What you need to know about Probate:
Probate is topic often disregarded until you have to find out the hard way. In fact most people believe that when they die, their spouse or children will automatically inherit their assets. In a perfect world of rainbows, unicorns and executor who knows exactly what to do, probate seems like a topic that could go under the radar.
While the Wild Felice & Partners of South Florida refrain from being the bearer of bad news, probate, if not handled proactively, can turn into your worst nightmare. Yes, even worse than the nightmare of you walking the hallways of your high school naked.
Before we explain why you should avoid probate, let us explain what probate is.
What is Probate?
Probate is a court-supervised process for identifying and gathering the assets of a deceased person, paying the descendant’s debts, and distributing the descendant’s assets to his or her beneficiaries.
First, the descendant’s assets are used to pay the cost of the probate proceeding and then any outstanding debts. The remaining assets are distributed to the descendant’s beneficiaries.
Why should I care about Probate?
Whether you are young or old, sick or healthy, rich or poor, it is wise to avoid
probate. Why? Take the story of Mary…
Mary recently suffered the loss of her mother. Unfortunately, her mom did not have a living trust in place prior to her death. Mary and her siblings could undergo the following hassles:
- They will have to wait for the courts to settle their mother’s estate before they can take possession of her assets. This can take up to a year.
- The assets of your mother are now public, allowing anyone to see her financial standing. Now, Mary’s ex-brother-in-law is quite interested in obtaining some inheritance.
- Total strangers have access to her mother’s financial information, leaving Mary susceptible to being scammed for money.
Why would you wish to experience a legal battle while handling an emotional battle as well? Rather than grieving for her mother, Mary is spending all her time and her money to handle something that could have been avoided.
How to avoid probate?
It is important to create an estate plan that uses a trust to pass assets to the chosen beneficiaries. When you have a revocable living trust, you avoid probate and provide detailed instruction on how you wish to handle your assets in case of illness or death.
This is a very emotional and difficult time, we recommend making the transition seamless and effortless.
Avoid probate of your loved ones and contact Wild Felice & Partners of South Florida in Plantation to learn more.