Should I make FIDO Brokerage account joint

[mf15]

Brokerage taxable account at FIDO is in my name.
In the event I pass first,even though we have wills and all assets
pass to her. I am thinking there could be a slowdown in her access
to the account,it's joint money anyway.
Does anyone see a problem converting this account to a joint account.
The other solution is to open her a brokerage account and transfer
half, now. But this just creates an extra account to keep track of.

I have the forms for account conversion.

Thanks In Advance.
Oldmike

 

[njhowie]

No need if you don't want to - just go to beneficiary screen link below (Account Features->Beneficiaries) and add her as primary beneficiary getting 100%. No problem whatsoever. Should you pass first, Fidelity will move all the assets to her, no will or any other documentation besides the death certificate required.

You should have beneficiaries set up on all accounts, whether at Fidelity or elsewhere as this speeds the process upon a death.

https://digital.fidelity.com/ftgw/digital/ste/view/beneficiary

It would all happen within a couple weeks even without any hassles, but they will lock the account once she provides notification that you've passed. So if you do want her to have instant/continued access you should add her and re-title to make it a joint account. Even so, still add beneficiaries.

If it's joint money anyway, then what is your hesitation to completing the forms and re-titling to make it joint?

 

[OldShooter]

All our accounts are joint except the IRAs which can't be. We do have view permissions on each other's IRA, but cannot trade.

We have "separate" checking accounts, but one is titled "DW and Oldshooter" and the other is titled "Oldshooter and DW." So when the mail comes we know which is which. We also have separate brokerage cash accounts using the same naming convention.

 

[djsander]

All we did was change account registration on line and they sent emails with links to sign all the different forms electronically. Wasn’t too difficult and Mrs. djsander has complete access. Next will be giving full agent authority for the retirement accounts to ensure continued access in case of my incapacitation. That will require printing out and notarizing the form and returning. Still not too difficult.

 

[MarieIG]

Do you have a lot of gains in the accounts? If they are separate - and you pass first - DW would get the step up in basis. You are able to name her as a beneficiary on the account. She should then just need a death certificate to effectuate the transfer.

If you name her as a beneficiary, you should look into giving her authority to trade/ remove money, etc. if you become incapacitated. Fidelity should be able to walk you through it.

 

[CardsFan]

All our accounts are joint except the IRAs which can't be. We do have view permissions on each other's IRA, but cannot trade.

^^^ This.

IMHO the spouse (either one) needs access to funds without going through any hoops. There is enough stuff going on without adding to the trauma. Since ours has always been joint, I don't get hung up the step-up basis. If this is a big thing for OP, then do create a new account with at least $100k of low CG investments for a joint account.

 

[mf15]

Thanks got it. Daughter also has full control,just in case or when.
Oldmike

 

[jazz4cash]

^^^ This.



IMHO the spouse (either one) needs access to funds without going through any hoops. There is enough stuff going on without adding to the trauma. Since ours has always been joint, I don't get hung up the step-up basis. If this is a big thing for OP, then do create a new account with at least $100k of low CG investments for a joint account.

Yes but spouse does not need immediate access to ALL the funds. I did not see it mentioned but primary beneficiary bypasses all the will and probate delays. In addition to beneficiary status my spouse has plenty of funds in her own account to meet all needs for a year or more.