Three Smart Questions Regarding Your Last Will and Testament

Before you hire a lawyer for Wills and Trusts, there are a few ways to save time and money. In particular, answers to three critical questions can help you make the most of the preparation process for your estate planning documents.

Am I going to create a living trust?

A living trust lets you place all your assets into a trust while you are still alive. This legal mechanism grants you full access to your assets but protects them by having the trust—not you—own them. Instead, you name yourself as the trustee so that you can manage those assets while you’re still around. You can designate another trustee, such as a corporation or trusted relative, but most people name themselves.

You can opt for a revocable trust, which you can change while alive. This trust is still subject to estate taxes. Alternatively, an AB or bypass trust transfers directly from one spouse to another, thus bypassing taxation. Either way, a living trust doesn’t typically go through probate, allowing you to avoid the associated court costs and fees.

Who would be my successor trustee?

A successor trustee is someone you name who can take over the primary trustee’s responsibilities if they pass away, resign, or become incapacitated. Of course, this decision is entirely yours, but knowing the successor before drafting the paperwork with an attorney is wise.

Do I also need to draw up a power of attorney?

If you have a living trust in place and become incapacitated, the trust already owns and manages your assets. However, you should prepare a power of attorney (POA) document. If you have decisions to make and are incapacitated or lose your communication abilities, the POA clarifies who can make those decisions on your behalf.

Answers From a Trusted Estate Planning Attorney

Preparing these and other questions before meeting with your Will and trust attorney can make your planning process more efficient. At Donnellon, Donnellon & Miller, we work with various clients and pride ourselves on demystifying the estate planning process. We’re here to answer your questions, whether complex or simple.