How to Protect Your Inheritance from Divorce and Ex-Spouses

Jul 31, 2024
Categories
Estate Planning
How to Protect Your Inheritance from Divorce and Ex-Spouses | AmeriEstate Legal Plan

Imagine that upon your death, you leave your assets to your children. They all have good jobs, manage their finances well, and are happily married. However, a few years after your passing, one of your children goes through a divorce.

Does your trust protect the assets you've left to your children from the divorce?

In most trusts, the answer is no. This means your hard-earned assets that you leave to your children could end up in someone else’s hands.

Yes, your child’s ex can get your money. How does this happen? You die and leave your money to your child. They invest the money or just put it in the bank. Even if they are super careful and keep everything separate so that when they divorce, the money is clearly their separate property, complications can still arise.

Most people inherit money and buy houses, cars, or invest in joint accounts, adding their spouse to the title on the house or car and opening the investment in both names. When they get divorced, the ex claims ownership, and your money goes to the ex!

At AmeriEstate, we understand the importance of protecting your legacy. Our specialized trust services are designed to safeguard your assets and ensure they remain within your family, no matter what life throws at them. Contact us to learn more about how we can help you secure your family's future.

To protect their inheritance from a soon-to-be ex-spouse in the event of a divorce, your child should take several crucial steps. First, they should keep the inheritance in a separate account under their name only, ensuring it is not commingled with marital assets. It's also wise to avoid using the inheritance to purchase jointly-titled property or invest in joint accounts. Consulting with an experienced estate planning firm can provide additional strategies tailored to their specific situation. By taking precautions, your child can significantly reduce the risk of their inheritance being claimed by their ex-spouse.