• Create BookmarkCreate Bookmark
  • Create Note or TagCreate Note or Tag
  • PrintPrint
Share this Page URL
Help

Chapter 4. Estate Planning > Second Marriages

Second Marriages

According to the old Frank Sinatra song, “Love is better the second time around.” And he should have known. After all, he was married four times. Many older couples face numerous issues that should be considered before remarrying after a death or divorce. A prenuptial agreement to determine division of property in the event of a death or divorce is particularly important when either new spouse has children from a previous marriage. Prenuptial agreements are explained in detail in Chapter 1.

Marriage itself automatically invalidates a will, so anyone marrying or remarrying will want to have his or her will reviewed and revised. Beyond a simple will, important documents such as Durable Powers of Attorney and Health Care Proxies should also be redone. Some couples want to take advantage of the estate-tax-saving provisions of the marital deduction while still ensuring that funds are preserved for surviving children after the surviving spouse has died. For such couples, a special type of marital deduction trust, called a QTIP or Qualified Terminable Interest Trust, will shelter from estate taxes funds left in the trust for the benefit of a surviving spouse while preventing those assets from being squandered by the surviving spouse.


PREVIEW

                                                                          

Not a subscriber?

Start A Free Trial


  
  • Creative Edge
  • Create BookmarkCreate Bookmark
  • Create Note or TagCreate Note or Tag
  • PrintPrint