Creating a will is certainly not anyone’s idea of fun. But like any task, preparation is the key and can make the process go much more smoothly and results in the best product. There are several steps you can take to make this process easier not only on you, but your loved ones. 1. Determine your net worth by making a list of your assets, which is anything you own that has value. Include your home, vehicles, jewelry and other personal property. List your liabilities – anything you owe. … [Read more...] about Creating a Will – Prepare to Prepare
Wills & Trusts
What is a Life Insurance Trust?
Proceeds from life insurance policies are distributed directly to the named beneficiaries upon your death. They are not governed by your Will and do not have to be probated before being distributed. But that doesn’t mean your heirs won’t pay tax on those proceeds. Quite the contrary, the value of the policies will be added into your estate specifically for estate tax purposes. Fortunately, there’s a way to avoid paying those extra taxes. An Irrevocable Life Insurance Trust can act as a … [Read more...] about What is a Life Insurance Trust?
How A Revocable Living Trust Works
If you have traveled in estate planning circles, the term Revocable Living Trust may be familiar to you. Revocable means that the Trust can be changed by you – the “trustor” – at any time. You can also cancel or revoke the Trust if you choose. This type of Trust is created while you’re alive and benefits both you and your heirs. There are three basic stages to a Revocable Living Trust: While you’re living and are of sound mind, you can continue to manage the assets within your trust. You’ll … [Read more...] about How A Revocable Living Trust Works
Disinheriting a Child
The choice to disinherit a child is never an easy one. Disinheriting or failing to provide for a child in your Will, sends a clear signal about your feelings towards that child. Perhaps they cannot hold a steady job, are addicted to drugs and alcohol or are prone to criminal acts or violence; perhaps they are of financial means great enough that they do not need an inheritance as much as your other children. Whatever the reason, you risk creating a strong rift in the family if all of your … [Read more...] about Disinheriting a Child
Joint Tenancy and Your Will
Many people don’t realize that their Wills can’t control what happens to some of their most important assets. Houses, retirement accounts, proceeds from life insurance policies, and brokerage and bank accounts can all pass to others, regardless of what your will might say. Your will also doesn’t affect certain property that you own with others. Some property for example, is titled so that the surviving owners automatically inherit the property when one owner dies. Known as “joint tenancy with … [Read more...] about Joint Tenancy and Your Will
What is an Incentive Trust?
An incentive trust is basically an irrevocable trust that provides a monetary incentive for an heir to behave according to standards set forth in the trust document. Typically, incentive trusts can be used for heirs that you wish to provide for, but who may be addicted to drugs or alcohol, display criminal behavior, have trouble holding a job, or engage in other undesirable behaviors. An incentive trust must state the behavior that must be adhered to before trust assets are dispersed. You may … [Read more...] about What is an Incentive Trust?
