A lot of people end up marrying for a second time later in life. Due to divorce or death, many people across Michigan find themselves in a place where they want to marry for a second time. It is a joyous period in a person’s life, but it also comes with some complications as far as creating a viable estate plan.
Remarriage poses some challenges for estate plans, especially if you have children from a previous relationship. However, second marriages do not have to come with headaches. As long as you have enough forethought, you can go into your new marriage with peace of mind.
Review what you have brought in
Before marrying someone new, you need to take stock of the property you own and other significant assets. You can certainly choose to commingle your assets with your new spouse, but many older couples prefer to keep things separate for the time being. It makes it easier to ensure your children receive what you want them to get later.
Review Social Security benefits
One of the most significant things people look at when they divorce involves whether they will receive any of the ex-spouse’s Social Security benefits. You may come to depend on these benefits in retirement. However, you may lose them once you remarry. You should double-check to see whether your new spouse has any retirement benefits that would compensate for the loss of any benefits you may have gotten through the last divorce.
Consider different types of trusts
There are numerous advantages trusts have over wills. When you have children from a previous marriage, you want to ensure they still receive money but that your new spouse still has protections. You can create a credit shelter trust, which provides income to the surviving spouse while preserving the money you want to go toward your children.