Estate Planning in Palm Beach County: What Happens if One Spouse Dies Before the Other?

According to the National Institutes of Health (NIH), you are likely to die relatively quickly after your spouse passes away. The scientific community calls this the “widowhood effect.” Due to this effect, the mortality rate among elderly individuals is up to 90% during the first three months of widowhood. While this means that spouses often die shortly after one another, spouses rarely die at exactly the same time. How does this affect estate planning in Palm Beach County? What happens when one spouse dies before the other?

If One Spouse Dies Before the Other, the “Right of Survivorship” Kicks In

If one spouse dies before the other in Florida, the surviving spouse generally inherits most of the family’s wealth in a somewhat automatic manner. This is due to something called the “right of survivorship.” Thanks to this system, the surviving spouse becomes the new, sole owner of all property that was previously jointly held or “marital.”

The classic example is the family home. As long as both spouses are “joint tenants” of the property in question, the surviving spouse becomes the new sole owner of the home without many additional legal steps. Another example is a joint bank account. As long as both spouses’ names are on the account, the survivor becomes the new, sole owner of the funds.

Many other assets may pass to surviving spouses through the right of survivorship. If you’d like to know which of your assets benefit from the right of survivorship, speak with a lawyer. Note that you can also make relatively easy adjustments to “add” the right of survivorship to certain assets. For example, you could make your spouse a joint owner of your stock portfolio.

Not All Assets Can Benefit From the Right of Survivorship

Although it’s possible to avoid probate with the right of survivorship, this strategy doesn’t really work with all types of property. You can’t do this with collectibles, furniture, clothing, jewelry, and similar items very easily. This is why each spouse still needs their own estate plan and Will at the bare minimum.

A Will also gives each spouse the ability to think carefully about the assets that mean the most to them while passing them down to the right people. For example, you might give your collection of baseball cards to your grandchild instead of letting your spouse inherit them (especially if he/she has no real appreciation for such assets).

Can a Palm Beach County Estate Planning Attorney Help Me? 

An experienced estate planning attorney in Palm Beach County may be able to help if you’re searching for answers with your spouse. While the thought of losing your partner can be challenging to confront, it makes sense to be prepared for the future. You are not alone, and Kitroser Lewis & Mighdoll is here to assist you every step of the way.

Source: 

pmc.ncbi.nlm.nih.gov/articles/PMC2636447/