You put in a lot of effort throughout your life to build assets. You likely do it to ensure security and financial security for your family members.
What happens to these assets upon your death? Have you thought about it?
This is where the best estate planning Waltham MA enters the picture.
Estate Planning is not just for the wealthy and the old. It’s not just an exercise that should be done following retirement.
Estate Planning is simply passing on your family’s assets from one generation to the next.
What exactly is Estate Planning?
In simple terms, estate planning is passing investments or assets from generation to generation. You decide what percentage of the estate you have – property(s), car(s), personal acclaims, and financial investments, for instance. You choose to leave to whom and how when you die.
It’s a continuous process that needs to be re-examined frequently to keep track of any possible changes in our lives or the laws of our country.
The importance of estate Planning
Intestate death (i.e., with no Will of the law in place) could cause various problems for your loved ones.
There may be severe disagreements between family members over your estate, which could destroy the peace and joy you’ve always longed for in your family.
In the brutal and materialistic environment they present, the people act as hounds and want to take a larger piece of the pie.
The tragic tales of families shattered by finances are extremely troubling …and it’s alarming that these stories are happening every day!
What is the best way to go about Estate Planning?
Generally, there are two possible ways to go – a Will and the Trust.
Let’s look at each one of them fully…
A Will is a legal declaration of intention made by the person who made it, namely the testator, concerning property that the testator wishes to carry into effect upon his death.
Who can make a Will, and when?
A will can be written by anyone at least 18 years old, is in good health, and is unaffected by fraudulent, coercive, or illegal influence.
We often hear, “I am too old to write an estate plan,” or “I do not need to make an estate plan.” In a world of worldly things, unintentional complications are common, and we’re sure you aren’t looking to leave your family with an accidental burden.
As you’ve probably guessed, the world is unpredictable and unpredictable. It is always advisable to create your Will and save it securely while you’re young and in good physical and financial health. There is no need to wait until you’ve got many assets to transfer or attain the age of 65 before making a Will.
It is possible to revise it to make it more of your assets. It is true that with aging comes various mental and physical ailments.
Many people are hindered or cease to think. A Will made at an age when someone may not be in her right mind may cause confusion, doubts, and disagreements within the family. Therefore, drafting the Will at a young age, when you’re healthy, is recommended to avoid disputes later.
There’s no set age at which you must write a Will as if you’re a senior (18 years old or over).
A trust is a contract between the settlor and the trustees for the transfer of the title of the property or assets to the trustee, with the condition that they will be kept to the benefit of beneficiaries as stipulated within the deed to trust.
A Trust includes four elements:
- The settlor of the Trust or Author. The settlor is the person who decides to settle the Trust or, more simply, is the person who wrote the Trust
- Trustee: A person, person, or entity that the Settlor chooses to oversee the Trust and take on the responsibility of acting as Trustee.
- Beneficiary: the person(s) who benefit from the Trust established is referred to as the Beneficiary.
- Trust-property, also known as Trust cash: It is the topic in the Trust and could be composed of both the immovable and the movable. Money, jewelry, land, investment instruments, etc.
Wills vs. Trusts
When implementing a Trust option, a person can avoid issues arising from the case of a Will, such as the authenticity of the Will and the mental health of the person making the Will and the alleged forgery, etc. The reasons a Will could be challenged are many.
The reasonable time for probating for a contestable Will could be a few years and expensive.
In contrast, the Trust deed is confidential and never revealed to anyone else. There is no requirement to apply for probate.
A Private Trust can solve many issues and is beneficial for the administration and distribution of funds.
The best way to leave the assets to beneficiaries is to create a Private Trust, but combining both Will and Trust is best. It all comes down to the individual, his investments, their assets, the goals, and the structure of the entire family.