Be Sure to Name a Beneficiary
If you have not named a beneficiary on life insurance or a retirement account it will likely guarantee that the asset will go through probate upon your death. Unfortunately, heirs might face a long wait to receive their money.
Designate Contingent Beneficiaries
It is recommended that you name a contingent beneficiary. Most likely you designated a primary beneficiary when the account was opened and most people designate their significant other, but they do not take into account that person might predecease them. If that happens, your contingent beneficiary will receive the assets.
Review Beneficiary Designations
You should review your policy or account every few years to
ensure that your beneficiaries remain consistent with your overall estate planning goals.
¨ Consider a trust if Beneficiary is a Minor
A trust to benefit a minor grandchild can hold assets until the child has reached a designated age.