DIVORCE, REMARRIAGE,

AND YOUR ESTATE PLAN

Attorneys always emphasize the fact that

estate planning is an ongoing process

When things in your life change these new beginnings

may render your existing estate plan OBSOLETE

DIVORCE AND REMARRIAGE are two of the life events that are

going to necessitate estate plan revisions

Inheritance & Beneficiary Changes

After a divorce you have to consider disinheriting your

former spouse

This can include changing the beneficiary

designations on your payable on death accounts

Any estate planning documents that you have in place directing

asset transfers should be reviewed

You may also want to change the beneficiaries on your life insurance

policies

Getting Remarried?

If the love bug strikes and you decide to get married

again you should ask yourself how this will affect your existing estate plan

Without question, some significant

revisions will be in order

This is particularly true if you have children from your previous marriage

or marriages

Not-So-Romantic Facts

Obviously people who are getting married are generally

going to be very much in love

However, if you want to be practical you should consider some very relevant statistics

Well in excess of 60% of second marriages

fail according to statistics cited in a

2012 Psychology Today article

Over 70% of third

marriages end in divorce

Popping Another Question

After you pop the question with regard to tying the knot, you may

also want to consider popping another question

If you ask your spouse-to-be to enter into a premarital

agreement it can be constructed to protect both

parties

The agreement can also protect the interests of children from

previous marriages

Premarital Agreements

Premarital agreements are nothing more or less than contracts, and they can

accomplish various different

objectives

One of these would be the delineation of the personal

assets of each individual entering the marriage

The agreement could also stipulate the terms of property distribution in the event of a

future divorce

QTIP Trusts

How do you provide for your surviving spouse and your

children?

One option would be the creation of a qualified terminable interest property

(QTIP) trust

Your surviving spouse would receive income from the

earnings of the trust for life

Upon the passing of your surviving spouse your children would inherit the

funds remaining in the trust

The First Step

Though we have not covered every detail in this

presentation, these are some things to THINK

ABOUT

You may be a bit overwhelmed when you consider

all of the ramifications

The intelligent first step would be to discuss your situation with a

licensed estate planning attorney

Your lawyer will gain an understanding of your family dynamic and make the

appropriate recommendations

If you live in the greater Indianapolis area our firm can

help you revise your estate plan after you go through a divorce

Contact Frank & Kraft to schedule a

FREE CONSULTATION(317) 684-1100

www.FrankKraft.com