Are There Best Practices To Avoid Probate?
If avoiding probate is your primary goal, then you can achieve that simply by having a living trust, the most effective way to avoid probate. With a living trust, you control how your estate will be distributed, how it will be managed if you do not have the capacity, and finally what happens to your estate when you pass on. You can also list beneficiary designations on your assets or retitle your assets so that you pass them on to your beneficiaries without having to go to probate.
However, is it advisable to do that and share your ownership of the house, for example, with your future beneficiary; it depends! Did you cause any unintended tax consequences? You could also have TOD and POD designations – again whether they are the right tools to be employed, needs to be determined. (See our prior post) Although there are ways to avoid probate, the question will be, is that the right step for you or is that a necessary step for you. Could you achieve your goal through some other means that would be better in your situation? Consult with us; give us a call today @ 516-570-4016.