9 Life Changes That Require An Estate Plan Review

Posted by on Oct 3, 2015 in Estate Planning | 0 comments Updating your estate plan is probably something you don’t think about too often. It actually is probably the last thing you think about, but when it matters, it is the most important thing. As painful as it is to consider, estate plans are critical. If anything happens to you, it’s important to know your loved ones are taken care of and your wishes are honored. Throughout life, those last wishes change with the major events you go through. Here are nine of the biggest life changing events that signal when you need to update your estate plan. 1. Marriage Did you know your spouse may not be the sole beneficiary or heir of your estate? Depending on the state where you live at the time of your death, who is entitled to benefit from your estate after your death is up in the air without a solid estate plan. For example, stepchildren do not inherit from step parents by default — in most, states they have to be specifically named in an estate plan. To ensure your spouse, or anyone else gets particular belongings from your estate, you must outline it in your plan. Whenever you get married, take a look through the dispositive provisions of your estate plan and make any necessary adjustments. 2. Remarriage Generally, a marriage license does not mean your new spouse will receive your entire estate after your death. Instead, the laws of most states provide that your new spouse will share in your estate assets in conjunction with your children from a previous marriage unless you change this default through a will, living trust, or other estate planning vehicle. If you get remarried, it’s important that you update your estate plan to include your spouse and his or her stepchildren, if any. 3. Divorce Once a divorce decree has been entered by a court, the laws of many states automatically disinherit a former spouse. Still, if you included provisions in your estate plan that give specific property to your former spouse by name, you may need to change your plan in order to disinherit him or her going forward. 4. The Birth of a Child Congratulations! Your life has forever changed by welcoming a little bundle of joy into the world. This change is worthy of updating your estate plan to protect your child or children. Updating your estate plan after the birth...
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What is “Legal Decision Making” in Arizona?

Posted by on Sep 22, 2015 in Child Support Enforcement | 0 comments “Legal Decision Making” is now the legal term used in Arizona for Child Custody. When filing with the courts to determine custody, the Judge is more likely to award close to, or an even 50/50 split, unless the other parent is unfit. Oftentimes when parents file for legal decision making, there can be a lot of animosity between the parents. However, remember that asking for sole (only you) legal decision making without an excellent case to show the other parent is unfit, will only reflect poorly on you as a parent. The bottom line – The Family Court is a court of equity and is doing what is “fair.” That does not mean equal. The parent that is willing to foster a good relationship with the other parent is often times the more favorable in the eyes of the court. So, before filing an aggressive “sole legal decision making” petition, make sure the other parent really is unfit or this could backfire on you! To learn more about Legal Decision Making, please contact Westby Law at 602.686.6375 or email,...
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What Happens to Your Assets if You Don’t Leave a Will?

Posted by on Sep 3, 2015 in Estate Planning | 0 comments Talking about the inevitable is a difficult subject. Many times people just get too busy with life or avoid the subject all together. 70% of American adults do not have a will! If your estate is unprotected upon death, then the state in which you die determines how your estate is to be administered. It has to go somewhere right? The process is called “intestate succession.” And let me assure you, while the laws are written to protect, often times things happen under the state laws that we would never in a million years want to happen. For example, by drafting a will, you can disinherit that niece who stole from grandma and has destroyed your family’s reputation in Small Town, USA. Without a will, through intestate succession, that niece is still given a piece of the pie. Another example, you really have a close relationship with someone who is not a blood relative. Under a will, that person can be remembered by you. Without a will, that person is never even considered. It comes down to you deciding or the state deciding. To talk in depth about your estate plan, please contact Westby Law today at 602.686.6375 or email us at ewestby@westbylaw.com. Estate planning is not for the wealthy, it’s for the...
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How well do you trust your family?

Posted by on Aug 15, 2015 in Estate Planning | 0 comments Take the guess work out of that question by building an estate plan. When you have a trust in place, there are fiduciary duties that come along with the placement of that trust. This helps to ensure not only that your wishes are adhered to, but it has the ability to keep your assets private by avoiding probate. Probate is the legal process of administering the estate once a person has died. Because it is a legal judicial process, the records thereof are public. Family, friends or especially creditors deserve access to that information. The need to probate is determined by the type of property the deceased person had at the time of death and how that property was held, (e.g. what type of title is on the property). Before asking if you can avoid probate, first ask if you need probate. For example, if a property is held by “joint tenancy with right of survivorship” there is no need for probate because the property automatically transfers to the other joint tenant upon death. But the estate will need to be probated when the second joint tenant is deceased unless he or she sets up an estate plan or gets another joint tenant on the property. So even the survivorship title ends up being limiting without proper planning. An estate must be probated upon death if there is: Real property titled in the deceased person’s name with a value over $75,000, Personal property of the deceased valued over $50,000, or Unpaid wages of the deceased of at least $5,000 Having a will is not necessarily going to help you avoid probate. It certainly can but it depends on the individual circumstances and a few other moving parts. One of the most effective ways to avoid probate is byway of a revocable living trust. A trust has a longer life than a will, as a will “speaks upon death.” A trust is able to hold property much longer than a will and make distribution of assets clean, and certainly less costly. Proper estate planning saves time and money in the long run and it helps the family move forward upon the death of a loved one. I urge you to speak with an estate planning attorney about your individual plan and prepare things ahead of time. Remember estate planning is not for the wealthy, it is for every day people...
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Speaking From the Grave

Posted by on Jul 14, 2015 in Estate Planning | 0 comments It is a truth of life that we are all born, we live, then we die. It is the circle of life. But what if I told you that you could have a voice beyond your life span? You could help the people you love even after you die. You could, in a sense, live indefinitely. This is not science fiction, this is reality and easily done by using a revocable trust. Revocable living trusts function like wills, you use them to leave your property, and if you change your mind at any time while you’re alive, you can change the terms of the trust or revoke it altogether. The advantage comes at your death. Property in the trust is controlled by the person you named to take over as successor trustee, and that person has the power to distribute the property to inheritors without any probate court involvement. That saves everyone a lot of work and gets property to the people you chose to inherit it much more quickly. The revocable trust is only amendable (you can change it) during your lifetime and by you. Once you pass away, your wishes are to be carried out strictly by the successor trustee. Lets say, for example, that you wanted to provide education funds for all of your grandchildren, but at the time of your death the last three grandchildren still have not been born. Not a problem. The trust will direct that a portion of your estate will be used for this very reason. So even though perhaps your grandchildren will not be going to college until nearly 20 years past your death, you still have the security of knowing you will enable them to be educated through your trust. Revocable Living Trusts v. Wills With both wills and revocable living trusts you can: name beneficiaries for property leave property to young children, and revise your document as your circumstances or wishes change. With a trust, not a will, you can: avoid probate reduce the chance of a court dispute over your estate avoid a conservatorship, and keep your document private after death With a will, not a trust, you can: name guardians for children name managers for children’s property name an executor, and instruct how debts or taxes should be paid. The trust is a powerful tool. Unlike a will, it has the ability to live forever. That...
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