Is Your Estate In Good Order? By Robert Cruces

Is Your Estate In Order ? By Robert Cruces

Ask yourself this question, ‘Is Your Estate In Order? You may then ask yourself what does this exactly mean? If that’s so you are not alone. What this is really asking is ‘Will my spouse know what to do when and if I’m gone?’ Will my children know what to do when both me and my spouse are gone? Will my assets get tied up in probate? Will my assets be sure to goto the people who are supposed to inherit them? Few of us want to spend time thinking about when we’re no longer here and able to spend time with our loved ones or share the things we love in life. Be sure to ensure your family is taken cared for you need a plan that requires that your Estate is in good order.

Most people have a will or a living trust both of which determines how your assets will be distributed upon your passing. Wills are easy to create but may cause problems down the road. A will must go through probate court before assets can be transferred and may be contested in the court, delaying the process. Moreover a will may pass funds on to an heir who is incapacitated or in the middle of a divorce jeopardizing the end placement of the funds received. On the other hand a living trust is more complex but bypasses probate and guarantees your assets will be exactly as you want. Living trusts are also non-contestable. That means that a child for example who is unhappy with the way you distributed the funds cannot goto the courts and protest the distribution as the living trust bypasses the courts altogether. 

Many people believe that once you set up a living trust that it cannot be changed. That is not the case. While you are alive you are the trustee of the trust and can change anything in the trust. Once you pass however the trust becomes an irrevocable trust and nothing can change. Now when you set up your trust you will determine who will become the trustee called the successor trustee when you pass. That person will have the powers you designate in the trust. That person may have the power to manage your property determine if a child is fit to receive the funds. When you set up your trust your attorney will review the many options you have. 

How do you know if you need a will or a living trust? Everyone’s story is unique and different. If you have any questions and are looking for some answers give me a call or visit me online at:

www.StandardCapitalFinancial.com and at (201) 425-8018