How to Prevent Probate Estate from Happening by:Otto Ruebsamen
Death is inevitable; but you can prevent its impact on your real estate properties
. Your death will be an enormous loss to your family, but you don't have to make it worse for them by making them go through a lengthy process of a probate estate.
An Impending Double Tragedy
We toil hard everyday to save for our loved ones and family. We do this because we care for them and we want to give them a life that would hopefully be better than what is for them today. It would be doubly tragic when you finally get to meet our Creator and your family ends up with almost nothing because of government fees on probate estate. Sometimes your loved ones would have to wait for months before they receive the fruits of your labor all because of probate estate.
Well, you won't be worrying about it by then; because, obviously, you will be dead if these things happen. The bad news is, after you finish reading this sentence, you will surely start to worry!
Estate Planning to Avoid High Cost of Probate Estate
The good news is that we can do something now to avoid the costs and delays associated to probate estate. At this point, it is essential to note that you have to spend some of your precious time and a dime to make sure that the dollar goes in the hands of your loved ones and not into the government's.
The simplest way to work around and avoid a probate estate is to create a living trust in lieu of a last will. A living trust, as differentiated to a last will, is an act that already distributes your assets in trust for your assigned beneficiaries. The trust is managed by a trustee in behalf of your named beneficiaries. This act allows you to avoid a probate estate since the assets are already distributed to your named beneficiaries in trust while you are still alive.
Another upside of a trust is the cost associated to a probate estate. A probate estate will have to pass through court proceedings and this would result in additional costs for your beneficiaries. These costs can reach as high as ten percent of the total worth of the probate estate. Your are definitely better off paying the trustee fees and burial cost; your burial, that is. This may not be something good for you; but this is definitely good for your family and loved ones.
Another essential aspect that you should learn is that there are parts of your assets that could be assigned to your beneficiaries in a will without becoming part of your probate estate. These include your bank accounts, which are immediately payable to your beneficiaries immediately upon death, investments, stock certificates and securities, pension plans, and many others.
What is needed to be done is for you to get started drawing up your will and dispersing these assets by signing the death forms that are provided by the bank and the brokerage firm.
You don't have to make your death doubly painful for your loved ones because of your failure to make the necessary estate planning.
It is important that your assets are properly managed while you are still alive, and the time to take action is now!
About the author
http://www.RealEstateBusinessWealth.com Claim your FREE video Webinar right now and Discover Otto Ruebsamen's simple yet extremely powerful techniques to enjoying passive income even in today's tough real estate market.
http://www.articlecity.com/articles/business_and_finance/article_10379.shtml
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