Back to the Basics—Simple Ways to Avoid Probate
This edition of the Koldin Law Center E-Newsletter continues a series going “Back to the Basics” to meet your estate planning objectives.
As Elderlaw attorneys, we use our initial consultation to learn what objectives our clients desire to accomplish. In this newsletter we discuss simple ways to avoid Probate
Your Will, also referred to as a Last Will and Testament, is a legal document that expresses your wishes about how you would like your life savings distributed after you die.
All prior newsletters are saved on our website. You can read them by clicking here.
Probate
Probate is a judicial proceeding to determine the validity of your Will and to carry out the terms of your Will. The need for judicial involvement can cause delay and unnecessary expense.
Common Methods to Avoid Probate
There are many ways to avoid Probate where your assets are left directly to beneficiaries without passing through your Will.
One common way to avoid Probate is by adding joint owners to bank and brokerage accounts. Most joint accounts have survivorship language. This means that when one joint owner dies, the other owner then automatically keeps the entire account.
Another common way to avoid Probate is by adding beneficiaries to bank and brokerage accounts.
These accounts typically have language such as ITF (In Trust For), TOD (Transfer on Death), or POD (Payable on Death).
For example, an account could be written, “Tom Jones ITF Mary Jones.” This account would be owned by Tom Jones and on his death, the bank would transfer ownership of the account to Mary Jones.
Avoiding Probate with real property such as your family home can be done by adding joint owners or by transferring the property now to your children or other family members and possibly reserving a life estate to yourself.
There is also a new type of deed in New York State called a “Transfer on Death Deed” where you sign a revocable deed that automatically transfers title to the designated Grantee of the deed at the time of your death.
More Discussion on our Website
For more information about the Probate process on our website, click here.
There are many disadvantages to adding joint owners or transferring real property to another person. For a discussion of making gifts, see our website by clicking here.
For a discussion of transferring real estate to your children and reserving a life estate, see our website by clicking here.
Both Revocable and Irrevocable Trusts are often a better or safer way to avoid probate for real estate. For a complete discussion of Trust planning, see our website by clicking here.
For more information about a Last Will and Testament, please visit our website by clicking here.
Unintentionally Disinheriting Family Members
When you use these Probate avoidance methods, those assets/accounts now pass directly to the designated beneficiaries. This means that those assets will not pass through your Will. As a result, it is possible that you could accidentally disinherit beneficiaries designated in your Will.
The next newsletter will review this accidental disinheriting concern in greater detail.
How We Can Help
The Koldin Law Center, P.C., located in East Syracuse, New York, has over 50 years of experience helping individuals and families navigate elder law, estate planning, and Medicaid planning.
Our practice is limited exclusively to Elder Law, including:
- Medicaid planning and applications
- Asset protection strategies
- Wills, Powers of Attorney, and Health Care Proxies
- Revocable and Irrevocable Trust planning
When we handle a Medicaid case, we do more than submit the application—we review strategies to protect assets both before and after Medicaid eligibility is established.
We offer no-fee initial consultations, and we welcome the participation of adult children, attorneys, accountants, and financial advisors.
There is something you can do.
We are here to help.
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Our Attorneys are available to speak to your organization
Our Attorneys speak to groups throughout New York State as a public service. If you would like to arrange for one of our Attorneys to speak to your group, please contact our office.
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We appreciate your referrals
We have been told by many clients who are in a crisis that they wish they had known about our firm much sooner. We are proud of the many families we have helped in times of crisis.
We are also proud of the many families we helped avoid financial crisis by doing estate planning in advance.
We all share the responsibility for making our family and friends aware of the planning options available to them.
Your referral to the Koldin Law Center could make a major difference in the lives of your family and friends if they are someday faced with a long term illness.
Remember that the Koldin Law Center offers many services for clients of all ages. Our services range from basic estate planning such as a simple will to complex estate planning including asset preservation planning.
THERE IS NO FEE FOR THE INITIAL CONSULTATION
