about taxes
When you make any modifications, be sure to keep taxes in mind. You want to avoid making changes that will increase the tax liability of your estate. You have to keep things balanced and on track to minimize tax liabilities.
Your estate plan requires some updating when you get married for a second time. There are a lot of changes going on in your life that your plan should reflect to effectively convey your wishes.