10 Things Estate Planning Attorneys in Las Vegas Recommend Knowing About Probate

If you’re looking to leave a will behind after you pass on, the fact is that your family is likely to have to go through probate. There is a misconception that probate is something that we should avoid at all costs; however, probate is very common and can be a speedy process if done correctly. Thus, the following includes 10 things you should know about the probate process.

10. What Is the Probate Process?

Many people don’t know what the probate process is or what probate even means. However, that is very understandable as most people will not have to deal with it more than once or twice in their lifetime. So, what exactly is probate? According to estate planning attorneys in Las Vegas, probate is the process of authenticating a last will and testament. The process includes detailing everything in the estate, placing value on it, paying any debts you may have had, and lastly, distributing the assets to the people you placed within your will.

9. Know the Terms that Estate Planning Attorneys in Las Vegas Know

Probate is filled with a number of uncommon terms that the ordinary person may know have ever heard about. That is why estate planning attorneys in Las Vegas promote the importance of familiarizing yourself with the various terms you’re going to encounter. Failure to do so can lead to making costly mistakes. So, let’s begin with the decedent and who that is within probate. The decedent is the person who owned the estate and created the will. If the person left a will, they would be called a testate estate or intestate estate if they did not leave anything behind. The executor is the person who is appointed by the courts to deal with the estate. A personal representative is usually a catch-all designation for both administrators and executors.

8. Probate Records Are Public

If you’re worried about other people knowing your personal business, probate may be something you should attempt to avoid. The fact is that a large majority of probate will be made public. A probate attorney may help you understand the process much better and may place your mind at peace. Fortunately, most families do not have dirty laundry that they are scared of sharing with the world.

7. Debts and Taxes Don’t Go Away

Contrary to popular belief, your debts and taxes are not going to go away after you pass on. Creditors and the IRS will begin looking at your estate to see what they can obtain to pay back what you owe. For example, if you owe money on your car loan, it is likely to be taken by creditors to repay anything you owe on it because it is considered a secured loan. In terms of taxes owed, the IRS will look into any liquid assets you may have left over to repay back taxes.

6. Start Creating an Inventory of Assets

Although it can be waived by the courts, your personal representative will still need to make an inventory of all your assets. This is done to ensure that nothing is being hidden from family and friends are included in your estate plan. In addition, an inventory list of your assets can help mitigate any challenges introduced by your family members.

5. Probate Assets

Perhaps the most common issue people have with probate is understanding which are probate assets and which are not. One of the best ways to determine and remember if your assets are considered probate assets is to think about if the assets are in your name alone. If they are, then they will be added to the inventory. However, any joint accounts such as retirement accounts are usually going to transfer to a spouse.

4. Fees Involved in Probate

Much like any legal proceedings, there are going to be a few fees that need to be paid. Those fees are likely to be taken out by your estate and will be used to pay personal representative and attorney fees, to name a few.

3. How Long a Probate Process Takes

The unfortunate fact is that the average probate period will be around 6 months. This is largely due to waiting periods of certain assets and, of course, the speed at which the courts move. However, the probate period may be shorter if there is less to deal with.

2. Understanding the Power of the Courts

Understandably, people are going to be worried about how much the courts have over their estate. Fortunately, the courts usually only act as overseers of the entire process. This will usually only chime in if they begin to see some irregularities or if there is a challenge filed by one of the family members.

1. Probate Closes, Then What?

Once everything has been distributed, and creditors/IRS have been paid, the personal representative will summarize everything to ensure that nobody is missing or if they have any challenges regarding the distribution. Once that occurs, the courts will allow the matter to be closed, and the personal representative will be relieved of their duties.

Checklist of Issues a Probate Lawyer Suggests to Address in Your Will

According to recent statistics, over 42% of Americans have a will in place. A will allows people to place in writing their wishes after they have passed on. Contrary to popular belief, wills are not only for the well-to-do or the elderly. Anyone can and should make a will in order to provide their family with some peace and protection after you are gone. However, although the amount of people with a will is pretty high, that does not mean they are being crafted perfectly. Thus, the following includes a probate lawyer’s checklist of issues that will help you address some of the items that people tend to forget during their estate planning process.

Why a Probate Lawyer Recommends a Checklist for Your Will

As stated above, simply creating a will is not enough to protect your estate or your family after your passing. Missing items such as one piece of real estate property being left out of your will can quickly throw everything out of order. Because your will is not clear, the decision power is then placed on the state in which you reside in. It is likely that your family will then have to go into probate. Everyone who is interested will likely need a probate lawyer, and infighting within families begin. Of course, this is not the route anyone wants to go down, and thus the importance of creating and executing your checklist of issues that need to be addressed.

Understanding the Value of Your Estate

Perhaps the most common item that is left out of most wills is the overall value of your estate. The misunderstanding tends to stem from believing that simply having all your assets on paper is enough. The reality of the matter is that it does not. Every asset in your estate is going to have a different valuation, and thus it should have its own number attached to it. Although it can be difficult to get exact value numbers for each item of your home, it is still important to come up with a proper estimate. More valuable and sensitive items such as a business should be a bigger focus. You may bring in a business planning lawyer Las Vegas that can help you determine the value of your business now and even the potential growth of the company. Now, you may be thinking that it’s too soon to place value on property that will only increase in value over time. That is understandable and the reason why wills must be reviewed every few years.

Personal Debts

If you’re older and still owe a significant amount in personal debt, it is likely that you will pass on with that debt. This may worry you in terms of what is going to happen to your family once you are no longer around to pay them. Fortunately, there are a few things you can add to your will to ensure that your family is protected. This all begins by separating your secured and unsecured debts. Unsecured debts include debts unrelated to the estate, such as medical bills or credit card debt. Secured debts are anything that gives your creditor the legal right to take your property in order to pay off the debt. Examples of secured debts include car and home loans. This is where many people get into trouble. If they promised a car or a home to their child, that property might not be there if creditors choose to use it to pay off your loan. That is why asset protection lawyer Las Vegas firms highly recommend that you mention these properties specifically within your will. Although not full-proof, it does help minimize the chances of having that asset taken away from your family member.

Choosing Your Beneficiaries

Perhaps the most important part of a will is naming your beneficiaries. These are the people who are going to be receiving something from your estate. However, some will tend to forget to add their own children to the list. Now, this doesn’t come from any malicious intent; the children may be minors at the time of the writing of the will. However, you should still add them (If you want) as the main heirs to your estate, but only if they are adults at the time of your passing. If there is no family left, you may choose to leave your estate to a charity or non-profit organization.

Gather Your Witnesses

Most states require that you bring in at least two witnesses when it is time to sign your will. However, experts recommend that you bring in additional parties to the signing event. In addition, you may also want to look closely at who you choose to sign your witness document. Probate Las Vegas attorneys suggest a close family member and someone who is not in the will themselves as a means of having an unbiased party involved in the event that any disputes arise.

What Estate Planning Attorneys in Las Vegas Want You to Know Before Starting Probate