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(801) 391-9050

Jeffrey Bunderson

Where will your money go when you die?

Choosing the right beneficiary is only the start.

Most people consider their choice of beneficiary at the time they obtain an insurance policy or annuity, or when they set up their IRA,  401(k) or other investments and accounts. Many never think about it again.

When did you open your IRA,  get your life insurance or open your other accounts? Was it years ago? Are you still in the same house? Working at the same job? Have there been changes in your family? Are the beneficiaries you selected then the ones you would select now?

Life Happens.

Even though your designations may have been good choices then, over time there can be changes that affect those initially designated as beneficiaries, or other changes that would suggest a change in beneficiaries. Unfortunately, many people do not review their beneficiary designations regularly.

In addition, 401(k) providers and insurance companies at an employer can change. It is not unheard of for the beneficiary designations to get lost in the shuffle. Without the original paperwork, the assets may go to a “default” beneficiary. This may not be what you wish.

Your choices will impact your loved one.

Choosing the right beneficiary can help avoid probate. Even if you have a will or trust, the beneficiary selections often take precedence. Even if you change your will or trust, neglecting to change the beneficiary designation can result in the money not going where you want. *

Even if you chose the family member who knows money, what if they die before you do? What if you have changed your mind? Will this create a tax problem for them?

Tax consequences.*

Anything you pass on can result in taxes. The key is to plan effectively to help minimize or eliminate those taxes. Having a trust as a beneficiary can change the tax situation compared to having an individual or individuals. You want to make sure this is addressed.You worked hard. Make sure the fruits of your efforts go where you want, with the least impact from taxation.

Are your beneficiaries up to date?

Don’t guess. Don’t assume. Make sure. Let’s review your selections and make sure the selections are what you want and that they make sense. We will be happy to help.

Call Jeff Bunderson today at 801-391-9050 to schedule your free comprehensive beneficiary review.

* Tax and/or legal advice not offered by Transamerica Financial Advisors, Inc., Transamerica Financial Group Division or their affiliated companies. Please consult with your personal tax professional or legal advisor for further guidance on tax or legal matters.