WILLS & TRUST - ESTATE PLANNING
The Estate Planning Process
The estate planning process is unique for every client and the design of the estate plan depends upon various factors and circumstances. There are often many issues to consider in creating and designing an estate plan.
Regardless of the complexity of the estate plan, all clients will need to consider the following questions:
- What are my assets and what is their approximate value? A schedule of assets will be produced during the estate planning process and used to design the estate plan.
- Whom do I want to receive those assets-and when? The answers to this question will determine the distribution provisions of the will and/or revocable living trust.
- Who should manage those assets if I cannot-either during my lifetime or after my death? The answer to this question will determine the executor of the will and/or the successor trustee(s) of the revocable living trust.
- Who should be responsible for taking care of my minor children if I become unable to care for them myself? This person or persons will determine who will be the guardians of your minor children.
- Who should make decisions on my behalf concerning my care and welfare if I become unable to care for myself? This person or persons will determine who will be your successor trustee(s) and health care agent under the Advanced Health Care Directive.
These and other questions will be asked by your lawyer during the initial complimentary consultation.
The Estate Planning Process
The estate planning process is unique for every client and the design of the estate plan depends upon various factors and circumstances. There are often many issues to consider in creating and designing an estate plan.
Regardless of the complexity of the estate plan, all clients will need to consider the following questions:
• What are my assets and what is their approximate value? A schedule of assets will be produced during the estate planning process and used to design the estate plan.
• Whom do I want to receive those assets-and when? The answers to this question will determine the distribution provisions of the will and/or revocable living trust.
• Who should manage those assets if I cannot-either during my lifetime or after my death? The answer to this question will determine the executor of the will and/or the successor trustee(s) of the revocable living trust.
• Who should be responsible for taking care of my minor children if I become unable to care for them myself? This person or persons will determine who will be the guardians of your minor children.
• Who should make decisions on my behalf concerning my care and welfare if I become unable to care for myself? This person or persons will determine who will be your successor trustee(s) and health care agent under the Advanced Health Care Directive.
These and other questions will be asked by your lawyer during the initial complimentary consultation.
Why use BALA for your Estate Planning needs?
BALA lawyers are affordable and approachable, and we will give you a very competitive quote at our complimentary initial consultation. Estate Planning is a delicate matter, and we can walk you through the process, ensuring that you are well-informed on the process and your options, and that you fully understand the documents we prepare for you. For a very reasonable fee, you will gain the peace of mind knowing that you have provided for your heirs in an up-to-date general estate plan. BALA also provides consultation on trust administration matters and has attorneys experienced in high wealth and special needs estate planning.
Basic Estate Planning Strategies
Depending on the complexity of your current family and financial situation, the basic estate plan will include the following essential legal estate planning documents:
• Will, or Pour-over Will if a Revocable Living Trust is used
• Revocable Living Trust (with Pour-over Will)
• Durable Power of Attorney for Asset Management
• Advanced Health Care Directive
BALA lawyers are affordable and approachable, and we will give you a very competitive quote at our complimentary initial consultation. Estate Planning is a delicate matter, and we can walk you through the process, ensuring that you are well-informed on the process and your options, and that you fully understand the documents we prepare for you. For a very reasonable fee, you will gain the peace of mind knowing that you have provided for your heirs in an up-to-date general estate plan. BALA also provides consultation on trust administration matters and has attorneys experienced in high wealth and special needs estate planning.
Basic Estate Planning Strategies
Depending on the complexity of your current family and financial situation, the basic estate plan will include the following essential legal estate planning documents:
- Will, or Pour-over Will if a Revocable Living Trust is used
- Revocable Living Trust (with Pour-over Will)
- Durable Power of Attorney for Asset Management
- Advanced Health Care Directive
Benefits of a Will
A will is a legal document which:
- Names individuals who will receive your assets after your death, either by outright gift or in a trust.
- Nominates an executor who will be appointed and supervised by the probate court to manage your estate; pay your debts, expenses and taxes; and distribute your estate according to the instructions in your will.
- Nominates guardians for your minor children.
Without a will, your estate assets will pass to your heirs by “intestate succession”. Intestate succession is a California Probate Code statute that designated various beneficiaries of your estate, which could be different than your intent.
A will is a legal document which:
- Names individuals who will receive your assets after your death, either by outright gift or in a trust.
- Nominates an executor who will be appointed and supervised by the probate court to manage your estate; pay your debts, expenses and taxes; and distribute your estate according to the instructions in your will.
- Nominates guardians for your minor children.
Without a will, your estate assets will pass to your heirs by “intestate succession”. Intestate succession is a California Probate Code statute that designated various beneficiaries of your estate, which could be different than your intent.
The Revocable Living Trust
A Revocable Living Trust is a legal document that usually substitutes for a will. Once the trust is executed by you, the trustor, your assets are then transferred into the trust and during your lifetime the assets are managed by you, the trustee.
In the case of a joint trust for a married couple, the “you” will generally be the two of you. Upon your deaths, a successor trustee will manage the assets and follow your instructions to distribute your assets to your heirs. Since the Revocable Living Trust is a private legal document, the distribution of assets upon your death by your successor trustee is done without the need for probate administration or court intervention.
During your lifetime, you remain in control of your assets in the trust because you (or yourselves) are trustee, and because the trust is revocable it can be amended by you for any reason.
With a revocable living trust, there is still a need for a will. This special type of will is called a pour-over will. This will covers any assets that had not been transferred to the trust by the time of your death. The beneficiary of the will is the trust, and upon your death, the will distributes according to the terms of the trust any assets not transferred into the trust during your lifetime.
Advanced Estate Planning Strategies
Once the Basic Estate Plan is properly completed, there may be additional strategies that can be considered in an estate, depending upon the value of the assets in the estate and your desires and intention.
For example, you may want to consider legal techniques to minimize the estate tax liability upon the transfer of your assets upon death. You also may want to consider a lifetime gift giving program to your children and other heirs, or perhaps you have charitable intent to benefit the charity of your choice.
There are a number of areas of advanced estate planning that can be considered:
- Estate tax planning
- Lifetime gift tax planning
- Business succession planning
- Planning for disabled beneficiaries
- Charitable planning
- Estate planning before, during and after marriage dissolution
- Asset protection planning
- Dynastic planning
- Insurance planning
BALA can help design an advanced or specialty estate plan to meet your needs and those of your heirs.
Once the Basic Estate Plan is properly completed, there may be additional strategies that can be considered in an estate, depending upon the value of the assets in the estate and your desires and intention.
For example, you may want to consider legal techniques to minimize the estate tax liability upon the transfer of your assets upon death. You also may want to consider a lifetime gift giving program to your children and other heirs, or perhaps you have charitable intent to benefit the charity of your choice.
There are a number of areas of advanced estate planning that can be considered:
- Estate tax planning
- Lifetime gift tax planning
- Business succession planning
- Planning for disabled beneficiaries
- Charitable planning
- Estate planning before, during and after marriage dissolution
- Asset protection planning
- Dynastic planning
- Insurance planning
BALA can help design an advanced or specialty estate plan to meet your needs and those of your heirs.
Advanced Estate Planning Techniques
There are a number of legal techniques used in advanced or special needs estate planning. They include:
- The A/B/C Trust
- QPRT (Qualified Personal Residence Trust)
- GRAT (Grantor Retained Annuity Trust)
- Charitable Remainder Trust
- Charitable Lead Trust
- Private Family Foundation
- FLP (Family Limited Partnership)
- ILIT (Irrevocable Life Insurance Trust)
- Generation-Skipping Trust
- Dynasty Trust
- Installment Sale to a Defective
- Grantor Trust (IDGT)
- SCIN (self-canceling installment note)
- Qualified Personal Residence Trust
- Special Needs Trust
- Spendthrift Trust
There are a number of legal techniques used in advanced or special needs estate planning. They include:
- The A/B/C Trust
- QPRT (Qualified Personal Residence Trust)
- GRAT (Grantor Retained Annuity Trust)
- Charitable Remainder Trust
- Charitable Lead Trust
- Private Family Foundation
- FLP (Family Limited Partnership)
- ILIT (Irrevocable Life Insurance Trust)
- Generation-Skipping Trust
- Dynasty Trust
- Installment Sale to a Defective
- Grantor Trust (IDGT)
- SCIN (self-canceling installment note)
- Qualified Personal Residence Trust
- Special Needs Trust
- Spendthrift Trust
