Naming beneficiaries on financial accounts and in one’s estate plan is pretty easy to do. Submit their names and information and it is done. When the time comes, they will be contacted and money or other assets will be transferred to them accordingly. What some Illinois residents fail to do after they think their estate planning is done and all accounts taken care of is periodically check to make sure their beneficiary designations are up to date.
The truth is, depending on when a person creates an estate plan or signs up for life insurance or other financial accounts, their thoughts on who should collect assets may change over time. For example, if a person sets up a life insurance policy in his or her mid 20s before getting married, he or she may have listed his or her parents as the beneficiaries. Well, 10 or more years down the line, a wife and a few children later, he or she would probably prefer that money go to them. Without changing the beneficiary designation, that will not happen.
Beneficiary designations matter. By taking the time to review and make any desired changes, one can ensure the right people collect assets upon one’s death. If it’s not done, family members may find going to court necessary in order to resolve the matter. That would be time-consuming and costly for them.
Illinois residents who need to go through the estate planning process or who already have can seek legal assistance when needing to name or rename beneficiaries. With the right help, the proper legal forms can be drafted and signed so that the correct individuals receive the inheritance intended for them. Reviewing and updating beneficiaries really is a simple task, and it is something that will save families a lot of legal hassle down the road.