Leaving retirement accounts to our heirs
This is an important topic, even though I don’t expect all of you to be trust and estates experts.
Whether naming heirs or a trust as the beneficiary of your retirement account, there is no blanket rule of right or wrong. What is important is gathering the necessary information so you can make a decision based upon your own preferences and unique circumstances.
My perspective is this: First, create a retirement plan that works in your lifetime, providing you with the peace of mind you deserve.
Once you achieve that, go back to make sure you didn’t make any estate planning mistakes.
While it’s nice to know we’re leaving a legacy for our heirs, we must first know that we’re covering our own basic needs during our lifetime.
5 expenses that will change in retirement
It’s difficult to nail down what your expenses will be once you retire. So difficult, in fact, that many people don’t even bother trying.
What this article is really suggesting though is that everything will change when it comes to expenses in retirement. Some things will go up. Others will go down.
For example, we know that unreimbursed medical and home health care costs will increase dramatically late in life.
What’s important is the timing of these expenses.
Also, when it comes to taxes, you have considerable control by developing a plan with both secure and low-tax sources of income.