TRANSFERRING PROPERTY AT DEATH

 

 

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PLANNING FOR TRANSFER OF PROPERTY AT DEATH

 

bulletQUESTIONS:
bulletWho will take my property at my death?

bulletHow much death taxes will my family have to pay?

 

bulletEveryone needs a will.

bulletIf you die without a valid will, state law will dictate who takes your property and who will administer your estate.

 

bulletYour property will pass to your intestate heirs in pre-determined shares.

 

bulletDeath taxes and expenses cannot be minimized.

 

bulletAdvantages to Having a Will

 

bulletYou can control who will handle your affairs after your death.

 

bulletYou can make gifts of specific assets to individuals.

 

bulletYou can make charitable bequests.

 

bullet But only having a Will may not be enough!

 
bulletUnderstand which of your assets will pass under your Will, and which will pass outside it.

 

bullet Good planning includes COORDINATING how your property will pass at death, so that there will be a consistent result.

 

bullet Property will pass in accordance with the nature of the asset:
bulletJointly owned property with right of survivorship
bullet Includes husband and wife property
bullet Beneficiary-designation property

 

bullet Contractual property

 

bullet Solely owned property
bullet May be all that will pass under your Will

 

bullet It is important to choose the right executors, guardians, and trustees.
 

As with trustees, they should have both the TIME AND TALENT to do a good job.

 

bullet Special planning needs for a disabled or elderly beneficiary.
 

You can establish trusts for beneficiaries such as minor children or grandchildren, elderly parents, or others who may be unable to manage the bequest.

 

Special planning is required for intended beneficiaries who are concerned with present or future MEDICAID ELIGIBILITY.

 

See Article on Planning for Families with Disabled Children on this web site.

 

 

MAKING LIFETIME AND DEATH-TIME PLANNING WORK TOGETHER

 
bullet Unique Advantages of Revocable Lifetime Trust
 

The Revocable Lifetime Trust can provide that at your death any assets will pass directly to your designated beneficiaries.

The Trust will avoid probate.

 
bullet The Revocable Lifetime Trust and Durable Power of Attorney may authorize lifetime gifts of your property to designated family members. 
 
bullet A Will is still needed, even if you have a Revocable Lifetime Trust.

The Will can distribute any assets that are not held in the Trust at your death.

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DISCLAIMER

Martin J. Hagan is licensed to practice law in the Commonwealth of Pennsylvania. This website is intended solely for informational use and is not intended to solicit clients. Likewise, any information contained in or obtained from this web site is for informational purposes only and is not intended to be used as legal advice.

IRS CIRCULAR 230 DISCLAIMER:   Pursuant to Treasury guidelines, any tax advice contained in this website (or any link from it) does not constitute a formal opinion. Accordingly, any tax advice contained in this website (or any link from it) is not intended or written to be used, and cannot be used by any taxpayer, for the purpose of avoiding penalties that may be asserted by the Internal Revenue Service. You should seek advice based on your particular circumstances from an independent tax advisor.

Send mail to mhagan@haganlaw.net  with questions or comments about this web site.
Copyright © 2008 Martin J. Hagan, One Gateway Center - 8 South; Pittsburgh, PA 15222-1435
Last Updated: 05/28/08