Your retirement accounts — IRAs, 401(k)s, pensions — often represent the largest portion of your estate. They’re the result of years, even decades, of labor and saving. But without proper planning, these accounts can become vulnerable in ways many families don’t realize.
Here are three key risks — and how estate planning can protect against them:
1. Unintended Beneficiaries
If your beneficiary designations aren’t updated, your retirement account could pass to an ex-spouse, estranged relative, or even default to your estate (triggering probate).
✅ Solution: Regularly review and update your beneficiary designations as part of your estate plan.
2. Loss to Probate and Court Delays
Without clear planning, retirement assets can get tied up in probate, causing delays and unnecessary costs.
✅ Solution: Use beneficiary designations and, in many cases, a trust to ensure accounts transfer directly and efficiently.
3. Beneficiaries Spending Too Quickly
A large lump sum inheritance can sometimes do more harm than good — especially for young or financially inexperienced heirs.
✅ Solution: A Retirement Account Trust (sometimes called a “see-through trust”) allows you to control how and when distributions are made, protecting heirs from mismanagement or creditors.
Bottom Line
Your retirement accounts are more than numbers on a statement — they represent a lifetime of work. With the right estate planning, you can ensure they’re preserved, protected, and passed on according to your wishes.
👉 Book a free discovery call with us to learn how we can safeguard your retirement savings for the next generation.