Setting Up Financial Support For Your Family After You Die

In the Virgin Islands, consumers review options for providing financial support for their family after they die. The opportunities must cover the expense of a funeral and offer additional monetary benefits. A local financial advisor helps consumer set up a plan for providing adequate financial support for their family.

Life Insurance Policies

Life insurance policies provide death benefits that cover the cost of funeral expenses. The policies also provide monetary benefits to families that offer financial support. The policies are either term or whole life insurance. The term life insurance is available for a specific term. Whole life is paid throughout the entire policyholder’s life.

New Owners of Irrevocable Trusts

An irrevocable trust is used to separate key assets from an estate. The estate owner chooses a successor who takes over the trust when they die. The successor receives all assets through the trust and avoids inheritance taxes. The opportunity provides adequate financial support for the family and lowers the chances of financial hardships. The trust is presented to the successor according to the directions in the estate owner’s will.

Trust Fund Options

Trust funds are a beneficial way to provide financial support for children or a specific family member. Provisions that apply to the trust funds determine when the beneficiary receives access to the fund. Typically, the trust fund is available to children after they reach eighteen. If the child is orphaned, the parents may add provisions for a new guardian to manage the trust fund.

Who is Entitled to Survivor Benefits?

Spouses and children are entitled to survivor benefits. The financial advisor helps the family file for the benefits and explains how to manage the benefits. If a problem arises, the individual may need to review alternatives. For example, if a previous spouse was entitled to the benefits through a divorce agreement, the current spouse may face issues.

In the Virgin Islands, consumers create plans for supporting their families financially. The plans include life insurance policies, irrevocable trusts, and trust funds. Families are also entitled to survivor benefits through pension plans set up by their loved one. Consumers who want to learn how to set up a plan contact Kirk Chewning now.