When you are a resident of California, you are aware that the laws allow residents to have a living trust, the last will and also both in your estate plans. So which one is better for you? Choosing between your three options would be easier if you understand what each of the document can do for you.
Contrary to popular opinions, anything that you own is considered your estate when you pass away. Your house, car, personal property, bank account, retirement plans, investments, and any family business or partnership. If you are from California, it is easy to find a Walnut Creek Estate Planning attorney. Before you decide, It is best if you consult a California estate lawyer to further understand your options.
The California Wills
A Will is comprised of instructions to be carried after you pass away. These instructions will include people or maybe charities who can receive your property as your beneficiary. In California, one of these benefits of a Will is that you can appoint a person who can carry out your Will’s instructions, set a guardian for your minor children, the receiver of your personal properties, your financial assets as well as real estates in case of your death.
California Living Trusts
A Living Trust is a trust that you create before you pass away. Any property that you put into your trust will be managed by the individual you nominated as a trustee on behalf of those you nominated as your beneficiaries. With a Living trust, you will be able to transfer properties to the trust’s beneficiaries when you pass away without needing a Will or even the Probate process. With a Living trust, you can also make sure that a person you depend on will manage your assets on your behalf in case you become incapacitated even if you are still alive.
California Will + Living Trust
With California laws, you are allowed to use both; the Will and the Living Trust; if you need to in accordance with the California State Bar. This option will provide you more benefits than just having the Will or the Living Trust alone. With the combination of these two, you are able to nominate your executor and guardian, which you cannot do with your Living Trust only, but the Trust will allow you to transfer your property directly to your beneficiaries without the probate process, which the Will cannot do.
If you have young children, the combination of these two would be your best option. The Will will give you the option to nominate your children’s guardian, while the Trust will provide the funds for the future of your children and their expenses, for example, their college education.
California residents are not usually needing a Living Trust. But according to the California Attorney general’s office, these services are often sold to those who don’t need it, like the Seniors Citizens. They are the usual target of these services that they don’t even need. So if you are planning to set up a Will or a Living trust, set an appointment with the Walnut Creek Estate Planning Attorneys so that you will be guided accordingly.