Life has become too unpredictable in this world after the pandemic that has hit us. If anything unfortunate happens to your life, your inheritors may have to face many issues without an efficient estate plan. Therefore, it is essential to have appropriate estate planning for the distribution of your assets. It can save a lot of time and money for your family members after your demise. A probate attorney near me 11575 can help you make the right estate planning in a short period. However, you must know that all assets don’t fall under the category of probate assets. To know more, read this article until the last.
Does Probate Include All Your Assets?
Before answering the above question, you must know what probate is. It is a legal process managed by the court by which your beneficiaries inherit your assets after your demise. Some assets, like a bank account with payable-on-death designations, life insurance, and retirement accounts, transfer directly to the deceased person’s beneficiaries. In such things, there is no need for the probate process.
A probate process takes place, whether a deceased person left with a Will or not. Property held jointly also falls under the category of non-probate assets. If one owner dies, the asset directly passes to the other owner due to the right of survivorship. The below assets are the ones that have to go through the probate process.
Handle Assets Left Out Of A Trust With Probate Attorney Near Me 11575
Making a living trust is one of the best ways to avoid the probate process. However, the properties you forget to include in the trust still need to go through the probate process after your death. Many people neglect to transfer the newly owned assets into the trust. These additional assets will transfer to your beneficiaries after your death through probate. Therefore, it is essential that you must update your trust immediately after owning any new property.
The property can contain the share of more than one individual is known as tenants-in-common property. Each owner has a percentage share in the property, which can be anything from 0.1 percent to 99.9 percent. The most common assets included in this type of property are real estate. However, one can also use it for other types of assets, including bank accounts, stocks, investment accounts, and bonds.
The property having tenants-in-common designation doesn’t pass to other owners through the right of survivorship. It has to go through the probate process after the death of the owner. However, you can also include your tenants-in-common share in the trust to avoid the probate. This way, your share in the property will directly pass to your heirs after your demise without court hearings.
Probate Attorney Near Me 11575 Helps To You To Manage The Individual Assets
The assets registered under the name of the single person are known as individual assets. These types of assets are without any payable-on-death designations and don’t contain the name of any beneficiary. The most frequent individual assets are stocks, vehicles, bank accounts, bonds, and real estate. Personal properties, like artwork and electronics, also fall under this category. After the owner’s death, the court decides who will inherit these assets by the probate process.
A Probate Attorney Near Me 11575 can help you to manage the individual assets. If you want to avoid probate in these assets, then you can transfer them into a trust. The other thing you can do to avoid probate in individual assets is to register them with transfer-on-death.
Beneficiaries Assets With Predeceased Beneficiaries
Sometimes it happens that the beneficiary passes away before the owner dies. In such a case, if the owner doesn’t change the heir before his/her death, the transfer of assets takes place through probate. A similar process happens when the owner doesn’t name any beneficiaries before his/her demise. Some of the common examples of these assets are life estates in property, health savings accounts, and retirement accounts.
Things That You Can Do To Avoid Probate
Probate is a multi-step process that can be really expensive if you live in a state where probate-friendly laws don’t exist. However, there are various ways by which you can avoid probate. One of the excellent ways to avoid probate is building a living trust. The assets included in the trust don’t need to undergo probate to transfer to your heirs. A Probate Attorney Near Me 11575 can help you in the process. He can also tell your other ways to minimize probate costs and hassle.