Benefits of Preparing a Last Will

Preparing a last will is a vital element of estate planning. Regardless if estates are protected by trusts or required to pass through probate, a Will is need to supply instructions regarding distribution of inheritance. This document is also required to designate an estate administrator and beneficiaries who will acquire assets.

A last Will supplies important information regarding any estate planning strategies which have been established. Those who take time to write a Will not only safeguard their estate, but also make estate settlement easier for administrators.

It should be noted there are various kinds of Wills which can be used. The type needed is determined by the kinds of assets and personal belongings involved, as well as a person's lifestyle. As an example, married couples with minor aged children have different needs than single parents or individuals who do not have children.

Business owners should make use of business succession strategies to ensure their company is passed along to successors of their choosing. People who own real estate or other types of titled property ought to establish joint titles so that property can be passed along without enduring probate.

When individuals fail to execute a will and testament their estate will go through a process known as intestate probate. This procedure takes longer than testate probate because a judge has to confirm an estate administrator and determine rightful heirs.

Administrators become the legal fiduciary for decedent estates and are responsible for reconciling the estate in accordance with state law. Estate settlement is a multi-step process that can last for several months. However, the process can be simplified with advanced planning.

Most people find it easiest to retain services from a law firm. Attorneys can help individuals decide which methods are best suited for their personal circumstances. They can also provide guidance for strategies which can minimize estate and inheritance taxes. Two common practices include arranging trusts and Will substitutes.

Will substitutes involve designating beneficiaries to receive funds held in investment and financial accounts or titled property. This is accomplished by arranging payable on death and transfer on death beneficiaries and rights of survivor-ship property titles.

Rights of survivor ship can be established to give property to beneficiaries without the need to endure the probate process. Depending on the jurisdiction of the decedent, survivor-ship rights might have a different name. Common names include joint tenants with right of survivor-ship, tenants in common, tenancy by entire-ties, or joint tenancy.

By means of illustration, if a married couple own property together in Pennsylvania, they would use a document known as Tenancy by the Entities. On the other hand, if the same couple own property in California they would use a Joint Tenants with Rights of Survivor ship form.

Regardless of the name, joint tenancy transfers ownership to the beneficiary without having to pass through probate. The beneficiary automatically inherits the property irrespective of directives provided in the last Will.

A main benefit of establishing joint tenancy is beneficiaries take full ownership in a short amount of time by paying a nominal fee. It should be noted this strategy only permits transferring ownership to one person. Different methods are used when titled property is distributed among multiple beneficiaries.

Trusts are an excellent way to bequeath inheritance property and avoid probate. Since there are many different kinds of trusts it's advisable to get legal counsel. Attorneys can help individuals prepare their last Will, arrange trusts, and create business succession plans.

The Importance of Estate Planning for Alternative Families

Society can change very rapidly, often within our own lifetimes. This is both a technological evolution – there are many people alive today who can remember a childhood when television simply did not exist – and a cultural one. Only a few years ago, same-sex marriage was still a taboo subject with little serious support. However, the last two years have seen a dramatic shift, with the Federal government, and many State governments, officially recognizing same-sex marriage. At the same time, many other forms of “alternative” families have become increasingly common, including single parents and heterosexual couples who choose not to get married even when they have children. This form is commonly known as a “blended family”.

This presents a challenge, because the law moves much more slowly than society's attitudes, and most of the legal framework designed to protect and regulate family estates still only recognizes next of kin. When couples are not legally married, this means that an unexpected death can result in their home and their retirement funds being placed in the control of someone other than their partner. The answer to this potential problem is careful estate planning – in fact, because of this, estate planning is critical for the “alternative” family.

Estate planning includes a collection of legal documents directing how your assets and wealth will be distributed in the event of your death. It is important to keep in mind that if you are not married legally you may not enjoy any legal protection as a family unit, meaning that your partner and children may not have automatic authority to act on your behalf in the event of your disability. As a result, Estate planning should include provisions for disability, naming a partner or a child and giving that individual the authority to act on your behalf. Otherwise, a family member may automatically be placed in this position regardless of your relationship with them.

Estate planning tends to be one of those life events we put off due to the fact no one imagines the unthinkable happening to them. Often people assume that a life built together automatically means something. The fact is, in the eyes of the law, your life together may not mean anything. The time to make your wishes clear and to anticipate every potential problem is now, while you have the time and ability to confer with an expert and plan your estate properly.

Two Big Reasons Estate Planning Is Very Important

When most people hear about estate planning, they think that it is exclusively for multimillionaires and families with old money. This couldn't be further from the truth. Planning ahead simply ensures that the wealth and property that you have built up over your entire life is protected after you can no longer take care of it. Some might argue that protecting your wealth is even more important for those who do not have a lot of it. Here are two of the biggest reasons that estate planning is something that everyone needs to consider.

It Is Your Money

You work hard for the money you have earned, and you should control what happens to it, in life and in death. Unfortunately, over 55 percent of Americans die without ever writing a will. This number jumps to over 90 percent for people under the age of 35. Dying without a will means that the laws of your state will control what happens to your property. If you have a longtime partner but are not legally married, they will have no right to any money upon your death. Instead, it would go to your closest surviving family member, even if it is your weird second cousin who you never got along with. If you don't think you have enough in the way of assets to make a will worthwhile, you should reconsider. The average U.S. estate is worth nearly $180,000. If you don't have any family or don't want to leave your money to them, your will can designate a specific charity, school, or program as the recipient.

Protecting Yourself and Your Family

When most people think of estate planning, they think of wills and trusts, as discussed above. But it is actually much more complex than that. A proper testament can control who will obtain guardianship of your children if there are no parents in the picture. It can give instructions for medical emergencies, such as organ donation, steps to take in the event of a coma, and “do not resuscitate” orders. If you no longer possess the mental ability to properly care for yourself, it designates someone to watch over you. Estate planning can even make sure that a beloved pet is properly cared for if you die.

In conclusion, estate planning is an important part of everybody's lives. Whether you are rich or poor, part of a big family or single, you should always plan ahead. Consulting with an attorney can save you and your heirs from high taxes. It can protect your loved ones financially in the event of an unexpected death. It is your money and life, so you should be the one who decides how they are both handled.

Estate Planning – Planning for the Future

What You Should Know

Estate planning is an important part of everyone's future, whether or not they want to think about who will handle their affairs when they pass away. By having these details planned out ahead of time, even if it is painful to think about, it makes the process much easier and more streamlined for loved ones who will ultimately be grieving your passing. A large part of estate planning is having a will in place to make sure you final requests are carried out and there are no questions on how affairs should be handled.

What are the Benefits of Having a Will?

Having a will is an important part of estate planning overall. While some people may think having a will in place is frivolous, there are a number of benefits to having this document prepared:

    • Having a will gives you the ability to decide who will receive specific assets when you pass away. For those individuals with children, it can also include who will have custody of the children should something happen to you while they are still considered minors.

 

    • A will can outline who will be appointed executor of your estate when you pass.

 

  • Drafting a will can give you peace of mind that the planning of your final affairs is already set and grieving loved ones do not have to struggle by making difficult decisions.

Choosing an Estate Executor

Choosing who will be the executor of your estate is an important decision and one that should not be taken lightly. When thinking about who will fill this role, think of someone who is well-organized, able to meet important deadlines, and someone who will be honest and forthright with what the will outlines. When making this decision, it is important to not worry about who may be offended or have their feelings hurt – an executor needs to be chosen based on their ability to complete the task.

Different Estate Planning Documents

There are a number of documents involved in estate planning and making sure to select the ones you need can be confusing. Here is a short explanation in order to gain a better understanding of these documents:

    • Last Will: Distribution of assets, legal guardian of minor children, last wishes including funeral arrangements

 

    • Living Will: Life support preferences, organ donation specifications

 

  • Living Trust: Avoid costs and delays of probate, keeps estate information private, decrease some estate taxes

Investment Advisory Services offered through Global Financial Private Capital, LLC, and SEC Registered Investment Advisor. Any comments regarding safe and secure investments, and guaranteed income streams refer only to fixed insurance products.

Why Is Estate Planning Good For You?

Estate Planning involves creating a strategy and plan for people who want to distribute their wealth and property after their demise. The plan or arrangement permits authorities to distribute wealth to the family or inheritors the way you have prescribed or allotted. According to common belief, estate planning benefits the elderly but it is most fruitful for the benefactors in this case, the youngsters as they receive their share of estate in case of your demise, sudden death or some other condition.

Here are some reasons why estate planning is good for you:

Disabilities or Special Conditions

This works for you and your family's benefit if you face certain special conditions that prevent you from taking decisions related to your property or business. You can use the estate planning tool to use your desired way or instructions to distribute property. You can appoint a reliable and trustworthy person to have the power attorney and make decisions for you.

Care of Minor Offspring

In case of sudden death, or certain mishap, you won't have the power to decide who will take care of your children who are small and according to the law, are not eligible to take decisions on their own. However, you can avoid that if you have planned it before; you can appoint a guardian for your children yourself.

Do Away with Probate Court

Estate planning allows you to avoid probate and probate court. In the event of the death of the estate owner, the probate court set up an official person to take claims and use the estate property to distribute it on his own will. Having an estate plan can help you avoid probate and keep the wealth with your family, instead of it being liquidated and used up the wrong or undesired way.

Stress Ease

When you have a plan at hand about your property for future and you know it will be distributed the way you want, it eases your stress levels. You feel at ease thinking that you have secured your wealth for your children and spouse for their future. This enables you to feel relaxed and not stress about who will take care of them and how will they manage after you.

To make sure you can use estate planning for you in the best way, it is important to get planning services from the right person who is reliable, trustworthy and experience.