My trust from 20 years ago does not include my IRA. The IRA does have a beneficiary designation. Do I have to put the IRA into the trust to avoid probate?
The short answer is NO. An asset that shows a "beneficiary designation" (retirement plans, life insurance, etc.) will flow to that beneficiary WITHOUT the need of probate, and is never, generally speaking, put "... into the trust". There are, however, several considerations you might want to look at regarding who or what you designate as a beneficiary. Speak with your financial advisor and/or estate planning attorney regarding your options. Also, considering the age of your trust, you also may want to confirm it incorporates your present wishes and current language to facilitate your wishes. Hope that helps.
Steve Greenwood, Esq.See question
My mom and Dad had a Family Trust done in 2000. Dad passed in 2006. In 2008, Mom did a Quitclaim Deed for our house. Mom recently passed. The quitclaim deed states that mom "hereby remise, release and forever quitclaim to" herself as trustee o...
Threshhold question is: how was title held by mom and dad prior to dad's passing. How you proceed and whether probate will be required is directly affected by this answer. If the property was in "tenants in common", probate may be required. If the property was held as "community property with right of survivorship" or as "joint tenants", probate may well be avoided with the property to be distributed under the terms of the family trust. I strongly urge you to seek legal counsel to avoid unnecessary expense and delay.
Steve Greenwood, Esq.See question
When the money, assets, etc are transferred to my new trust, is it taxable at that time? Can the IRS take outstanding monies owed from it?
The attorney's response above is spot on. That being said, if there is a tax due on the assets that were left to you, the tax should be paid prior to the funding of the trust created for you, eliminating the tax issue thereby. The tax could take the form of an estate tax, income in respect of a decedent (IRD), a capital gain tax, etc. This is why it is so important that the successor trustee find competent legal counsel to guide him or her regarding what must be done. Hope this helps.See question
i would like to know what documents i need and what are the cost and expenses involved in creating living trust. Do i need a independent administrator for my living trust? Can i be a administrator for my living trust? What are the pote...
A good living trust based estate plan will include a revocable living trust custom designed to meet the needs of your particular situation, powers of attorney for financial matters, healthcare directives, a pour over will, HIPAA Directive, living will, and several other important attendant documents. Cost can run from minimal (several hundred $$) to $5,000 to $6,000 depending upon the depth of protection you want to bring to your family and quality of the documentation/service provided.
You will be the initial administrator, also known as the Trustee, while you are alive; cost is minimal, if any.
No additional taxes are paid while you are still alive.
In searching out an estate planning specialist, just be sure they've been at it a while, and can work with you in a manner that you're comfortable with. Hope this helped.See question
I am the beneficiary of an irrevocable trust. I thought everything was going smoothly until the Trustee would not provide the 1040 form or the ein so I could file taxes. April came and went, I got an extension and now I'm up against the wall with ...
Though one could argue whether you have a right to see the IRR trust 1040, your trustee is almost always obligated to file an annual tax return and provide you with a IRS form K-1, showing the taxable income received by you along with other relevant information (including the trust Tax ID#. If you haven't received a K-1. I would inquire of the trustee as to whether a tax return was filed (or is going to be filed) or not. If not, perhaps you can ask why not. Hopefully you have a good relationship with your trustee such that s/he is willing to talk to you. Have you been receiving trust distributions? There is more to this than meets the eye; l I would seek competent legal/tax counsel. Hope this helps.See question
or do i need to go to a professional to fill out the forms? i know i have to have the forms notorized. but can i obtains the forms myslef? if so, where do i get them?
The lack of facts provided leaves a lot of possible ambiguity but to answer the questions directly, YES, you can prepare the document itself assuming you have the knowledge on how to do so. Forms are readily available on the internet. The problem is knowing which type of deed to use, making sure the deed is properly prepared and recorded. Breaking the current form of tenancy MAY be an issue, avoidance of documentary transfer tax or unnecessary reassessment should also be considered. Frankly, I would think that for the relatively small fee payable to a competent attorney, you would prefer the peace of mind knowing it was done right. One wrong move and you could create a real BIG problem. Hope this helps.See question
the city is named but the physical address is not in the living trust. can i amend the trust to include the address
The answer to your question depends substantially upon whether your mother is still alive or not. Once that is discerned, then a series of additional questions come into play. Your power to act also depends upon the language of the trust agreement. By "executive" I am making the assumption you mean "trustee". I'd also be concerned about whether the title had actually be changed in relation to the public record. These are questions only a competent estate planning attorney can help you with. I strongly urge you to seek legal counsel to sort this matter out. Hope that helped.See question
They were three trusts set up (two sisters and one brother) stating the division of a piece of property to be divided four ways after all three were deceased. One trustee has passed (sister). The other sister changed her trust three months aft...
Attorney Greenberg is essentially correct. The resolution of your issues and the answer to your question is a direct function of what the trust documentation states. Though statutes and/or case law may apply, the first place to look is the paperwork. Without a careful analysis of the documentation in question, there is no way to give a definitive answer. I strongly recommend you seek competent legal counsel, ideally an estate planning attorney who specializes in this area.See question
Me and my spouse are permanent residents in the USA but are citizens of India. If and how can we form a Will and do estate planning to ensure that our family in India becomes the beneficiary in case anything happens to both me and my spouse?
Estate planning should be done in the country where you 1) reside, and 2) own property. Inasmuch as you are now residents and presumably are acquiring assets here, you definitely want to prepare an estate plan covering you here. The suggestion of a local successor trustee is a good one since the estate will be administered here. If you own real property in India, additional planning will be required in relation to it. As part of that planning, you will want to have prepared appropriate powers of attorney for financial matters, healthcare directives, living will, HIPAA directive, etc. to assure your preferences are assured in the event of you or your spouse becoming incapacitated. Hope this helps.See question