Decoding Wills and Trusts in Worcester
Wills and trusts in Worcester and the surrounding communities should be handled by an experienced estate planning attorney.
Estate planning is important for adults of all ages, but even more so for those over the age of 60. There are many elder issues—including long-term care planning—which benefit from early planning. A significant number of those in this age bracket avoid estate planning until it is too late. According to AARP, 81 percent of people over 72 do have some sort of estate plan. However, 58 percent of those between the ages of 53-71 do not. If you wonder why so many American adults seem to avoid estate planning, there are many excuses. We hear “I just haven’t gotten around to it” most commonly. Another is “I don’t have the assets to bother with an estate plan.”
Everyone Has an Estate; Everyone Needs a Plan
To dispel the second excuse, virtually every adult has some level of “estate.” An estate can include a home, a vehicle, a bank account, and much, much more. It is simply not true that only the super-rich have an estate. As for the first excuse (just haven’t gotten around to it), this is one of those things that can lead to significant problems for you and your loved ones when it’s put off too long. Even if you do not want a will or a trust to detail who you would like to receive your assets (in which case, the state of Massachusetts will make those decisions), having a health care or power of attorney is imperative.
While a will divides your property after your death, a healthcare proxy designates a trusted person to make medical decisions on your behalf if you become incapacitated. Whether you are a young adult just starting out in your life or are over the age of 60, the time to engage in estate planning is now. The Law Offices of James A. Miller, P.C., is ready to help you put together an estate plan that is right for you and your specific situation in life. Attorney James Miller has the knowledge of Massachusetts estate laws—as well as extensive estate planning experience—to help make the process as painless as possible.
Estate Planning and Wills and Trusts for Worcester Residents
An estate plan is a group of documents that take into consideration your unique circumstances and situation. This is seen as a planning tool for the future. Depending on your circumstances and your age, your estate plan might include only a simple Last Will and Testament, along with a healthcare proxy. If you are a young adult with few assets, this could be sufficient.
A health care proxy is an important document for adults of any age. You can never anticipate an accident or illness, but they occur every day, regardless of your age. An estate plan names a trusted person to make decisions on your behalf. If you’re unable to do so, this person can act accordingly on your behalf. Asking questions of your estate planning attorney so your plan is unique to you and comprehensive.
Do I Need to Plan for Avoiding Probate?
Probate can be time-consuming, expensive, and public, and something that you want to avoid if at all possible. Your beneficiaries will probably not receive their inheritance as quickly when a will must go through probate. If you put a revocable trust in place, the process is faster, but it may not work for your situation. If you leave no will, the state will probate your estate. The state decides the personal representative of your estate and who receives your assets.
Do I Need a Last Will and Testament?
Having a revocable or irrevocable living trust as a parent means that you have a Last Will and Testament. In that document, you can name a guardian for your minor children. A will goes into effect only after your death, but a trust goes into effect upon creation and funding. A will names someone as a personal representative to carry out your wishes and designates who receives your assets. You can use a trust to distribute property prior to your death, at your death, or after your death.
A trust may have one set of beneficiaries who receive income from the trust during their lives. Another set of beneficiaries can receive what’s left over when the first set of beneficiaries die. A will covers only the assets which are in your name when you die and does not cover property held in a trust or in joint tenancy. A trust covers only property that is properly transferred to the trust and re-titled in the name of the trust. Unlike a will, a trust remains private, so others won’t know what it contains unless they’re a beneficiary.
What About a Trust?
A revocable trust holds your assets in trust for your benefit during your lifetime, then for the benefit of your heirs after your death. Generally, you are the named trustee during your lifetime then you will name a successor trustee who will take over the duties of distributing the assets in the trust to your heirs after your death. You can change or cancel a revocable living trust at any time. Since a trust avoids probate, this can be helpful if you happen to own property in other states, as the property would pass directly to your heirs, rather than being subject to each state’s probate laws.
A trust is more likely to withstand an heir contesting the trust than a will; it is a more complex legal document, which is more expensive, but also, perhaps, more legally binding in the event someone wants to contest your wishes. A revocable living trust also helps you deal with a situation in which you become incapacitated through an accident or illness. Your successor trustee can step in and manage your affairs without court intervention, sparing your family for the necessity of a court-appointed guardian /conservator.
How Do I Plan for End-of-Life Issues?
A Health Care Proxy can accomplish planning for any end-of-life issues. A Health Care Proxy lets you name an “agent” to make healthcare decisions on your behalf if you become unable to voice your wishes. It is extremely important that you choose your agent very carefully. Your agent should be a person you trust implicitly to follow your instructions regarding your end-of-life care. End-of-life decisions could include whether you would want to be resuscitated in the event you had a terminal illness, or whether you would want to remain in a coma if you were unlikely to ever come out of it, as well as many other healthcare decisions. After choosing an agent for your Health Care Proxy, it is important that you communicate that information to loved ones.
What About Medicaid Benefits for a Nursing Home?
If you are over 60, it is time to think about how you could potentially receive Medicaid benefits for a nursing home. If you become unable to care for yourself, you can get care without depleting your assets. There are many issues to consider, so speaking with an experienced estate planning attorney is essential. They can can answer your questions and put together a comprehensive plan for you and family.
Contact Us for Help with Wills and Trusts in Worcester
A carefully crafted, comprehensive estate plan can allow you to avoid the problems which can arise after your death. Ensure your loved ones receive your assets without hassle or chaos. You can also address your own end-of-life issues so your family won’t have to make hard decisions later. Your family may not be comfortable with these decisions and you can dictate what you want to happen.
Whatever level of estate plan you want prepared, we can help. We have the experience, skills, resources, and knowledge necessary to ensure your estate passes on how you want. Contact our offices today for help with wills and trusts in Worcester, Massachusetts.