Marriage is an exciting milestone, but it also comes with financial and legal changes that can affect your future. Many people focus on wedding plans and joint accounts without considering long-term protection for their assets and loved ones. If you have property, savings, or specific wishes for how your estate should be handled, planning ahead can offer peace of mind. Setting up key documents before marriage can help ensure that your interests are protected, no matter what life brings. Taking the time to put a plan in place now can make future decisions easier and prevent unnecessary complications down the road.
Why Consider Estate Planning Before Marriage?
Estate planning isn’t just for married couples or those with significant wealth. If you own property, have savings, or expect an inheritance, putting a plan in place before marriage helps protect your interests.
Discussing financial goals and responsibilities early can also strengthen your relationship. It encourages transparency about assets, debts, and long-term plans. You may want to designate beneficiaries for life insurance or retirement accounts now, rather than waiting until after marriage.
If you have children from a previous relationship, estate planning ensures their financial well-being. You can also create safeguards in case of unexpected events, such as illness or incapacity. Even if you don’t have substantial assets, having a plan in place can help prevent legal complications later and provide a solid foundation for your future together.
Key Estate Planning Tools to Set Up
Before marriage, certain legal documents can help you protect your assets and outline your wishes.
Will and Trust
A will allows you to name beneficiaries for your assets, ensuring that your property is distributed according to your wishes. Without one, state laws decide who inherits your estate, which may not align with your intentions.
A trust offers additional flexibility, allowing you to manage and distribute assets under specific terms. You can set up a trust before marriage to protect individual assets, manage inheritances, or provide for loved ones. A revocable living trust can also make it easier to adjust your estate plan as your life changes.
Power of Attorney
Assigning power of attorney gives someone the legal authority to make financial decisions on your behalf if you become unable to do so. This can be especially important before marriage, as your future spouse may not automatically have the right to act on your behalf in an emergency.
Advance Health Care Directive
An advance health care directive lets you outline your medical preferences and appoint someone to make health decisions if you cannot. Without this document, your future spouse or loved ones may face legal obstacles when trying to act on your behalf. Establishing one before marriage ensures your wishes are followed and medical decisions are made by the person you choose.
Beneficiary Designations
Life insurance policies, retirement accounts, and payable-on-death accounts allow you to name beneficiaries. Reviewing these designations before marriage ensures your assets go to the right people, reducing the risk of disputes later.
Prenuptial Agreement and Estate Planning
A prenuptial agreement is a separate legal document, but it can work alongside your estate plan to clarify how assets will be handled. If you have specific property you want to keep separate, coordinating your estate plan with a prenuptial agreement can help avoid legal complications down the road.
How Marriage Impacts Your Estate Plan
Marriage brings legal and financial changes that can affect your estate plan, making it important to review and update key documents after the wedding. In California, community property laws mean that most assets acquired during marriage are shared equally. Without an updated estate plan, your property may not be distributed as you intended.
If you created a will or trust before marriage, you may need to revise it to include your spouse or update beneficiary designations on life insurance, retirement accounts, and other assets. Overlooking these changes could lead to unintended distributions.
Marriage also impacts who has authority over medical and financial decisions. If you want your spouse to act on your behalf in an emergency, updating your power of attorney is essential. Making these adjustments ensures that your estate plan reflects your new circumstances and provides security for both you and your spouse.
Secure Your Future Before and After Marriage
Starting an estate plan before marriage gives you control over your assets and ensures your wishes are followed. It also encourages open conversations about finances, responsibilities, and long-term planning. Once you’re married, updating your plan will help protect both you and your spouse as you build your future together.
Whether you’re planning ahead or need to adjust an existing estate plan, we’re here to help. Contact OC Wills & Trust Attorneys today to schedule a consultation and take the next step in securing your financial future.
