Age is not an important factor for many people in choosing a partner. While the average gap in married couples is roughly 2-4 years, plenty of relationships involve much larger age differences.
Age doesn’t dictate whether someone is a good match for you. That doesn’t mean it can always be ignored completely. When it comes to estate planning, age is something that you should consider to avoid unpleasant surprises down the line.
Your estate plan should protect the things that are most important to you. It should protect your loved ones, protect your assets, and provide clear direction as to your wishes. A large age gap in a couple can easily lead to misunderstandings about the best way to accomplish these goals.
To ensure that your estate planning goals are met, you need to discuss them freely with your spouse sooner, rather than later.
Work and Income
Attitudes toward work tend to change over time. Building a career and winding one down do not feel the same. For a couple whose finances are or will be connected, it’s important for both parties to know where they stand.
- Are you both working now?
- Do you plan on continuing to work?
- How long?
- Is your income stable?
- Are you considering a change in career?
Assumptions about something as important as your working life can lead to serious problems later on. The younger partner may have never considered retirement. The older partner may have been thinking about it every day for the last several years. Both of you need to know where the other stands to ensure that you are planning properly.
Retirement and Retired Life
A large age gap may necessitate a mid-relationship change in standard of living. If one of you is retired and the other will continue working for years, how will that play out? Will retired life be diminished by having a partner who is still working? Will having a retired partner lead to resentment for the one still working?
If you plan on retiring together, what will that mean for the younger spouse’s long-term financial health? Will there be enough money to support that spouse properly despite the early retirement?
Your choices about retirement will affect your spouse and vice versa. When do you plan to access your retirement benefits? Do you plan to save aggressively in your remaining working years to retire earlier? The estate planning process can help you clarify your plans together and look forward to a better future.
Assets and Debts
Financial health is an issue for every couple. An age gap may introduce a few wrinkles into the discussion.
An older partner may bring more assets and greater income into the relationship. A younger partner is more likely to bring student debt. How will those assets and debts be handled in estate planning? It is vital for both parties to have a clear understanding in order to plan ahead.
- Who will receive which assets upon your death?
- Will property be held in trust or pass outright?
- If you have or expect to have children, how will their future be protected by your estate plan?
- Will your spouse receive everything and have the power to decide what, if anything, passes to the children?
- Who will serve as your executor or personal representative?
- If you plan to create a trust, who will serve as trustee?
Getting answers to these and other financial questions early in the process can avoid confusion. It can also ensure that your wishes and the wishes of your spouse are not in conflict. Avoiding a discussion about these issues will not strengthen your relationship and it can place you in a difficult position later on.
Speak to an Estate Planning Professional
Comprehensive estate planning can accomplish many goals. The sooner you have a plan, the more likely you are to be in a strong position when major life changes are upon you. An age gap in your relationship does not have to be a problem. With clear communication and advanced planning, you can protect your loved ones, your assets and your plans for the future.
Talk to a knowledgeable estate planning attorney as soon as possible. Experienced guidance can help you avoid potential missteps and give you confidence that your plan will meet your needs when the time comes. Give us a call at 650-850-5826 or send us a message to schedule a consultation.
