How To Leave A Successful Business To Your Heirs With A Last Will And Testament

So you have worked many hard years and now have created a company that is very successful in the industry. You are beginning to wind down your affairs as you have been in retirement for years. The concern that many individuals have is how can they leave their interest in a successful business operation to their heirs once they no longer are living. The main method by which this can be properly executed is through the use of a Will that will clearly designate the beneficiaries that are to receive the business interest. A Last Will and Testament is a legal document that is used in to designate beneficiaries to a specific asset that you desire to leave to that person. Once you have decided that you would like to create a Will then your next step is to have an attorney prepare it for you.

Once you have found the attorney that will prepare the Will for you then your next job is to clearly express to the professional creating your legal document the exact description of your interest in the business. You should go into detail by including such detail as to where it is located, its Federal ID number, the type of entity it is, and the approximate number of shares that you own in the corporation that you desire to leave someone.

The next step is to clearly communicate the exact person or persons that are to receive this property. If there is more than one beneficiary designated then you need to also convey the exact percentage that each person will be owning. All of these tasks are necessary so as to avoid undue litigation cost and expense should there be a dispute regarding the Will. By following these steps you can rest assured that the fruits of your hard work will be in the hands of exactly the people that you desired to have it.

Why a Living Trust Is Usually Made   What Is The Role Of A Probate Solicitor?   New Year's Resolution: Make or Revise Your Will   Estate Planning: Secure Your Loved Ones' Futures   An Intro Into Properties Planning   Avoid Will and Trust Litigation the Right Way   

Health Care Directives As Part Of Your Estate Plan

If you're like most people, the words "estate planning" bring to mind such concepts as wills, trusts, life insurance policies, and other methods of transferring wealth and assets to your heirs following your death. However, a complete estate plan should also anticipate and address decisions to be made during your life, in the event of your own terminal illness, serious injury, or incapacity. Several estate planning tools deal with such situations. What follows are brief descriptions of the estate planning tools that allow you to declare your wishes regarding major health care and medical decisions, and to appoint a trusted individual to make such decisions for you, in the event you are unable to do so yourself. Because the laws regarding these documents vary from state to state, it is beyond the scope of this article to list the specific requirements for each (see our directory for links to each state's living will forms).

LIVING WILL

In the event of a serious accident or illness, your condition may prevent you from communicating your wishes to physicians or other healthcare providers about whether or not to provide life-prolonging procedures. The choice is yours - you can either direct that no life-prolonging procedures be used, or that any and all available procedures be used to keep you alive for as long as possible, regardless of your prognosis for recovery. By preparing a living will, you can declare your wishes now, while you are able to make and communicate such wishes.

If you should become incapacitated (for example in a coma), and a physician has determined that your condition is irreversible, with no possibility of recovery, then the physicians will follow the instructions in your living will. In the absence of a living will, your family or other loved ones may be required to make this decision for you. If you have failed to make your wishes known, your family might have to guess what your decision would be. This can obviously lead to tremendous stress, anxiety, and possibly even family conflict. Make your wishes known and document them in a living will before it's too late.

When preparing a living will, be sure to follow your state's laws regarding the formalities for such a document to be valid and effective. Many states specify the format to be used for a living will (for example, see the Illinois standard form for living wills). You may wish to consult an attorney for assistance in the preparation of this important document.

DO NOT RESUSCITATE ORDER

It may be necessary to have a Do Not Resuscitate Order ("DNRO") in addition to your living will. Emergency medical services personnel (such as paramedics or emergency room staff) may not be permitted or required to honor a living will, but would generally be required to honor a DNRO. Speak to your physician about obtaining a DNRO.

DURABLE POWER OF ATTORNEY FOR HEALTH CARE

You can use a durable power of attorney ("POA") for health care to appoint an attorney-in-fact (agent) to make health care decisions on your behalf, in the event that you are unable to make or communicate such decisions yourself. Whereas a living will addresses life-prolonging treatments, a health care POA also encompasses other medical treatments, as well as decisions regarding nursing home care, surgeries, etc. A health care POA may also come into play in situations in which the reversibility or irreversibility of your condition cannot be determined with certainty (in which case a living will may not be given effect). In the absence of such a document, the law would most likely allow your spouse or other close family member to make such decisions, but these individuals may not be aware of what your own wishes would be. So again, preparing a health care POA will not only ensure that your own wishes are carried out, but can also save your family from the stress and uncertainty of having to guess what your wishes would be. To ensure your agent knows and understands your wishes, you should of course discuss the contents of your health care POA with your agent.

A Health Care Advance Directive is a document that combines your living will and health care power of attorney in one document.

CONCLUSION

A comprehensive estate plan should include not only instructions about your assets to be put into effect after your death, but also one or all of the above health care directives to be followed in the event of your own incapacity, terminal illness, or serious injury.

You may prepare your own health care directives using such services as LegalZoom or Nolo Press (see below). However, you may wish to consult an attorney to answer your specific questions, or for unique or unusually complex circumstances.

Why a Living Trust Is Usually Made   What Is The Role Of A Probate Solicitor?   New Year's Resolution: Make or Revise Your Will   How Inheritance Claims Can Prove Very Difficult   

I've Been Named As Executor of a Will - What Do I Do?

Make no mistake, the Executor of a Will has an extremely important part to play in the probate process.

If you've been named Executor of a Will, then it is up to you to ensure that the instructions contained within the document are carried out and that the Estate is distributed accurately.

To help you, there are a number of tasks which must be carried out in the correct manner:

Once you're notified of the death of the individual, obtain copies of the Death Certificate and send copies to the deceased's banks, creditors and any other organisation which is either holding funds or to whom funds are owed. Locate the original Will and make copies. Find out if the deceased made any provision for their funeral, and organise the event in accordance with their wishes. Arrange with a bank to open a Personal Representative's bank account from which you can pay all fees and Inheritance Tax. Organise a probate valuation of the deceased's Estate, including their house, all of its contents, investments, stocks and shares, life policies and all other personal goods. Use a professional valuer and estate agent if you can. Make sure all the assets are documented. Speak to all those people to whom the deceased owes money and make a formal document of all their outstanding bills. Contact the Inland Revenue so that you can complete all the forms required for them to calculate Inheritance Tax liability, as well as the Probate Office, so you can complete these forms too. The Probate Office will then contact you in a number of weeks, to come in for a meeting with them. Once you have been given an amount of Inheritance Tax to pay, made sure it is paid via the Capital Taxes Office. Distribute copies of the Grant of Probate to anyone who owes money to the Estate. Distribute the proceeds of the Estate according to the Will, keeping copies of all accounts. Publish the sector 27 notices. Make sure all records are stored.

To ensure that you carry out all tasks correctly and in order, it is advisable that you work alongside a qualified, experienced probate practitioner.

Why a Living Trust Is Usually Made   What Is The Role Of A Probate Solicitor?   New Year's Resolution: Make or Revise Your Will   How Inheritance Claims Can Prove Very Difficult   Special Needs Trusts - What Are They?   The Whole Story About Last Wills and Testaments   

End Of Life Planning And Advance Directives

When a systemic problem never sees the light of day there can be no impetus toward solving it, and one of these challenges that exists in the realm of elder law involves the way that we approach the end of our lives. 75% of people die in medical centers, hospitals, or nursing homes. We all know that the costs of hospital care are high, but some 20% of people actually die in the intensive care units of hospitals at a cost that can reach as high as $10,000 a day. Remember, we are talking about people who are in the ICU because they are going to die without any chance of recovery.

In 2008 Medicare paid out $50 billion to health care providers who were treating people during the last two months of their lives. To put that into perspective this amount exceeded the budgets of Department of Homeland Security and the Department of Education. This is Medicare, but how much did private insurers pay, how much did Medicaid pay, and how much came out of the estates of the individuals who passed away? Once again, all of this money was spent for naught because the people were dying as it was being spent. Plus, dying with tubes and machines keeping you alive as long as possible is uncomfortable, and it can be argued that it is not a very dignified way to pass on.

Most people don't want to be kept alive through aggressive and intrusive medical procedures when they are in a terminal condition, and you can state your wishes in this regard by executing a living will and/or a durable medical power of attorney. With a living will you state your preferences regarding the treatments and procedures you are willing endure, and with the durable medical power of attorney you appoint someone to make medical decisions on your behalf should you become unable to make them for yourself. If you care about your legacy enough to engage in estate planning, it is important to address these end-of-life issues as well and take personal control of your own final days.

Why a Living Trust Is Usually Made   What Is The Role Of A Probate Solicitor?   New Year's Resolution: Make or Revise Your Will   How Inheritance Claims Can Prove Very Difficult   

How to Decide If You Should Make a Will

If you're over 18, you are legally entitled to make a last will and testament. Here are 10 reasons why it's a good idea to do so.

1. Are you in a long-term relationship but are not married? If so, your partner could end up penniless without a will in place.

2. Is there likely to be any disputes over your possessions in the event of your death? By not having a will, your family may be left waiting for your estate to be settled.

3. Do you like the idea of leaving some of your money to charity? Just because you do not have family, does not mean you should not make a will. You can still stipulate who benefits.

4. Do you want to avoid your estate going to the government? That's where your assets will end up without having a will.

5. Have you recently got married or had a new baby? If so, these changes could warrant a change to your existing will or the creation of a new one.

6. Have you bought new property? If so, then you need to make a will to ensure your family don't miss out on their share after you're gone.

7. Have you recently been divorced? Your ex-spouse may still get part of your assets, even if they are now living with someone else.

8. Do you want peace of mind from knowing your family won't have to pay expensive inheritance tax? A will can ensure your spouse or civil partner are considered as exempt beneficiaries.

9. Is your current will still enforceable? If you've got married since writing your will, it become null and void (the will, not the marriage).

10. Do you have children? If so, a will can help set up a trust fund for them in the event of your death and even stipulate who would raise them if you and your partner were to die.

To create your will, you are going to need a family solicitor. There are many friendly and experienced wills and probate solicitors that can help you sort everything out.

Why a Living Trust Is Usually Made   What Is The Role Of A Probate Solicitor?   New Year's Resolution: Make or Revise Your Will   How Inheritance Claims Can Prove Very Difficult   An Intro Into Properties Planning   10 Top Terms Used In Wills and Will Writing   

Medical Care Vs End-Of-Life Care

There was a 60 Minutes segment that aired in '09 that was entitled "The Cost Of Dying," and this report was very relevant to anyone who is wondering why estate planning lawyers recommend advance health care directives like living wills and durable medical powers of attorney. They covered a lot of ground during the report, but two statistics that they highlighted were really profound. For one thing, in 2008 Medicare paid out $50 billion to medical centers, hospitals, and physicians to pay bills they received for treatment of people who were living out the last two months of their lives. They went on to say that upward of 30% of the money spent "may have had no meaningful medical impact."

The other fact that many people may not be aware of is that between 18-20% of Americans who die each year pass away in the intensive care units of hospitals and medical centers. The cost for a day in an ICU can reach as much as $10,000, and it is not uncommon for people spend weeks or even months in these units, being kept alive using life support systems. A doctor that was interviewed by 60 Minutes, Ira Byock, told correspondent Steve Kroft that dying in an intensive care unit is: "...extremely expensive. It's uncomfortable. Many times they have to be sedated so that they don't reflexively pull out a tube, or sometimes their hands are restrained."

If you take the time to make out a living will and state your preferences regarding things like feeding tubes and life support systems you can be sure that your wishes are carried out. You may also want to execute a durable medical power of attorney appointing someone to make medical decisions in your behalf. These are personal decisions and there is no right or wrong, but it is important to let your preferences be known through the inclusion of the appropriate advance directives in your estate plan.

Why a Living Trust Is Usually Made   What Is The Role Of A Probate Solicitor?   New Year's Resolution: Make or Revise Your Will   How Inheritance Claims Can Prove Very Difficult   Estate Planning: Secure Your Loved Ones' Futures