Say it out loud. Probate. Probate. Probate. And get comfortable saying it. Probate. For most of us, whether we planned for it or not, our affairs upon our deaths will likely be wrapped up in the probate process. For many reasons, probate may be the best option for you.
So, put aside what you have heard and what you may have experienced as a victim of a probate gone wrong. The probate process doesn’t have to be a Nightmare on Elm Street or years in the making. It can be smooth and painless for most. The lack of planning and transparency, poor planning, misinformation, unaccounted debt, missing heirs and family discord are the major culprits that make most people loathe probate and want to run for the hills and purchase a Trust.
So if you are deciding between a Will, which is administered through your local probate court, or a Trust, consider your goals for planning. Ask yourself: “What do I want to accomplish; What would be the benefits for me investing in a Trust; and If budget is a concern, are there other cost-effective options to achieve my goals?”
Now if your goals or rather your purse or wallet points you in the direction of having a Will prepared, don’t stop there. Take the necessary steps to mitigate a long, lengthy and chaotic probate for your loved ones.
Among other things, if appropriate, consider doing the following:
- Take advantage of paid-on-death options, including, naming primary and secondary beneficiaries with financial institutions, department of motor vehicles, and the recorder of deeds office.
- File your original Will with court or at the very least, advise two people you trust where it is located.
- Establish a contingency plan to address your debt.
- Review your Will annually.
- Keep track of your named beneficiaries, including contact information.
- Defuse possible objections to your Will while you are alive by having a family meeting and don’t assume things will just work itself out when you are no longer here.
- Prepare a list of assets and debt and don’t assume your loved ones know the details of your affairs.
- Consider options for making funds available to pay the cost of administering your estate upon your death.
Remember, life isn’t a fairytale. Happy endings don’t just happen; they are planned for regardless of whether you opt for a Will or a Trust.