The Life of Trusts, Living Wills, and Probate
This article explains why you need to sign a Living Will and a Trust during your lifetime. It tells how the two documents lead to better success during your lifetime and after you pass away, when the cycle of probate begins.
A living will is a good illustration of the difference between life in the 20th century and life in the 21st century. More rights are available to a person signing a living will after October 1, 1999, and a person needs the newer living will in case he or she ends up in an “end stage condition.” It is a felony for anyone (including a doctor) to intentionally assist a terminally ill patient in the commission of suicide. Thus, everyone needs to have the proper living will in hand.
You must have a trust, so that assets you haven’t conveyed won’t become subject to probate. The personal representative in charge of the probate is entitled to receive compensation from the estate assets for his or her services. You don’t want the personal representative to receive more compensation than warranted, and you don’t want his or her attorney to get involved in compensation from a formal estate administration. In probate, a personal representative must take possession of all the property the deceased person owned. Therefore, you do not want this person to seize control of your possessions and distribute them to the wrong people.
A new law took effect, which states that non-judicial modification of a trust is illegal. You want to have an updated trust, so that the trustee and other living beneficiaries don’t do anything to change it. Another reason for having a trust is to ensure that your automobile will go to the proper person and place. You wouldn’t want a beneficiary named in your Last Will and Testament to apply for a motor vehicle certificate title and gain unlawful ownership of your vehicle.
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