Beat the Probate System with a Living
Will
You’ve certainly heard the saying about the only
two certain things in life being death and taxes. When you think how horrible
taxes are, it’s almost easier to talk about that other somewhat nasty topic.
So, why would you want to
take a few minutes out of a perfectly lovely day to consider what’s going to
happen after you’re no longer here to enjoy the daily rising and setting of the
sun? Well, the very simple answer is simply to keep things as simple as
possible for your family members who will continue spinning on planet Earth
long after you’re gone. If you want to be really nice to them, here’s
one option that may help make the inheritance process as easy and painless as
possible. It’s called a “Living Trust” and providing it might just be one of
the nicest things you ever did for your loved ones.
Definitions Let’s clarify the
meanings of a few terms to make learning about this topic even more enjoyable:
ESTATE:
Did you know that your “estate” encompasses everything that you own? It’s
the real property you have, like your home. It’s your car, savings account,
checking account, stocks, bonds, IRAs, jewelry . . . all of the items you use
in everyday life. TRUST: A “trust” is a document that gives exact directions
regarding the future handling and disbursement of personal property and
possessions like your house, for example, your money, your stocks and even your
personally autographed “Willie Mays” baseball bat. LIVING TRUST: “Living”
means mainly that you are making these decisions about your future
while you are alive and well. It also means that the “living trust” document
can be changed, altered, revoked, and revised by you at any time for any
reason, thus putting you in total control of your “estate.”
The benefits to your loved ones after you've gone Many people
find that a “Living Trust” offers them more control of the process of
dispersing their “estate” quickly and at less cost that a traditional “will.”
As a result, their family members get inherited property in a very timely
fashion and without any further costs. The “Living Trust” avoids the
problems that can occur with a traditional“will.” A “will” can be easily
contested in court and take two years or more to settle. Your estate can also
land in “probate,” that process where attorneys share in the money intended for
your loved ones -- often 10% or more of your hard-earned dollars. One
final benefit is that a “living trust” includes a document known as a “living
will.” The “living will” allows you to spell out in advance how you wish to be
handled medically in the future. Do you wish to be kept alive or not using
medical technology to do so? You can stipulate your exact instructions in a
“living will.” There is no requirement regarding amount of income or
wealth you must have to make a “living trust” a valuable tool for you. In fact,
anyone who owns a home usually benefits from having a “living trust.” You don’t
need to have millions of dollars for your family to inherit to enjoy the
benefits of this simplified estate settlement process. Many people
actually use a “living trust” to help them clarify their own goals for the
future. The process of creating and then revising the document helps them to
see more clearly where they are at a particular point in their life and what
they want to accomplish in the future. Yes, the process of creating a
“living trust” can make the process of living become even more productive and
alive. Kyle Johnson of “We the People,” provided the information for this
article.“We the People” is an organization that offers it’s customers a wide
variety of legal assistance services often at rates well below that of a full
legal office. Reach Kyle in her Hayward office at 510-728-7600 or the Palo Alto
office at 650-324-3800. Website: www.wethepeoplepaloalto.com.
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