Author: ARM

By Mofoluke Keshinro, TEP

Happy International Women’s Month!

This year’s chosen theme strategically underscores the imperative of ensuring the inclusion of women. Inclusion holds the potential to empower women, providing them with a sense of worth and relevance. Embracing this theme could instill the necessary drive in women to achieve more, ensuring that their voices are not overshadowed during critical decision-making moments.

Particularly in estate planning, it is essential to prioritize the inclusion of women. Statistical data reveals that women, on average, outlive men by six years. Thus, it becomes imperative for women to safeguard themselves, their children, and jointly acquired assets, even when cultural norms might place the husband’s name on title documents.

Incorporating women into estate planning not only offers a sense of security but also assures them that provisions are in place for their families in the event of unforeseen circumstances. This proactive step encourages women to secure their personal assets by drafting a Will or establishing a Trust.

The inclusion of women in estate planning extends beyond joint ownership of assets or the application of the right of survivorship. It necessitates comprehensive instructions for asset utilization/distribution and addresses scenarios involving the incapacitation of both parties, considering that not all assets may be jointly owned.

As the world celebrates International Women’s Day under the theme of ‘Inspiring Inclusion’, it is recommended that spouses involve women in estate planning right from the asset acquisition stage. With more women achieving high levels of success and acquiring assets independently or in collaboration with their spouses, taking charge of estate planning becomes crucial for their security and that of their children.

By proactively creating an estate plan or encouraging their spouses to do so, women establish structures that ensure peace of mind irrespective of any unforeseen events. Importantly, a well-structured estate plan benefits everyone involved.

As women increasingly become breadwinners for their households, planning for eventualities such as incapacitation or death becomes paramount. Therefore, there is a pressing need for the inclusion of women in estate planning decisions.

Recognizing that giving women opportunities for inclusion boosts their confidence and relevance, it is essential for couples to jointly decide on the type of planning structure or tool to adopt. This may include a Living Trust, Education Trust for children, Life Insurance, Power of Attorney, or a Deed of Gift for one-off gifts, or opting for a comprehensive Will that mirrors each other’s directives on asset distribution.

To be truly appreciated, women are encouraged to confidently assert themselves, ensuring that their contributions and values are recognized. Women should actively participate in the wealth transfer planning process, solving potential problems and, even in cases where their spouses may not be initially interested, communicate the benefits, and seek guidance from experts.

Let us collectively inspire the inclusion of women in all facets of life.

By Mofoluke Keshinro, TEP

Embrace the love month with open hearts, but let’s not forget a love that transcends the bounds of life itself. In the symphony of love, where commitments are professed and values deemed precious, there exists a realm often overlooked – the meticulous art of estate planning. This process involves outlining instructions on how your affairs will be managed after you’re gone. While death is an unfortunate certainty in life, proper planning can significantly reduce the negative impact on your loved ones.

Beyond the erosion of the value of assets before the beneficiaries get to enjoy them, there are challenges such as being in the right state of mind to determine the distribution of assets, family uncertainty about the deceased’s assets, fees for professionals to process documents to access assets (probate processing), and time expended on the process.

Recently, a friend’s husband passed away during the pandemic, highlighting the challenges that can arise without a comprehensive estate plan. Despite having a life insurance policy, investments with the spouse listed as beneficiary, and clear instructions at work for death-in-service benefits, the absence of an estate plan left the widow uncertain and burdened. She couldn’t confirm if he left a will or any testamentary directive and was oblivious to the steps her husband had taken or not taken. Inquiring from his colleagues and friends, she learned about these details. She had to quickly navigate the process of obtaining a Letter of Administration to handle her late husband’s assets, adding stress to an already difficult situation. Urgency was paramount as the children had to go back to school, and fees had to be paid; life had to continue despite her bereavement.

It’s essential to understand that common practices like investing, having life insurance, or providing instructions for workplace benefits don’t replace the need for a well-thought-out estate plan. While these measures secure financial aspects, they often leave crucial details unaddressed.

Consider the case where the husband intended to create an estate plan but was discouraged by his wife, who believed that death was a distant event. This mindset can lead to essential planning being postponed, leaving loved ones in a challenging position when unforeseen events occur.

This article serves as a reminder and a call to action. Even if you have taken steps to secure your family’s financial future, creating a comprehensive estate plan is the missing piece that ensures your wishes are articulated. Your plan should cover various aspects, including your children’s education, how assets should be utilized, and the legacy you want to leave behind.

This Love Month, we encourage you not to delay engaging with estate planning experts. Show your love for your family by taking the necessary steps to create a plan that aligns with your family’s dynamics. At ARM TRUSTEES LIMITED, our experts are available to guide you through the process, providing professional assistance to give you peace of mind and leave your loved ones with smiles despite your absence.

Interested in setting up an Estate Plan today? Contact us or send  us an email to [email protected]