Are trusts only appropriate for people with substantial wealth?
Absolutely not. Trusts are appropriate for people from all walks of life.
If I title my assets jointly with my spouse, will our estate be subject to probate?
YES. Probate will be required after the death of the surviving spouse if the surviving spouse does not make any changes after the first spouse’s death.
If I have a “pay on death” (POD) designation on my checking account to another individual, and this individual dies before me, will that deceased individual’s share pass to his or her children?
Not necessarily. Missouri Law states that if the beneficiary is a lineal descendant of the account owner, then the beneficiary’s children will receive the deceased beneficiary’s share equally. However, if the beneficiary is not a lineal descendant of the account owner, then the beneficiary’s children will not receive the deceased beneficiary’s share without language to the contrary. Consequently, providing for an individual through your trust allows you to provide for your desired beneficiaries without confusion, complexity, or ambiguity.
Is it enough for me to appoint a guardian in my will for those minor children who survive me?
No, even if you appoint a guardian for your minor children in your will, a court must still appoint the named person as guardian. However, in appointing this guardian, the court will typically respect your expressed wishes as set forth in your will. Moreover, it is also important to plan for the financial support of your children during their minority years.
If I die without a will, when do my children receive their inheritance?
At the age of eighteen (18), unless an asset was transferred pursuant to the Uniform Transfers to Minor Act (UTMA). If the asset was transferred utilizing the UTMA, then the asset will be distributed when the child reaches the age of twenty-one (21).
If I have a will, is my estate required to pass through probate?
YES. The court will distribute your assets according to the terms of your will as opposed to Missouri Law. A will alone does not avoid probate.
When is an estate subject to probate?
Your assets are subject to probate when they are solely titled in your name without a beneficiary designation. The best way to avoid probate is to have your assets titled in a trust.
How much does it cost to probate an estate?
On average, an estate will lose five (5) to ten (10) percent of its total value during the probate process as a result of court costs and attorney fees.
What is Probate?
Probate is a lengthy and costly legal process whereby a court oversees the transfer of your assets after your death.
Why should one plan his or her estate?
Some significant reasons to plan your estate are as follows: » To avoid probate,
» To ensure that your assets are passed to those you desire and not unintended beneficiaries,
» To protect minor children who may survive you at your death,
» To protect any inheritance you pass to your loved ones from creditors, and
» To avoid unnecessary taxes.
Have a question of your own?
