Thus, it’s foolhardy to think that we can keep putting off estate planning on the premise that death is still a long ways away, or that everything will somehow work out (miraculously) according to our wishes if we do nothing. » Read more..
Tag Archive for elective share
An oft-told tale describes a young man’s efforts to entice a beautiful woman to marry him because he would soon inherit $20 million from his ailing father. Impressed, the woman asks the man for his business card. At their next encounter, the beautiful woman introduces herself as the man’s stepmother – i.e. showing that women are better financial planners than men.
This imaginary woman’s expertise in financial planning is based on laws that provide for surviving spouses before providing for a dead person’s children. The young man was now going to have to wait for his new stepmother to pass on, which – if this was a May-December romance – could be some years from now. » Read more..
Adults entering second marriages, but having children from a first marriage, should have a pre-nuptial agreement, a trust, and a qualified retirement plan waiver. Relying on a trust alone may not work because the new spouse could challenge the trust under Minnesota law. And, the only way that a new spouse can be waived as the beneficiary of a “qualified retirement plan” is if the new spouse does the waiving. » Read more..