When you enter into uncharted waters without a guide of any sort who has already navigated them you are certainly putting yourself in a risky situation. This is a good way to look at the process of estate planning.

Most people never explore the subject of estate planning in any detail, but the fact is that everyone passes away. Nobody will tell you that they are not concerned about the future of their loved ones, but a lot of these individuals are going through life without any type of estate plan in place. One of the reasons is because they have no idea where to begin, and this is where the assistance of an experienced Sarasota probate lawyer is so valuable.

If you utilize a last will to express your final wishes your estate is going to pass through probate. During this interim the personal representative will go about the tasks involved in administering the estate. However, this estate administration will be supervised by the probate court.

Therefore, when you are constructing a last will it should be done with the nuances of the Sarasota area probate courts in mind because everything will be done under the auspices of the court.

A good probate lawyer is invaluable to the process. If you are ready to put the procrastination behind you and start making preparations for the future the first step will be to make arrangements to speak with a Sarasota probate attorney who has a thorough understanding of how the local probate courts operate.

Co-Executor, PLLC is a member of the American Academy of Estate Planning Attorneys.

If you are like most people you want to facilitate a quick and hassle-free transfer of assets to your loved ones after you pass away. With this in mind you may want to think twice before utilizing a last will to elucidate your final wishes.

When you choose to use a last will to direct the distribution of your assets your estate must pass through the process of probate. This is a legal process that is supervised by the probate court in the jurisdiction that is local to you.

Probate is in place to allow for creditors, claimants, and anyone who may want to contest the will to have an opportunity to step forward and seek satisfaction. It also provides transparency as the personal representative is preparing the assets and eventually distributing them in accordance with the wishes of the deceased as stated in the will.

One of the difficulties that goes along with probate is the fact that your rightful heirs are not going to receive their inheritances until the estate has been probated and closed. Depending on the relative complexity of the case, the caseload of the court, and how well interested parties are getting along it can take anywhere from a few months to multiple years for the estate to be probated.

If you were to use an alternative such as a revocable living trust the transfer of assets will take place in a much more timely manner.

To explore probate avoidance strategies in detail, don’t hesitate to arrange for a consultation with a good Sarasota estate planning lawyer.

Co-Executor, PLLC is a member of the American Academy of Estate Planning Attorneys.

People who are engaged in the process of Estate Planning are going to have to decide upon a vehicle or vehicles of asset transfer. The first thing that probably comes to your mind when you think about this would be the execution of a last will. Many people do go this route, but it is useful to understand the fact that you have alternatives.

You may think that a last will is something that a family representative reads after your funeral and that it goes no further than that. In fact, your estate must pass through the legal process of probate if you utilize a last will to direct the transfer of your assets. Once probate starts, expenses start to pile up.

Right off the bat the probate court is going to charge a fee that will erode the value of your estate. You will need a personal representative to actually do the hands-on tasks involved in administering the estate, and this individual is entitled to remuneration for his or her time and expertise.

The personal representative is invariably going to have to bring in a Sarasota Probate lawyer, and final taxes must be paid so a tax accountant is often going to be necessary. Obviously these professionals must be paid for their services.

By the time it’s all said and done, probate expenses may consume anywhere from perhaps 5% to 10% of the overall value of your estate.

When you do the math, it is often more efficient to avoid Probate through the creation of a revocable living trust. If you’re interested in exploring this option, the wise course of action would be to discuss the matter with a good Sarasota Estate Planning lawyer.

Co-Executor, PLLC is a member of the American Academy of Estate Planning Attorneys.

Many people do not have a formal, legal Estate Plan or Living Trust in place when they pass away.  If they do not have such a plan – and even if they have a Will – their estate will go through the “Probate” process.

Probate is when the estate of a decedent goes before the courts so that the estate can be settled.  If the person who has passed away had a Will, an executor is assigned to oversee the Probate process within the legal framework of the Probate process.

The Probate process follows very specific one-by-one steps as defined by each state.

Since the Probate process is so defined, you may think that Probate is pretty much the same from one person’s estate to the next.  But this is by no means true.

Even with the very basics of the Probate process, cases can vary widely since Probate involves payment of various types of taxes, dealing with debts and creditors of the decedent, perhaps managing property that was owned by the decedent, and the sometimes-contentious matter of distributing the assets of the loved ones.

Then there are cases where the Probate process becomes even more complex:

• If there was no Will
• If there seemed to be a Will but it could not be found
• If a will is contested or likely to be contested
• If the loved one had several properties
• If the loved one had property outside of the state where the he or she resided
• If the deceased had a large estate
• If there are many heirs or those who feel they should have been named as heirs

Professional advice and assistance

Whether a case is simple or complex, an attorney who is trained in Probate can be a valuable asset, helping to make the Probate process go more smoothly and ensuring that all rules are followed carefully.  Probate can even be avoided.

Avoiding Probate, protecting assets and other planning steps

Another smart move for you, or on behalf of a relative or loved one, is to seek the advice of an attorney who is trained in Estate Planning.  A proper plan, which may involve a Living Trust or other Estate Planning tools, can actually help you avoid Probate altogether, while protecting assets, saving on taxes and enabling more of an estate to be passed onto heirs.

Our goal is to help you understand the Probate process, so please see more of our blog posts on this site dealing with Probate.

Co-Executor, PLLC is a member of the American Academy of Estate Planning Attorneys.

In part one we talked about how Living Probate can be a nightmare.  Living Probate occurs when you are incapacitated.  And today the likelihood of a serious illness or an accident is greater than that of death.

Those who want to avoid Living Probate often turn to a POA, or Power of Attorney:

• Health Care POA
• Durable POA
• Limited POA
• Property POA

Each of the above POAs has its own features and benefits.  The POA for Property is very broad, with wide-ranging powers for the Agent (the person appointed to act on behalf of the person who drafts the POA) – but those broad powers also make that POA less likely to be honored by certain parties.  The Limited POA assigns the Agent only certain tasks.  However, what many people don’t know is, these two POAs are usually null and void should a person become incapacitated.

The Durable POA does cover you if you are incapacitated but it has drawbacks including the fact that some financial institutions may not honor it.  If it’s an old or complicated document it may be difficult to enforce.

A Health Care POA will enforce your wishes for things such as life support intervention and long term care, but not for financial matters.

This brings us to the Revocable Living Trust, a legal tool that gives you control over virtually every aspect of your life.  In a nutshell, the Revocable Living Trust can:

• Help you avoid not only Living Probate but Death Probate.
• Allow you to appoint someone you trust as your Successor Trustee to carry out your wishes for all of the duties you assign, including financial matters.
• Be initiated quickly and privately; no court proceedings.
• Include a Health Care POA.
• Give your Trustee wide-ranging, well-accepted powers.
• Give you peace of mind.

Note that the Revocable Living Trust survives you.  It will continue to fulfill your wishes for your estate and does not die with you, as does a Will or a POA.

The Revocable Living Trust is a very flexible tool with many optional components to suit virtually any person or circumstance – but it should be created by an attorney who’s been trained in Estate Planning and Living Trusts.

Co-Executor, PLLC is a member of the American Academy of Estate Planning Attorneys.

Insurance companies will tell you that you’re less likely to die than to suffer a disability, a serious illness, or become incapacitated.  So what happens to the management of your affairs if you’re not capable of doing so?

If you don’t have a proper legal document in place such as Revocable Living Trust it’s likely that your affairs will be subject to Living Probate.  This means that a court proceeding takes place to determine if you are indeed incapable of making decisions.  The court then assigns someone to take over your affairs.

In the meantime it’s possible that even if you’re married, your spouse may not be able to make critical decisions on your behalf or assume control over assets that are jointly owned, until the court proceedings are final.

Typically, if a person who becomes incapacitated is married, the spouse is appointed the legal financial guardian or conservator.  However, this can be contested by other people such as a daughter from a previous marriage, a brother, a parent.

If the incapacitated person is not married, things can get a lot more complicated.  It may be that a loved one is appointed guardian while a bank may be appointed as the conservator.  As you can imagine, this can result in a lot of red tape for the guardian who simply wants to take care of the incapacitated person or dispose of assets to pay for medical care.

In the worst-case scenario, a court may appoint a total stranger as a guardian for an incapacitated individual.

So, what are your options?

Those who recognize that they’re more likely to become seriously ill than to die, can draft a Power of Attorney, or POA.  There are different types of POAs, including:

• A POA for Property
• A Limited POA
• A Durable POA
• A Health Care POA

Yet another option – a much better one to ensure that your affairs are handled properly – is a Revocable Living Trust.

If it seems that there are many choices to consider to cover an incapacitation, you’re right.  And no two situations are alike so it’s a good idea to confer with an Estate Planning attorney to check your options.

In part two we’ll talk more about your options and more about the Revocable Living Trust.

Co-Executor, PLLC is a member of the American Academy of Estate Planning Attorneys.

Many people have heard of “Probate” from friends, relative or loved ones.

Probate is the legal process where the courts – and an “personal representative” or “administrator” – are involved in the settlement of the affairs of a deceased person: the filing of mandatory forms; payment of taxes and debts; management of the deceased’s property during the Probate process; and finally, disbursement of the assets that are left over to the heirs.

Probate happens when a Will is in place, or when there is no Will.  It’s also triggered when there may be a will but it can’t be located.

While there are ways to avoid Probate such as establishing a Living Trust, many people find themselves thrust into the Probate process unexpectedly when a loved one passes away.  So it’s important to understand the basics of Probate.  This way, you can be more prepared should you become part of the Probate process.

Here are some things to be aware of:

When there is a Will: the Personal Representative

A person who is drafting his or her Will can designate his or her personal representative.  An personal representative is a person who handles the affairs of the deceased; basically, settling all of the necessary matters of Probate as defined by the state.

Typically this is a son, daughter, relative or close friend.  The personal representative should be someone who is organized and capable of tackling the Probate process, which can take some time.  If there is no personal representative designated in the Will, a relative or loved one may petition to be the personal representative.

When there is no Will: the Administrator

The court will assign an administrator if there is no Will left by the decedent.  A family member can typically be assigned this role, upon approval of the state.

The process of Probate

Probate involves several steps, all of which must be followed according to the laws of the state.  This can take time, so an personal representative or administrator must be organized, have the time to devote to Probate, and be ready to assume the role.

Professional assistance, especially before Probate, can be valuable

The basic overview above is just that – an overview only.  Probate is sometimes straightforward, but it can also be more complex, involving a lengthy and perhaps tangled web of steps, twists and turns.  There are also ways to avoid Probate if legal planning is done ahead of the passing of a loved one.  Whether you take steps before or after Probate kicks in, it can be very advantageous to seek the advice of an attorney specially trained in Probate.

Our blog contains other helpful posts on Probate where you can learn more about the process, as well as ways to avoid Probate.

Co-Executor, PLLC is a member of the American Academy of Estate Planning Attorneys.

Most Floridians want to avoid probate because it’s a pain.  Why is it a pain?  Well, probate is expensive, there are fees and costs; probate is public so anyone and everyone can see your financial business and know who got what; and probate is super lengthy, taking on average a year to settle an estate.  So, to help you avoid probate, here is a list of 8 ways to avoid probate with careful estate planning; though please note, we think that the best way to avoid probate for many people is with a revocable living trust.  We’ll start there.

• A fully funded revocable living trust avoids probate.  There are virtually no pitfalls to a trust, but make sure all of your assets that can be funded into the trust are indeed funded.  Any unfunded assets in your individual name guarantee probate.

• Jointly owned assets avoid probate on the first death; after that, they’re no longer jointly owned.  Be careful about probate when the survivor owns the asset in his or her individual name; when this happens, you’ll have to find another way to avoid probate.

• Pay on death (POD) accounts avoid probate.

• Transfer on death (TOD) accounts avoid probate.

• Asset held “in trust for” (ITF) a beneficiary avoid probate.

• Your car avoids probate.

• Assets you no longer own, but have given away, avoid probate.

• Contract assets such as retirement accounts, annuities, pensions, and life insurance policies all avoid probate as well.  The revocable living trust is a contract and, as you now know, the trust avoids probate.  These contracts all have named beneficiaries. (If for some reason, you’d name your estate as the beneficiary, then probate is guaranteed and that’s not careful estate planning.)

Co-Executor, PLLC is a member of the American Academy of Estate Planning Attorneys.

When creating your estate plan, you may want to use probate avoidance techniques so that you can avoid the probate process. Many people choose to work with an attorney to develop a special plan because they want to avoid some of the disadvantages associated with probate.  Take a look at some of the information below to better understand the reasons why you may want to avoid probate.  If you have any questions, or if you’d like to discuss probate avoidance techniques, meet with an estate planning attorney.

• Probate can be extremely costly.

With the probate process, there are not just court fees to worry about.  While the court fees can be extremely high in some states, there are also other costs to consider.  This includes the costs associated with paying an executor and hiring an attorney and other professional help that may be needed.  Many people choose to avoid probate in order to save money on the expenses associated with the probate process.

• Specific guidelines must be followed during the probate process.

Your executor will be forced to follow strict guidelines that are mandated by the court.  This can make it difficult for your executor to have any control over how estate affairs are handled.  With probate avoidance techniques, you can give your loved ones more control over your financial and private affairs.

You can avoid probate if your assets are owned properly.  Any assets in your individual name, will guarantee probate.  Before completing your estate planning, take the time to consider the use of probate avoidance techniques.  This can allow you to save time, money, keep your affairs private, and allow your loved ones to have more control over your estate planning affairs.  If you have any questions, or if you’d like to discuss probate avoidance techniques, consult with a qualified estate planning attorney.

Co-Executor, PLLC is a member of the American Academy of Estate Planning Attorneys.

Many people plan their estate with the use of probate avoidance techniques. This is because the process of probate can have many disadvantages. It can take extra planning to ensure that probate is avoided.   Take look at some of the information below to better understand the need for probate avoidance techniques.  If you have any questions, or if you’d like to discuss probate avoidance techniques and how they might fit in with your overall estate plan, contact an estate planning attorney.

• With probate, your loved ones may not have access to your assets for a long period of time.

During the probate process, it will take time (months or years) for your loved ones to get access to the assets that they need. This means that they will be forced to use their own money to pay for certain estate expenses while handing your estate affairs and funeral expenses.  With probate avoidance techniques, you can make sure that your loved ones have instant access to your assets. Avoiding probate can also allow you to make sure that your loved ones receive their inheritances in a timely manner.

• With probate, your affairs will be made public.

The process of probate is very public. All of the information included in your will and court filings are public property.  This means that anyone has access to this information and can request to view and copy the information.  With probate avoidance techniques, you can make sure that your affairs are kept private. This will allow you and your family to have privacy.

Take a look at our next blog post (part 2 of 2) for 2 more reasons why you may want to consider avoiding probate.  If you have any questions, or if you’d like to avoid probate, consult with a qualified estate planning attorney.

Co-Executor, PLLC is a member of the American Academy of Estate Planning Attorneys.