I had a strategy session with a family and gathered all their personal information. Then, I had them start on their list of assets so that once we finished signing their Trust, we could make sure all the assets were in the Trust to avoid probate and ensure that if either or both parents became unable to pay their bills or take care of themselves, we were prepared.
The parents had assets in multiple places and owned two rental properties. They shared that managing everything was becoming increasingly difficult. The task ahead seemed overwhelming. I explained that a Will would only help when they died, and Wills end up in probate. Probate is the process of passing assets at death, involving court, and if they did not put together their Trust, they would leave a mess for their children when they died. The work of taking care of all their assets would be so much harder than it is now.
Worse, if they end up unable to manage their money and pay their bills, the only option during life would be a Conservatorship because Wills ONLY handle assets at death. Conservatorships are invasive; the Court makes you disclose everything you own and everything you spend. They often put strangers in charge of your life. No one would want to be under a Conservatorship.
I assured the family that I would be with them every step of the way and that getting all their assets into their Trust wasn’t as hard as it seemed. They have their trusted child as their Co-Trustee. That child doesn’t live close by. When they signed the Trust, their house and rental properties were in the Trust immediately. The trusted child was in town, so all the bank accounts were titled into the Trust. Their stocks are in accounts that are managed online, so we took care of those when the trusted child returned home. They were surprised at how easy it was. (I’m so glad this family did not have to find out how hard court really is).
If you want to make sure your family does not have to go to court to handle your affairs during your life or after you die, give me a call.
