estate planning:
(page 5 of 5)

questions & answers to some common
estate planning questions
(Excerpt from Pamphlet from the State Bar of California)

NOTE: The information provided herein is of a general nature and is not intended to apply to any particular set of facts. The information is not intended as legal advise and no attorney-client relationship is established with the Lau & Lau Law Group LLP.

If you live in California and wish to consult with this office regarding an estate plan, please e-mail us for instructions. 

QUESTION ANSWER
Is it true that I should never make a will?
No. Individuals with less than $60,000.00 do not really need a living trust and a will is sufficient.
If I set up a living trust, do I also need a will?
Yes. You will need a Pour Over Will.
When does my living trust become effective?
Effective when you sign it but if you do not transfer property into the trust, the trust is just a empty shell.
What is the unlimited marital deduction?
Any money you transfer to your U.S. Citizen spouse is tax free.
What should I do if my spouse and I are only Permanent Residents?
You need a Qualified Domestic Trust.
Will transferring real property into a living trust change my property tax?
No.
Can I create an A-B or A-B-C trust after my spouse dies?
No. It will be too late and you will not be able to save on probate fees.
Will I still be considered the owner of my property after I transfer my property into the living trust?
No. Not directly. The trust is owner but you can control the property because you are the trustee.
How much of my property should be put into the living trust?
All assets should be transferred into living trust. Otherwise a probate will be necessary to transfer the assets after your death.
How does the living trust help to maintain privacy?
Probate will not be necessary so your assets will not need to be disclosed.
Can the living trust allow me to control my assets after my death.
Yes. Because you can indicate how and when your assets are distributed.

 

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