Frequently Asked Questions

• Court-supervised administration of your estate upon your death
• Your estate qualifies for probate if you have assets in excess of $150,000
• Your estate may be distributed under the terms of the law instead of your own wishes
• CA law dictates who can handle your estate after death
• Often an extremely expensive and lengthy process
• One of the biggest reasons to have an estate plan it to AVOID probate

• The fees to probate an estate are set by law and are a percentage of the probate estate
• For example: a $900,000 estate will cost $21,000 in legal fees

• Whether large or small, everyone needs an estate plan. Things to consider when looking at your estate:
  
  • Who will manage your assets if you are unable to?
  • Who will get your assets upon death?
  • Who can make your health care decisions?
  • If you have minor children, who will care for them?
• Everyone has a unique situation and there may be multiple issues motivating one to do an estate plan. Do you have:
  
  • Property in excess of $150,000?
  • Own a house, regardless of mortgage balance?
  • Defer distribution for children?
  • You need an estate plan!

• Revocable Trust
• Pour-over Will
• For married couples, Community Property Agreement
• Power of Attorney for Property – while alive
• Advance Health Care Directive – while alive
• Trust-transfer Deed for Real Property
• Assignment of Business Interest and other property as applicable

• For Personal property distribution
• Pour-over to trust
• To assign guardianship for minor children
• Also, if you have an estate worth less than $150,000, a will is still necessary for distribution and appointing who handles your assets

A trustee is appointed by you to act according to the terms of the trust once you are unable to make decisions for yourself or upon death. They can handle:

• Distribution and wrap-up of the trust estate
  • Real Property
  • and Taxes
• Working with lawyer, accountant, and Vista to manage assets

It also often makes sense to appoint a professional to act as your trustee.

• He or she will go through the contents of your home
• Distribute your stuff to your family/friends
• Donate items to charity
• And if you don’t have a trust, wrap-up your estate

• He or she will be appointed by the Court to handle your estate
• This person has the same role as an Executor but this means there was no will prepared

• Under the Power of Attorney, your agent will be appointed to handle your finances for you while you are alive but are unable to handle them yourself
  • Pay bills
  • Pay mortgage
  • Manages assets as needed for your care

• While the exemption amount has regularly increased each year, with a dramatic increase these past several years, there is always talk of it being lowered
• The platform of today’s politics highlight the interest in this issue but the reality is that it won’t affect most clients
• If it is lowered, then it may significantly affect your existing estate plan
• If you have an older estate plan, you may have a trust that requires unnecessary tax returns due to a mandatory AB trust under old tax exemptions

Here’s why an estate planning attorney is worth the investment:

• An attorney creates a properly drafted estate plan, customized for you
• They help you with investing in your family’s future
• They ensuring your goals are actually addressed

An incomplete or improper plan will run the risk of:

• unnecessary attorneys fees
• unnecessary probate fees/costs
• higher taxes
• re-assessment of property
  will contests
• family disagreements and hurt feelings