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Old 04-16-2015, 01:13 AM
 
71,630 posts, read 71,777,271 times
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Quote:
Originally Posted by VJDAY81445 View Post
before re-marrying get a pre-nup drawn up by a lawyer.
prenups are a 50/50 chance as to whether they will stand or not. no prenup is written in stone.

as an example : a working spouse who signed a prenup who becomes disabled and can't work stands a good chance the prenup will not stand.

there are so many instances courts have thrown prenups out because situations changed.
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Old 04-16-2015, 01:30 AM
 
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A couple of things to be aware of if you remarry and have considerable funds in a 401(K) or similar ERISA-covered retirement plan:

- If you die, your current spouse inherits the contents of your 401(k) by law, no matter what it says in your will or who you have designated as the beneficiary with your plan administrator.

- The only way your children from a previous marriage could ever inherit your 401(k) account is if the surviving spouse signs a waiver giving up his/her right to those funds. And why would he/she?

- Before the marriage, you might be able to roll over your 401(k) into an IRA, which would allow you to name any beneficiaries you choose. After the marriage, you cannot do this without your spouse's written permission.

Many a parent with a large share of worldly goods in a 401(k) account has inadvertently disinherited his/her children by marrying a second spouse without realizing the consequences to the children's future.
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Old 04-16-2015, 05:33 AM
 
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I think everything you've said is completely valid for younger couples and life insurance is a great idea IMO. My primary concern is for older people who often become quite vulnerable towards the end of life. Blended families can also be very complicated.

In regard to trusts, not all assets must go into a trust, and they can be owned jointly.
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Old 04-16-2015, 07:07 AM
 
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If they are jointly owned then jointly owned by whom ?

if it is spouse and child then you effectively cut the surviving spouse off regardless when you die.

if it is both spouses and children then the surviving spouse can take it all or still has access to spend it. .

not much different then the trust , it still isn't helping the surviving spouse if that was a concern.
.
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Old 04-16-2015, 07:50 AM
 
Location: Bend Or.
1,126 posts, read 2,459,457 times
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Quote:
Originally Posted by biscuitmom View Post
A will is not the vehicle for a stipulation, they're seldom if ever binding. You'll need to set up a trust.
I have to disagree, My grandfather, on the other side, had several stipulations, including this one,and they were absolutely binding.
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Old 04-16-2015, 07:52 AM
 
Location: Bend Or.
1,126 posts, read 2,459,457 times
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Quote:
Originally Posted by josie13 View Post
A couple of things to be aware of if you remarry and have considerable funds in a 401(K) or similar ERISA-covered retirement plan:


- Before the marriage, you might be able to roll over your 401(k) into an IRA, which would allow you to name any beneficiaries you choose. After the marriage, you cannot do this without your spouse's written permission.

.
You can absolutely roll you 401(k) over to an IRA. I did for other reasons but I did not need my spouses written permission.
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Old 04-16-2015, 08:21 AM
 
Location: Baltimore, MD
3,745 posts, read 4,219,341 times
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Quote:
Originally Posted by whirnot View Post
You can absolutely roll you 401(k) over to an IRA. I did for other reasons but I did not need my spouses written permission.
Perhaps your 401K was with a government entity and not covered by ERISA? Otherwise, I'd wager someone messed up in allowing the rollover.
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Old 04-16-2015, 08:24 AM
 
950 posts, read 714,989 times
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Quote:
Originally Posted by josie13 View Post
A couple of things to be aware of if you remarry and have considerable funds in a 401(K) or similar ERISA-covered retirement plan:

- If you die, your current spouse inherits the contents of your 401(k) by law, no matter what it says in your will or who you have designated as the beneficiary with your plan administrator.

- The only way your children from a previous marriage could ever inherit your 401(k) account is if the surviving spouse signs a waiver giving up his/her right to those funds. And why would he/she?

- Before the marriage, you might be able to roll over your 401(k) into an IRA, which would allow you to name any beneficiaries you choose. After the marriage, you cannot do this without your spouse's written permission.

Many a parent with a large share of worldly goods in a 401(k) account has inadvertently disinherited his/her children by marrying a second spouse without realizing the consequences to the children's future.


Have a lawyer draw up a pre-nup.


you state........."and why would he/she ?"

If neither party was a " gold digger" , it should be no problem!
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Old 04-16-2015, 09:02 AM
 
2,635 posts, read 3,376,812 times
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Most people/families have a very hard time talking about money and death. Combine the two... no wonder so many messes happen with planning for the end of life.

Pre-nups are even worse = love + money + death (of a marriage...) all in one! Explosive.

You are the rarity of you and your family (or your new spouse...) can talk about these issues openly, without rancor.
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Old 04-16-2015, 09:10 AM
 
130 posts, read 101,381 times
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Having worked with U.S. Treasury securities, there's something to keep in mind: a registration on an account (or security) is set in stone. All the wills and trusts in the world will not over ride a registration or named beneficiary. If a securities account is registered "John Doe or Jane Doe" and John dies, the account goes to Jane, even if John has a will (or even a trust) that names someone else as beneficiary. If John wants the securities account to be dispensed according to his trust, the the accout must be registered to the trust. If John wanted someone other than Jane to receive the account, then the registration should have been updated to show the new co-owner or beneficiary.

This also goes for savings bonds. If you have savings bonds and your former spose is named on the bond as co-owner or beneficiary, that registration needs changing to remove the former spouse's name and, if desired, add a new co-owner or beneficiary.

Again, I cannot stress this enough, a will (or trust if the securities or account is not registered to the trust) means nothing. I can't tell you the number of arguments...er, disagreements I've had with attorneys who love quoting state regs. Federal regs trump state regs for U.S Treasury securities.

Another thing to keep in mind, a named beneficiary on a pension, bank account, IRA, etc., trumps a will. Be sure your accounts are up-to-date. The last thing you want is your spouse four marriages ago to get all of those assets upon your death!
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