Feb 18, 2019 | By Young Wooldridge | Read Time: 3 minutes | Estate Planning Attorney Bakersfield

What Is Joint Ownership?

Estate Planning Attorney Bakersfield | What Is Joint Ownership? An experienced Estate Planning Attorney in Bakersfield can inform you of your options if you or someone you know is looking to establish joint ownership of a property.  Probate is the act of proving a will is genuine or broadly, “the process of administering an estate.” When you pass, your assets and finances will undergo the process of probate to sort out the details of your estate. Probate can be a long and arduous process for loved ones and beneficiaries. It can tie up your assets for months and can open them up to estate taxes which could, in some cases, deplete your financial standing significantly. Proper estate planning can help your loved ones avoid probate. Joint ownership is one way to keep your property out of probate. Just as it sounds, joint ownership is when a property is shared by two or more people. There are several forms of joint ownership, all of which can help avoid probate when one owner dies. The forms of joint ownership are: Joint Tenancy With Rights of Survivorship In joint tenancy with rights of survivorship or JTWROS, two or more people legally own a property. When one of those owners dies, the property simply stays under ownership of the remaining partner(s). The heirs of the deceased have no legal rights to the property. Upon death of one of the owners, the surviving owners fill out a form and present it along with a death certificate to whoever keeps the records. Depending on what type of property it is, this could be a bank, state department of motor vehicles or county real estate records office. Tenancy By The Entirety In certain states, Tenancy by the Entirety exists. Abbreviated TBE, this form of joint ownership functions in the exact same way as Joint Tenancy with Rights of Survivorship, except it is restricted to just two people who are married or are registered domestic partners. When a spouse dies, the other becomes the sole property ownership when a death certificate is presented to the property record keeper just as Joint Tenancy with Rights of Survivorship. Community Property Currently nine states are considered Community Property States. In these states, property, income and debt acquired during a marriage is considered community property between spouses and an assumed 50-50 ownership exists. Although simply stating in a will or trust that you wish your property to be otherwise distributed after death cannot override the community property laws. However, each spouse is able to bequeath their share of the property to a person of their choosing, like a child or other family member. If no heir is named, when one spouse passes, the property is automatically transferred, and the surviving spouse becomes the sole owner. Only a prenuptial agreement may supercede the community property laws in these states. Tenancy In Common As Tenants In Common, TIC, each owner of a property holds a percentage. Percentages do not have to be equal, instead they are determined by how much an owner contributes to the purchase of the property. Each owners share becomes part of that owner’s estate. It is named in the will and left to a person of their choosing upon death. The other owners, unless named as heirs in the will or trust have no claim to the other percentages of the property. One pitfall with this type of property ownership is that as part of individual estates, the percentage can become subject to probate and the state’s will in the settling of an estate. This can put the property and the other owners in difficult position. When considering the various types of joint ownership, consulting an experienced estate planning attorney will help you decide which is best for you and your family. If you or someone you know is looking for more information on joint ownership, contact The Estate Planning Department at Young Wooldridge, LLP. A estate planning attorney at Young Wooldridge, LLP can inform you of options you may not know you have.

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Dec 27, 2018 | By Young Wooldridge | Read Time: 3 minutes | Estate Planning Attorney Bakersfield

Divorce and Your Estate Plan

Estate Planning Attorney Bakersfield | Your Estate Plan An experienced Estate Planning Attorney can inform you of your options if you are going through a divorce. Divorces are challenging. Emotionally and financially, divorce can wreak havoc on your life as you know it. As you’re untangling your feelings surrounding this person, you also have a mountain of paperwork, assets, debt and more to consider and attend to. It can seem sometimes that the task of getting a divorce will never end. As you navigate this difficult time in your life, remember to include your estate plan in the mix. The last thing you want is to have to revisit the details of divorce unexpectedly down the road. The act of getting married, legally awards rights to your spouse whether you have a written estate plan or not. In most states, the act of divorcing revokes those rights. However, the more complex or diverse your life together, the more you have to consider after divorce. Children, properties, financial accounts and insurance policies could hard-wire your ex-spouse’s inheritance until you expressly remove their claim. In some cases, if your ex-spouse remarries and has children from another marriage, they could have legal claim to your estate upon your death. Experts recommend that you take some time with your estate plan in its entirety to ensure that your current life is reflected in your wishes after you pass. Though your estate may be large, you need to start somewhere. Below are suggestions for where to begin: Revoke your current will and create a new one Revoking your will is as simple as physically destroying it. Tear, shred or burn the old will. You can also state in your new will that it should supercede and take the place of any other will. A will commonly names the spouse as: executor of the estate, guardian of minor children, power of attorney and healthcare power of attorney. Determine what you can legally alter and make changes to suit your new life. You also want to leave any property to others by name. Update your beneficiaries Likely, you’ve named your spouse as beneficiary on life insurance policies, bank accounts and retirement accounts, at the very least. As these designations can override beneficiaries named in your will, you will want to address them individually. Review all of your accounts and policies and update the beneficiaries on each one. It’s a good rule of thumb to cross reference your will any time you name beneficiaries to make sure you don’t have conflicting designations. Name new powers of attorney In the event that you become incapacitated, a power of attorney has broad control over your assets. They can make decisions to sell real estate, access bank accounts and act with authority on any other facet of your estate. Neglecting to designate a new power of attorney could mean that your ex-spouse has this control. Furthermore, your healthcare power of attorney can make life altering decisions about your care and health should you become physically or mentally unable to function normally. Be sure to put these powers in the hands of someone you trust completely to act in your best interest. Divorce can be a sticky situation. Time, money and energy are strained throughout the process. Visit and tend to your estate while you’re aligning all of your other affairs to safeguard your new life. If you or someone you know is going through a divorce and needs help adjusting an estate plan, contact an estate planning attorney Bakersfield, CA. They can inform you of legal options you may not know you have. If you need help planning or settling an estate, contact The Estate Planning Department at Young Wooldridge, LLP.

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