Friday, June 03, 2011 A Houston Wills and Trusts Lawyer Offers Advice for Newlyweds
By: Kim Hegwood, Houston Wills and Trusts Lawyer
In the midst of finding the perfect dress, choosing a venue, and tasting countless cakes, Houston newlyweds often overlook the importance of finding a reputable wills and trusts lawyer. It’s easy to get caught up in planning for the wedding and to forget about planning for the marriage! Really, though, the beginning of your new life together is exactly the right time to start your estate planning.
Perhaps you think it’s unnecessary because you don’t have what you would consider an “estate.” Wills are not just about leaving property to your (potentially not-even-born-yet) children, however. They help protect you and your new spouse, as well as other family members, should something unexpected happen.
Living Wills
Living wills are a powerful example of why newlyweds need a wills and trusts lawyer. A living will declares your wishes in case you are unable to make them clear on your own. Would you want to live on life support? Do you wish to donate your organs? Are there medical procedures that you absolutely would not want to undergo? Your attorney can help you draw up the paperwork that makes your wishes clear and relieves your new spouse of trying to make those very difficult decisions in what would likely be the worst time of his or her life.
Along with a living will, you will likely also need to create powers of attorney. These will designate who is able to make decisions for you, both medically and financially. In many cases, this will be your spouse, but what would happen if you were both unable to make quick decisions for yourself? A Houston wills and trusts lawyer will help you create these important documents according to our local laws and regulations.
Probate
If you should suddenly pass away, would your spouse or other family members have access to your insurance? Your bank accounts? Your property? The answer is not as obvious as it seems. Your estate could easily end up in Harris County probate, meaning that those who should inherit from you are denied access for months or even years. Putting an estate plan in place can help relieve some of this burden while speeding up the process for your loved ones. It can also save them considerable amounts of money.
A Houston wills and trusts lawyer will help you make sense of what needs to be done, and the process is actually far easier than many people imagine. It’s also less expensive than you might think, and certainly less expensive than having your new spouse or family denied inheritance that should rightfully be theirs. Just consider it one more administrative task that needs to be taken care of as you add your spouse’s name to your accounts, get a driver license with your new name, or take care of the other paperwork that comes along with being a newlywed.
At Hegwood & Associates, PC, we often work with newly married couples to create a plan that works now, but also takes into consideration your wishes and plans for the future (i.e. children, acquisition of new assets, business growth). To get started, simply call (281) 218-0880 and request a free Lifetime Legacy Planning Session ($750 value). However, these sessions are limited to 10 per month so call today! Thursday, May 26, 2011 Updating Your Will with an Estate Planning Attorney in Houston
As an estate planning attorney in Houston, I commonly see people who understand the importance of the initial estate planning but then forget that they need to keep their wills and trusts up-to-date. These documents aren’t something that should just be done once and then tucked into a safety deposit box never to be visited again. Actually, there are several times in the course of your life that you need to dig out your wills and trusts and make changes.
·Marriage – Obviously, when you get married, you will have a new spouse to consider when it comes to things like inheritance, living wills, and powers of attorney.
· Divorce – If you don’t relish the thought of your ex receiving your estate, you may want to meet up with your Houston estate planning attorney to make some changes.
· Children – The addition of a child should trigger a need to reevaluate your will and other documents. Estate planning is often thought of as a way to care for your children after your death, and that can only be done if you keep your documents current with the birth of each child.
· Purchases – If you acquire new assets, whether in the form of real estate or something else of value, you will want to call your estate planning attorney to be sure it is covered in your will.
· Health – You may find that certain health conditions cause you to reconsider the wishes outlined in your living will. This ensures that your loved ones and healthcare providers are apprised of your decisions.
· Insurance – Over the course of your insurance policy’s life, you may find that you want to change the terms, such as the type of coverage you have or the beneficiaries of your policy. When changes like this occur, it is important to have an estate planning attorney reflect that in your legal documents.
A Houston estate planning attorney will be current on federal, state, county, and city laws and will be able to guide you as you keep your wills and trusts up-to-date. This protects you and your beneficiaries and can actually keep your will from being invalidated after your death.
So if it’s been awhile since you’ve updated your estate plan, I invite you to give our office a call and schedule a complimentary Lifetime Legacy Planning Session to have your documents reviewed ($750 value). Simply call (281) 218-0880 to get started. Wednesday, December 22, 2010 Texas Wills and Estates Lawyer Discusses How a Texas Divorce Affects Your Will and Trust
While I’m not a divorce lawyer, I know that getting a divorce in Texas can be an overwhelming process. There are so many decisions to make and things to do that it’s hard to keep everything straight. But as a Texas estate planning lawyer, I also know there is one thing that divorcing couples must remember to do—and that is getting your will or trust updated.
Forgetting about your estate plan is understandable from any perspective. You’re so busy thinking about living arraignments, finances and custody agreements that you simply forget to contact an estate planning lawyer to make sure your spouse will no longer be the beneficiary of your estate once the divorce is final.
And while I admit estate planning is easy to overlook, it’s still something that must be taken care of either before you file or immediately after your divorce is complete.
This is especially true if you have a life insurance policy, retirement accounts, investments, property or even a joint trust with your current spouse. If you fail to take steps to create a single person trust or designate new beneficiaries on your other assets, your ex-spouse will still receive everything you own—even after you are legally divorced.
Similarly, if you don’t create an updated power of attorney and living will, your soon-to-be ex-spouse will be the only one with legal permission to make decisions for you if you are permanently or temporarily incapacitated. For most people, the thought of their soon-to-be ex making decisions such as medication administration, life-support or nursing home vs. home health care is frightening. Also, the ex most likely does not want that responsibility any longer. That is why it is critical to get these issues addressed at some point before or after the divorce proceedings.
However, there are strict time-frames as to when you can update/amend your estate planning documents during a divorce in Texas, so please make yourself familiar with the following guidelines:
Updating Your Estate Plan Before Filing Divorce in Texas
As a Texas estate planning lawyer, I highly recommend you consider revoking and restating all of your estate planning documents before filing for divorce. This includes updating your advanced healthcare directive (also known as a living will) and financial power of attorney so someone other than your spouse has the ability to make financial or medical decisions on your behalf if you are unable. This is especially true if you’re gearing up for a messy divorce which could likely drag on for a number of years.
You’ll also want to change the beneficiaries on your life insurance policy, retirement accounts and other investments. If you have a joint trust with your spouse, you’ll need to talk with your Texas will and trust lawyer to find out whether you must provide notice to your spouse before it is revoked.
Updating Your Estate Plan During Divorce Proceedings in Texas
During your divorce proceedings, the ability to revoke your trust or name new beneficiaries on certain accounts can be halted. What’s known as an Automatic Temporary Restraining Order (ATRO) will kick in to ensure your assets and ownership interests stay the same until an official division of assets and ownership interests takes place. Therefore, it’s important to note that if you pass away during this time, your soon-to-be ex-spouse will still become the beneficiary of your estate. You can, however, update your will, power of attorney and living will during this time to minimize the amount of power your ex-spouse would have if something unexpectedly happens to you.
Updating Your Estate Plan After a Divorce in Texas
After the divorce proceeding, you are considered a single person in the eyes of the law. You are free to update, revoke and amend your estate planning documents as you see fit. However, as a Texas will and trust lawyer, I’ve come to find that many people falsely believe their spouse is no longer entitled to their assets once the divorce is officially granted. While it’s true that some estate planning powers may be automatically revoked after the divorce (such as the ability to speak for you medically if you were in an accident), if you have outdated legal documents in place that still include your ex-spouse, he or she will still be the legal beneficiary of your estate or specific assets upon your death. Therefore, it’s important to make sure every legal document you have is updated immediately following your divorce.
When to Get Help
I always advise people in Texas to at least meet with a Texas estate planning attorney, in addition to their divorce attorney before ultimately filing for divorce. That’s because it’s important for you to know exactly how the divorce proceedings will affect you and/or your children, especially if you become incapacitated or pass away suddenly during the process.
With so much going on during divorce it is difficult to think about adding another legal process. However, it is critical to make sure your estate plan reflects your new circumstances to avoid everything you own going to your future ex-spouse if you pass away or avoid having him or her legally responsible to make medical or financial decisions for you in the event of incapacity. Tuesday, May 11, 2010 Houston Will Lawyer Tackles Big Picture Thinking For Mature Marriages
You have probably seen this, as I have in my years as a Houston will and trust lawyer : The second half of marriage can either be the best time of life ... or it is the time when a marriage breaks up. The transition can catch unsuspecting couples off guard.
A survey from the book "The Second Half of Marriage" surveyed couples' responses to the question: "What are the areas that cause the greatest stress in your marriage?" In every decade of life, the number one answer was "finances." Budgeting, retirement planning, and other money issues can easily ruin what might otherwise be a time of remembering why you got married in the first place.
Times of transition are particularly hard on marriages. As the work of raising a family wanes, couples often look to each other for help in redefining their calling in life. Mothers who have devoted years to caring for children may want to fulfill one of the dreams they postponed decades ago. They may want to go back to school, take on a new career, or be more involved in charitable causes. Husbands, on the other hand, may find they are ready to scale back their careers.
While having a close friendship and spiritual commitment are the most important ingredients of a fulfilling relationship, financial troubles are usually the primary point of contention.
If you and your spouse are approaching this season of transition, my best advice as a houston will lawyer (who often sees these issues after it is too late) is take theopportunity to check-up on your retirement money, your marriage, and your mission.
First, get your retirement plan together. A retirement plan, like a spending plan, helps a couple limit their disagreements to only those issues outside the plan.
For most couples, expenses drop significantly after their children finish college. Although saving in the early years of marriage is ideal, when the kids are finally off on their own, couples get one last chance to save for retirement.
These years before retirement are critical in determining whether you have sufficient assets to retire. As your financial planner may tell you, by the first day of retirement, you should plan on having about 23 times your annual income.
(It is also a good idea to meet with a Houston will lawyer to talk about drafting your wills and other end-of-life directives as you are preparing your retirment plan. These documents often go hand-in-hand and help make financial decisions much easier if you were suddenly incapacitated or killed).
Next, reestablish opportunities for communication with your spouse! The period just before the children leave home is often the most difficult on the marriage relationship. After a quarter century, the communication focus of most couples is their children. So create new ways to communicate--outside of the lives of your children.
By the way, know that it's not your fault. The natural course of relationships is to drift apart. So, do not be down on yourself if you and your spouse are 'working' on your marriage. The fact is, if you are not working on your marriage, it is probably headed in the wrong direction.
Finally, find your mission for this new phase of your life. It is real easy when you are young to think you have all the time in the world for the good things in life. First your job, then the kids (rightfully) occupied much of your time. But, as these responsibilities begin to ease, take another look at the bigger life questions which are so important, even if they are not immediately urgent.
There is a good book you can check out, The Seven Stages of Money Maturity by George Kinder, and in it are three questions to help people see what is really driving them. Perhaps you should take the time to write out some answers honestly and thoughtfully, and then share your thoughts with your spouse:
1. If you knew you would have all the money that you needed, now and in the future, from this moment forward, how would you live your life?
2. If the doctor told you that you would die suddenly and without symptoms in five to ten years, how would you change your life for the time that remains?
3. If the doctor told you that you would be dead within twenty-four hours, what feelings, regrets, longings, and unfulfilled dreams would haunt you?
Let us be honest: Sometimes the vague answers that we live by are not ultimately satisfying. Reevaluating our purpose can give renewed meaning to our lives and relationships, especially in a season of change.
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About Kim Hegwood | Houston Will Lawyer
In addition to her thriving Houston Estate Planning Law firm, Texas Will and Trust lawyer, Kimberly Hegwood of Hegwood & Associates proudly assist clients with Wills, Trusts, Pet Trusts, Special Needs Planning, Elder Law and Medicaid Planning, Probate/Estate Administration and veterans benefits in Houston, TX as well as Katy, Webster, League City, Seabrook, Kemah, Pasadena, Friendswood, Dickinson, Bacliff, La Porte and Deer Park in Harris County and Galveston County. |