Wills are legal documents that outline your final wishes regarding the distribution of your assets and property.

,

Do You Need A Living Will In Las Vegas?

When you think about a will, you probably think about the document that gives instructions for distributing your estate after your death. So what, then, is a living will? And do you need a living will in Las Vegas? Let’s explore what a living will is, why you should have one, and how an estate planning attorney can help you write one.

What Is A Living Will?

Unlike a last will and testament, a living will is used while you’re still alive. It is what the law calls an “advance directive” and details your desires for medical care if you ever become incapacitated, incapable of communication, or mentally incompetent.

Unfortunately, there may come a time when you cannot make or express your desires for medical treatment or end-of-life care. While your loved ones and doctors will try to give you the best care possible, they cannot read your mind. A living will let you make medical decisions ahead of time for family and doctors to follow.

So what might a living will include? These are very personal decisions, but a living may include

Your goals for quality of life when incapacitated

  • Instructions for personal hygiene and modesty
  • Directions for when to use lifesaving treatments and when to remove life support
  • Instructions for withholding nutrition and hydration at the end of life
  • Preferences for pain management
  • Religious considerations

When working on your living will in Las Vegas, you may also wish to draw up what’s called a durable power of attorney for health care. This document names a person you want to make medical decisions for you if you become unable.

Do You Need A Living Will?

Nevada does not require you to have a living will, but it is recommended that everyone 18 and older should have one. Even if you enjoy good health right now, anyone can experience an unexpected accident or terminal illness. You should especially consider getting a living will in Las Vegas if you

  • Already have a terminal illness
  • Plan to have surgery soon
  • Are of advanced age

Having a living will helps your family and doctors know how to care for you during a stressful time. It lifts some of the burdens of caring for you and prevents arguments and uncertainties. You’ll also have greater peace of mind knowing that medical care and end-of-life care decisions that are important to you will be honored.

[cta]

How Can An Attorney Help You Write A Living Will?

Like with other wills and estate planning documents, your attorney can also help you write your living will. You could do it yourself using an online template, but an attorney provides an experienced point of view. They can help you personalize your living will better than a generic template allow and ensure your living will meet Nevada state requirements. They can offer advice about what kinds of things to include. And once you’re done, your attorney’s office can help you get the final document witnessed and notarized.

A living will may be difficult to think about, but the guidance of an expert attorney streamlines the process. You’ll feel more confident knowing everything was done right and that your family will know your wishes for medical and end-of-life care if needed.

Need Help With A Living Will In Las Vegas? Williams Starbuck Can Help

When you need a living will or other estate planning document, the experienced attorneys at Williams Starbuck are happy to help. We make the process simple and discuss everything thoroughly to meet your needs. To learn more about our services, call 1-720-660-9847 or contact us and schedule a free consultation today.

, ,

Estate Planning for Military Families

Although Memorial Day just passed, it is important to honor those that have served our country. This time is also an opportunity for members of the military and their loved ones to consider setting up an – or revising an existing – estate plan. Military families need to consider special estate-planning issues that others do not. This is particularly true when one or more family members are deployed overseas. Beyond this, members of the military have access to special benefits and resources. This can become complicated and, for this reason, it’s important to seek specialized help if you are a military family. Whether you are just starting in the military or a seasoned veteran, below are some common factors to consider for your estate planning needs.

Important Factors to Consider 

Everyone’s estate plan should be customized to the person’s particular circumstances. Some factors that should be considered include whether you:
  • Own real property and, if so, if the real estate is located in different states;
  • Are married;
  • Have minor children, or children with special needs;
  • Have money set aside in 401(k), IRAs, or thrift savings plans;
  • Plan to give to charity; and
  • Are moving multiple times across states or to different countries.

Estate Planning Necessities 

There are many benefits offered to military families that can help with estate planning. These include:

Life Insurance

An important part of an estate plan and intended for those who are financially dependent upon you, life insurance is especially important if a member of the military is heading out to a combat zone. Active-duty members have access to low-cost life insurance for themselves and loved ones from Service Members’ Life Insurance Group. More information can be found on the Department of Veterans Affairs website. When examining your life insurance, work with us to make sure that the beneficiary designation works the way you expect it to.

Wills and Trusts

A last will and testament to whom and how you want your property distributed, names who will administer your estate and specifies who will care for a minor or special needs child. A trust, on the other hand, is a separate legal entity that can hold property and assets for the benefit of one or more people or entities. For most families, a trust-centered estate plan is a better fit, but a will can work for some families.

Other Benefits for Survivors

Survivor benefit plans (SBP) are pension-type plans in the form of an annuity that will pay your surviving spouse and children a monthly benefit. Likewise, dependency and indemnity compensation (D&IC) provides a monthly benefit to eligible survivors of service members or veterans (1) who die while on active duty, (2) whose death is due to a service-related disease or injury or (3) who are receiving or entitled to receive VA compensation for service-related disability and are totally disabled. When you are examining any financial services or insurance product, it’s a good idea to work with us to make sure any beneficiary designations work the way you expect and provide the maximum benefit to your family.

You Need Specialized Help 

Members of the military often experience frequent moves, have access to lots of government benefits after service, and can be subject to some unusual tax rules. For these reasons, estate planning for military families is more complicated than most. You can expect an estate planning professional to assist you with setting up the following:
  • Powers of attorney for limited and general financial matters, as well as health care decisions (very helpful when a spouse is deployed);
  • Funeral and burial arrangements;
  • Wills and living wills;
  • Organ donation;
  • Family care plans;
  • Life insurance;
  • Trusts;
  • Estate taxes;
  • Survivor benefits;
  • Estate administration and/or probate.
An estate plan has multiple objectives: to provide for your family’s financial security, ensure your property is preserved and passed on to your beneficiaries, and determine who will manage your assets upon your death, among others. As a former United States Marine, I am here to help guide you through the best options available to you and your family. Contact us to start creating an estate plan today!
, ,

10 Estate Planning Tips

Life has too many “what-ifs” to be able to plan for every conceivable situation you might encounter. In spite of this, it’s still possible to create an effective estate plan that will not only anticipate your death and/or disability but do so in a way that will enable those you love to focus on your legacy, rather than your estate plan. Check out these 10 estate planning tips!

10 Estate Planning Tips For Creating an Effective Estate Plan

  • Get A Financial Power Of Attorney
    • Give the power of attorney over your financial matters to someone you trust. This person should also have the education or life experience to make sound financial decisions on your behalf, in the event you become incapacitated.
  • Find A Healthcare Power Of Attorney
    • For most of your life, you are far more likely to be temporarily incapacitated or disabled than you are to die. For this reason, a comprehensive estate plan will give the power of attorney to someone for health care decisions. It is a very good idea to give someone the power to act on your behalf in the event you are unable to make decisions for yourself.
  •  Do A Regular Inventory and Correctly Title Your Assets
    • You have spent your whole life, up to this point, working to acquire assets that will support you, and possibly your children after you die. Regularly inventory and carefully title your various assets. Designate beneficiaries for your annuities, insurance policies, and retirement plans. You should bear in mind that anyone whose name appears on the title of an account, policy, or retirement plan will have the authority to access and use the funds on your behalf.
  • Have a Will In Place
    • Have a legal will prepared that properly disposes of your assets. A will can also nominate legal guardians for your children to provide for their care, upbringing, and education in addition to managing their inheritance.
  • Take Advantage of Protections From Creditors
    • Take advantage of protections that are available, as a matter of right, by law to protect certain basic property rights. For example, some assets (e.g., 401(k)s, most IRAs, and your primary residence) are protected by state law; therefore, they can’t be taken by a general creditor to satisfy your obligations.

[cta]

Estate Planning Tips Continued…

  • Use Revocable Living Trusts
    • Use trusts to hold assets and settle your estate. A trust is an effective way to avoid the probate process that can be lengthy and needlessly expensive. Most people should eventually use a revocable living trust as the centerpiece of their estate plan.
  • Understand Irrevocable Trusts
    • Instead of leaving inheritances directly for your children, use an irrevocable trust. This can help you avoid claims against the inheritance from debts, divorce, disability, and destructive spending habits. In addition, there are dozens of purposes for irrevocable trusts created for favorable income, estate, and gift tax results and, when used correctly, protection of assets.
  • Seek The Help of Financial Advisors
    • Seek professional advice from attorneys, bankers, financial planners, and insurance brokers as you see fit. It’s never too early to start planning for your financial future. In order to be a good steward of your assets, find a good financial advisor with the help of family and friends, and trusted professionals.
  • Periodically Review and Revise
    • Effective estate planning is a lifelong activity. Tragedy could strike at any time. As we have seen, laws, your family circumstances, and the makeup of your own wealth will change over time. It is critical to review and update your estate plan on a regular basis to ensure that the best possible protections are being utilized.
  • Take Time To Ponder
    • Family dynamics change all of the time and in lots of different ways. Think of charitable causes you are committed to or care about. Charitable giving is one tool an effective estate planner has in the tool belt to reduce or eliminate taxes that the estate, or loved ones, will have to pay when you die. Financial circumstances can change rapidly. Your legacy will reflect the time and thought you have invested in creating and maintaining your estate plan.

Use These 10 Estate Planning Tips To Get Started

An estate plan that is out of date, can be just as harmful as not having one at all. It is essential to maintain your estate plan so your legacy, and not estate planning deficiencies are what will be remembered. If you regularly follow the above ten timeless tips above, your estate plan will remain healthy and effective to accomplish what it was created for.

Contact the attorneys at Williams Starbuck to help you with your Estate Planning needs today!

/0 Comments
, ,

Military Will and Estate Planning in Las Vegas

What Is Military Will and Estate Planning

In many ways, creating a customized estate plan for a single, or married member of the active duty or reserve branches of the United States military, can be similar to creating a will, trust, or estate plan for wealthy and non-military individuals or families. However, when it comes to military personnel, there are considerations that are unique to members of the military that must be accounted for and planned for.

When developing a military estate plan keep in mind and take an inventory of everything that is personally owned.  This can include property, a car, and even a savings account.  Once the assets have been identified, we can then help you answer questions such as:

  • What happens to my property?
  • Who will oversee my finances?
  • How will my family be affected financially?

[cta]

Why Williams Starbuck Can Help You With Military Will and Estate Planning in Las Vegas

Because of my service in the United States Marine Corps Reserves, I am both familiar with the considerations that are distinctive to military members, and able to relate to you and your situation while we work together to ensure your estate plan is properly set up, and all aspects and scenarios are contemplated and planned for. 

In cases where you own a home, have investments, or your estate consists of other classes of assets, the base legal office may not be able to adequately assist you with the proper tools and documents you need to ensure that your estate avoids probate, and seamlessly transitions to your loved ones.

Contact Williams Starbuck For More Information About Military Will and Estate Planning

If you are a member of any branch of the United States Military, on active duty, or on reserve and you have questions regarding asset protection or other estate planning matters and how they might affect you, call us at 1-720-660-9847 or send us a message for a free consultation.

, ,

How Often Should You Update Your Estate Plan in Las Vegas?

A resume is a “snapshot” of your experience, skill set, and education which provides prospective employers insight into who you are and how you will perform. Imagine not updating that resume for 5, 10, or even 15 years. Would it accurately reflect who you are? Would it do what you want it to do? Likely not. Estate planning in Las Vegas is similar in that they need to be updated on a regular basis to reflect changes in your life so they can do what you want them to do.

Outdated estate plans – like outdated resumes – simply don’t work.

Take a Moment to Reflect

Think back for a moment – think of all the changes in your life. What’s changed since you signed your will, trust, and other estate planning documents? If something has changed that affects you, your trusted helpers, or your beneficiaries, your estate plan probably needs to reflect that change.

Here are examples of changes that are significant enough to warrant an estate plan review and, likely, updates:

  • Birth
  • Adoption
  • Marriage
  • Divorce or separation
  • Death
  • Addictions
  • Incapacity/disability
  • Health challenges
  • Financial status changes – good or bad
  • Tax law changes
  • Move to a new state
  • Family circumstances changes – good or bad
  • Business circumstances changes – good or bad

Procrastination

Call us at 1-720-660-9847 to get your estate planning review on the calendar. If you’re like most people, if it’s on the calendar, you’ll make it happen.

Just as you update your resume on a regular basis and just like you meet with the doctor, dentist, CPA, or financial advisor on a regular basis, you need to meet with us on a regular basis as well.

We’ll make sure your estate plan reflects your current needs and those of the people you love. Updating is the best way to make sure your estate plan will actually do what you want it to do.

, ,

How to Leave Your Assets to Your Minor Children in Las Vegas

Your children are your pride and joy. It’s no surprise that at some point or another, every parent likely becomes concerned about who will care for a minor child or children if one or both parents die or are incapacitated. From a financial perspective, many parents turn to life insurance in an effort to take care of their family in the event of death. While it is true that life insurance is a helpful financial tool to protect your loved ones, it is just as important to consider how to leave your assets to your minor children. Beyond this, you should also consider how to incorporate your retirement money (IRAs and 401(k)s), another common, significant asset into your overall estate plan.

When you purchase life insurance, you will name a beneficiary of the death benefits and retirement accounts. But, if you don’t have a system in place and your children are minors at the time they inherit these assets, the court will appoint a property guardian or a conservator (the title depends on state law, but the role of this person is to “watch over” a minor person’s money). This process will require attorneys’ fees, court proceedings, supervision from the court, and will limit investment options — all costs and delays that will not help your children, but can cost them a significant percentage of their inheritance.

Another downside? Whatever’s left when the child becomes an adult (usually age 18, but may be, 19 or 21, in some states) will be handed over, without any guidance. This can impact college financial aid opportunities and open up an opportunity for irresponsible spending.

[cta]

How To Leave Assets?

 There are several ways in which you can structure your life insurance policies, retirement accounts, and overall estate plan to benefit your minor children in the most streamlined way possible.

1. First, use a children’s trust to manage the money for the benefit of your children.

This lets you designate someone you think will manage the assets well, rather than leaving it to the whims of the court. You will want to do this instead of naming minor children as beneficiaries.

2. Second, select and name a guardian to handle the day-to-day care for your children.

This person can be different than the person managing in the money, which can sometimes work well depending on the amounts involved and the different skill sets needed to manage money versus raise children.

3. Third, if you have a living trust, make sure you have properly funded the trust and aligned your retirement assets with the plan.

If you do not yet have a trust, consider the benefits of one over will-based planning.  Both types of plans will allow you to designate how much and when your children will receive the money, but a trust–based plan will allow you to do so without court involvement.

Benefits of a Trust

Generally, parents list a minor child as the secondary or contingent beneficiary on life insurance and retirement accounts after first naming the surviving spouse as a primary beneficiary. This may work, as long as everyone dies in the “right” order and at the “right” time. But, it’s a gamble, and providing structure through a trust for these inheritances is a better option. Unlike guardianship or custodian accounts, where the proceeds must be handed over once the minor(s) turns a certain age, you can specify at which age your child receives the assets. This allows you to designate how the money is to be used, so it will be available for important life events while protecting your children from reckless spending. Ultimately you have more control with a trust, and your customized plan will provide the best protection for your family.

If you have any questions about how to leave assets to your minor children — whether it is a life insurance policy, a retirement account, or any other asset — call us at 1-720-660-9847. A legal professional can explain the options available to your family, determine what tax implications will result, and advise you on the best structure that will protect your family’s needs.

, , ,

How to Pick a Trustee, Executor, and Agent Under a Power of Attorney

While the term fiduciary is a legal term with a rich history, it very generally means someone who is legally obligated to act in another person’s best interests. Trustees, executors, and agents are all examples of fiduciaries. You first will pick a trustee, executor, and agent under a power of attorney when you create your estate plan in Las Vegas.

When you do this, you’re picking one or more people to make decisions in your and your beneficiaries’ best interests and in accordance with the instructions you leave. Luckily, understanding the basics of what each of these terms means and what to consider when making your choices can make your estate plan work far better.

Trustee

A revocable living trust is often the center of a well-designed estate plan because it is simply the best strategy for achieving most individuals’ goals. In many revocable living trusts, you will serve as the initial trustee and will continue to manage the trust assets as you had in the past.

Your successor trustee will be responsible for making sure your wealth is passed on and managed in accordance with your wishes after your death or during your incapacity. Like each of the following individuals involved in your estate planning, it’s best to have a trusted person or financial institution carry out this vitally important role.

It’s important to make the language in your trust as clear as possible so that your trustee knows exactly how to handle various situations that can arise is asset distribution. Lastly, your trustee will only control the assets contained within the trust — not the rest of your estate, the reason why completely funding your living trust is crucial.

Powers of Attorney

Your power of attorney is the document in your estate plan that appoints individuals to make decisions on your behalf if you become unable to do so yourself. There are a few different types of powers of attorney, each with their own specific provisions. There is quite a wide range of situations covered by various powers of attorney, and we can help you decide which types you’ll need based on your current situation and future goals. Here are two common types to cover in your estate plan:

Financial Powers of Attorney

Financial powers of attorney grant individuals the ability to take financial actions on your behalf such as purchasing life insurance or withdrawing money from your accounts to cover your expenses. A person who acts under the authority given in a power of attorney is generally called an agent. Regarding financial decisions, an institution like a trust company, can also be named. Keep in mind that trust companies will charge a fee for this service.

Health Care Powers of Attorney

Health care powers of attorney cover a wide range of specific actions that can be taken regarding an individual’s medical needs such as making decisions about the types of care you receive or who will be providing the care.

Executor

Your executor is the person who will see your assets through probate, if necessary, and carry out your wishes based on your last will and testament. Depending on your preferences, this may be the same person or institution as your trustee. You might also see this position designated as personal representative, but it means the same thing.

Some individuals chose to go with a paid executor. This is usually someone who doesn’t stand to gain anything from your will, and is often the best choice if your estate is large and will be divided among many beneficiaries. Of course, family or friends can also serve, but it’s important to consider the amount of work involved before placing this burden on your family or friends.

Being an executor can be hard work and may have court-ordered deadlines, so it’s crucial to pick someone you know will be up for the job. They will probably need to hire a CPA to help sort out your taxes and a lawyer to assist in the process. Of course, if there’s a dispute, attorneys, appraisers, mediators, or other professionals will undoubtedly need to be involved.

Choosing a spouse or someone else intimately involved in your life can be convenient because they may already be familiar with your assets and have an easier time making sure your wishes are carried out.  However, because of the time involved and the nature of some assets, they may not be up to the task at the time.

 

Get in Touch With Us Today

Let us help you make the process of how you pick your trustee, executor, and agent under a power of attorney as smooth as possible. Once you have these choices in place, you’ll be able to rest easy knowing that your estate plan is in good hands no matter what life brings.  Call us at 1-720-660-9847  to make an appointment today.

,

Do I Really Need an Estate Plan in Las Vegas?

You don’t need to have a summer house in the Hamptons or a private art collection big enough to rival MOMA to consider yourself the owner of an estate. In fact, virtually anyone who owns anything has an “estate” in the eyes of the law. Although the term may conjure images of expansive country properties, expensive cars, or other symbols of high wealth, for the purposes of estate planning law, the term “estate” covers a whole lot more.

If you are thinking “do I really need an estate plan?, then you would benefit from talking with my team as an estate-planning attorney in Las Vegas.

What Constitutes as an Estate?

Ordinary possessions like homes, jewelry collections, bank accounts, cars, furniture — basically anything you can own — are also under the purview of your estate, meaning estate planning is something that profoundly impacts virtually everyone, not just the “country club” crowd.

So even if you wouldn’t ordinarily consider yourself the owner of an estate, it’s quite likely that you are. The answer to the question “I don’t have an estate. Do I really need an estate plan?” is, “Yes, virtually everyone who owns property could benefit from estate planning.” And estate planning covers more than just property, too: It’s also about ensuring someone you trust can make critical medical decisions for you if you’re unable to do so.

[cta]

4 Key Advantages of Estate Planning

Estate planning may seem overwhelming.  But you don’t have to do it alone. We know what it takes to create a comprehensive estate plan tailored to your exact needs.

Here are the core tenets of what’s involved in estate planning and how you stand to benefit from the process:

  1. Allows you to remain in complete control of your property while you’re still alive and well.
  2. Helps you provide for yourself and your loved ones if you become incapacitated or disabled – without expensive and distracting court hearings.
  3. Minimizes the impact of professional fees, court costs, and taxes.
  4. Provides a framework so you can give what you have to whom you want, the way you want when you want.

Sit Down With an Attorney Today

Are you ready to sit down with a qualified estate planning attorney to see how you can ensure a better future for yourself and your family? There’s no time to waste — the sooner you take stock of your estate and get critical documents like wills and trusts completed, the better. Contact us today to schedule a free consultation.

,

5 Reasons to Update Your Estate Plan

Estate plans are almost magical: they allow you to maintain control of your assets, yet protect you should you become incapacitated. They take care of your family and pets. And, if carefully crafted, they reduce fees, taxes, stress, and time delays. Las Vegas estate plans can even keep your family and financial affairs private. But one thing estate plans can’t do is update themselves.

Estate plans are written to reflect your situation at a specific point in time. While they have some flexibility, the bottom line is that our lives continually change and unfold in ways we might not have ever anticipated. Your plan needs to reflect those changes. If not, it will be as stale as last week’s ham sandwich and can fail miserably.

If anything in the following 5 categories has occurred in your life since you signed your estate planning documents, call us now to schedule a meeting. We’ll get you in ASAP to make sure you and your family get protected.

  1. Marriage, Divorce, Death. Marriage, remarriage, divorce, and death all require substantial changes to an estate plan. Think of all the roles a spouse plays in our lives. We’ll need to evaluate beneficiaries, trustees, successor trustees, executors/personal representatives, and agents under powers of attorney.
  1. Change in Financial Status. A substantial change in financial status – positive or negative – generally requires an estate plan update. These changes can be the result of launching, winding down, or selling a business; business and professional success; filing bankruptcy; suffering medical crisis; retiring; receiving an inheritance; or, even winning the lottery.
  1. Birth, Adoption, or Death of a Child / Grandchild. The birth or adoption of a child or grandchild may call for the creation of gifting trusts, 529 education plans, gifting plans, and UGMA / UTMA (Uniform Gifts to Minors Act / Uniform Transfers to Minors Act) accounts. We’ll also need to reevaluate beneficiaries, trustees, successor trustees, executors/personal representatives, and agents under powers of attorney.
  1. Change in Circumstances. Circumstances change. It’s a fact of life – and when you’re the beneficiary or fiduciary of an estate plan, those changes may warrant revisions to the plan. Common examples include:
  • Children and grandchildren attain adulthood and are able to serve in trusted helper roles
  • Relationships change and different trusted helpers need to be named
  • Beneficiaries or trusted helpers develop overspending or drug / gambling habits
  • Guardians, executors, or trustees are no longer able (or no longer wish) to serve in their preassigned roles
  • Beneficiaries become disabled and need a special needs trust to receive government benefits
  • Guardians for minor children divorce, move to a new state, or are, otherwise, no longer appropriate to serve
  1. Changes in Venue. Moving from one state to another always warrants estate plan review as state’s laws differ. Changes may be needed to ensure that you’re taking full advantage of – and not being penalized by – your new state’s laws. This is also true when purchasing a second home outside of your state.

Your Estate Plan Should Help You, Not Hurt You

Old estate plans get stale just like old sandwiches do. You wouldn’t rely on last week’s ham sandwich for lunch; please don’t rely on your estate plan from yesteryear. We’ll review your estate plan and make sure you and your loved ones are good to go.

,

How to Ensure my Spouse and Children Inherit Everything After I Die

Many people think that if they die while they are married, everything they own automatically goes to their spouse or children. They’re actually thinking of state rules that apply if someone dies without leaving a will. In legal jargon, this is referred to as “intestate.”

In that case, the specifics will vary depending on each state’s law, so where you live when you die can significantly change the outcome for your family. However, the general rule is that your spouse will receive a share, and the rest will be divided among your children. Exactly how much a spouse will inherit depends on the state, though.

Now, it may seem like, “So far, so good.” Your spouse is getting an inheritance, so are the kids. But here are some examples of how the laws can fail many common family situations.

[cta]

Common Family Situations

First off, if both parents of minor-aged children die intestate, then the children are left without a legal guardian. Kids don’t automatically go to a godparent, even if that’s what everyone knew the parents had intended.

Instead, a court will appoint someone to be the children’s guardian. In such situations, the judge seeks to act in the children’s best interests and gathers information on the parents, the children, and the family circumstances. But the decision is up to the court, and the judge may not make the decision that you, as a parent, would have made.

When it comes to asset division, in most cases, state intestacy law presumes that a family consists of a husband, wife, and their natural-born children. But, that’s not necessarily the way many families are structured, and things can become legally complicated quickly.

According to Wealth Management, one analysis has 50 different types of family structures in American households. Almost 18% of Americans have been remarried, and–through adoption and stepfamilies–millions of children are living in blended families. The laws just haven’t kept up, and absurd results can occur if you rely on intestacy as your estate plan. Stepchildren that you helped raise (but didn’t legally adopt) may end up with no inheritance, while a soon-to-be-ex-spouse may inherit from you.

Say, for instance, a father has a will that allocates assets to his spouse and two children, then they adopt a third child. Then, the father dies in a car accident before he’s able to revise his will. In some states, because the adopted child is not mentioned in the will, she may not be entitled to any inheritance.

If that isn’t worrisome enough, consider that, in some states, the law provides that an adopted child still has rights to the biological parents’ assets–and the biological parents are entitled to inherit a child’s wealth. (Imagine if the adopted-as-an-infant Steve Jobs had died intestate, and his biological parents demanded a share of his estate!)

Of course, with a will or trust, you can control your estate and essentially eliminate the risk of these crazy results.

 

What if You and Your Spouse Are Separated?

State law decides what happens to your estate if you are separated from your spouse when you die. Much of the time, the court ignores your separation and just considers you still legally married.

Unless you have a prenuptial or postnuptial agreement, it is extremely difficult to disinherit your spouse. Again, even if a spouse is omitted from a will, state laws might choose to give a surviving husband or wife a share of the assets.

If you are separated from your spouse, and your divorce is pending, you should definitely talk with your divorce lawyer and an estate planning attorney about your options.

 

Creditors Win

Intestacy provides no asset protection or preservation benefits. Without any protections in place, an estate’s assets are still vulnerable to creditors, lawsuits, and others who may claim entitlement to the property. These claims would take precedence over the statutory requirements for inheritance. In other words, the family may not receive the lion’s share of the estate. They’d get the leftovers.

 

Talk to an Attorney Today

The best way to safeguard and pass along what you’ve worked so hard to build is to talk to a qualified estate planning attorney. Protect yourself, your family and your assets by contacting us today.