LIVING TRUSTS IS RECOMMENDED
With trust, things are less complicated because you can pull out the specifics a trust needs before you’re passing. A trust can also avoid the probate process which can take at least up to a year with additional fees. A trust is also more private and no one will know who the trustee is until the descendants death while the Will is more public. Trusts are more expensive but you get your money’s worth from your assets and schedule any money transfers to any relatives every year or every month or so depending on what it is specified in the trust.
DRAFTING A WILL
When drafting a Will you need to make sure anything that you identify as an asset is considered something that should be included. Things like any investments, bank statements, owning of stock or organizations you’ve put together. Any organizations or businesses you have started is exposed to a separate tax fee. You would have to plan where that would be designated unless you sell the business itself. An addition is to make sure that your assets goes to a close relative or your spouse who would get half. Will drafting is a guarantee of exposing yourself to a Codicil. A Codicil are modifications that you put towards your will. One thing to note is that once you ask for a codicil, you are giving yourself additional fees in a longer process when it comes to the probate. The probate is the courts approval indicating that the Will is final but that can take up to a year to process. So you can draft well but it’s recommended that everything is checked out and good to go.
POWER OF ATTORNEY
A power of attorney is a lawyer to direct your estate assets, investments or any bonds that you may have towards the beneficiaries. A power of attorney can even help you raise a healthcare proxy. This is a document that states what kind of health care is needed towards you or anyone aging in your family. He or she can even recommend you with what can be added towards the will or trust to have guaranteed comfort with this experience.
FAQ
1. How Often Should I Update My Estate Plan?
Your estate plan should be looked over every 5 years or so but may need adjustments if you’re involved in marriage, bear any children or filed for divorce. This is due to legal laws within the state and now who’s involved.
2. Should you avoid probate?
There’s an understanding when wanting to avoid a probate and it’s due to waiting a year for courts approval or even having the courts approval rather than your own. Both these things can pile more fees on top of the file the more complicated things get through many disagreements. It is necessary to use the probate because if you’re looking through the file rather than an attorney, you will be prone to mistakes and more fees that the attorney could of spotted. Upcoming mistakes can also cause the filing to be longer than it should. So you shouldn’t avoid any probates.
3. What is a Testamentary trust?
A testamentary trust is a a trust that is formed after a persons passing and is instructed or assigned according to the last Will. It is also considered a third-party if it is someone assigned as a trustee rather a family member. Then that person would have the right to move the assets around.
4. Why do I need an attorney to write a Will?
An attorney is necessary to prevent future mistakes that the attorney him or herself is more aware of. Needs in your Will may be to vague to approve in court and that’s only one of many examples of when that can occur. The issue here is that any mistakes found in the Will has to go through a delayed probate process. Note, a probate can take up to a year and additional fees added upon these delays. So it’s crucial that you get an estate attorney to prevent further conflict.
5. Can I Create an Plan on My Own?
You are free to create your own plan but doing so would have you leave any important details and is a good chance that will happen because of certain law terms you need to bring up. So creating your own plan may be an invalid one.
6. When should I make an advance directive?
The best time to make an advance directive is before you need one. In other words, before you become too sick to make your own decisions about what medical care you want to get or refuse.
7. Should my spouse and I file a joint tax return?
When filing a joint tax return you have an easier time with filing taxes and you have a deduction of fees included. With separate accounts you and your spouse would have to do your own paperwork. With a joint tax return things would be much easier and you can save money.
8. How long does probate take in New York?
If you have an uncomplicated Will with every statement clear and destination of all assets addressed then the process can take between 3 to 6 months. Though so,e cases can be complicated when it comes to disagreements in the Will or any updates that needs to be changed. This process can take up to years depending on how long the modification and needs take.
9. What happens when someone dies without a will in New York?
Without a Will, your family would have to discuss with who gets what assets and with other beneficiaries involved can make this case more expensive. A will is very important to make things organized and give less strain to everyone within the family.
10. Can I work part time and collect unemployment in New York?
Yes you can! You would have to work 30 hours or fewer and make at least less than $504.
