Your life is changing – is your estate plan changing with it?

Jul 13, 2021

Estate planning isn’t just about planning for death, it’s also about planning for life.

The early years

Young adults, especially those in their 20s and 30s, often feel they don’t need a Will because, “I don’t have anything.” But if you have a bank account, a credit card, a car—then you do have an estate and you should have a Will, with an appropriate executor named to deal with these assets in the event of your death. And while you’re at your estate lawyer’s office to draft that Will, you may wish to execute a power of attorney and an advance health directive.

As adults become more secure financially, they start purchasing. It could be a condo, a house or a cottage at the lake. Then your estate questions become slightly different: Is the mortgage life-insured? What are your insurance needs for life, disability, property, etc.? Do you have adequate coverage?

The relationship years

These questions become even more pressing when you enter a relationship, be it common-law or marriage. If the property was solely owned before the relationship, will it be re-registered joint with right of survivorship? Is there a marriage or cohabitation agreement? Does the Will, power of attorney and advance health directive need to be updated? In all provinces except Alberta and British Columbia, marriage revokes a Will unless a contemplation of marriage clause is included. In Nova Scotia and Saskatchewan, cohabitation can revoke a Will unless a contemplation of cohabitation clause is included. If there is no Will, some provinces do not recognize a common-law partner as having rights under the laws of intestacy. Are appropriate beneficiary designations in place on insurance policies, pensions and RRSPs? Have you engaged a financial planner to help you achieve your financial goals?

Relationship breakdown

Unfortunately, it happens, and it should spur a review of your estate plan. Many of the same questions need to be answered as when entering a relationship: Is there a property settlement? This may be an important factor in updating your Will and beneficiary designations on registered plans and insurance policies.

Read more…

Recent Posts

Aviso Weekly Market Pulse: July 8th – July 12th

Market developments Equities: The S&P 500 Index climbed to around 5,615 to end the week, showing signs of recovery despite the tech-led selloff in the Thursday session. Major banks kicked off the earnings season with mixed results. Wells Fargo saw a 7% decline due...

Aviso Weekly Market Pulse: July 1st – July 5th

Market developments Equities: Even with a short trading week, the U.S. stock market is approaching new all-time highs, with the S&P 500 on track for its 34th record this year. Traders are focusing on potential Federal Reserve rate cuts despite signs of economic...

The most tax-advantaged sources for a home down payment

If you’re in the market for a home, don’t leave money on the table when saving for your down payment. We’re sharing the different tools you have available to you as a Canadian first time home buyer to save in the most tax-advantaged way. In this article: Down payment...

Aviso Weekly Market Pulse: June 24th – June 28th

Market developments Equities: Stocks rallied towards new all-time highs this week as cooling inflation data strengthened expectations for Federal Reserve interest rate cuts in 2024. The S&P 500 Index touched above 5,500, led by technology stocks, while the Nasdaq...

NEI Monthly Market Insights: May 2024

Equities continue the rally, but economic paths diverge After a brief respite in April, global equities resumed the rally to find higher ground in May, as ongoing moderation of inflation and resilient economic trends continue to boost investor optimism. The S&P...

Aviso Weekly Market Pulse: June 17th – June 21st

Market developments Equities: The U.S. markets experienced a significant options expiration event known as "triple witching," with an estimated $5.5 trillion in contracts set to expire. This event is causing volatility in the stock market, particularly affecting...