Why is it crucial for you to review your Beneficiary Designations?

You should review your beneficiaries during your annual review; however, another good time to review your beneficiaries is when a life event takes place.  Marriage, divorce, death, births, and adoptions are all circumstances that may cause a need for beneficiary reviews. In many instances you may no longer wish to leave  your retirement account to your ex, or you may want to add a new grandchild as a beneficiary.  It’s important to remember these circumstances and their potential impacts.   Regardless of the estate planning you have done with an attorney, if your beneficiary designations don’t match up with your current wishes, wills, and trusts, your estate may not be settled according to your current wishes. If beneficiary designations are not kept up to date or made at all, assets that were intended to be transferred outside of the probate system may inadvertently become subject to probate.   .

Furthermore, failure to keep beneficiary designations up to date may lead to unexpected tax consequences for the beneficiary.  However, an advantage to properly maintaining these designations may allow you to provide future income to your beneficiaries.  The checks they may get will generate fond memories of you for possibly many years to come.

Investment advisory services offered through AE Wealth Management, LLC. 

Neither AE Wealth Management nor its agents or representatives may give tax or legal advice and nothing presented in this article should be considered to be tax or legal advice.  Nothing presented in this article constitutes as tax or legal advice.  You should consult with a qualified professional for guidance before making any investment decisions. 

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