Will&Trust&Estate

A trust that allows couples to reduce or avoid estate taxes. Each spouse puts his or her property in an AB trust. When the first spouse dies, his or her half of the property goes to the beneficiaries named in the trust -- commonly, the grown children of the couple -- with the crucial condition that the surviving spouse has the right to use the property for life and is entitled to any income it generates. The surviving spouse may even be allowed to spend principal in certain circumstances. When the surviving spouse dies, the property passes to the trust beneficiaries. It is not considered part of the second spouse's estate for estate tax purposes. Using this kind of trust keeps the second spouse's taxable estate half the size it would be if the property were left directly to the spouse. This type of trust is also known as a bypass or credit shelter trust.

A way for two or more people to share ownership of real estate or other property. When two or more people own property as joint tenants and one owner dies, the other owners automatically own the deceased owner's share. For example, if a parent and child own a house as joint tenants and the parent dies, the child automatically becomes full owner. Because of this right of survivorship, no will is required to transfer the property; it goes directly to the surviving joint tenants without the delay and costs of probate.

The person named in a will to handle the property of someone who has died. The executor collects the property, pays debts and taxes, and then distributes what's left, as specified in the will. The executor also handles any probate court proceedings and notifies people and organizations of the death. Also called personal representatives.

A Will is a recorded document that provides for the division of property after death. The drafter of the Will establishes how their property and assets will be divided when they have passed away. Wills are not probated until after the death of the deceased.

Making a Will is the only way you can ensure your assets will be distributed according to your wishes when you die. Studies show that at least 40% of Australians do not have a valid Will. If you die without a Will your estate will be distributed according to a Government formula and, if you have no surviving relations closer than cousins, your estate will pass to the government.

Living Will is an important document to have at any stage in your life. It is a legal document that is drafted to express your wishes for end-of-life care when you are unable to make those decisions yourself. Without an Advance Directive in place, some of the hardest and most important decisions of your life can be left entirely in the hands of medical professionals and your family. Not only do you risk having a decision made that you might not support; family members may be forced to make up your mind for you, often leaving them feeling unsure that they’ve made the right choice.

A power of attorney is a document that evidences the creation of a relationship between two people who are designated as the "principal" and the "agent". The principal designates the agent in the document, and the agent is authorized to act on the principal's behalf--to stand in the shoes of the principal--for whatever business the power of attorney permits. A power of attorney can be general, so that the agent can conduct any sort of business on behalf of the principal, or it may be specific, limited to the transactions expressly provided for in the document. Third parties may treat the agent as if he or she is the principal in any transactions which the agent is authorized to conduct. Powers of attorney are commonly used in all sorts of business activities, and are very frequently executed on behalf of individuals.

When you give somebody Power of Attorney, you confer the authority to conduct legal and financial business on your behalf. However, an Attorney is not permitted to make any decisions on health care.

You therefore need to make a Living Will and appoint a 'Health Care Proxy' if you want to give somebody the power to make decisions on your future health care.

You should note that there are no laws in England and Wales about Living Wills, and whether such a Will will be considered enforceable depends on the way it is written and what it asks doctors to do.

A Living Will is only concerned with medical treatment when you are still alive. You cannot use it to communicate your wishes on any matters normally dealt with by an ordinary Will, or Last Will & Testament. In other words, you cannot use it to determine who will inherit your property when you die, who will be your executors, or who will be guardians to your children.

Virtually every adult should have a Will and review it at least every three to five years.

Of course, that's not always what happens. For most people, some event usually starts them thinking about planning for the future.

A change of marital status in your family, the birth or death of a family member, or a change in your financial situation or employment status are all good reasons to think about the importance of an up-to-date Will.

If you are not sure whether to proceed, just give us a call. We'll meet with you, review your situation, and make an appropriate recommendation. There's no obligation, and you'll have the information you need to make a wise decision.

Think of a trust as a place where you put your assets before they are released to the people or organizations that you designate to eventually receive them, it is a legal entity and so are you. Because you and the trust are separate legal entities, anything you transfer from you to the trust becomes property of the trust. Trust is a kind of document which you executes to transfer some or all of your property in to it.

An individual transfers title of his assets from himself as grantor, to himself as trustee of the trust, to administer for the benefit of himself.

Joint living trust is simply combining the assets of a husband and wife into a single trust, governed by a single trust document

A revocable trust is one where usually, grantor/trustee/beneficiary is the same person. It can be revoked or amended any time until the person's death. Upon death the trust property bypasses probate and assets are distributed to the heirs.