How to Allocate Assets Among Your Dependents

Deciding how to allocate assets among your children or other dependents may be among the toughest estate planning decisions a parent will make. While most parents choose to divide their assets equally among their dependents, you could choose to leave everything to a single child or leave nothing to your children at all.

Allocate Assets Based on Need

There’s a good chance that not every child is going to be interested in running the family business or inheriting the family home. Therefore, you may hand the business to the child most capable of running it or hand the home to the child most capable of maintaining it. A child who makes less than his or her siblings may need more money to survive, which means that he or she could benefit most from a lump sum of cash when you pass.

You Might Be Able to Leave a Child Out

Let’s say that you are estranged from a son or daughter at the time of your death. It may be possible to cut that person out of your will or trust, and that child may have little or no recourse to challenge how you decided to allocate assets between your heirs. A trust administration lawyer in Las Vegas may be able to explain the rules of disinheriting a child in Nevada.

Take Time to Discuss Your Plan

It is generally a good idea to discuss your estate plan with your children prior to passing on. Even if your children don’t agree with the plan, understanding your intentions may minimize the chances of a legal challenge or other family drama after your death. Doing so also allows you to tell family members where important documents are so that they can be used to settle an estate in a timely manner.

Why and How to Create a Will as a Single

When you don’t prepare a will, your estate could become property of the state. You should create a will as a single to ensure your estate is distributed the way you want. Common aspects of one’s estate that many singles forget are their pets and digital assets. You want to make sure your pets find a loving home and your digital assets are handled in the way you want. A will is essential for all people regardless of marital status and wealth.

You Don’t Need to Be Rich to Create a Will

Some people make the mistake of not writing a will because they don’t have a lot of assets or a high net worth. However, you may still want some of your belongings to go to a specific person. Maybe you want your electronics to go to your son, or you want to leave your book collection with your best friend. In a will, you can also outline important information in taking care of your pets.

What to Consider When You Create a Will as a Single

To create a will as a single, you need to name an executor and plan how you want your assets or any important belongings distributed. If you have a business, remember to clarify what you want done with it after your death. Choose who you want to take care of your kids. In Nevada, your will needs to be signed by two witnesses who don’t receive benefits from your will. Examples of digital assets you can include in your will are loyalty points, airline miles, cryptocurrency, music library, picture library, video library and self-published books.

An estate planning attorney in Las Vegas can help you correctly write a will and remind you of any important things to clarify that may not have crossed your mind. You are able to modify your will as circumstances change as well, so you don’t need to worry about it being set in stone.

How to Provide for Your Family After Your Death

An estate plan can help you prepare for almost any event that occurs during your lifetime. It can also help you prepare for events that might occur after you pass. It may be possible to protect your loved ones by creating a will, trust or other document designed to provide survivors with the resources that they need.

What Can a Will Do to Help Loved Ones?

On a basic level, a will gives you an opportunity to tell loved ones where important documents are and how to structure your funeral. That alone may help to relieve the stress and anxiety that they might feel after your death. However, it can also make it possible to dictate where assets go and who should look after your children. Without a will, the state may play a larger role than you would like in the probate process.

What Can a Trust Do to Help Family Members?

A trust can hold assets for a minor until he or she turns 21. These assets could include a home, money in a bank account or the death benefit from an insurance policy. Trusts can also specify how assets are used so that they can benefit multiple generations to come. Since items in a trust are considered outside of an estate, they can’t be repossessed or liquidated by creditors.

Legal Counsel May Help With an Estate Plan

Working with a probate attorney in Las Vegas could make it easier to craft an estate plan that meets your needs. For instance, he or she might recommend a specific type of trust to create based on your budget and specific life circumstances. An attorney may also act as a trustee or executor of an estate if necessary.

The Probate Process and How It Works

Dealing with the death of a loved one can be a emotionally trying experience, and having to deal with sorting out the will and financials after their passing certainly doesn’t make matters any easier. Luckily, for most estates, there is something called a Probate process. This process helps ensure that the appraisals of any necessary assets can go smoothly, as well as ensure any taxes, credits and debts can be dealt with prior to any inheritance being passed down. Another perk of the probate process is that it helps prevent any theft or fraud to occur in the confusion after a loved one’s passing.

How Does the Probate Process Work?

Probate is normally the official way the courts settle the estate of a deceased. The first step in the Las Vegas probate process is for the court to appoint an executor. Sometimes also referred to as a personal representative, this individual is usually is usually a spouse or surviving adult child. The personal representative is normally declared and appointed within the will, but if there is no will then they will be appointed by the court. This individual ultimately has the legal authority to pay bills and taxes, value the deceased’s assets, and eventually distribute any assets to their appropriate heirs or beneficiaries.

Once an executor has been appointed, the deceased’s assets are frozen, allowing only the executor to handle them. This prevents third parties from tampering with any of the financials or other assets until the will has been verified, as well as prevents any fraud from occurring. This also ensures that no inheritance is paid out or distributed until all relevant parties are notified or until all creditors and taxes have been paid. Some smaller estates do not require the use of a probate process, generally under $100,000.

If you have a recently deceased loved one with a large estate, or if you or a loved one are planning their will, it may be a good idea to meet with a estate planning lawyer in Las Vegas. An estate planning lawyer can help prepare and simplify the probate process by ensuring an executor is named in the will, as well as work with the courts to ensure the probate process goes smoothly and only those involved with the probate process have access to the deceased’s finances.

If you have special needs family members such as an elderly parent, child or grandchild, it is important to account for those needs when creating an estate plan. It may be possible to create trusts that will hold assets on their behalf. This may allow them to have money or other assets without losing the ability to collect Medicaid or other financial assistance.

How Trusts Help Special Needs Family Members

To qualify for Medicaid, an individual needs to have less than $2,000 in assets. Otherwise, that individual may need to deplete their assets to cover the cost of hospital stays or meet other care needs. By holding assets in a trust, an individual can have access to items without owning them directly. This means that special needs family members can still gain access to residential communities, wheelchairs or other items without having to pay for them.

Make Sure Family Members Know About the Trust

It is important that family members know that they should make gifts to the trust instead of to the disabled person. Even if a gift is made in error, it could still jeopardize a person’s ability to receive government benefits. Losing such assistance could result in a parent having to pay hundreds or thousands of dollars per month in health care and other costs.

Legal Assistance May Be Available

It may be a good idea for a parent or grandparent of a special needs person to talk to an estate planning attorney in Las Vegas. This may allow an individual to determine how an estate plan should be created and learn how to craft a will or trust in accordance with state law.