You have just found out that you have been named as a Trustee – what are your duties, and what do you do now? As trustee, you will have fiduciary duties to carry out the terms of the trust. A fiduciary is a person who is responsible for taking care of something that belongs to someone else. Under the law, fiduciaries owe certain duties to the people on whose behalf they handle property. In this case, you will owe duties to the beneficiaries of the trust. Your first duty is to read the trust … [Read more...] about Help! I have been named a Trustee – Now What?
Wills & Trusts
Do you Need a Will, a Living Trust, or Both?
Living trusts have become a popular estate planning tool, and are frequently touted as a way to avoid the New York probate court, called Surrogate’s court. Creating a will seemed, well, almost unfashionable for years. But do you need a will, a living trust, or both? Unlike a will, a living trust is not just a document, it is a legal entity, like a corporation or a partnership. After you create a trust, you can transfer your property, your home, financial instruments and/or other property, … [Read more...] about Do you Need a Will, a Living Trust, or Both?
Three Types of Estates a Living Trust may Benefit
There have been many advertisements touting the benefits of creating a living trust, many intimating that every estate needs one. Just to quickly review how a living trust works: A living trust is created by a Grantor, who names a Trustee to manage the trust's assets. In many cases, the Grantor can also be the Trustee, as well as the initial Beneficiary of the trust. On the receiving end, the Beneficiaries are the heirs that will benefit from the Trust once the Grantor has passed away. The … [Read more...] about Three Types of Estates a Living Trust may Benefit
Charitable Trusts – The Basics
A charitable trust can be a powerful estate planning tool in the right circumstances. Not only can it provide a benefit to a good cause, but it can help reduce the tax burden of an estate, as well as provide current income tax deductions to the creator of the trust. To understand exactly how a charitable trust works, let’s review how a trust functions. A trust is basically a collection of assets that is managed by someone, called the "trustee," for the benefit of a person or organization, … [Read more...] about Charitable Trusts – The Basics
Blended Families and the Advantages of a QTIP Trust
Did you know that in most states, stepchildren are not entitled to an estate under the state laws of intestacy, which determine who is entitled to receive property if you die without a will? If you have children from a previous marriage and are remarried and leave all your property to your current spouse, what happens when your spouse passes away? If your spouse has no will, your children can be overlooked completely, and unfortunately, in today’s society, that may be all too common, … [Read more...] about Blended Families and the Advantages of a QTIP Trust
Can you Hire a Trustee to Manage a Trust?
A Trust can be a powerful estate planning tool, and you need to make several decisions when creating a Trust, including choosing a Trustee to manage the assets of the Trust for the benefit of the named Beneficiaries. But a Trustee does not necessarily have to be a family member or a trusted friend. To review how a Trust works - A Trust is a legal mechanism used as an estate planning tool that allows property to avoid probate. When you create a Trust, you transfer assets such as a real estate, … [Read more...] about Can you Hire a Trustee to Manage a Trust?
What are Credit Shelter Trusts?
Credit shelter trusts are often used by married couples to maximize estate tax savings. By combining the unlimited marital deduction, in which a spouse can leave an unlimited amount of property tax free to the surviving spouse, with a trust containing the amount of property that can pass free of Federal estate taxes, a family can lighten the load of estate taxes. How does it work? A "credit shelter trust" of the amount of the Federal tax exemption, which is currently in a state of flux, in the … [Read more...] about What are Credit Shelter Trusts?
Five Items That do not Transfer by a Will
A will is a cornerstone of estate planning - it not only distributes your assets to named beneficiaries, but it also names an Executor to your estate and names a Guardian for minor children. But there are several items that do not transfer by will, and these include: 1. Joint Tenancy Property: Any property, such as real estate, that is co-owned in joint tenancy with rights of surviviorship is not transferred to a beneficiary within a will. Married couples often own their homes in joint … [Read more...] about Five Items That do not Transfer by a Will
What is a Self-Proving Will?
In order for a Will to be valid in New York, there are certain conditions that must be met. These conditions include the Will being signed by the testator, which is the person creating the Will, as well as the Will being witnessed and signed by two witnesses who confirm the testator’s signature. In Surrogate's Court, a Will is authenticated when a person dies, and the estate is then administered. A self-proving Will saves your witnesses time and inconvenience by not requiring a court … [Read more...] about What is a Self-Proving Will?
Keeping Your Last Will and Testament Safe
You’ve taken the first step in estate planning – creating a will, so now what do you do with it? First and foremost, make sure the will is properly signed, witnessed and executed. Working with an estate planning attorney ensures that this step occurs, but what do you do with the will once it’s executed? When someone dies, the original Will needs to be filed with the Probate Court, or in the case of New York residents, Surrogate’s Court, so it is important that the document be kept safe but … [Read more...] about Keeping Your Last Will and Testament Safe
