Get your business in order

[fwafwow]

Is that for every state? I'm 55 and need to start getting things together.
I thought a will was law as far as how you wanted things done when you pass.

Every state. The Will says how you want things distributed, but probate is required for a variety of reasons, including as a forum to ensure the Will is valid (if your heirs contest). You also have to pay off your creditors before your beneficiaries.

 

[WCB]

Meh - not sure about this. I haven't seen it done, and most people are very hesitant to even tell their kids what they will get, much less more extended family. My experience of not seeing it doesn't mean that it's a wrong approach, but what if you change your mind in part? If you say your brother is getting the RSS in one meeting, but then later want to give it to your son. Do you have another meeting?

Been part of this type of arrangement once and currently my in-laws have had the same discussion 2x in the last 5 years and a few times before that with their kids (my wife and 2 sisters) and any married spouse (so me and one of her sisters spouses) about what happens when they die. It is very clear the arrangement will change as assets changed and that will be relayed to them as needed. It was made very clear that certain properties/assets will eventually put into the grandkids name skipping over my wife and her sisters. We have 2 kids with one on the way and neither of her sisters are planning on have kids. Everything is in estates/trusts already except for their current "primary residence" because they plan on selling that within a year or two once they build their retirement home on one of the properties.

In-laws go over there information every couple years now and changes are discussed. Hell they did a minor one putting their share of family land, that is divided up among my FIL's family, into their estate. It was a simple "hey while everyone is here we added our portion of the land to our estate...all your names are on it...FYI"

My dad does the same thing with me and my sisters. Usually around one of the holidays. Hey...xyz changed everything else is the same.

They don't have a 3 hour long go through every document meeting. It also isn't every little thing they have. Like my dad doesn't spell out every single firearm he has or ever tool. But major accounts, properties, investments etc. Same with your example above...Yeah tell your brother if it is something major that you are switching to your sons name or whatever. The main point imo is if you have a discussion about it with someone have a 3rd party that will be involved in that situation present. I've seen too much, "well one time dad told me xyz".

 

[Wetwork]

I would like to know where you heard this, as it isn't correct. You should update your documents periodically, but they don't become invalid if you don't.

I read it on the second page of the trust...maybe its just a lawyer loophole or boilerplate deal but on my folks trust it was 18 months. -WW

 

[fwafwow]

I read it on the second page of the trust...maybe its just a lawyer loophole or boilerplate deal but on my folks trust it was 18 months. -WW

I can not fathom any reason for such a provision. I’ve seen trusts that are many years old. If you can’t get a rational explanation, I’d get another lawyer.

 

[Minute_of_Antelope]

Is that for every state? I'm 55 and need to start getting things together.
I thought a will was law as far as how you wanted things done when you pass.

The “will” doesn’t go through probate so much as it is used as evidence of the testator’s wishes.

Probate is needed whenever you need to legally give a dead person’s stuff with their name on it to an alive person. Best way I can explain it.

Things like beneficiary designations on accounts help to keep those assets out of probate and don’t the assistance of a judge’s signature.

 

[Minute_of_Antelope]

I can not fathom any reason for such a provision. I’ve seen trusts that are many years old. If you can’t get a rational explanation, I’d get another lawyer.

Either poor advice is being given or it’s the most poorly drafted document I can think of.

Testamentary documents are effective until revoked or replaced unless otherwise specified (which, not sure why they would be).

 

[Wetwork]

I can not fathom any reason for such a provision. I’ve seen trusts that are many years old. If you can’t get a rational explanation, I’d get another lawyer.

We did that very thing...got a new lawyer who's much younger...

.Oh another tip, get lawyers and doctors as young as you can find them and have good standing. My folks attorney is...was as old as they are (mid 80's) and was also slipping, A bunch of our ranch legal history is in limbo, stored away in the fellows basement under decades of dust. He's now so physically challenged he has trouble getting down there to get my stuff. Sucks having to go dig around old folks personal spaces.-WW

 

[Wapiti7]

In Minute's post above, he brings up beneficiary designations. That is another thing to think about, check periodically. In most situations in most states, the beneficiary designation will trump what is reflected in your will and/or trust.

So, it doesn't matter if your will says you are leaving your IRA to your kids, if the beneficiary designation on your IRA account says the primary beneficiary is your peach of an ex-wife, she will get it.

 

[fwafwow]

In Minute's post above, he brings up beneficiary designations. That is another thing to think about, check periodically. In most situations in most states, the beneficiary designation will trump what is reflected in your will and/or trust.

I believe that is always the case.

So, it doesn't matter if your will says you are leaving your IRA to your kids, if the beneficiary designation on your IRA account says the primary beneficiary is your peach of an ex-wife, she will get it.

 

[Minute_of_Antelope]

I believe that is always the case.

Never say ALWAYS; some states’ slayer rules could come into play, haha

 

[5MilesBack]

In most situations in most states, the beneficiary designation will trump what is reflected in your will and/or trust.

Yep, "transfer on death".....TOD documents listing beneficiaries for financial institutions supersede wills. When my mom passed in 2021, she died the end of April and my sisters and I had all her financial assets split into our accounts by the 5th of May. Really quick.

 

[Crusader]

My wife and I have two adult daughters, one who's married. We have comprehensive estate planning documents, including a trust, POA stuff, medical directives, etc. A couple of years ago I created a document (about 4 pages long) identifying and addressing every aspect of our financial lives that I could think of, even including describing options for what they could do with our residence and rural real estate properties. We then had a "financial summit" meeting during which I went over every bit of it, so my kids (and my wife, in case I pass before she does) know what's going on. Now that I think of it, I probably should have a "refresher" meeting with them soon, wouldn't hurt.

 

[PlumberED]

My wife and I have two adult daughters, one who's married. We have comprehensive estate planning documents, including a trust, POA stuff, medical directives, etc. A couple of years ago I created a document (about 4 pages long) identifying and addressing every aspect of our financial lives that I could think of, even including describing options for what they could do with our residence and rural real estate properties. We then had a "financial summit" meeting during which I went over every bit of it, so my kids (and my wife, in case I pass before she does) know what's going on. Now that I think of it, I probably should have a "refresher" meeting with them soon, wouldn't hurt.

That is really a good idea. I will have to get working on my estate planning. I thought I had everything in order but you brought up some interesting points.