I was recently contacted by a non-profit regarding a handwritten will that named the organization as a beneficiary of the decedent's estate.  The will is being contested by family members and is now part of litigation that could become very costly.

I have seen this issue on more than one occasion. A persons intent to leave a charitable bequest is thwarted by poor planning, ambiguous documents and family members that feel they are not receiving their fair share of the estate. 

How can you assure your estate is distributed as you intended?

• Engage the assistance of an experienced Estate Planning attorney to prepare your Trust &/or Will.  
• Be specific regarding the non-profits you name as beneficiaries.  Include the name, tax ID, address and phone number for each charity. 
• Have your documents notarized, and do not rely on handwritten documents to fulfill your charitable intent.

These steps will help assure your gifts to charity are realized and not held up by costly litigation that accumulates legal fees which diminish the value of the gift. 

916-225-3570   cj@cjwatterslaw.com    http://www.cjwatterslaw.com

As an Estate Planning Lawyer I am in contact with people who have lost a loved one and I encourage my clients to plan ahead as much as possible. 

One of the greatest gifts my mother gave us was to plan ahead for her end-of-life arrangements.  When I meet with people regarding their estate plan I recommend they consider pre-planning their end-of –life arrangements as well.  


The information below is from the Heritage Oaks Memorial Chapel.  For more information visit their website at HeritageOakseMemorialChapel.com

5 Steps Concerning Your End-of-Life Planning

Do realize that when you make decisions in advance regarding your end-of-life arrangements, you are telling your family that you care about them.  Making arrangements for a loved one after they have passed away is stressful!  You can remove this stress for them by taking care of your arrangements in advance. You will also have peace of mind knowing that everything is in order and you have your wishes in writing.

Here are some steps that will guide you in this process:

·        Decide What You Want.  What do you to have happen once you pass away?  Many people are concerned about the cost.  If money was not an issue, what would you like to see happen? Many people who come to Heritage Oaks are surprised at how little it will cost to do what they want. We can assist you with putting a plan into place so the money will be set aside in advance to cover the cost of your wishes.

 

·         Keep in mind that services are for the living, not the deceased.  The customary visitation, funeral or memorial celebration of life are what many family members need to bring closure after their loved one dies.  Showing you care includes providing them with a formal opportunity to say goodbye and honor you together with your family and friends.  It is normal for people to grieve the loss of a loved one, and this is an important first step in that grieving process.

 

·         Decide where your final resting place will be. Local communities in Sacramento and Placer Counties have municipal cemeteries that provide a lower rate on burial plots and niches to their residents.  These cemeteries are very well maintained and the cost is 40% to 60% less than commercial cemeteries.  Plus, if you are a veteran of the U.S. Armed Forces with an honorable discharge, you’ll appreciate knowing that you are entitled to a free burial plot or cremation niche at Sacramento Valley National Cemetery in Dixon, CA. We will assist your family with making the arrangements at the National Cemetery at no charge to them.

 

·        Don’t procrastinate!  Putting things off does not bring peace of mind. Once this is done, you can relax!  A few minutes now will save your loved ones a lot of unnecessary pain.

 

·        Write down your plan. 

  We can help you get started by providing you with a complimentary Personal Memorial Planner that will guide you through organizing the important information your family will need.  We will also provide Estate Planning Tools including an Advanced Directive.

 We encourage you to request our free “Personal Memorial Planner” which will not only help answer your questions, but also guide through the planning process. Please just call us to request your planner, if you have any other questions, or if you would like to set an appointment.

Call 916-791-CARE (2273) or 800-316-1987 or email,

RonHarder@HeritageOaksMC.com JimBeeding@HeritageOaksMC.com Call, or visit, Heritage Oaks Memorial Chapel, a veteran, family-owned and operated, full service funeral home & beautiful chapel serving the areas of Rocklin, Roseville, Citrus Heights, Antelope, Fair Oaks, Carmichael, Folsom, Sacramento, Elk Grove, West Sacramento, Davis, Granite Bay, Loomis, Auburn, and Lincoln.

916-225-3570   cj@cjwatterslaw.com    http://www.cjwatterslaw.com

The scenario - A client lists property with you that was owned by a decedent who did not have a trust, but your client fails to tell you that they have not opened probate on the estate. You have a buyer for the property, have scheduled a 45 days escrow, and realize that your client does not have authority to sell the property.

What next? Generally, it will take at least 4-5 weeks after filing the Petition for Probate with the court before the first hearing will be scheduled. If all goes as planned (there are often issues that arise to prolong the process) the personal representative will receive Letters Testamentary at that hearing, giving them the authority to sell the property.

The next step is to file a Notice of Proposed Action, noticing the court and all beneficiaries with the details of the sale. A fifteen day notice period is required before the sale can be completed. 

This entire process can take up to 8 weeks to complete, which means your 45 day escrow is blown and the possibility of losing the buyer becomes a very real issue.

You can petition the Court to grant a Special Administration, issue letters with limited authority to the petitioner, allowing the sale to proceed. Generally, a Special Administration is requested for urgent matters. In this instance, you can claim preservation of the estate as the reason for the court to grant the Special Administration. The court could rule that the failure to open a probate before listing the property does not rise to the required level of “urgency’ for a Special Administration. 

When listing a house of a decedent, always determine if the house is titled to a trust or if a probate must be opened before the house can be sold. You will save yourself and your client from experiencing the delay of probate at a time when you cannot afford such a delay; not to mention the added expense of filing a Special Administration petition in addition to the standard Probate petition.

I recommend anyone that purchases a home create a trust which, if drafted correctly, will allow for avoidance of the probate process all together.

Probate Fees in California:

Probate fees are set by law [Probate Code Section 10800]   as follows:

            4% of the first $100,000.00                          

            3% of the next $100,000.00                          

            2% of the next $800,000.00                          

            1% of the next $9 million                             

            1/2% of the next $15 million             

Beneficiary designations are an important part of your estate plan and must be monitored regularly.  Designations on retirement accounts, investments, and life insurance are the most common forms that people will encounter. But, there are many assets that can be transferred via beneficiary designation.  Multiple beneficiaries can be named with a designated percentage to each.  Charitable donations can be made using this method and may result in tax incentives.  You need to fully understand the process to be sure distribution to a beneficiary fulfills your intent and protects the gift from being squandered or collected by a creditor of the beneficiary.