There is no wrong time to start your estate planning process. Whether you are going to college, getting married, dealing with a terminal illness, or purchasing your first or last property, finding a lawyer for wills and trusts near me law firms is the first step to protecting your assets while you are alive and when you pass away.
Our wills and trusts attorneys at Chesapeake Wills and Trusts are located in Anne Arundel County but serve the entire Maryland community. We understand the complex nature of estate planning and will ease the pressure of handling this task with our dedication to communicating with and educating our clients on the estate planning process. Do not wait until you do not have any options for you and your loved ones. Start the estate planning process today.
Understanding Wills and Trusts
Procrastination is the number one reason why people do not start the estate planning process. Miseducation about the legal process and necessary action when someone dies is a close second. Here’s what you need to know about understanding wills and trusts
Wills and trusts are two separate entities that people use to accomplish the goal of making the deceased person’s intent clear about what they want to happen after their death. Depending on your assets, plans, and goals, either instrument can help make the deceased person’s intent clear to your loved ones and potential government entities.
What is a will?
A will is a document representing the wishes of the deceased person. It is called intestate if you die without a will or an invalid will. A will is legitimate and legal when it follows the following requirements:
- Handwritten or typed
- Signature of the person writing the will
- Attested and signed by two credible witnesses
Even though this sounds easy enough, there are nuances that a wills and trusts attorney can help you understand. For example, who are you naming as personal representative? What if the personal representative pre-deceases you? What if changes need to be made? An attorney offers their skill and counsel to answer these questions. At Chesapeake Wills and Trusts we can help you answer the hard questions and navigate any speed bumps along the way.
Wills and Probate Court
Navigating the probate process is even trickier than writing a will. All wills go through probate via the Orphans’ Court in Maryland. Orphans’ Court oversees administrative estates, will contests and judicial probate. Once a Petition for probate is filed, the estate is open to the public’s eye, which means people can see assets and language of the will. Court fees are paid at the Office of Register of Wills and vary depending on the complexity of the estate.
Maryland does not require a personal representative to hire an attorney, but it is highly recommended to alleviate any errors which may prolong the estate administration process or cause legal issues. Not every estate needs to go through probate. For example, if the estate has no assets in the deceased person’s name then the will just need to be filed with the Court and no further action is needed. If the estate is less than $50,000, the estate will be a small estate, which has fewer requirements to probate. If the estate is over $50,000 it is a regular estate and will need to go through several steps in order to complete the process. The average time for probate is nine months, but can be longer depending on the amount of assets, will contests, or creditors.
What is a Trust?
Trusts are a separate legal entity from a will. Trusts are legal contracts between the trustee and their beneficiaries or successor trustees. Trusts are valued more than a will because trusts do not have to go through probate court. This means the estate stays private. If you create a trust and properly fund that trust, then the administrator, or successor trustee, of your estate will not have to go through probate court. Instead, all the directions for administration are within the trust document.
There are two main types of trust: revocable and irrevocable. A revocable trust is more flexible than an irrevocable one. A revocable trust can be changed at any time, but an irrevocable trust is fixed once created and cannot be revoked or changed without certain formalities and further legal guidance.
Because trusts do not pass through probate court, it is harder for someone or a creditor to contest a trust. However, it does shift the responsibility of administration to the trust administrator or successor trustee. That can have its own challenges, but overall, it does provide immediate access to assets, unlike if the person died with a will.
What are the Differences between a Will and a Trust?
Every family is different. Each person has their own goals, however, a wills and trusts lawyer near you can help you better understand why one legal entity is better for you than another. For example, if you do not have any property titled to you, then it may be in your best interest to have a will. A trust may be the better option if you have multiple properties in different states.
The difference between a will and a trust is that a will goes through probate while a trust does not. A will can be easily contested because a lawsuit is already open against the deceased person. For someone or entity to contest a trust, they must open a probate lawsuit, which costs time and money. A Maryland wills and trusts attorney near you can help you understand which legal entity best accommodates your goals and estate needs.
Estate Planning
Many people wrongly believe that you have to have a lot of money to have an estate plan. Here are a few questions to answer to determine if you need to consider estate planning:
- Do I want to name who has control over my bank account when I am sick?
- Do I own property(s)?
- Do I want to name who gets control over me when I am sick or rendered incapacitated?
- Do I own a business?
- Do I have assets or personal property I want to give certain people?
If you answered yes to one or more of these questions, you should start your estate planning and asset protection process sooner rather than later, ideally now.
Why Estate Planning is Essential for Your Future
Creating an estate plan is more than figuring out where your stuff goes after you die. A comprehensive estate plan also includes determining who will be your Power of Attorney while you are still alive but unable to manage your assets, including bank accounts, retirement accounts, real estate, bills, medical decisions, etc.
Without putting someone in place to take care of your things, if you are incapacitated, you are susceptible to scammers and fraud. Therefore, imagine working hard to leave a legacy and someone you do not trust ends up getting guardianship over you? That means they have control over you and your assets. Even though you may not want to think about death, getting sick, or getting into an accident, you are robbing yourself of choosing the people that will actually care for you and do right by you.
Power of Attorneys in Anne Arundel County
In Maryland, two Power of Attorney documents are necessary: a Financial POA and a Heath Care POA, often called the Advanced Directive. Power of Attorney documents are only binding while the principal is still alive. Once the principal passes away, the agent no longer has control over any of the principal’s assets. Instead, the Personal Representative of the will or Trustee of the trust has control over the assets.
The agent you choose to take care of you financially and medically can be the same person or different people that you choose to be the Personal Representative or Trustee of your estate. Whoever you choose as your agent, be sure to choose someone you can trust and who will make decisions on your behalf.
Advance Directives or Health Care Proxy?
Maryland does not have a one-size-fits-all all form for indicating your medical agent. Instead, Maryland does have an assumption that unless otherwise indicated, your agent cannot make decisions for you unless a doctor states otherwise. Your health care directive will dictate what happens to you when you are incapacitated, unable to make decisions for yourself, or if you are in a vegetative state.
If you have deep religious beliefs that exempt certain medical interventions, it is imperative to include those directions in the health directive. For example, some religions do not allow blood transfusions, so it is important to include that information. The health care directive can also include mental health decisions.. Talking this over with a wills and trusts lawyer in Anne Arundel County can ensure that your medical directives do not miss anything important.
Adult and Child Guardianship
It is important to note that regardless of whether you choose your financial and medical agent, if you are over 18 and considered a legal adult, there is no assumption that your parent or spouse will be your caretaker. Instead, if no Power of Attorney is chosen, a friend or family member will go to Court to obtain guardianship over you.
Depending on the severity of the situation, the guardianship can be temporary or permanent. Regardless, if someone applies for guardianship, it can be contested. If there is a contested guardianship, then it is up to a judge to decide who will take care of you. All the while, you are unable to indicate what your wishes are. Start these documents as soon as possible to avoid this painful and costly experience. This does apply to guardianship over children as well.
Wills and Trusts Services in Anne Arundel County: What to Expect
The initial consultation process starts with a 15-minute consultation to discuss your estate plan goals and interests. During this consultation, we can schedule a better time for a more extended conversation about your estate plan needs.
We educate our clients with webinars, workshops, and one-on-one consultations. We know that each family is unique and has no one-size-fits-all estate plan. We also
- Draft and Finalize Your Estate Plan: We curate documents that cater to you and your goals, not pull generic forms that do not specify the unique instructions of your estate.
- Update Your Wills and Trusts Over Time: An estate plan is a living document that will need adjustments as time goes on. We believe in continuing to communicate with our clients, including responding to clients quickly when receiving communication.
- Thorough Asset Review: For trust plans, we review the continued ownership of assets. We believe in maintaining a relationship with our clients to ensure that any property is protected at all times.
Contact Our Lawyer for Wills and Trusts Near Me Consultations Today!
There is no time like the present to plan for the future. Contact a wills and trusts lawyer near you to ensure your assets are protected and your loved ones are provided for. Scheduling a consultation with an estate planning attorney is the first step in creating a solid plan that aligns with your wishes. During this meeting, your attorney will assess your financial situation, discuss your goals, and explain the best legal options available.
To make the most of your consultation, you should prepare in advance. For example, you should bring a list of assets, any existing wills or trusts, financial statements, life insurance policies, and information on beneficiaries like full names and birthdays. These documents help us draft a customized estate plan that meets your needs. After your initial meeting, we will work with you to finalize and execute your estate plan, ensuring everything is legally binding. Start today by contacting us and feel reassured you are stepping in the right direction.