Posts Tagged ‘Power of Attorney’
Most of us have taken the step of writing a will to alleviate some of the stress and confusion that will inevitably ensue after we pass. While this is an adequate precaution in the event of death, other important legal documents need to be drafted to ensure that your loved ones know how to take care of you in dire circumstances. The primary legal document of this nature is a personal directive.
A personal directive tells people what steps you would like to be taken in the event that you have lost the capacity to make decisions for yourself. This may be due to a illness, injury or any other cause. The directive lays out your wishes regarding living conditions, medical treatment and other variables that you may not have the ability to make decisions on.
A reader asks…….Who starts this process ?
A formal written petition to the court along with a filing fee must be submitted to the court to start the probate process.
One of the courts first jobs is to approve or appoint someone to handle the affairs of the estate. This person is called the executor, administor or personal representative depending upon the rules of the state/prov, and whether the decedent died with or without a Will.
We will call this agent of the estate a “personal representative”.
Generally, the first thing the personal representative does is hire an experienced probate attorney, although that may not always be a legal requirement.
In many cases, hiring an attorney may become a practical necessity because probate paperwork and filing procedures can be very comlex.
Another step to follow.
Remember March 23rd, Diabetes Risk Test Day.
Because a WILL insures that your estate will go through probate, upon your death it becomes a PUBLIC DOCUMENT. When it is filed with the probate court, it is AVAILABLE to anyone who wants to read it !
Once your WILL enters the probate process, your estate is no longer controlled by your family. It is in the hands of the court and probate attorneys.
Anyone can go down to the courthouse and read your Will as it has now become a PUBLIC DOCUMENT. Under the Freedom of Information Act it is available to anyone who seeks it out !
This may not sit well with your beliefs, so it IS vitally important that you fully understand your best options when talking with your legal professional about what it is that YOU WANT TO HAVE HAPPEN.
It is important for families to thoroughly investigate, and get a good understanding from legal professionals about Wills vs Trusts.
TRUSTS vs WILLS ?
There are many positive reasons to establish a Trust, but it should be recognized that because additional effort is required to set it up properly, it will be more expensive.
THE WILL is a written document, signed and witnessed, that indicates how your property will be disposed of at the time of your death. It is revocable and subject to amendent at any time by you during your lifetime.
A Will that contains a trust can also provide after-death property management and be used for estate planning. It does not provide the same pre-death management as a trust, but a general, durable power of attorney used in conjunction with the Will can provide similar functions according to our legal advisors.
Legal professionals say that the pre-and after-death management and tax savings between the two are marginal, and a Will can also provide the same estate tax savings as a living trut.
Having to pay attention to the many legal options available to families nowadays, one can easily see why the use of store bought forms should be avoided.
Spending time with a lawyer, notary, financial planner, or trust officer will be one of the greatest benefits for a couple as they proceed to plan their estate.
what happens if you plan with joint tenancy, a simple Will or a Living Trust ?
Legal opinions offer:
Joint tenancy ownership is where two or more people hold title to an asset together. But unlike other forms of joint ownership, upon the death of one of the owners the entire interest passes automatically to the surviving joint tennant(s). The full name for joint tenancy is Joint Tenancy With Right Of Survivorship. Right of survivorship means that whoever dies last owns the whole property.
Because a joint tenant’s interest passes to the surviving joint tennant(s) immediately at death, it’s not controlled by the owner’s Will. An example offered, Terry and Bruce both good friends owned a piece of property as joint tennants. Terry dies and his Will says that upon his death all of his estate should go to his wife Helen. The question then arises, what happens to his interest in that joint property he owned with Bruce ? Because the title passes automatically at death to the surviving joint tenant(s) Bruce will own the entire property and wife Helen will get nothing. This is only one of some of the unforeseen problems that some joint ownership can create.
Again, another reason to take the time to see a qualified legal counsel to be properly prepared as you start your Estate Planning.
with the effective planning of your estate?
* Living Probate: The costly court proceedings to manage your estate if you are disabled:
* Death Probate : The expensive court proceedings to manage and distribute your estate at death :
* Death Taxes : The taxes the government demands at your death. The USA federal gov’t tax is 45% of everything you own at death ! ! ! A very good exercise is to call up a legal professional in your Home area to determine what the death tax in your country.
It has been said that once individuals have determined the rate of the death tax in their home country, it has become a great motivator to get them to really consider the options they have available to them to minimize these and other taxes. These are evils to avoid when possible.
Offered for Solutions are four options ?
* Put all your assets in JOINT TENNANCY,
* Create a Living Will and a Family Will ,
* Don’t do anything ,
* Consider drafting a Living TRUST .
These decisions, can best be understood by the average individual in discussions with your preferred legal advisor.
A Living Trust has been determined to have many benefits over and above the general Family Will , so it is advised to take necessary precautions with a good legal advisor to thoroughly understand what an individuals best options are.
Last Will and Testament
It is that time of year when thoughts of gifts for family are swirling through everyone’s mind.
Shopping around for that special gift can sometimes be exasperating and tiring, and one forever wonders if it will be the proper gift ?
Here is a suggestion ?. For Mom, ( the one person in the family that would be missed the most if she were missing ? ) think about a most unique gift that will go on being appreciated for a long time. Arrange for a visit to a lawyer, notary or financial planner to help your Mom get a Living Will drafted ? This will be a valueable document for Mom to have in the event she becomes handicapped thru any kind of illness or accident that would prevent her from operating the family household as she always has.
For Dad, also arrange a time with a lawyer, notary or financial planner to finally get a Family Will completed. It will be this document that lays out exactly the wishes of both your parents for the protection and well-being of the family members and their futures.
No question, both of these gifts would be unique and forever lasting , and would probably be the topic of conversation around kitchen tables everywhere.
Are your parents special enough for you to consider trying a different type of Christmas gift ?
Family Wills
too often _ is “ Hell On Earth “ for the surviving spouse and family.
There probably is not a human being in the world that would want to deliberately leave confusion and a mess for the loving family to deal with.
Yet_ _ _ it is an amazing occurance that befalls too many families daily.
Too many mothers, wives and families grieve too often unnecessarily because there was no Family Will left !
Only one comment can be made here.
Take a good look in the mirror to see the individual (s ) who can change all that in a New York Minute.
It isn’t difficult to understand why many are reluctant to sit down to prepare information for the drafting of a Family Will. After all, nobody wants to think about mortality
Yet, mortality confronts us almost every day. When we get into and drive a car, bus, truck. And even at work. While in good health, we rarily think or worry about any consequences that might befall us, believing we are almost immortal.
The WISE ONES, however, know better, because they plan for the UNEXPECTED ! They live their lives as tho every day will be their last days on earth, and take the necessary time to continously plan for the unexpected.
A staff member was motivated to at last draft a Living Will and a Family Will after her friend insisted she get a Will drawn. This staff member all of a sudden realized that if she were to be struck down or incapacited before her pending divorce was final, everything would go to her soon-to-be-ex-husband unless her written Will specified otherwise. That in itself, should have been powerful motivation, but even then procrastination, crept in for some time before she took care of the details for her Will.
This , I will get-to-it-later-attitude, creates risks that are sometimes insurmountable before catastrophe strikes.
Everyone has the freedom to act any day of any week to make a family plan for the protection of their most precious assets. It is now gratifying that Mothers of the World are now stepping to the forefront to initaite Family Wills , because if they don’t do it, _ _ it might not get done.
One legacy you don’t want to leave behind is a Family fighting over your assets and possessions!
If there is likely to be some question in the family over who gets what, it is beneficial to specify how things should be distributed. You want to avoid turning these moments of grief into family battles. That is why it is important to plan for disability as well as death. A Living Will and a Family Will.
If you are doing good planning of your estate, your financial advisor is going to advise you that you must advise what happens during any disabality before death, and what to do with assets after your death.
Lessons have been learned over the years in many families, when a loss occurs, it sometimes brings back all the siblings rivalries and ” who did mom and dad love most .” And they are not there to say, “ We loved you all. So stop fighting “
Also to be decided is to get a financial power of attorney and a medical power of attorney.
When you are ready to take action on your future planning, do not be afraid to first contact a notary, financial planner or lawyer for the proper guidance. Most are always willing to offer sound advice.