Surprise! Beneficiary designations on assets such as life insurance and retirement accounts trump anything that you state in your Will or Trust.
Thus, your estate plan is not finished just because you’ve signed a Will or Trust. You also must review your beneficiary designations to ensure that they are in sync with your overall estate plan wishes.
Several types of assets allow beneficiary designations, such as life insurance, retirement plans, health savings accounts, annuities, 529 accounts, Payable on Death (P.O.D.) accounts and Transfer on Death (T.O.D.) accounts. » Read more..
Thoughtful estate planning may help you build the size of your estate, rather than just focusing on what happens to your money and other possessions after you die.
A proper estate plan typically includes typical documents such as a Will and possibly a Trust, but there’s more. » Read more..
You don’t need to be a millionaire or billionaire to benefit from a Revocable Living Trust.
A key benefit of a Revocable Living Trust is to control the ages at which your children receive their inheritance. Without a trust, sons and daughters as young as 18 years of age receive full distribution of their inheritance in Minnesota once your estate is settled. » Read more..
Minnesota’s Transfer on Death Deed (TODD) for real estate is a popular way for Minnesota families to try to avoid probate upon the death of the property owner.
Probate in Minnesota isn’t the onerous process that it is in some states, but probate takes time and costs money regardless. Thus, many Minnesotans try to avoid probate.
Probate is triggered in Minnesota when the deceased: (1) owns real estate in his or her name alone, or (2) owns $75,000 or more in probate assets in his or her name alone. This blog focuses solely on the first trigger – ownership of real estate. » Read more..
The sentiment – “I don’t care what happens after I die because, after all, I’ll be gone.” – typically doesn’t work well in reality.
Creating a well-thought-out estate plan is really your last gift to your family. Without such a plan, your relatives may be cursing you for the unnecessary mess that you left behind rather than having sufficient time to grieve your death and navigate ways to cope without you. » Read more..
assets, child, estate plan, estate taxes, family keepsakes, financial planning, Minnesota, new spouse, personal property, spouse, Trust, Will
“Right of representation” and “per stirpes” are two ways of describing the same method for dividing the assets of the deceased, but what do the phrases mean?
A second way of dividing a deceased person’s assets in Minnesota is “per capita at each generation”.
Translation? » Read more..
The danger of thinking that your Will covers the transfer of all your assets at your death is that the distribution of your assets may not end up as you intended.
Your Minnesota Will covers only what is known as your “probate assets”. If your Will provides that each of your 3 children is to inherit one-third of your estate, each child will inherit one-third of your “probate assets” only.
Stated another way, the wording of your Will has no impact on assets that are considered “non-probate assets”, and your non-probate assets may be a significant portion of your estate. » Read more..
assets, beneficiaries, estate planning lawyer, life insurance, Minnesota, non-probate assets, probate, probate assets, transfer on death deed, Trust, Will
You may be seriously short-changing yourself and your heirs if you try to create an estate plan by filling out a form downloaded from the Internet.
An estate plan is more than just documents.
Think of it this way: Chances are that you aren’t just looking for a certain “pill” when you visit a doctor. Instead you want to tap into the doctor’s experience and knowledge so that the remedy prescribed for you correctly treats your symptoms. Similarly, it’s best to tap into the knowledge and experience of an estate planning lawyer in devising your estate plan. Just like a pill is merely one possible consequence of a medical consultation, a Will document is but one aspect of your consultation with an estate planning lawyer. » Read more..
The checks for your inheritance may come in partial payments over many months, be tied up for years in a trust, or come within weeks. Or, there may be nothing left for you to inherit.
Much of the timing of the disbursement of your inheritance depends on the type and value of the deceased’s assets, the creditor claims against those assets, whether probate is required, and whether the deceased wanted your inheritance to be distributed outright to you or tied up in a trust for some period of time. » Read more..
assets, beneficiary designation, inheritance, inheritance check, joint assets, life insurance, Minnesota, personal representative, Trust, trustee, Will
If your goal is to find the cheapest and easiest administration of your estate after you die, a Revocable Living Trust may be your best bet.
The upfront costs of creating a Revocable Living Trust is almost certain to be higher than creating a Will, but a Revocable Living Trust may be cheaper in the end. Why? The Revocable Living Trust typically avoids the time and expense of probate. » Read more..
assets, beneficiaries, court, creditors, Minnesota, personal representative, probate, probate administration, revocable living trust, Trust, trustee, Will