 |
| |
• If I have
a trust, do I need a will, too?
• My attorney says I need a Power of Attorney
along with my trust and will. I thought you said a trust works
like a power of attorney?
• I would name Monroe Bank to settle my estate,
but I hear that they lock up the house and won’t let the
family in when they are named administrator or trustee.
• I already have a trust. I haven’t
re-titled any of my assets. Is that really necessary?
• My son/daughter is named my Power of Attorney.
Can’t s/he settle my estate?
• I own a lot of life insurance. It’s
not subject to probate or estate taxes, is it?
• My son/daughter told me I shouldn’t
have a will because the courts and the attorneys will end up
with everything when I die. Is that really the case?
• Can I draft my own will or trust?
• I agree that Monroe Bank should serve as
Personal Representative of an estate. However, my father recently
died and I’m the personal representative. I guess it’s
too late to do anything. |
|
| |
Yes. You need a will as a catch all.
You simply can’t put everything into trust. Items often
overlooked are personal loans, inheritances and assets acquired
after the trust was funded.
back to top |
|
| |
The trustee has the power to act on
assets placed into the trust. A power of attorney is needed
to allow someone to act on your behalf for assets outside of
the trust.
back to top |
|
| |
It is true that sometimes an executor
will limit access to family members to the decedent’s
household. Unfortunately, some family members believe it is
their duty and right to get “what’s coming to them”
and will try to remove personal property from the house before
an inventory has been taken. Monroe Bank always tries to accommodate
the family and will do everything possible to make sure that
family needs are addressed. For as many stories as there are
about bank trust departments denying access to the decedent’s
home, there are even more stories about the “Seattle Sister”
who swoops into town, loads up Mom’s prized antiques in
a U-Haul, and heads back to Washington State with her bounty.
back to top |
|
| |
Yes. A trust needs to be funded before
it can be effective. To fund the trust, you must title assets
into the name of the trust. At death, any assets not titled
in the name of the trust and in your name alone will be subject
to probate.
back to top |
|
| |
No. A Power of Attorney terminates at
your death. You need a will or trust to direct how your assets
are to be distributed.
back to top |
|
| |
Insurance is not subject to probate,
but if you are the owner of the policy, the proceeds of the
life insurance policy are included as part of your taxable estate.
One way to remove the cash proceeds of life insurance from your
taxable estate is to use an Irrevocable Life Insurance Trust
to shelter those assets. Talk with Monroe Bank or your attorney
to find out more.
back to top |
|
| |
Where do these stories come from? Everyone
has heard a story of an estate that was “drained”
by the attorneys, but no one has first hand experience. In reality,
attorney’s fees for probate estates are set by the county
courts. Typically, they are on a sliding scale and range from
6% for an extremely small estate to about 2% for a large estate.
Fees above and beyond the standard fee schedule must be approved
by a judge.
back to top |
|
| |
A $49 computerized will or trust program
can help you draft a do-it yourself estate plan. In reality,
it’s worth paying a competent attorney just a few hundred
dollars to make sure your estate settlement will flow smoothly
saving your estate unnecessary fees and possibly save thousands
of dollars in estate taxes.
back to top |
|
| |
Actually, Monroe Bank can help people
who find themselves named as personal representative of an estate
and have neither the time nor expertise to handle the job. Monroe
Bank can serve as agent for personal representative.
As agent, Monroe Bank does all the work the personal representative
typically performs. We can save time and unnecessary fees in
settling an estate.
back to top |
| |
| |
This information is not designed,
meant, nor does it constitute the rendering of legal advice.
You should consult with an attorney and tax advisors before
implementing any strategy discussed here. |
