The assets you have gained during your lifetime can provide a strong financial future for your loved ones, but if you fail to legally assign beneficiaries, your assets may be distributed according to State laws. Beneficiary designations in Atlanta estate planning enable you to choose how your assets will be distributed after your death. However, the process can be complex when you have multiple assets and accounts.
When you contact a local estate planning attorney, you will have an opportunity to align your beneficiary designations with your other estate planning efforts to ensure it produces the intended results. Siedentopf Law provides tailored estate planning services for residents, families, and businesses across Georgia. When you contact us for a virtual strategy session, you will get legal guidance to choose and update beneficiary designations in preparation of your loved ones’ futures.
Understanding Beneficiary Designations
Wills are often the first things that come to mind when you think of beneficiaries. However, many types of assets require you to name beneficiaries. Beneficiary designations are frequently found on life insurance policies, retirement accounts, and even some bank accounts. These types of accounts are generally set up to be paid directly to your beneficiaries without going through your will.
Naming your beneficiaries across all assets and accounts should be a deliberate process that aligns with other aspects of your estate plan. An Atlanta lawyer will help you understand the nuances of beneficiary designations and how to make informed choices.
Avoiding Unintended Consequences of Beneficiary Designations
Choosing beneficiaries is not always simple. The wrong choice can have unintended consequences that lead to results that do not align with your wishes. Most people are not aware of the potential issues that can arise in the following situations.
Minor Beneficiaries
It is common to name a trusted adult to manage the funds you leave for minor beneficiaries. However, the adult has no legal obligation to use the money for the child’s benefit. If the designated adult faces financial issues like debts or lawsuits, the child’s money might be taken to satisfy the creditor’s requirements.
Naming Contingent Beneficiaries
Living trusts and wills are often in place for years. A backup plan can help you maintain their accuracy. Naming a primary and secondary beneficiary ensures you will have a contingent beneficiary if your primary beneficiary is unavailable. Periodic reviews and updates, as necessary, will ensure your beneficiary designations reflect your current circumstances.
Coordinating Beneficiary Designation with Your Estate Plan
When your will or trust does not match your beneficiary designations, your wishes may not be met. Since beneficiary designations typically take precedence over your will, they should reflect the same thing. You can work with our Atlanta attorney to coordinate all aspects of beneficiary designations in your estate plan to ensure they are valid and legally binding.
Get Help From an Atlanta Attorney on Setting Up Your Beneficiary Designations
Beneficiary designations in Atlanta estate planning can empower you to protect your assets and promote a better future for your loved ones. There are many types of accounts, financial tools, and assets that allow you to name beneficiaries, which can make the process confusing. Contacting Siedentopf Law will help you create a coordinated estate plan that eliminates unintended consequences so your final wishes are met.
Sarah Siedentopf works with clients all around the state – over the phone or via Zoom – to create estate plans that emphasize the named beneficiaries. Schedule a strategy session with us to create a tailored plan that supports your wishes for your friends and family.
N/a
