A will is a vital estate planning document and allows you to distribute your assets and property according to your wishes. At a minimum, everyone should have a will, even if you think you don’t have a lot of assets. It’s a common misconception that only wealthy people need estate plans. A will has a number of limitations that you may not be aware of. However, there are several items that should NOT be included in a will:
Property held in a living trust or joint tenancy: Property deeded to a living trust cannot be inherited to another person, and a will cannot change the right of survivorship in the joint tenancy, which passes to the co-owner by law. Don’t let the legal jargon scare you. Let an attorney help you make sure any property you leave behind is handled the way you want it to be.
Accounts with designated beneficiaries: Financial accounts and life insurance proceeds go to beneficiaries designated by you through a designated beneficiary form and cannot be given to another person through a will.
Contingency Gifts: Leaving assets that depend on the recipient performing a duty or act (such as getting married or attending college) isn’t always legal. Generally speaking, you can’t “drive from the grave” by making an inheritance contingent on someone getting married, changing religion, etc.
Provisions for people with special needs: This must be done through a special needs trust.
Pet Provisions – Pets do not have the legal capacity to own property, so consider setting up a pet trust to care for your pet(s). Did you know that you can leave money for your pet sitter and of course choose who or what organization you would like to take care of your pet?
Funeral Instructions – Since a will may not be read until after the funeral, leave instructions for your funeral arrangements in a letter of instructions or discuss your wishes with loved ones. It is also advisable to take out funeral insurance. Save your loved ones from the hassle of looking for money immediately after your death.
Many of the above items can be addressed in a trust designed by your attorney. It also shows that “wills in a box” software will often not guarantee that your wishes will be carried out. If you would like more information on setting up your personal estate plan, call an attorney today.
For your health, wealth and happiness,
Walter H Bentley III
http://www.wbentleylaw.com