Figuring out which estate planning option is best for you
Many people don’t think they need a will or are afraid to approach the topic because it seems morbid or complicated. In reality, everyone over the age of 18 should have some kind of estate plan. Which estate planning option is best for you depends on a number of things like your age, marital status, and the total value of your estate. Regardless of your specific situation, however, it’s important to have a plan so that your estate is not subject to being overly taxed or tied up in probate.
One of the most common types of estate plans includes living trusts. In particular, a revocable living trust is a great tool because it allows you to pass your property on to your heirs without the hassle of probate court. And, you can alter it while you’re alive. If you want to add heirs or property to the trust, you’re free to do so.
The main factors to consider
Your relationship status is something to take into account when making a plan for your property. For example, if you live with a partner, but are not married, you may want to put any cars or homes in joint tenancy with the right of survivorship. This allows your partner to take ownership of the property in the event of your death.
Children will need to be considered as well. If they are young, you’ll need to designate a legal guardian. If they’re grown, you can begin to pass wealth to them through once-a-year tax free gifts of cash. Passing money to them during your lifetime will reduce the value of your estate and,therefore, reduce the estate taxes upon your death.
Getting legal help making your decision
If this all sounds a bit too complicated, make an appointment with a trusted legal advisor. Call the San Diego estate planning attorneys at California Living Trust. They can sit down and map out the best estate plan for you.Schedule your Consultation