Probate might be an understandably important aspect of estate law, but it is not a necessarily fun process to go through. However, not every California estate will have to pass through probate, and the reasons why can vary. Residents who want to avoid having their estate probated can take certain preventive measures before their death.

If an asset is owned by more than one individual, such as in the case of a married couple, then there is no need for it to go through probate. Instead, the ownership of a jointly-owned asset will automatically default to the other surviving individual. While marriage is one way of creating community property, joint tenacy — the joint ownership of a property — can be established with another individual. This can be helpful for widowed or unmarried individuals.

For those not interested in creating a joint asset, pay-on-death accounts are another solid option for keeping certain assets out of probate. Once an account, vehicle title or other asset has been converted to pay-on-death, a beneficiary must be named. Upon the owner’s death, the money or asset in the account will be transferred directly to the beneficiary without the need for probate.

The size of an estate is also a factor for probate. Barring extenuating circumstances, California estates valued at less than $150,000 are exempt from the process. While all of these techniques can be helpful for avoiding unnecessary probate, there are instances where it can be helpful and necessary. Before making any decisions about whether to try to circumvent the process after death, estate holders should first take careful inventory of their assets and personal wishes.

Source: nerdwallet.com, “5 Smart Estate-Planning Steps to Avoid Probate“, James E. Salter, Feb. 10, 2016

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The validity of a will is a popular point of contention during difficult probate battles. While most people in California likely do not anticipate their will being challenged, it can happen when a family member feels spurned or when someone might have a legitimate reason to be suspicious. However, simply because a will’s validity can be challenged does not mean that the probate process related to it will be a breeze.

An out-of-state battle over a will lasted for about seven years before a judge recently rendered a verdict on the matter. Two siblings — a sister and brother — butted heads when their father’s will was submitted in 2009. The sister believed that her brother had wrongly influenced their father as he struggled with dementia in his remaining years.

Due to stipulations in the will, the brother was apparently able to take out loans through a tobacco company that his father had owned and run. These loans were used to pay the brother’s mortgage on both his main home as well as his vacation house and to shell out tuition for his children to attend private school. The brother denied the claim that he had fraudulently influenced his father’s will, and he believed that his sister simply had a self-inflated idea of how much she should receive from her father’s estate. He pointed to the fact that he and his father operated the tobacco company together, and his sister apparently had no active involvement. The final ruling by the probate judge resulted in an order for the brother to repay approximately $2 million to his father’s estate.

When it comes to a loved one’s estate, discovering that possible fraudulent behavior wrongly influenced its terms can be devastating. However, since many people in California tend to fear the probate process, objections are not always raised. While it can take time and dedication to petition the validity of a will, sometimes it is the only course of action to ensure one receives his or her rightful inheritance.

Source: Enfield, CT. Patch, “Former Enfield State Rep Loses Probate Battle With Sister“, Tim Jensen, Feb. 4, 2016

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Family life is evolving; indeed, it appears to have been rapidly changing for quite some time. From divorced and remarried families — also referred to as blended families — to cohabitating couples, the face of California families is perhaps very different than what it was generations ago. So-called non-traditional families are more likely to end up in probate, where a person’s estate is not entirely in clear hands.

According to California state law, when a person passes away without any type of will, the closest living relative will receive that person’s estate. While this seems quite sensible at first glance, it can prove troublesome for some. Cohabitating couples — those who purposely choose to shirk marriage while still committing to one another — are especially vulnerable to this law.

For instance, consider a childless cohabitating couple where neither party has any type of estate plan or clear plan for what should occur in the event of one’s death. If one party unexpectedly dies, his or her estate would revert to the next closest blood-relative, not a long-term partner. This could be a parent, sibling or, in some instances, even an aunt or cousin. Some families might be earnest to respect a deceased loved one’s relationship by bringing the surviving partner into the process, but others find themselves locked into battles in probate court.

No matter why a couple chooses to remain unmarried, it is still necessary to employ strategic legal protections. Typically, an estate in California that is not outlined by a will must pass through probate court, where a person’s last wishes might not be respected. Furthermore, the lack of clear directions can pit family members and long-time partners against one another as they battle to take control of an estate.

Source: gcdailyworld.com, “Non-Traditional Households Require Special Planning“, Jan. 25, 2016

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After fans in California mourn the deaths of their favorite or most idolized celebrities, they often begin discussing the fate of those celebrities’ estates. Unfortunately, most discussions concerning celebrity estate plans circle around the estates’ deficiencies and, in some cases, squabbling families left in the throngs of probate. At first glance, it does not appear that David Bowie’s recent death will incite any such distress among surviving family members. Most people believe that the singer and actor utilized at least one trust — although likely more — to ensure the smooth transition of his estate after his death.

Because of his battle with liver cancer, Bowie might have been intrinsically aware of the need for a tight and coherent estate plan. Although he did manage to record and release one last studio album, his diagnosis was terminal. With his long-time wife Iman and two children left to survive him, he likely understood the importance making sure that they were well cared for. Current reports speculate that Iman will receive the majority of his $200 million estate. His children are also slated to receive significant inheritances.

Estate planning experts have widely speculated that Bowie likely used trusts in his plan. Estate taxes can take a hefty chunk out of a person’s estate and remaining assets, and trusts — both revocable and irrevocable — are one of the most effective ways to minimize the impact. Another plus for trusts? The passing of assets would be more likely to remain private, something that is often important to those who lived their lives in the limelight.

Those who knew Bowie acknowledge that he had a flair for financial foresight, an excellent — although not necessary — attribute for planning the details of an estate. Still, people in California do not have to be able to see into the future to avoid possible issues during the administration of their estate. Keeping an up-to-date will or trust can ensure that all inheritors are listed appropriately and that unnecessary estate taxes are kept at bay.

Source: Forbes, “David Bowie Estate: His Legacy Extends Beyond Music“, Danielle and Andy Mayoras, Jan. 14, 2016

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Fear is an involuntary response for most people upon hearing the word “probate.” Many misconceptions concerning the process continue to perpetuate throughout California, needlessly adding stress to the lives of people who are already grieving the losses of loved ones. In reality, the probate process can be a helpful and necessary aspect of the estate administration process.

Most people create wills with the impressions that they will automatically exclude their estates from having to go through probate. However, state law requires that any estate worth more than $100,000 pass through probate, even in the presence of a will. During this time, the executor, or the person named by the deceased to handle the estate, goes to court in order to pay any estate taxes and the distribute assets to beneficiaries. In the event that a will is not present at the time of a person’s death, the court appoints an administrator to fill in as an executor.

Those who are not so concerned with the process but, rather, are focused on the amount of time it takes are perhaps warranted in their worry. Especially difficult or troublesome estates can linger in probate for significant periods of time, especially if family members file petitions over the handling of the estates or assets. The right guidance can shave off time off the process, and our firm has concluded probate proceedings in as little as six months.

While it is true that estate planning can be used to avoid the probate process in some circumstances, many estates will need to pass through the courts no matter which legal documents are used. We understand that many people in California feel as though this is an unnecessary burden, but it can be invaluable to ensure the proper handling of an estate and the distribution of its assets. Those still concerned with the possible implications of the probate process can find additional information on the process located on our website.

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Thinking about, much less planning, for the inevitable end of life can be extremely uncomfortable for many people. Because of this, crucial aspects of estate planning are often put off or neglected. After all, the future can seem so very far away, so why worry unnecessarily now? In reality, estate planning is not something that should be delayed.

Most people in California can still recall the case of Terri Schiavo. Schiavo made national news when her husband and parents were at odds over the issue of life support. After suffering severe and permanent brain damage, Shiavo languished in a vegetative state while being sustained through a feeding tube and other artificial measures. Schiavo’s husband insisted that his wife would not have wanted to be on any type of life support and wanted to have the tube removed, while her parents opposed the removal and instead said they would continue to care for her. The battle over her care lasted for years, all of which could have been avoided by an advanced health care power of attorney.

While virtually no one likes to think of becoming seriously ill or dying, the reality is that these things happen on a daily basis to the young and old alike. Even for people who have no strong feelings one way or the other toward certain medical interventions, common estate planning tactics can still help loved ones avoid disagreements and battles over care. A power of attorney for health care can designate one individual to be in charge of all medical decisions in the event that a person becomes incapable of making those choices for him or herself. Even if there are no straightforward requests for care, many people still choose to include brief guidelines that the designated person can look to for further guidance.

In this sense, estate planning is about far more than just death and assets; it is also about life and a how a person chooses to live it. For some, the thought of being kept alive on artificial life support is unsettling, while it is expressly desired for others. Either way, the decision can be hard without any input from the person it will affect. Indeed, helping California families and loved ones avoid making these types of tough decisions is perhaps one of the most comforting aspects of the entire process.

Source: wealthmanagement.com, “What are the Risks of Waiting to Create an Estate Plan?”, Kyle Krull, Jan. 4, 2016

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The focus of estate planning is often about what will happen to a person’s assets after he or she has passed away. Although this is a reasonable focus for estate planning, some people in California still continue to shirk the process on the basis that they simply do not care what happens to their possessions after they are no longer alive. While this course of thinking might be somewhat understandable, it does not give adequate regard to grieving family members who will be left behind to handle the estate administration process with no input or guidance.

Probate can be both a simple and yet highly complicated process. While state laws exist for what should happen to a person’s belongings should they die without a will, the ownership of these assets must first revert to the courts in order to determine exactly who is entitled to what. This process can get messy when family members have dissenting views about the court’s decision or when children lose their inheritance to a step parent.

A simple and straightforward will can help prevent such disasters from happening in the first place. For those who want to take it a step beyond simply avoiding messy arguments during probate, there are still more options to be utilized. Many potential tax burdens can be avoided entirely through the use of trusts, which also circumvent the probate process in most cases.

While a person might not care much about their possessions and assets after death, most people in California do not want their families going to war in that situation. Contrary to popular belief, estate planning does not have to be an elaborate or drawn out process in order to be effective. Both wills and trusts can be surprisingly easy to establish and can be invaluable upon a person’s death.

Source: agrinews-pubs.com, “Estate planning can lessen grief for survivors”, Karen Binder, Dec. 31, 2015

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Anecdotes of heirs misusing or completely blowing their inheritance are sadly not that difficult to find, and the implications of these stories can be especially troubling for people in California who are considering what to leave behind. However, this does not always have to be the case. By creating a trust for an inheritance, individuals can be assured that a named trustee will ensure the proper handling of the assets.

Trusts have long been utilized in this manner by wealthier families who want to make sure that younger generations do not squander family money. Families of more moderate means tend to ignore trusts, viewing them as unnecessary. No matter a person’s net worth or value of their estate, a trust can still provide considerable protection to any asset or inheritance passed on to a child, which can be of value if there are any concerns about how that individual will use or spend it.

Relatively easy to set up, trusts work by a grantor titling assets in the name of the trust. From there a beneficiary who is to receive the trust is named, as is a trustee who is responsible for overseeing the distribution and handling of the trust. When the grantor dies, the trustee can handle the trust according to the included instructions while simultaneously bypassing the probate process altogether. There are certain tax benefits to creating a trust that are also to be considered.

By requiring that the trustee only distribute assets or the inheritance to the beneficiary upon the completion of certain milestones — such as having a child of his or her own or reaching a certain age — grantors can exercise an enormous amount of control over the trust, even post-death. Even life insurance policies, an asset that even less wealthy families often have, can be placed in a trust. From tax benefits to ensuring more control over an inheritance, adding a trust to an already established estate plan can be a beneficial move for most people in California.

Source: nerdwallet.com, “Don’t Trust Your Heirs? Create a Trust“, Rachel Podnos, Dec. 16, 2015

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Being able to tell what will happen in the future is a fictitious skill typically reserved for wizards, fortune tellers and the like in movies and storybooks. In real life, it is impossible to know what will happen from one day to the next. This means, of course, that one can never know when the exact moment of one’s own death will be. For this reason, it is best that California residents not procrastinate when it comes to matters of estate planning and securing assets for intended beneficiaries.

At The Probate House L.C., we are prepared to help you evaluate the best type of estate plan to suit your needs. It is not always as simple as executing a will and leaving it at that. There are many types of plans and aspects to the process that may apply in different ways to different people, depending upon the unique circumstances of an individual situation.

Our understanding of probate and estate administration law, and experience in helping clients secure their assets, allows us to help you draft a thorough plan in which you can be confident that your interests and desires are protected. In addition to wills, we can guide you through the process of completing other documents, including a Power of Attorney, Trusts or Advanced Medical Directives. Each document serves a purpose in creating an estate plan that covers all bases.

Our experienced California legal team is dedicated to helping you choose the most efficient, effective and affordable plan to provide for your loved ones’ futures. At The Probate House L.C., we understand the highly personal and intimate nature of estate planning topics and are committed to providing sound legal guidance in a customized and confidential way. Through thorough consultation, we can help you determine the best way to protect your assets, minimize taxes and avoid even probate. Although you do not know the future, you can be prepared for it.

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It is impossible to know what will happen in the future. At any time, it could be a person’s time to go. This is why it is important to make sure to implement a proper estate plan in California. However, it turns out that a surprising number of people have not done any estate planning.

A recent survey revealed that approximately 40 percent of those in the Baby Boomer generation have not created a will. This statistic rises to 71 percent for Americans who are over 34 years of age. The reasons for this can range from ignorance to procrastination. On the other hand, it does not matter what the reason — failure to properly plan for estate administration can be highly detrimental to a person’s loved ones.

When a person dies without a will, one’s assets will automatically be given to one’s spouse if joint ownership has been established. However, assets without joint ownership, such as a vehicle or jewelry, can create lengthy litigation in probate court. This can cause significant stress for friends and family during a time when they should be concentrating on dealing with the emotional trauma of losing a loved one.

Therefore, if one has not done so already, a California resident should begin planning for estate administration as soon as possible in order to save friends and family from unnecessary stress in the case that something unexpected happens. However, this will require drafting proper estate planning documents with the correct legal language. Knowledge of applicable rules and regulations related to estate planning will be necessary.

Source: cbs19.tv, “Angie’s List: Estate Planning Pointers”, Destiny McKeiver, Dec. 14, 2015

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