Q . Why does Melinda Gates have Trusts and Estates Attorneys on her Divorce Legal Team?
A. Because she is smart!
When relationships change, so should our estate and asset protection planning. Here’s why:
- 1. We should ask our soon to be Ex to make trusts for the benefit of adult children, to ensure that their ultimate inheritance can’t be taken from their father by future wives, girlfriends or harassment lawsuits.
- 2. President Biden has signaled a willingness to lower the current estate tax exemption. Engaging in estate tax planning before the change in law, will maximize the amount of the inheritance ultimately going to the next generation.
- 3. Both parties should agree to sign a PreNuptial agreement prior to a future remarriage, providing, at a minimum, to keep a certain % of assets separate, for the future benefit of their children. Absent a PreNup, a future spouse could wind up with everything!
- 4. The moment one decides that divorce is in the cards, it is important to update our legal advance directives. I no longer want my soon to be Ex to make life and death decisions in the hospital or handle my banking affairs.
- 5. We should remove our soon to be Ex as beneficiary on life insurance and other accounts.
- 6. We should change social media passwords and delete racy or explicit images from shared devices.