If you are a newlywed, congratulations! The main things on your mind may be going on your honeymoon or having children. However, it is important to take care of some legal matters now that you are married.
While an estate plan may be the last thing on your mind, it is crucial to take care of it earlier rather than later. Here are some estate planning tasks you should accomplish as a newlywed.
1. Create or update your will
Putting a will together is a breeze in comparison to planning a wedding. Your will is the document that will dictate what happens to a majority of your assets and who will take care of your children if both of you pass away. It may be uncomfortable to plan for what happens when you die, but it is best to have something in place just in case.
2. Update your account beneficiaries
Many of your accounts may have “payable-on-death” or beneficiary designations. You may need to update the following accounts:
- Bank accounts
- Insurance policies
- Retirement accounts
- Investment accounts
- Health savings accounts
You should also sit down with your spouse and talk about what you want to happen should you both pass away. Consider naming a secondary beneficiary or simply providing details in your will.
3. Name a durable power of attorney
Who do you want to handle your financial affairs if you experience incapacity or pass away? This person may be your spouse, a close friend or a dear family member. Make sure you put a power of attorney in place so that you can appoint a person to do this. Your power of attorney will have the authority to manage your bank accounts, pay your bills, oversee investments and file your taxes.
Once again, congratulations on experiencing the bliss of a wedding. Amidst the celebration, make sure you complete these tasks.