A Guide To Protecting Your Family Inheritance
Leaving your assets to your spouse is very common, but times change, as do people. Will your spouse remarry and have more children? Will they get into financial difficulty in the future and compromise the inheritance that is intended for your children? These are the questions you need to consider when writing your will and looking to protect your family inheritance.
A professional and detailed executive will is more than a piece of paper that lets people know who inherits your assets; it is your chance to map out the future when you are no longer here and ensure that your family inheritance is still protected.
There are several risks to consider that can all be avoided using an executive will. With that in mind, let’s take a look at how you can protect your family inheritance.
Family Risks
Your Spouse Remarrying in the Future
It is common, especially with younger families, that in the event of a spouse’s death, the surviving spouse will remarry. This can be a blessing, as you may wish for them to move on if you are no longer around. However, it also poses a significant risk to your plans for the inheritance you have left them.
Once they remarry, the assets become joint assets in their new marriage.
But, should their new relationship break down and divorce, there would be an asset separation, and half of the family inheritance you left could end up in the hands of your spouse’s ex-partner.
Another risk is that their new spouse might have some ideas on how to invest or use the funds, which could result in their loss or even theft.
If your spouse were to die before their new spouse does, these assets might then be inherited by the new spouse and subject to their relationship with your children. They may not choose to share this as you intended and risk your children ending up with nothing.
All these risks can be elevated with a detailed executive will. You can leave your family inheritance protected and secure from these risks, and your family’s future is safe, no matter what your spouse chooses to do in the future.
Financial Risks
Investment Risk
Knowing how to manage large sums of money effectively can be complex, and many family and friends may want to lend a hand and provide some advice. Even though they mean the best, the advice can be risky, as these people may not be qualified, have experience in money management, or even be trusted.
There are lots of cases of people losing their inheritance due to bad investment decisions and to people who they thought they could trust.
A detailed executive will ensures that the inheritance is left in the right protected investment wrappers and leave clear instructions on how to use them. This can be essential and can reduce the risks of your family losing the inheritance you worked so hard to leave for them.
Fund Intentions
Do you want the funds to be used to pay off a mortgage? Or do you want them invested and your family to live off the investment interest? Leaving a laid-out set of instructions for your family inheritance is vital. If you were to die, it would be a challenging time for your family, and they will need all of the help they can get. A will is your chance to continue to help them, even after you are gone.
Protecting Your Family Inheritance
At Executive Life, we are experts in advising business owners on the unique things that can affect them financially. As well as being insurance experts, we go the extra mile to show you how to plan how the family inheritance you leave can be protected and secured.
We invite you to take advantage of our free will and estate planning review. We can highlight areas of risk you may have yet to consider and then provide a fixed-fee quotation to carry out the needed work. If you are already an insurance client, we can link this to other policies and trusts we have created for you.
Don’t leave this essential document to chance. Make sure the professionals have created your will. Contact Executive Life today.
