It is important to secure your future after all the hard work and time you have put into becoming successful. One of the many ways to assure your finances are in good hands even after you are gone, is to set up a beneficiary on your account. Who are your current beneficiaries and why?
In doing so you will ensure that whoever you choose as your beneficiary will not have to go through a probate process. A probate process is a legal process where assets of an estate is distributed under a court’s supervision. This can take up to a month or several years until the court is able to come to a decision. It can also be very costly for your heirs.
If there is no beneficiary set up, then the accounts will then go into your estate. If the account goes into your estate, then any money in the bank can be used to pay off debts owed by the estate instead of going to who you wanted. By setting up a beneficiary on your account this will allow funds in the account to bypass the probate process. The beneficiary to the account will then be able to go to the bank to provide a certified copy of the death certificate, show their information, and fill out the forms. They will then be able to collect the money.
Therefore, it’s important to establish and update beneficiaries. Please schedule time for your beneficiary review.