Estate Planning is for everyone

Estate planning is not a plan meant for the elites or the likes of Jeff Bezos or Elon Musk. Estate planning is a plan meant for everyone. And contrary to what most people may think, this plan involves more than drafting a will. In this article, I’ll help you understand some of the important components of estate planning, which are; a will and a trust.

What is a will?

A will is one of the most important documents in estate planning. An estate plan without a will is incomplete! For an estate plan to be deemed an estate plan, there has to be a will, at least.

A will is a document that contains the wishes of the estate owner. This document usually contains the names of all estate beneficiaries, the deceased assets, the name of the estate executor, including other important information regarding the estate of the deceased. After the death of the estate owner, the estate executor is to submit the will to the probate court to begin the probate process.

In the event that the deceased failed to draft a will, the estate of the deceased will be shared based on the intestate laws of New York. If you reside in New York and need to draft your will, don’t hesitate to contact a will attorney, New York.

What happens if you die without a will?

If you die intestate (without a will), your assets such as your bank accounts, securities, real estate, including other assets you own will be distributed according to the intestate law of New York or whatever state you reside in.  Real estate owned in another state will be handled under the intestacy laws of the state where the property is situated.

The law of intestate succession vary significantly depending on whether you were single or married, or had children. In most instances, your assets is shared to your heirs. Your heirs could include your surviving spouse, parents, siblings, aunts and uncles, nieces, nephews, including distance relatives. Generally, when no relatives can be found, the whole estate goes to the state.

What if you die without a will and you are married?

Depending on how your assets are owned at the time of your death, the whole of your estate will either be transferred to your surviving spouse (if it is community/ marital property), or shared between your surviving spouse, siblings and parents (if it is your separate property). If you are married and have kids with your existing spouse, the whole of your estate will go to your surviving spouse.

If not, your surviving spouse will get up to one-half of the estate, and the remaining portion will be transferred to your surviving children from another spouse or partner.

What is a Trust?

A trust is almost similar to a will. In fact, in some cases, a trust can take the place of a will. A trust is simply a fiduciary relationship in which one party, regarded as a trustor, gives another party, known as the trustee, the right to retain assets on behalf of the beneficiary. Unlike a will, a trust is completely free from probate.  In addition, a trust can be created with the help of an experienced trust attorney, New York.

There are three important individuals involved in a trust:

The trustee: The individual charged with managing the assets in a trust

The grantor: This is the owner of the trust. The job of the grantor is to create a trust and select a trustee for the trust.

The beneficiaries: Those who are charged with the assets in the trust

Who is a Trust Attorney New York?

A trust lawyer is a lawyer who helps individuals set up trusts for their estate. This professional also provide advice and recommendations to individuals who wish to set up trusts. A trust lawyer can help you set up a trust that aligns with your wishes.

Who is a Will Attorney New York?     

A will attorney is a lawyer that specializes in the creating of wills for individuals. These professionals have the experience, knowledge and resources needed to help you create a will that mirrors your wishes and adheres to the guidelines of the state government.

Always have it in mind that a judge can deem your will invalid if it believes that it wasn’t created using the laid down principles. If this happens, it means it would be assumed that you died intestate (without a will). So, to avoid this, ensure you hire a competent will attorney, New York.