audreyh1
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
I was wondering whether it is ever an option or even common for someone's estate to be the beneficiary of their life insurance.
I am thinking about my (still living) father's estate. I am considering setting up his only brokerage account to pay beneficiaries at TOD (time of death). But was thinking that if the smaller life insurance could be paid to the estate to help cover any costs, then I would feel more comfortable about the brokerage account passing independently of the remainder of DD's estate.
I downloaded the beneficiary form from his life insurance (a retirement benefit), but I only see a way to name individuals as beneficiaries.
My three siblings are the beneficiaries. I am the executor. I had Dad change his will many years ago to exclude me as a beneficiary since my net worth is much larger than his or any of my siblings.
The brokerage beneficiaries will match the beneficiaries for the rest of his estate covered by his will. So if issues with estate costs come up, there shouldn't be conflicts - the heirs will just have to cough up funds if necessary. Hopefully there won't be anything not already covered by his checking account which has fairly high funds at the moment. My father has no debts other than his credit card which is paid off monthly.
One brother and I are named on his checking account. So from that we would have some initial funds for managing estate expenses until the estate is disbursed to any heirs. My advice to Dad is to let funds accumulate in checking and not transfer any more to his brokerage.
The estate is well under any estate tax limits.
BTW - Dad didn't know who the beneficiary of his life insurance retirement benefit is!!! I called them today and they are sending Dad a beneficiary confirmation letter, so we'll see who is listed! Yet another thing to be updated.
I am thinking about my (still living) father's estate. I am considering setting up his only brokerage account to pay beneficiaries at TOD (time of death). But was thinking that if the smaller life insurance could be paid to the estate to help cover any costs, then I would feel more comfortable about the brokerage account passing independently of the remainder of DD's estate.
I downloaded the beneficiary form from his life insurance (a retirement benefit), but I only see a way to name individuals as beneficiaries.
My three siblings are the beneficiaries. I am the executor. I had Dad change his will many years ago to exclude me as a beneficiary since my net worth is much larger than his or any of my siblings.
The brokerage beneficiaries will match the beneficiaries for the rest of his estate covered by his will. So if issues with estate costs come up, there shouldn't be conflicts - the heirs will just have to cough up funds if necessary. Hopefully there won't be anything not already covered by his checking account which has fairly high funds at the moment. My father has no debts other than his credit card which is paid off monthly.
One brother and I are named on his checking account. So from that we would have some initial funds for managing estate expenses until the estate is disbursed to any heirs. My advice to Dad is to let funds accumulate in checking and not transfer any more to his brokerage.
The estate is well under any estate tax limits.
BTW - Dad didn't know who the beneficiary of his life insurance retirement benefit is!!! I called them today and they are sending Dad a beneficiary confirmation letter, so we'll see who is listed! Yet another thing to be updated.