Rapier & Bowling Co., LPA Rapier & Bowling Co., LPA2024-02-22T06:06:07Zhttps://www.rapierbowling.com/feed/atom/WordPress/wp-content/uploads/sites/1402350/2020/10/cropped-rapier-bowling-site-icon-32x32.pngOn Behalf of Rapier & Bowling Co., LPAhttps://www.rapierbowling.com/?p=476042024-02-19T06:06:26Z2024-02-22T06:06:07ZKnow the importance of inventory with probate
The executor or administrator is responsible for taking an inventory of the testator’s property. This is generally done within three months after appointment. Extensions can be granted if the court finds there is good cause to do so. The court will be informed of all property the testator owned.
It can be difficult to sift through a person’s property and fully inventory what they owned. In some cases, newly discovered assets are found after the initial inventory was filed. For example, the testator could have owned collectibles that were not found until their home was being cleared. There could be assets that even the testator had forgotten about such as an old bank account or investments. Since these can have value, they must be added to the inventory.
The law says that once the executor discovers these assets, they will add them to the inventory within 30 days. They will be distributed to beneficiaries in the same way that items previously inventoried would be. They need to be itemized and valued. The executor might not need to inventory or appraise them unless the court orders them to or when an interested party files an application for it.
Estate planning and probate can be complex
It is wise for everyone to have an estate plan regardless of the size of their estate. Still, there are other factors that can be forgotten and might complicate the process for the executor and the beneficiaries.
It is understandable if people forget certain properties when they determine how to distribute their assets, but it is useful to scrutinize what they own to smooth the process. For these issues and anything else related to estate planning and probate, being fully prepared is critical.
]]>On Behalf of Rapier & Bowling Co., LPAhttps://www.rapierbowling.com/?p=476022024-02-06T05:41:02Z2024-02-09T05:40:50Zan estate plan is important for new parents.
Remember that young children depend on their parents for everything. What happens if something happens to both parents?
This is why you need a will. The purpose of a will is generally to distribute property but you can also use a will to name a guardian for your children.
Guardianships and trusts
A guardian is someone who becomes legally responsible for your children if you and your spouse or co-parent pass away. Without a guardian, your family members could end up fighting over custody of your children or a court could appoint guardians.
Having a will drafted and naming a guardian allows you to know who will care for your children if something happens to you. You have the freedom to choose a guardian you know and trust to keep your children protected and safe.
An estate plan also allows you to set up a trust for your children. A trust enables you to determine how your finances are handled if you pass away.
If you pass away with minor children, a court may appoint someone to manage your finances. Your children could also receive money or property when they turn 18 without any additional restrictions or requirements.
A trust gives you control of all these decisions. You can appoint a person you want to oversee and manage your property and assets if you pass away and create rules about when and how any of your money gets transferred to your children.
Many parents who set up a trust for their children specify a certain age that the children can access the trust. You might want your children to be a little older before they receive your money or property if you feel they will use it more responsibly.
You can create trust terms specifying that your children do not receive any money or property until a certain age. You can include other requirements, such as requiring the money to be used for college tuition.
Life insurance and beneficiaries
Other smart estate planning decisions include purchasing life insurance and updating any beneficiary designations.
Life insurance provides financial support for a parent if the other parent passes away or for children who lose both parents. Term life insurance that ends when your children reach adulthood is a smart option to consider.
As new parents, we know you are busy and have many other things on your mind right now. However, taking the time to set up an estate plan with these ideas in mind can provide you with peace of mind knowing your children will be taken care of if you are gone.
]]>On Behalf of Rapier & Bowling Co., LPAhttps://www.rapierbowling.com/?p=476002024-02-05T06:21:18Z2024-02-08T06:20:51Zbeneficiaries disagree with parts of the probate process, and it can cause a dispute.
Probate process
First, it’s useful to understand probate, which is the process your will goes through after you pass away. Your will must be filed with the probate court and if your will does not name an executor or estate administrator, the court will appoint one.
The executor will file a probate petition with the court and give notice to your creditors so they can file claims against the estate, if applicable. They will also create an inventory of your assets, pay any outstanding debts and taxes, and distribute your assets to your beneficiaries.
Disputes
Beneficiaries may disagree with how the will is interpreted, including claiming that the will does not reflect your true intentions or that the language of the will is not clear. They may also disagree with who is chosen as the administrator of the estate or state that they are not able to act without bias.
They may also argue over who should receive family heirlooms or valuable property, like real estate or investments or state that they are owed a larger share of the property than what is designated in the will. These disputes may prolong the probate process, meaning that the estate cannot be closed until these issues are resolved.
There may be options to address potential disputes in your estate plan.]]>On Behalf of Rapier & Bowling Co., LPAhttps://www.rapierbowling.com/?p=475962024-01-22T10:17:16Z2024-01-25T10:16:30ZElements
Your healthcare power of attorney should include your name and address, who you are designating as your health care representative, and your wishes for medical treatments, including whether you want life-sustaining treatments (like life support, for example). Your health care representative should be someone you trust and who respects your plans.
If you want to donate your organs, you may want to include that as well, in addition to any other specific instructions you want your representative to carry out.
Estate plan
There are several benefits to including the healthcare power of attorney in your estate plan. In addition to expressing your preferences to medical professionals if you are incapacitated, it can reduce stress on your family members. It relieves them of the obligation to make difficult decisions, because you have already done so.
It can also provide you with a better quality of life and an estate plan can preserve assets that can be distributed to your beneficiaries if you pass away.
It is important that it is executed correctly so that it is legally valid and can be recognized by healthcare professionals. It will also need to be reviewed regularly and updated if your health wishes change.]]>On Behalf of Rapier & Bowling Co., LPAhttps://www.rapierbowling.com/?p=475942024-01-08T05:49:19Z2024-01-11T05:48:58ZThe good news is that it is legally possible to disinherit a child in Ohio. However, this process requires careful consideration to avoid unintended consequences or potential legal challenges.
Disinheriting a child with specificity
In Ohio, the legal right to disinherit a child exists, provided they are not a minor (under 18 years old). Mere omission from your will or trust is insufficient. Instead, your estate plan must contain explicit statements. Clearly state your decision to disinherit, accompanied by the reasons for the disinheritance. This prevents any argument about accidental exclusion or claims of fraud, undue influence or lack of capacity.
Disinheriting a child with intentionality
One effective method is leaving a minimal, specific bequest in your will, like a dollar. This gesture signifies intentionality, dispelling any notion of forgetfulness. Alternatively, include a clause in your estate planning documents stating that you have adequately provided for all intended inheritors, emphasizing that any omissions are deliberate.
Do not use beneficiaries as witnesses
Crucially, avoid designating a beneficiary as a witness to your estate planning documents. This could jeopardize their bequests and lead to estate distribution following intestacy rules, potentially including the disinherited child.
Reconsidering disinheritance
Before deciding to disinherit a child, it is important to consider the reasons and potential outcomes. Disinheritance can lead to emotional distress, resentment and family conflicts. This can, and does, result in legal disputes affecting your estate.
Remember, estate planning is not just about legalities. It involves managing sensitive family dynamics. Balancing your wishes with their potential impact on relationships is crucial for a comprehensive approach to preserving your legacy.
]]>On Behalf of Rapier & Bowling Co., LPAhttps://www.rapierbowling.com/?p=475912023-12-29T05:52:36Z2024-01-03T19:00:31ZEstate planning overview
Before you create an estate plan, you may want to list all of your assets, which includes your personal property, bank accounts, insurance policies and farm-related items. Farm assets may include land, equipment, crops and livestock. You will also want to list any debts, like your mortgage.
You can choose to create a will or a trust. A will outlines how your assets will be distributed to your beneficiaries after your death and it will be managed by an executor. If you have a larger or more complex estate, you may want to consider creating a trust. A trust can avoid the probate process, which means it may be more private and it may be faster.
You can also create a power of attorney for finances and a healthcare directive. These documents allow a trusted person to make decisions on your behalf when you are unable to, usually due to illness or incapacity.
Considerations for farmers
In your will or trust, you may decide to designate who will take over the farm and what your intentions are for the farm after your passing. This may include your wishes for the farm’s business structure, meaning whether it is held as a sole proprietorship, a partnership or other arrangement.
It’s also a good time to confirm that your farm has enough insurance.]]>On Behalf of Rapier & Bowling Co., LPAhttps://www.rapierbowling.com/?p=475882023-12-19T05:46:18Z2023-12-22T10:56:30ZBasic duties of a trustee
In Ohio, a trustee has one singular duty: administer the trust and its assets in good faith. This duty has several aspects: the trustee must act to preserve the trust assets and to distribute them according to the trust maker’s (the “settlor”) wishes.
The trustee has to keep all the trust beneficiaries fully informed as to the status of the trust and its assets. Additionally, the trustee needs to act impartially and equitably among the various beneficiaries.
The powers of the trustee
The exact powers of the trustee should be spelled out in the text of the trust document through the joint efforts of the settlor and the attorney who drafted the document. Nevertheless, the trustee will have significant discretion in managing the trust, and this discretion must be exercised in good faith.
The job of the trustee
The trustee must make many decisions about the trust estate: when, where and how should its funds be invested, and when should the trust itself be distributed to the beneficiaries. These decisions require sophistication regarding stock markets, investment opportunities, and the like.
The trustee must have the capacity to maintain financial records, provide legal advice to the beneficiaries, and maintain trust assets in a manner that can be understood by all of the beneficiaries.
An institutional trustee?
Many settlors choose to select an institutional trustee, such as the trust department in a large bank or an investment advisory firm. Some settlors choose their attorney to act as trustee, but an attorney may soon experience one or more conflicts of interest. For very large estates, many experts would recommend a trustee who is not known by most or any of the beneficiaries.
]]>On Behalf of Rapier & Bowling Co., LPAhttps://www.rapierbowling.com/?p=475852023-12-13T06:03:00Z2023-12-18T20:58:57ZThose who own stocks should know their options
Investing wisely is a smart way to build wealth. This is true for those who are experienced in the market and people who are just starting out using some of the new tools that can let people who previously did not invest but are now building a portfolio. Just like any other asset, it is important to protect it and to make sure it goes where you want it to after you are gone.
]]>On Behalf of Rapier & Bowling Co., LPAhttps://www.rapierbowling.com/?p=475832023-12-05T05:33:13Z2023-12-08T18:04:05ZPOA elements
The POA should list the agent you are appointing to act on your behalf, along with their name, address and other contact information. It should specify the powers you are giving the agent, such as the responsibility to pay bills, make investments or buy or sell property, for example. It should also list any limits on their authority.
The POA should have an effective date and an expiration date, or a statement that it will be effective until you revoke it. You may also decide to list a successor agent who can act if the primary agent is unwilling or unable to.
You must sign the POA and it may need to be notarized. You can revoke your POA by completing a revocation form, signing it and having it notarized. Then, you will need to give your agent a copy of the revocation.
Benefits
A POA can offer several benefits. If you create the POA and then are unable to act, your agent can step in immediately to make financial decisions. It can prevent others from mismanaging your finances.
It also allows you to grant responsibilities to your agent and retain some for yourself, if you choose to do so. It can provide you with peace of mind, knowing that you have a trusted person in place to take care of your financial affairs.]]>On Behalf of Rapier & Bowling Co., LPAhttps://www.rapierbowling.com/?p=475812023-11-21T04:37:30Z2023-11-24T15:46:53Zidentification, collection and distribution of the deceased person’s estate.
Getting through probate
Our readers in Ohio may believe that dealing with a deceased loved one’s estate should be simple enough – in most cases, probably, it is just the person’s surviving spouse and children who will inherit estate assets.
And they are typically in agreement on the legal issues. And, usually, that is the case. Unless the deceased person had an estate plan that included trusts and other estate planning devices that attempt to completely bypass the probate process, this is a legal path that must be followed.
There are several potential issues that could complicate things even more than you think in the probate process. For example, beneficiaries may disagree about the deceased person’s will – its terms, construction and interpretation.
Or, while identifying assets and debts, beneficiaries may find discrepancies that they never foresaw. In more contentious probate disagreements, issues could arise over the validity of the will itself: Did someone have “undue influence” over the deceased person as the will was drafted? Did the deceased person have the appropriate “testamentary capacity” to make the will? Was the will executed properly?
If you are getting ready to go through the probate process in Ohio, you need to be ready for any issues that might come up as the case plays out. Be prepared to respond and educate yourself about all of your available options.]]>