You should never overlook the impact of your beneficiary designations in your estate plan. After you have assigned all of your estate planning documents, you need to build in regular review dates on your calendar to verify that your beneficiary designations are kept up to date with the rest of your estate plan. Some people assume that choosing a beneficiary is a simple task.
Others might not want to bother their attorney with what seems like a clear question. However, since beneficiary designations are used with important assets such as retirement benefits and life insurance, it can be helpful to sit down and discuss these with a California estate planning professional.
There are several different challenges that can emerge as it relates to beneficiary designations. These can include:
- Verifying whether or not there is enough money in your estate and trust to pay your estate tax liability.
- Protecting your tax savings.
- Deciding whether or not a spouse is the only person who should be listed as a beneficiary.
- Clarifying who you intend to list on the beneficiary form and providing back up beneficiaries.
- Being aware of the challenges with qualified accounts.
- Avoiding last minute changes and updates to your beneficiary forms.
Scheduling a consultation with a trusted Pasadena estate planning lawyer can help you articulate this process and verify that you have done everything possible to protect your best interests.