If you’re in a committed relationship but not married, you need an estate plan. Surprised?! It’s true! There is NO common law marriage in Florida. Regardless of how long you’ve been with your partner, you don’t have the rights of a married couple. If either of you die the other won’t be legally entitled to inherit anything. If you’re ever sick or injured and can’t make decisions for yourself, your partner won’t have authority to make any decisions and vice versa. That’s where an estate plan comes in. Through estate planning there are things you can do to make sure your partner inherits what you want them to inherit and that they are the ones making medical decisions for you when you can’t. After all your partner is the person who know you and your wishes best.
I want to leave something to my girlfriend/boyfriend/partner when I die.
If you’re concerned about leaving something to your partner after you die, you should consider getting a Will or Trust. Both these documents let you name who you want to get what after you die. You can leave everything to your partner, or you can name specific things you want them to get. Without one of these documents saying what you want your partner to get, (your house, money in your sole bank account, etc.), they have no right to it. Your heirs would get everything. Who are your heirs? Your children first. If you have none, your parents, then your siblings. If you have none, the court will keep looking for any nieces, nephews, or other blood relatives. And if they can’t find anyone? The State will keep it!
There are other things you can do together with a Will or Trust to pass things to your partner after you die. If you have life insurance or retirement savings, you can name your partner as the beneficiary. After you die, the proceeds of your insurance policy or retirement accounts will pass to them automatically. If you have a house you own alone, consider adding them to the deed or talk to an attorney about ways in which the house will automatically pass to them after you die. If you have separate bank accounts, consider adding your partner so that when you pass, they will have automatic ownership. Be careful with this strategy because it could give them the same rights as you over the bank account.
I want my girlfriend/boyfriend/partner to be my voice if I’m incapacitated.
There are two other documents I make sure my unmarried clients have if they are concerned about what happens if they’re incapacitated. The first is a Designation of Health Care Surrogate (DHCS). This is a powerful document because whoever you name (your agent) will have the right to make healthcare decisions for you when you can’t. If you’re in a car accident and are unconscious, for example, your agent can speak for you and decide what kind of treatment you receive. Without this document you leave yourself vulnerable to court intervention. The court will pick someone to make decisions for you and they won’t see your long-term partner as the obvious choice. If you’re alright with leaving that decision up to chance, then you probably don’t need a DHCS. But if you, like most of my clients, want to have some control over who makes the important decisions of what kind of care you receive, and for how long, then the DHCS is the document for you.
The second document is the Power of Attorney. When drafted correctly, this document acts like the Designation of Health Care Surrogate except it’s for your financial matters. Whoever you pick as your agent in the Power of Attorney makes financial decisions for you if you’re ever incapacitated and can’t make them yourself. That means decisions over your investments, retirement, bank accounts, house, business, etc. WARNING: This document is a tricky one because whoever you appoint has that power immediately. It’s important to consult an attorney and pick someone you trust completely to act as your agent, or you could find yourself in a risky situation.
Sidenote: all the strategies I’ve discussed are reversible. If you name your partner today and a year from now you want to change that, you can remove them.
Closing Thoughts.
If you think you need any of these documents you’re probably right. The truth is, everyone over 18 should have at least some type of basic estate planning. If you don’t, then you’re leaving it up to the court where Florida Statutes will take over and decide what happens. On top of that, the court will appoint (and pay) people to handle your medical and financial affairs at incapacity and death. That pay, by the way, is coming out of your pocket.
If you’re ready to take the next step and take control of your future, visit www.igslegal.com or call 407-986-1176 to schedule a free 15-minute call and find out if I’m the right attorney for you.
This article is not intended as legal advice please contact an attorney before making any decisions regarding your estate plan.
