Beneficiary Designations

A beneficiary is a person you name in your will or revocable living trust to receive property from your estate when you pass away. You can name specific beneficiaries to inherit any assets in your estate — including real estate, financial accounts, and more. If you'd like to learn more general information about beneficiary designations, please take a look at our blog article, ' What is a beneficiary in a will?'.

Different types of beneficiaries

In your will, you can outline the order in which you want your beneficiaries to receive your assets. Here are the different types of beneficiaries you can specify:

• Primary beneficiary: This individual or organization is the first in line to receive certain assets from your estate.
• Contingent (or secondary) beneficiary: This individual or organization is the next in line to receive certain assets from your estate if your primary beneficiary can’t. This could happen if, for example, your primary beneficiary passed away before you, or declined the assets you left to them (known as “disclaiming” or “renouncing”).
• Residuary beneficiary: This beneficiary will receive any remaining assets in your estate after all specific gifts and debts have been paid. If you want, you can name more than one residuary beneficiary and choose the percentage that each should receive.

How to add a secondary beneficiary

When going through the intake you will be able to name a ' primary beneficiary'. The following question will allow you to name your 'secondary beneficiary' who would receive your assets if your primary beneficiary passes away before you.

To add a secondary beneficiary: 

1. Create a FreeWill account or log in to your already existing FreeWill account
2. Follow the intake form to the 'Residuary' step, or use this link.
3. Fill out the information for your chosen primary beneficiary
4. Click 'Save & Continue'
5. Fill out the information for your chosen secondary beneficiary
6. Click 'Save & Continue'

How to add a tertiary beneficiary

When going through the intake process, you will also be given the ability to name a tertiary (third level) beneficiary of your estate. A tertiary beneficiary is the next to inherit property if the primary and secondary beneficiaries do not survive you. 

To add a tertiary beneficiary: 

1. Create a FreeWill account or log in to your already existing FreeWill account
2. Follow the intake form to the 'Residuary' step, or use this link.
3. Fill out the information for your chosen primary beneficiary
4. Click 'Save & Continue'
5. For the secondary beneficiary, select 'Create a custom plan'
6. Fill out the information for your chosen secondary beneficiary
7. Select the 'Include Backup' option next to the chosen secondary beneficiary
8. Click 'Save & Continue'