Tag Archives: trust

An important holiday gift

As we approach the end of another year, it’s a good time to have an important discussion with your family and other loved ones about what will happen when you die. It may be uncomfortable but it’s a gift you should give them before any more time passes.

You should tell them about your estate plan – not necessarily all of the details but where it can be found, that it is up to date and who you have named as your executor. The estate plan should, at a minimum, include your will and your advanced directive; it might also include a trust, a healthcare proxy and a durable power of attorney. You should reassure them that the plan is current and reflects your wishes at the present time. (If it doesn’t, you should get it updated immediately.)

Another critical thing you should discuss is your digital assets. If you pay your bills and conduct other financial transactions online, your executor should be able to access your accounts. The only way to ensure that this is possible is if you leave a list of your passwords for all of them.

You should make sure they know about any accounts that have beneficiary designations and that those designations are up to date. Otherwise, someone who is no longer in your life may inherit from those accounts rather than the person you really want the funds to go to.

Finally, you should discuss with your family and other loved ones your end of life care wishes. It’s not a pleasant topic but you should not burden them with having to make decisions which may not agree with what you would have wanted.

This is an important holiday gift that you should give to your loved ones this year.

For more information about making a digital asset inventory and other end of life decisions, go to www.diesmart.com.

5 ideas to consider when doing estate planning

If you have a spouse and family, you’ll probably leave everything to them. However, if you don’t have a spouse or kids and you’ve been procrastinating doing your estate planning because you’re not sure what to do about all of your stuff, here are 5 ideas you should think about consider. We found them in the Rapid City Journal.

Consider leaving something to close friends, caregivers or anyone else who you are close to.
Think about charities that are meaningful to you. What organizations have goals that match your own?
Think about where a donation could benefit your community. There are places like libraries, volunteer fire departments, arts organizations that would welcome some extra funds. What about giving a piece of art to a hospital or buying a park bench?
Build relationships with people who share your interest in collections of antique, tools or other items. Then you can pass along your collections to people who will appreciate them and remember you.
Don’t wait until you’re gone. Consider donating collections to museums or giving personal possessions that you value but don’t necessarily use to someone who would appreciate them.

For more information about estate planning, go to www.diesmart.com.

Common mistakes when writing a will

Everyone is going to die; that’s a fact. And everyone should have a will. That’s another fact. If you die without a will, the probate court will decide what happens to your assets; you won’t.

My father died about 15 years ago. He left a will he had prepared himself, typed on his old electric typewriter and had a few friends sign as witnesses. I don’t know how he decided what to put in the will and the wording to use. All I know is that after he died, when I tried to probate the will, there were some problems with it and it took a while to get them resolved.

If you don’t want to go to an attorney to have a will prepared that you know will be written properly, you should at least be aware of some common mistakes that you should avoid.

I recently came across a blog on findlaw.com that clearly describes 10 of the most common mistakes. You should definitely read it so you don’t make the same mistakes my dad did.

For further information about wills, trusts, probate and end of life planning go to www.diesmart.com.

Can Lucky inherit $100 million?

Lucky is a Siamese cat and, yes, the cat can inherit!

Lucille Benton, 70, has decided that she will leave her children their family heirloom and photographs but Lucky will get all of her money. Lucille says that her kids “never visit and rarely call. They have good paying jobs. They can take care of themselves. There is nobody to care for my Lucky.”

Her kids have tried to have her declared insane and committed to an institution; however, she’s had three independent psychiatric evaluations which have concluded that she is sane. She says her attorneys have assured her that her Will will hold up in probate court if her kids try to challenge it once she’s gone.

Meanwhile, Lucky will continue to live in Lucille’s home with a staff of 40, a limo and chauffeur and a private aviary so Lucky can have fun catching and eating birds!

This may sound ridiculous but it does point out the importance of figuring out what you want to have happen to your assets when you’re gone, and documenting those wishes so that they will be carried out…even if they are unusual.

To find out more about wills and planning for the end of your life, go to www.diesmart.com.

Are your loved ones protected when you die?

Larry and Susan had been living together for more than 20 years. They never legally married; they said once had been enough. A piece of paper wouldn’t change how they felt about each other. Larry had been married before and had two sons. Susan had also been married previously and she had a daughter.

When Larry’s father became incapacitated, they moved into his house to take care of him. His father, to thank them for all they’d done, left the house to Larry in his will and named Larry beneficiary of his life insurance policy. When his father died, Larry inherited the house and Susan and Larry continued to live in the house. Larry promised to deposit the check from the insurance company into their joint bank account as soon as it arrived.

As Larry was crossing the street on his way home from work one day, he was struck by a car driven by a drunk driver and he died almost instantly.

Larry didn’t have a will and had not left any legal document naming Susan as his heir. They lived in a state that did not recognize common law marriage so, when he died, his sons inherited everything. They forced Susan to move out of the house and refused to give her any of the proceeds from the life insurance policy. In essence, Susan was left with almost nothing!

Families today are very complex. Some are the traditional married mother and father in their first marriage. Many more are couples who were previously married to other spouses or who are legally married gay couples. However, many people live together without benefit of a legal ceremony. This mixture of circumstances makes inheritance much more difficult and complex.

The only way to be sure your loved ones are protected is to prepare a will or a trust naming the person(s) you want to inherit your assets when you die. Otherwise, state law will dictate who receives what. Not you. It’s frightening that more than half of the people living in the United States today do not have a will and have not protected their loved ones. You can find a simple will form on the internet or can meet with an estate planning attorney to discuss the options that are best for you.

Don’t be like Larry. Act now so those you love will be protected when you’re gone. For more information about wills and estate planning, go to www.diesmart.com.