Estate planning raises a lot of questions, and that is completely normal. Below are answers to some of the most common ones I hear from clients.
What is estate planning? Estate planning is the process of arranging how your assets will be managed and distributed during your lifetime and after your death. A comprehensive plan accounts for incapacity as well as death, and can include documents that protect you, your family, and your assets at every stage of life.
What goes into an estate plan in California? An estate plan can include a variety of documents based on your specific needs, such as a last will and testament, revocable living trust, durable power of attorney, advance health care directive, HIPAA authorization, digital asset plan, pet trust, and business succession plan, among others.
What is probate? Probate is the court-supervised process of administering a deceased person's estate, paying debts, and distributing assets to heirs or beneficiaries. It can be time-consuming and expensive, which is why many people use a revocable living trust to avoid it.
What happens if I die without a will in California? If you die without a will, California's intestacy laws determine how your estate is distributed. That formula may not reflect your wishes, particularly if you have a blended family, an unmarried partner, or specific intentions for certain assets.
What happens to my will if I move to a new state? In most cases your will remains valid, but you should review it with an attorney when you move to make sure it complies with your new state's laws and reflects your current situation.
Do I need a lawyer to write my will? You are not legally required to hire a lawyer, but it is strongly recommended. A properly drafted will is harder to challenge and less likely to have gaps or errors that create problems for your loved ones.
Can I write a will if I have Alzheimer's or dementia? To create a valid will you must have testamentary capacity, meaning you understand what you are doing at the time of signing. People with Alzheimer's or dementia may have periods of clarity during which a will can be validly executed. This is something to address as early as possible with an attorney.
Do I need a will if I have no children? Yes. Without a will, California's intestacy laws determine who receives your assets, which may not align with your wishes. A will lets you direct your estate to whomever you choose.
Does my will automatically change if I divorce? No. Divorce does not automatically update your will. It is important to revise your estate plan after a divorce to reflect your new circumstances.
What is the difference between a will and a living will? A will takes effect after your death and directs how your assets are distributed. A living will, also called an advance health care directive, documents your medical treatment preferences if you become incapacitated during your lifetime.
What is a trust? A trust is a legal arrangement in which a trustee holds and manages assets for the benefit of one or more beneficiaries. Trusts can help avoid probate, provide privacy, plan for incapacity, and ensure assets are managed or distributed according to your specific instructions.
What is the purpose of a trust in California? The primary purpose is to allow assets to pass to beneficiaries privately and without going through probate. A trust also provides a mechanism for managing assets if you become incapacitated.
Can I have both a will and a trust in California? Yes, and for many people both are appropriate. A revocable living trust handles assets that are transferred into it, while a pour-over will captures anything that was not transferred into the trust during your lifetime.
Are trusts only for wealthy people? No. A trust can be a useful planning tool for anyone who wants to avoid probate, maintain privacy, plan for incapacity, or ensure that assets are managed carefully for a beneficiary such as a minor child or a person with special needs.
What happens to jointly owned property when one spouse dies? If property is held in joint tenancy, it typically passes automatically to the surviving spouse without going through probate. The exact outcome depends on how the property is titled.
How can I designate a guardian for my children? You can name a guardian for your minor children in your will. Without this designation, the court will make that decision if both parents are deceased or unable to care for the children.
How can I make sure my pet is cared for after I die? A pet trust is the most reliable option. It sets aside funds specifically for your pet's care and gives instructions to a named caregiver about how your animal should be looked after.
How much does estate planning cost? It depends on the complexity of your plan and the services you need. I offer flat-fee packages as well as à la carte services. You can review my Estate Planning Services page for an overview, and I am happy to provide a quote during a consultation.
When do I need a power of attorney? A power of attorney is essential if you want to designate someone to manage your financial or medical affairs if you become incapacitated. Without one, your family may need to go to court to obtain that authority, which is a costly and time-consuming process.
Have Questions?
If you do not see your question here or want to talk through your specific situation, call me at 310-213-7711 or schedule a consultation online. I work with clients throughout California.
Disclaimer: This FAQ is for informational purposes only and does not constitute legal advice or create an attorney-client relationship.
