How To Cope With The Problems Of Inheritance And Divorce

Inheritance and divorce issues can be difficult to understand, especially when you consider that every state has its own laws. What is certain is that any change in your circumstances warrants another look at how your affairs are structured, ideally with professional assistance. Just overlooking one important point could mean that your assets pass to the people you would definitely not want them to pass to, instead of those you would like to benefit from your estate. Proper planning is absolutely essential, and it is equally important to amend those plans when necessary.

Marriage and divorce create two totally separate problems when it comes to inheritance. Firstly, there is the problem of a potential divorce for the person making a will. This will have an effect on the level of their assets, and may even invalidate part of the will if certain conditions can no longer be met. Secondly, there is the potential problem of someone inheriting money while they are in a marriage which is about to end. The two cases are obviously completely different, and need handling in different ways.

It is often difficult to assess the potential financial damage of a divorce in advance, but it is safe to say that your asset levels will be diminished. It is certain that any will you had drawn up before the divorce will need to be amended. If money was to be left to your marital partner, you will want to change your will even before the divorce takes place, in case you should die suddenly in the meantime. Once your revised income and assets are known, you can always make further revisions to the will.

Dealing with money that you are going to receive as a beneficiary is more difficult, as it depends entirely on the laws of the individual state in which you live. In most states, there will not be a problem as the inherited money will be classed as separate property. In this case, the money will remain yous after any divorce has taken place. In some other states where this law does not apply, you will have greater problems. If you know that you are due to be a beneficiary of a will, you should discuss the situation with the other party to find the right solution.

The higher your asset level, the greater the potential problems with any divorce inheritance. Once you reach the level where inheritance tax would have come into play anyway, you will need to have your estate structured by a professional. This is where you can get the advice you need considering divorce at the same time. There is never any substitute for taking advice from a professional who is licensed to practice in your state, as they will know exactly how to handle inheritance and divorce.





 

Inheritance Advice News:

 

What should I do with 75,000 I've inherited once I retire?
Andrew Hagger is founder of personal finance website Moneycomms.co.uk..


How did John Wilkes Booth become America's first presidential assassin? - Baltimore Magazine

Baltimore Magazine

How did John Wilkes Booth become America's first presidential assassin?
Baltimore Magazine
Keene, however, was offstage then, ceding the spotlight to her co-star Harry Hawk, who was playing the titular cousinEUR”an unsophisticated American who had come to claim his inheritance from his English relatives. Alone on stage, Hawk unleashed one of .

and more »
..


Parents should know ABCs of special needs trusts - CNBC

CNBC

Parents should know ABCs of special needs trusts
CNBC
We all want to provide for our children, and perhaps even leave a little something behind to help lighten their load after we're gone. But when you're the parent of a disabled child who may outlive you, the importanceEUR”and complexityEUR”of putting .

..


Hax: More sage advice from readers
While Im away, readers give the advice. I am always shocked by people expecting an inheritance. My dad is 84 and I am 55 EUR” Ive received my inheritance every day for the past 55 years. It comes in my values, my work ethic, the good memories, my education and too many other things to list...


How to Keep Your Inheritance in a Divorce - Wall Street Journal

Wall Street Journal

How to Keep Your Inheritance in a Divorce
Wall Street Journal
But when a relationship ends in divorce, that perspective can change dramatically. At that point, however, it may be too late to keep inherited assets such as vacation homes, rare collections and other gifts away from a former partner, even if those .

and more »
..


Muslim woman tries to close Thrace's sharia inheritance law loophole - The Guardian

The Guardian

Muslim woman tries to close Thrace's sharia inheritance law loophole
The Guardian
So any problems relating to marriage, divorce and inheritance are settled by the mufti's office in Xanthi, Komotini or Didymoteicho, the region's three main towns. EURśSharia must govern the world,EURť says Meco Cemali, the mufti of Komotini. EURśThese are God .

..


Should husband protect million-dollar inheritance from wife? - Napa Valley Register

Should husband protect million-dollar inheritance from wife?
Napa Valley Register
My sister and I inherited an apartment building worth $2 million. My wife of 31 years and I have a trust. I have no problem adding her name to the deed as a trustee, but could I stipulate in an agreement with my wife that if she asked me for a divorce .

..

 

Many, if not all of the links on this website are affiliate links which means that we will be compensated if you choose to buy at some point in the near future. Please accept our sincere thanks for your support.


Technorati Tags: , ,