Articles

Shannen Doherty Understood That With Divorce, Timing Is Everything

According to a Centers for Disease Control and Prevention survey, there were more than 670,000 divorces and more than 2 million marriages in 2022. Divorce is a common life event that many Americans face during their lifetime.

Some states have laws that automatically end an ex-spouse’s appointment as decision-maker in their spouse’s estate plan with the ending of their marriage, as well as their right to any inheritance to which they may have been entitled. However, what happens if you die after you file for divorce but before it becomes final?

 Shannen Doherty faced this same question. In her case, the divorce was deemed to be finalized before her death.

Have You Checked Your Beneficiary Designations Lately?

You regularly check the balances of your retirement, bank, and investment accounts. But when was the last time you checked the beneficiary designations on these accounts (and really, all the other accounts that allow you to name a beneficiary)?

It may have been years since you first opened an individual retirement account, bought a life insurance policy, or started putting money into a health savings account. At the time, you named someone—most likely your spouse, if you were married, or another loved one if you were single—who will inherit the money when you pass away.

How to Pick a Trustee, Executor, and Agent under a Power of Attorney

While the term fiduciary is a legal term with a rich history, it generally means someone who is legally obligated to act in another person’s best interest. Trustees, executors, and agents are examples of fiduciaries.

When you select people to fill these roles in your estate plan, you are picking one or more people to make decisions in the best interests of you and your beneficiaries and in accordance with the instructions you leave. You should also choose multiple backups for each of these roles in case your first choice is unable or unwilling to act when the time comes.

Who Should Be Your Successor Trustee?

If you have a revocable living trust, you probably named yourself as the initial trustee so that you can continue to manage your financial affairs. However, someone else will eventually need to step in to administer your trust when you are no longer able to act due to incapacity (the inability to manage your affairs) or after your death. This person is known as your successor trustee.

Key Takeaways

• Because successor trustees hold great responsibility, you should choose them carefully.
• Successor trustees can be an adult child, a family member, a trusted friend, a corporate or professional trustee, or a financial institution.

What to Do with Grandma’s Ring: Dividing Personal Property in an Estate

If you have a beloved late grandmother, many images and memories may come to mind when you reminisce about her.

You might picture her at her home or at the family vacation house during the holidays. Your memory could be a special meal that only she prepared for you or a place she took you to. Or maybe you remember a piece of jewelry she always wore—one that several family members are eyeing as you go through the personal property in her estate.