Estate Planning Following A Loved One’s Death

Losing a loved one is one of the most heartbreaking experiences that a person can go through in life. Even as a person is grieving over their loss, however, he or she may still have to make sure that decedent's estate is settled. In a perfect world, the surviving loved one(s) tasked with settling an estate, or working with an executor to settle an estate, will be knowledge about a number of matters:

· Whether there is a will or a living trust
· The names (and account numbers) of the decedent’s banks and/or brokerage firms
· Whether the decedent had a safe deposit box
· Where the will and living trust documents are located

Here are some steps to take to help settle the estate after your loved one has died. If you are the executor, it will be your job to make sure that these matters are taken care of. Even if you are not the executor, you may want to take part in settling these affairs of estate:

· Locate and read the will.
· If you are not the executor of the estate, then contact the executor.
· Consider whether you need the help of an estate planning attorney to settle certain financial and personal affairs for your loved one.
· If there is a will, look into starting the probate process and make sure that the executor begins proceedings immediately.
· Account for your loved one’s assets—those that are listed in a will or trust and those that are not.
· Locate documents pertaining to your loved one’s assets, such as insurance policies, benefit information, retirement plans, etc.
· Notify the relevant government agencies, as well as banks, creditors, etc., of the death.
· File any life insurance claims.
· File the deceased’s last taxes.
· Open a checking account in the estate’s name.

An estate planning attorney can help you settle your loved one’s estate, including represent you in probate court, contest a will for you, or help you make sense of the different estate planning tools that your deceased loved one may have used.

Fidelity.com offers some basic information about wills, probate, and the size of an estate.

Wills

A will clarifies how and to whom the deceased's assets are to be distributed. A will can officially indicate:

• An executor (also known as the "personal representative") of the deceased's estate
• The estate's beneficiaries
• How and when the beneficiaries are to receive the estate assets
• Guardians for any minor children

There are, however, limitations in the property covered by a will. The will only designates the transfer of ownership for assets not distributed in any other way. Therefore, regardless of what is stated in a will, the following designations generally take precedence in determining to whom assets are transferred:

• Ownership registered as joint tenants with right of survivorship
• Ownership by a trust
• Investments registered as transfer on death (TOD) to a named beneficiary
• Named beneficiary of a retirement account
• Named beneficiary of an insurance policy

Assets covered by these designations are transferred, as appropriate, directly to the designated joint owners, transferees, or beneficiaries once paperwork is complete.

Probate

Probate is a legal process for settling an estate in accordance with the will of the deceased. Assets owned and registered in the individual name of the deceased that do not already have a beneficiary—including cash, investments, personal property, and real estate—make up what's called the "probate estate." These assets are controlled by the will and "pass through" the probate process in order for ownership to be transferred. All other assets "pass outside" the probate process.

Size of Estate

How estates are settled varies from state to state, but options also vary according to the estate's overall value. A large estate generally involves having the state's probate court validate the will or certify that the deceased died intestate (that is, without a will).

Settling a large estate also involves fulfilling other administrative matters, called "probating the estate." Smaller estates can sometimes be settled through more informal means of administration.

At Sagaria Law, P.C., our estate planning attorneys are committed to helping you get through the death of your loved one by helping you to settle your estate. We have successfully represented estate planning clients residing in Mountain View, Palo Alto, Union City, Hayward, Carmel, and Salinas, as well as other cities in Monterey County, Santa Clara County, and Alameda County. We can also help you set up your own living trusts, wills, testamentary trusts, and any other estate planning tools you might need. Your first consultation with us is free. Contact Sagaria Law, P.C. today.

Some Important Steps To Take When A Loved One Dies, Mid County Chronicle, March 7, 2007

Estate Planning Basics, Fidelity.com

Related Web Resource:

Settling The Estate, AFSP.org