What happens if you die without a will?
If you die without a will, it is said that you died interstate. This means that the state will supervise the dispensation of your assets, which it will distribute based on the intestate law of the state.
Due to the elective-share and community property provision stated above, the state will share your estate in a way that half goes to your spouse and the remaining goes to your children. Such situation sometimes leads to the sale of the family home or other properties, which can badly affect a surviving spouse who may have decided to rely on a huge chunk of your assets to maintain their standard of living.
Additional complications may arise if your children are minors, as the court will have to step in and designate a guardian to cater to them and look after their interests.
Dying without creating a will may have serious consequences on your family and loved ones. One of these consequences is tax. Since a well prepared will can lessen the estate tax liability, failure to create a will can do the opposite. As of 2021, a U.S. estate tax return must be filed on individual estate valued at $11,700,000 or more. No federal estate tax is due if the estate is not worth that amount.
What happens if you die without a will and you are single?
If you aren’t married or childless, your parents will get your entire estate if they are both alive. Otherwise, it will be shared among your siblings (half-siblings included) and your surviving parent, if one parent isn’t alive. If you have no surviving parents at the time of your demise, then the whole of your estate will be shared among siblings, in the same proportion. If there are no surviving parents, siblings, or descendants of siblings ( nieces and nephews), then the relatives on your mother’s side would inherit one-half of the estate, with the other one-half going to the relatives on your father’s side.
In the event that you are single and have children, then the whole of your estate generally will be transferred to your children, in equal proportions. If any child has died before you, and that child has any children, then that child’s portion will be transferred to your grandchildren
Who needs a trust?
As a general rule, parents with minors who have assets including life insurance amounting to over $300,000 should consider hiring a trust attorney, New York, and setting up a trust. In addition, if you really want to make the process of transferring your assets to your beneficiaries much easier, it’s best you consider setting up a trust. By setting up a trust, you are directly trying to save your family and loved ones the stress of the complicated probate process.
Misconceptions about Trusts
While a lot of people harbor the notion that trusts are only for super wealthy families, trusts are widely used by middle and upper-middle class families also. Another major misconception about this legal document is that there are ongoing fees throughout the whole time you have a trust. Aside from those large trust, most trusts don’t attract any large ongoing fees.
Who is a Trust Attorney?
A trust lawyer is a lawyer who helps individuals set up trusts for their estate. This professional also provide advice and recommendations to individuals who wish to set up trusts. A trust lawyer can help you set up a trust that aligns with your wishes.
Who is a Will Attorney?
A will attorney is a lawyer that specializes in the creating of wills for individuals. These professionals have the experience, knowledge and resources needed to help you create a will that mirrors your wishes and adheres to the guidelines of the state government.
Always have it in mind that a judge can deem your will invalid if it believes that it wasn’t created using the laid down principles. If this happens, it means it would be assumed that you died intestate (without a will). So, to avoid this, ensure you hire a competent will attorney, New York.