Till Death Do Us Part - Estate Planning Tips for Unmarried Couples
Not everyone believes in marriage, and marriage is not always about love. In fact, if we revisit history, marriage has always been an economic or social transaction. It was only late in the 18th century that it became the ultimate symbol of love and devotion. For many people in the US, a domestic partnership is enough to prove loyalty; not a legal piece of paper.
A representation of love or not, being in a partnership and unmarried can have a legal meaning for the couple. If you and your partner haven’t yet tied the knot, or if you don’t plan to, it is important to understand the implications of law (and how it applies to you). Will your partner be able to make decisions for you when you are not able to? Will they get their share of your estate if you die?
These considerations are important for the long-term, and you need a sit-down talk with an attorney. It may seem complicated, but you can make it with the right advice.
If you are part of an unmarried domestic partnership, here are some essential tips for estate planning on Staten Island.
Do We Need Estate Planning?
You may be wondering if you need estate planning at all. Isn’t it something only rich people do? Well, estate planning can do more besides deciding the content of your wealth.
Every state has its own intestacy laws that control the division of your assets via probate when you pass away. These are default laws that come into action in the absence of a will or estate plan. This means that if you haven’t created a will or an estate plan, these laws will decide who gets a portion of your assets, and who makes medical decisions for you in cases of emergency.
In general, US law favors marriage. If you and your partner have a viable marriage, you are in charge of each other estate plan or not. In this case, however, domestic partners don’t get the same rights. You will need to specify that your partner will have a part in your property and will be your power of attorney.
Estate Planning Tips for Unmarried Couples
If you’re still reading, it means we have sufficiently convinced you to set up an estate plan as soon as possible. Here are some tips that might help.
Use a Living Trust or Joint Trust
The first thing you can do is either create a living trust and transfer your property to it, or create a joint trust with your partner. Both of these ways have their advantages and drawbacks, so you can decide which one is best for you.
If you go for a living trust, it will still need to go through probate at the time of your death, which means a will should be readily available. In a joint trust, the two of you equally own a property. At the time of death, the entire trust will pass on to the surviving owner without probate. An estate planning attorney in Staten Island may be able to guide you better.
Assign a Durable Power of Attorney
The future of your possessions is just one part of the estate plan—the second half is you yourself. Intestacy laws also deal with your medical decisions in case you are not in the condition to make them yourself. By appointing your partner as your healthcare proxy or your power of attorney, you give them the right to make uncontested decisions on your behalf.
Name Your Partner a Beneficiary
Without a will or estate plan, it is possible that your partner may not be able to keep any of your named or unnamed possessions. You don’t want this to happen, and this is why you must name your partner a beneficiary of your estate. By calling them a pay-on-death beneficiary, you can give your partner the power to transfer funds and re-title accounts on your behalf. This document takes precedence over a will or a trust—so make sure your list is up to date!
Keep an Instruction Letter
If you’re worried that your partner wouldn’t know what to do in certain situations, you can (and you should) leave them with a letter of instruction. Any bills that need payment or subscriptions that need to be canceled should be included in this letter. Plus, any special instructions about your healthcare can be mentioned in this personal document, such as do-not-revive clauses or organ donations.
Give Your Partner Access to Digital Assets
In this day and age, it’s not only what you see that counts. You may have digital assets on the web in the form of cryptocurrency or other online properties such as website revenue etc. To enable your partner or representative to act on your behalf, you must leave directives about their future. Digital asset laws may vary from state to state, so make sure you know what your legal system has to offer.
Understanding all these financial matters may not come naturally to you. This is why you should always hire professional help for estate planning on Staten Island and keep the DIY route for less serious matters!
