Category Archives: Estate Planning

Estate Planning

Estate Planning & How to Leave Your “Story”

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Most people think about estate planning as a way to distribute their assets, but it can be much more. It is also a way for you to pass on the “story” of your life and the meaning behind your possessions. Everything you own has a history behind it and it is important for your loved ones to know that history.

If you are a “collector,” it is likely that whatever items you collect each have stories. Whether it is pieces of art, classic cars, or figurines, every item means something to you. Was it something you bought while traveling? Does it remind you of a certain time in your life? These stories are worth passing on to your loved ones. All it takes is a little time and effort.

The easiest way to pass your stories to future generations is to not only tell them to your family members, but also to write them down. You can write a detailed letter to be kept with your estate planning documents. You can also take advantage of technology and create an audio CD or video for your loved ones. Additionally, there are certain websites created to guide you in taking inventory of your assets and leave notes or stories regarding each of them.

If your family members understand the sentimental value of your possessions, they will be much more valuable to them. Providing the history and meaning behind your assets gives your family and friends something they can truly treasure.

If you are interested in creating or updating an estate plan, we can help you not only ensure that your loved ones are protected, but that they understand the sentiment behind your possessions as well.

The Astill Law Office has provided high quality legal services for over 30 years. We specialize in wills, trusts, estate planning, and asset protection. If you have any questions about creating a Trust, Will, or estate planning in general, contact The Astill Law Office at 801-438-8698.

Estate Planning

Elder Law & the Unique Legal Issues of Seniors

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Many people understand that “elder law” refers to helping older adults, but most people don’t really know the specific areas where an elder law attorney can help. There is a wide range of areas where we can provide legal guidance ranging from ways to protect your assets, to protect your loved ones, and to protect your personal health and care. Below are a few examples of elder law services our lawyers provide:

  • Powers of attorney. Having a power of attorney means that you have appointed a trusted individual to supervise and manage your personal affairs should you become unable to do so for yourself. The power of attorney can be granted the authority to make financial decisions for you. Without a power of attorney, your loved ones may be forced to go through the costly and time-consuming process of having a guardian appointed by the court.
  • Living will. A living will or advance healthcare directive allows you to appoint somebody to make medical decisions on your behalf if you are incapacitated. Your living will may set forth your wishes regarding what types of medical treatment you want (including life-sustaining care), organ donation and other important decisions. This is a very important document because it removes the burden of making extremely difficult decisions from your loved ones if a medical crisis occurs.
  • Medicaid planning. Senior citizens have unique needs when it comes to planning for long-term healthcare. We can assist you with achieving Medicaid eligibility, which often includes advance planning and the creation of wills, trusts, and other important legal documents. We focus on reducing the costs of nursing home or other extended care and preserving your assets for your loved ones.
  • Guardianships. We can help you appoint a guardian to care for you if become incapable of making your own decisions due to advanced age or illness. Guardians can be granted the authority to make personal, financial and medical decisions on behalf of the incapacitated person.
  • Conservatorship or Trust. We counsel clients on the wisdom of relying on a court-appointed conservator, or creating a trust to manage financial affairs in the event of incapacity.

Let us help you enjoy your retirement years without worrying about your finances and medical care. The Astill Law Office has provided high quality legal services for over 30 years. We specialize in wills, trusts, estate planning, and asset protection. If you have any questions about creating a Trust, Will, or estate planning in general, contact The Astill Law Office at 801-438-8698.

Estate Planning

Are there Different Types of Wills?

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When you create an estate plan, your will or trust is the document that sets forth how you want your estate distributed to your family, friends and other loved ones. A will or trust can be very specific and detail itemized assets that should pass to specific beneficiaries, or you can even exclude a certain relative from inheriting anything from you. Your will can also appoint a guardian for your minor children if you should become incapacitated or die.

There are several different kinds of wills, including:

  • Joint wills. When two people, usually a married couple, make a will together it is called a “joint will.” In a joint will, when one person passes away, the estate passes on to the other person. The surviving party is not allowed to alter the terms of a joint will once the first individual has died. It is rare that we recommend use of a joint will.
  • Mutual wills. A mutual will is one that has identical and reciprocal provisions as another separate will, but neither party is bound by the terms of a mutual will unless there is an agreement to do so.
  • Holographic wills. A handwritten will is referred to as a “holographic will.” Typically, this type of will is not witnessed and it must comply with certain statutory requirements before it can be deemed valid. For example, a holographic will must be in the testator’s own handwriting, and must be signed and dated at the end of the document.
  • Pour-over wills. When you create a trust, a pour-over will is used to transfer any omitted assets into the trust upon your death. This is typically an effective way to either avoid the need for a probate or to limit the scope of any probate.
  • Living wills. A living will is not a Will to dispose of property. It is also called an “advance directive.” This document allows you to state your wishes regarding the medical care you want or do not want in the event you are faced with a serious accident or illness (in other words your end of life care). Having a living will allows you to provide physicians and other healthcare providers with instructions regarding your treatment if you are in a coma, have an illness that will cause death, or you are otherwise unable to express your wishes.

If you are interested in drafting a will or other estate planning documents, contact us for the advice and guidance you need. The Astill Law Office has provided high quality legal services for over 30 years. We specialize in wills, trusts, estate planning, and asset protection. If you have any questions about creating a Trust, Will, or estate planning in general, contact The Astill Law Office at 801-438-8698.

Estate Planning

Recently Divorced? Time to Update Your Estate Plan

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When you create an estate plan, it is important that you do not file it away and forget it. If your life undergoes a significant change, it is important to update your estate plan to reflect those changes. Some of the common life changes that warrant updating your estate plan are marriage, death, birth and divorce. Many people don’t think about updating their estate planning documents during the divorce process, which can lead to unintended consequences.

When you file for divorce, you should contact us to update your will, trust, power of attorney or healthcare directive. Below are a few factors to consider:

  • Inheritance planning.  Your estate planning documents probably direct that all of your property and assets should be distributed to your former spouse upon your death. While the divorce is pending and after your divorce is finalized, you will likely want to name other beneficiaries in your will or trust.
  • Incapacity planning.  If you named your ex-spouse as your healthcare proxy or as the power of attorney over your finances, you should consider whether you should appoint somebody else to look after you or your money if you should become incapacitated.
  • Account beneficiaries. If you have accounts, policies, or other types of assets that allow you to designate beneficiaries, you should consider updating them during and after your divorce. This includes life insurance, pay-on-death bank accounts, IRA’s and retirement accounts.

If you are facing divorce or you have been divorced for a while and you need to update your estate plan, we are ready to help you.

The Astill Law Office has provided high quality legal services for over 30 years. We specialize in wills, trusts, estate planning, and asset protection. If you have any questions about creating a Trust, Will, or estate planning in general, contact The Astill Law Office at 801-438-8698.

Estate Planning

What does a Utah Probate Cost?

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If you are handling the estate of a loved one, you are probably wondering how much a probate action will cost. No two cases are identical, so there is no easy answer to this question, but below is some general guidance:

Attorney’s fees

You will need to ask your probate attorney if they charge an hourly rate, a set fee, or a combination of both types of fees. The attorneys at the Astill Law Firm try to fully inform you upfront what our fees will be so you know what your budget will be. You should never retain a lawyer without understanding how you will be billed.

Paying an attorney out of the estate

In Utah, a lawyer is not permitted to charge a percentage fee based on the assets of the estate. However, the personal representative is allowed to use estate funds to pay the lawyer’s fees.

Additional expenses

Some of the other costs related to a probate action include a court filing fee which must be paid to the court clerk at the time the probate is filed. If disputes arise within the probate case, you may be required to pay mediation fees in order to reach a settlement. There are some costs related to publishing notice of the probate to creditors in local newspapers. If the decedent owned real property or other valuable assets, an appraisal may be needed. Finally, if disputes cannot be settled and lawsuits are filed, there may be additional expenses. It is important to ask your lawyer to explain any anticipated costs so you know what to expect.

The Astill Law Office has provided high quality legal services for over 30 years. We specialize in wills, trusts, estate planning, and asset protection. If you have any questions about creating a Trust, Will, or estate planning in general, contact The Astill Law Office at 801-438-8698.

Estate Planning

What Happens if a Trustee Distributes My Inheritance to Somebody Else?

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If you have been named as the beneficiary of a trust and the trustee is not acting appropriately, it is important to get help as soon as possible. Improper distributions of trust assets can be made by mistake or by intentional wrongdoing. Whatever the cause, the quicker you take action, the more likely you are to obtain a successful result.

It is important to understand that a trustee must be fair in his or her treatment of the beneficiaries. The trustee is also obligated to comply with the terms of the trust. Failure to comply with his or her duties could result in you having a claim against the trustee. Some of the possible claims you may have against the trustee of a trust include:

  • The trustee made a distribution of property or the payment of money to a party that was not named as a beneficiary of the trust.
  • The trustee gave a beneficiary an excessive payment not authorized by the trust, which caused a reduction in the distribution to you.
  • One of the contingent beneficiaries that is entitled to receive the distribution of a primary beneficiary that died before the settlor of the trust did not receive his or her share.

There are other forms of misconduct by a trustee that may warrant legal action. If you have concerns regarding how a trustee is managing a trust or about the accuracy of your distributions from the trust, it is important to contact us immediately to protect your inheritance.

The Astill Law Office has provided high quality legal services for over 30 years. We specialize in wills, trusts, estate planning, and asset protection. If you have any questions about creating a Trust, Will, or estate planning in general, contact The Astill Law Office at 801-438-8698.

Estate Planning

Personal Representatives in Utah

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A personal representative is the name used to refer to the individual who administers the estate of a deceased person. To be eligible to serve as a personal representative, you must be 21 years of age or older, of sound mind, and have no conflicts of interest with the estate.

In some cases, more than one qualified individual may want to serve as the personal representative of an estate. If this occurs, appointment occurs in this order:

  • the person appointed in the will being probated
  • the deceased’s surviving spouse who is an heir of the deceased
  • other devisees of the deceased
  • the surviving spouse of the deceased
  • other heirs of the deceased
  • if no other individual has been appointed within 45 days after the person dies, a creditor can be appointed

It is also possible for an estate to have more than one personal representative serving at the same time. They are referred to as “joint personal representatives” or “co-personal representatives.

Once a personal representative has been appointed, he or she has numerous duties and obligations under the law, including:

  • obtaining control over the estate’s assets
  • preparing an inventory and appraisal of the property owned by the decedent
  • providing financial reports to “interested persons” who request it
  • filing tax returns and paying an taxes due
  • giving notice to creditors
  • paying valid debts of the decedent, including expenses related to administering the estate
  • determining and making the distributions to be made to heirs and beneficiaries
  • Closing the probate action

If you have been appointed as a personal representative and you need help, contact us for help. The Astill Law Office has provided high quality legal services for over 30 years. We specialize in wills, trusts, estate planning, and asset protection. If you have any questions about creating a Trust, Will, or estate planning in general, contact The Astill Law Office at 801-438-8698.

Estate Planning

Utah Probate Basics

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Many of our clients come to us because they have lost a loved one and they have no idea if a probate action is necessary or not. Below are some of the most commonly asked questions and answers, but we encourage you to contact us for help with your individual situation.

 Is a probate necessary if the decedent left a will?

Probably. If the decedent left assets or property that needs to pass to heirs, a probate action is necessary whether or not the deceased left a will. A court will follow the terms of the will to determine the heirs and beneficiaries of the deceased’s property.

Is a probate necessary if the person died without a will?

Again, if the individual left assets that need to pass to heirs, a probate action is required. Without a will to provide guidance, the court will follow Utah’s laws of intestacy (Utah Probate Code, sections 75-2-101 through 75-2-103). You may hear the probate case for a person who died without a will referred to as an “appointment action,” which refers to the appointment of a Personal Representative by the court.

Is a probate necessary if there is a Trust?

Maybe. If a Trust has been created and all of the deceased’s property was left in the Trust, it can be an effective way to avoid probate. However, if the decedent left property out of the trust, a probate action may be necessary. A probate may also be needed to defend against lawsuits filed by creditors of the deceased or if the decedent left a minor child who needs to have a guardian appointed.

Can a will from another state be probated in a Utah probate court?

A will drafted in another state can be submitted for probate if the maker of the will resided in Utah or had property located in Utah at the time of his or her death. The will must be valid in the state where it was executed in order to binding in Utah.

If you are wondering if a probate is needed, contact us for the answers you need. The Astill Law Office has provided high quality legal services for over 30 years. We specialize in wills, trusts, estate planning, and asset protection. If you have any questions about creating a Trust, Will, or estate planning in general, contact The Astill Law Office at 801-438-8698.

Estate Planning

Who is Liable for the Debts of a Decedent?

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If you have recently lost a loved one, you may be wondering who is responsible for paying his or her debts. The good news is that nobody is personally liable for another person’s debts (unless you were a co-borrower or co-debtor with the decedent). The law provides that the creditors of a deceased person must be paid out of his or her estate before any distributions can be made to the heirs. This may include selling assets of the decedent in order to pay outstanding debts. Thus, if you take property from the decedent’s estate before all of the debts are paid, you may be liable for paying creditor claims. However, there are some exemptions that allow assets to be distributed to heirs of the Estate even though creditors don’t get paid.

Utah law sets forth the order of priorities for a decedent’s debts as follows:

  1. Reasonable funeral expenses up to $6,000.
  2. Administrative costs and fees, which includes paying the personal representative’s fees and the fees for the estate attorney.
  3. Debts and taxes
  4. Reasonable and necessary medical expenses from last 60 days of the decedent’s last illness.
  5. Family allowance for necessities.
  6. Child support arrearages.
  7. Debts acquired by continuing decedent’s business after his or her death.
  8. All other claims.

After satisfying all prior classes, a class of creditors shall be paid pro rata based upon the claim amounts if there are insufficient estate assets remaining to pay the class in full. Once the debts have been paid, the estate can make distributions to the beneficiaries.

If you have been appointed to administer a loved one’s estate, we can help. We will assist you in not only fulfilling your legal obligations, including paying the debts of the decedent, but we will also help you avoid any legal issues or personal liability.

The Astill Law Office has provided high quality legal services for over 30 years. We specialize in wills, trusts, estate planning, and asset protection. If you have any questions about creating a Trust, Will, or estate planning in general, contact The Astill Law Office at 801-438-8698.

 

Estate Planning

Tips for Managing a Living Trust

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One of the most important decisions you can make when creating a trust is who to appoint to manage the trust. The position of the trustee is so important that you should also name successor trustees to replace a trustee who is unable to serve or who passes away. With a living trust, you typically want to serve as the initial trustee. When naming your successor trustee, the individuals you trust the most likely lack trust administration knowledge and experience. Thus, it can seem like an intimidating job, but we are here to assist you and your successor trustees to lawfully administer the trust and diligently protect your wealth.

Some of the mistakes that are commonly made in managing a living trust include:

  • Failing to discuss the appointment with successor trustees. It is important to have a conversation with the individual you want to manage your affairs after your death. You should explain what the trust includes, provide him or her with a copy of it, and confirm that he or she is willing to take on the job. This is not something you want to surprise somebody with! Also, be sure to give the successor trustee’s our law firm’s contact information and let them know we are available to assist them with the duties of administering the trust. This makes transitions much smoother.
  • Failing to fund the trust. Once the trust is created, it is imperative that you transfer your assets into it. A trust only safeguards the property it holds as the legal owner. Assets that are not held by the trust may be required to go through probate and they could also result in negative tax consequences.
  • Failing to include a residual clause. A residual clause is a “catch-all” for any assets or property that was mistakenly omitted from the trust. This may include property that was acquired after the formation of the trust, but not properly transferred into the trust. If you have this type of provision, it can help avoid problems if a probate is required.
  • Failing to update estate plan. It is common for people to create an estate plan, file it away, and never look at it again. However, as your life changes, your will and trust will need to change. Some of the most common life changes that warrant updating your estate plan are marriage, death, birth or even changes in the tax laws. You should review your estate planning documents at least once a year to confirm they still accomplish your goals.

The Astill Law Office has provided high quality legal services for over 30 years. We specialize in wills, trusts, estate planning, and asset protection. If you have any questions about creating a Trust, Will, or estate planning in general, contact The Astill Law Office at 801-438-8698.