Wills

[Conservative]

We just came back from having our wills updated.

Why.

Family dynamics have changed.

We had no Granddaughters 25 years ago, when we did our first will.

My daughter is now recently divorced and her ex figured prominently in the old will...no longer. He isn't a bad guy, just mentally unstable...

Without going into a lot more personal detail, let me advise: Don't postpone having a will if you have something to leave your loved ones. There are more reasons than just that, but you'll find out when it's will time...

Dying intestate (No will) is in my non-humble opinion means: You're lazy or can't face the fact one day you'll be dead or perhaps you think the cost to have a will made out is too costly. It isn't.

We paid $600.00 (the cost of a decent pistol) and it covers not just who and what we leave and to who and how much, but things like power of attorney for health care, and plain old power of attorney if this or that happens.

Without a will the state gets to decide who if any gets what or even how your corpse is disposed of and on and on.

Get off your lazy butts and get one if you haven't already....

 

[AJGUNNER]

Thanks for the reminder----pretty sure lots of us have been putting this off for waaaaaay to long.

 

[Jeepnik]

Funny you bring this up. My wife and I are getting darned close to retiring. So, we spent last weekend going over all of the financial and legal type stuff. We decided we need to update our wills, as well.

We also found a glaring problem with the title on one of out properties. It won't be difficult to straighten out now, but had one of both of us died it would be a great big pain in the butt.

Regardless of how young or old you are, if you haven't gone over all of your financial stuff in a while it would probably be a good idea.

 

[slowhand]

Wife and I are going Friday afternoon.We have been putting it off for too long.The wife has some very serious health issues and now we will get it done.

 

[gramps]

Good advice Ty. I keep mine upgraded by reviewing every two years, then making necessary changes. As mentioned, family dynamics change.
gramps

 

[redhawker]

A good addition to your will would be a family trust. I have one naming my son as successor trustee. The trust "owns" everything. The house, bank accounts, cars etc are all titled "Redhawker family trust - Joe and Daisy Redhawker trustees". (fake names, of course, for the internet) My dad had a trust also with me as a co-trustee. When he passed a couple years ago I was able to pretty much assume the trust and distribute it as he wished in his will. No probate, no nothing. I was done, house sold and everything, in about 2 months total with very little hassle. It cost a couple grand to set up with a lawyer but well worth it when the time comes.

Also, almost forgot. Set up and prepay for your funeral. No one has to guess about "what he would have wanted" and no arguments about who pays for what or how much is being put out on the funeral. My dad did that for us also. I considered it a great gift.

 

[phonejack]

Having a Trust is excellent advice. Be sure to include a Power of Atttorney.

 

[mhblaw]

As I tell clients, making a will is the easiest thing in the world to put off, because there is no penalty until it's too late...

 

[Ray Newman]

Agree on the family trust. When my mother-in-law passed, the entire trust was distributed to her three children within three days of her death/burial. No lawyer or court action/fees involved.

The only delay was preparing the house for sale and its sale.

 

[Pierow]

We just came back from having our wills updated.

Why.

Family dynamics have changed.

We had no Granddaughters 25 years ago, when we did our first will.

My daughter is now recently divorced and her ex figured prominently in the old will...no longer. He isn't a bad guy, just mentally unstable...

Without going into a lot more personal detail, let me advise: Don't postpone having a will if you have something to leave your loved ones. There are more reasons than just that, but you'll find out when it's will time...

Dying intestate (No will) is in my non-humble opinion means: You're lazy or can't face the fact one day you'll be dead or perhaps you think the cost to have a will made out is too costly. It isn't.

We paid $600.00 (the cost of a decent pistol) and it covers not just who and what we leave and to who and how much, but things like power of attorney for health care, and plain old power of attorney if this or that happens.

Without a will the state gets to decide who if any gets what or even how your corpse is disposed of and on and on.

Get off your lazy butts and get one if you haven't already....

Conservative, I'm curious to know. Did you walk out of the attorney's office with a copy of your new will or the original? My office reviews wills and trusts and the majority of the wills we review are copies.

Here is a simple explanation as to the difference between passing with a will and passing with a trust. With a will it's like throwing a penny into a wishing well. You "wish" that your daughter gets this, son gets that and so on. With a trust, all your directives become irrevocable at your death. Nothing can be contested. Just because you no longer name your daughter's ex in the new will doesn't mean he can't get to your money after you leave this world. If Mickey Mouse wants to contest your will he can. No will is valid until you die. It is left to the probate judge to validate your will after you pass hence nothing is certain.

Here in Illinois probate lasts a minimum of 6 months, not sure what it is in your state but that's about average. During that time your executor or executrix is required by law to announce your death and to invite any claims or challenges to your will hence your mentally unstable daughter's ex can have his day in court. This happens all the time.

Probate is a scam folks. It was created by the king of England 1,200 years ago. He invalidated all wills and created a special court called probate. He told his subjects to come to his court to settle or "to prove" the wills which gave him the opportunity to accuse the deceased of blasphemy against God, blasphemy against King and would then take their property. His empire increased, all was good until the peasants wised up and created a new will called a trust. Trusts are validated or proved the moment you sign them so no need for the king's court. All this sound familiar? Our country adopted English common law thus probate.

Conservative, I agree with your recommendation that folks get their affairs in order but wholly disagree with respect to your legal advice directing folks to do a will. I would recommend that folks learn the difference between having a will and a trust first before making the choice of one or the other. A will leaves the courts in control, a trust leaves your family in control.

Best, Pierow

 

[Conservative]

Pierow,

I guess I've something of a 'hybrid' will in that I put into trust once both my wife and I are gone that my two Granddaughters (with a trust) will get receive a certain monthly amount until they turn 30 and then they get a lump sum of what's left.

At the time of both my wife and I's death my daughter will receive a lump sum, no trust.

However, all the estate (assuming I die first, barring accident that's what I expect) will all be in my wife's control in (assuming I'm dead) in order to ensure that she's well taken care of. Let say eventually she has to live in an assisted living facility (which are quite costly if they're a high quality facility) which is what I want for her.

Could be upon her demise, and she has longevity in her family, (and I don't) the inheritance may possibly be all or mostly used up.

Oh well inheritors, there's little to nothing to inherit as my wife needed all the assets for her upkeep.

I don't know if I've addressed your perspective or not.

If not, please advise.

P.S. I'm not in the least offended by your mild critique. Actually, I fully appreciate your interest.

 

[Pierow]

Conservative,

What you have is a will, not a hybrid. I have seen many wills such as yours which direct inheritances be placed in trusts. A will which directs that trusts be created after death is like using a defibrillator on a corpse. The opportunity to save or protect has been lost.

If you have a properly drafted trust and you die first, you can leave a substantial portion of your wealth to your wife 100% protected from any creditor including Medicaid, the most powerful creditor in this country. This means your bride will not have to spend down assets in order to qualify for Medicaid assistance.

My advice to you or anyone else is to get educated. Find yourself a law firm who drafts their own trusts and get a free consultation. A good firm will draft their own trusts as well as guarantee they update your documents should the laws ever change. That is very important. Think Kennedy's here.

When Joe Kennedy drafted the Kennedy trust he made sure it would be able to be updated. It has and that is why all the Kennedy lawsuits are settled out of court. Go ahead and find them guilty, their inherited trusts state no one gets that money other than the Kennedy. You wife, after your death could tell Medicaid the same thing if you have a properly drafted trust which protects. The update deals with the rules against perpetuities and many estate planning attorneys refer to it as the "Kennedy Clause."

Pierow

 

[Rick Courtright]

Find yourself a law firm who drafts their own trusts and get a free consultation. A good firm will draft their own trusts as well as guarantee they update your documents should the laws ever change. That is very important.

Hi,

That's the best advice so far in this thread. Laws vary from State to State in respect to decedents, the paperwork they left behind, and what happens next. What works in one might get you in big trouble in another... and it's a fair bet your wife's hairdresser or that guy on the barstool down at the end everybody loves to rely on for their legal, tax and financial advice hasn't kept up on the differences! I'm not a fan of attorneys on the whole, but there's a time and place for them. "Bulletproof" estate planning--as much as there can be such a thing--is one of them.

Rick C

 

[Conservative]

Pierow,

I'm woefully ignorant, obviously of the fine points of wills and trusts.

That said, both my wife and I are on Medicare (Not medicaid, if that's in any way germane...?) with a Blue Cross Plan F supplement for each of us.

This supplement has more than paid for itself. A while back, I had to have a gall bladder removed. Cost....plus $13,000 of which given my plan F supplement, I paid not a single penny out of pocket.

As for what's left of our estate once I'm gone and then my wife, I hope our wishes are carried out, as our executor is highly trusted and qualified. He's a finance Sr. VP at a well recognized entity that I won't name (he's a family member with a Stanford Masters in finance ) with a specialty in all sorts of financial this and that... My wife could read you chapter and verse about this, but I'm just willfully ignorant. Why? Because, once I shuffle off this mortal coil, I don't really give a ....once I'm gone nothing's gonna matter to me. I did what I could and I'm not going to stress out about it if it could of been done better...Also, I've already lived far beyond my families usually end of life age. Most 'crap out' in there middle to late 60's and I'm well beyond that. I could quite easily die before I type the next letter. Not being mordant, but I did the best I could and if it ends up otherwise, oh well...being dead, it won't matter to me, ah, unless ghosts are real and I get to suffer ghostly anxiety....which I firmly doubt exists.

If are our estate wishes are not observed, se la vie....or perhaps se la morte...

In the longest of runs, to be a bit nihilistic, what matter much of anything once dead? Time goes inevitably on. Millions/billions of years of go by, mountains rise and fall, seas dry up or form. So our petty considerations are in the long run, just that.

 

[ronto]

Don't forget a "living will" for designating an individual to make medical decisions when you are unable to make them. Like being kept on life support when you are medically an unconscious vegetable with no hope of recovery and just running up the hospital bill.

 

[Ray Newman]

Colleagues: pay attention to what Pierow and Rick Courtright posted!

Before I retired, the spouse and I purchased several acres to build on. At that time, we opted for a trust because of changed financial and other circumstances. Previously, we each had wills and while the trust attorney said the old will offered “some protection” my ex (we divorced in 1977 and held a grudge that I was awarded 100% custody of our son) could contest my old will. He indicated that to probate my old will, it would take only about 6 months and only about 9-10% of the value of the estate to cover fees, court costs, etc. With the trust, my wife will have access to the trust contents immediately upon my death.

At that time we also considered some type of trust for my son so he would not have access to all our financial resources all at once. The attorney said to look into this very careful and make sure the fees for maintenance of such a financial trust are well spelled out and understood.

When creating a will, be sure to ask the approximate timeframe to complete probate and the approximate cost for any and all fees. You will be surprised. Does your spouse have enough funds in her name to maintain her lifestyle for 4-6 months?....

If you are a veteran with war time service, your spouse might be eligible for VA pension. But—and there always is a “but” – among other criteria, pension is need based and you must have been married for a certain period of years.

As an aside, review your life insurance beneficiaries. Know an ex-spouse who received a US $50,000.00 death benefit from her ex’s life insurance policy. His then-wife (he was married to her for 20+ years) received nothing as he never changed the policy beneficiary. Same with GI insurance. When I worked at the Veterans Administration, it was not unusual for a widow make a life insurance death benefit application, only to discover that “Sugar Smith, c/o the Ink Spot Tavern, San Diego” was the beneficiary. Same thing with IRA/401K accounts.

While Conservative posted that: “…what matter much of anything once dead?....So our petty considerations are in the long run, just that.” While there is some truth to that, why leave your spouse or heir(s) a legal and financial mess to sort out? And speaking from personal experience, it is a time consuming pain-in-the-arse!