Index

• Library: Estate Planning Basics (Nolo) (2022 Ed.)

Index

A

AARP, pension information from, 142

ABLE Act accounts, 61-62

Accountants, to assist personal guardians, 51

Achieving a Better Life Experience Act (ABLE Act) accounts, 61-62

Adoption of children, and need to change estate plan, 47, 198

Advance health care directive, 67.

See also Medical decisions if you become incapacitated

Affidavits

for simplified probate of small estates, 135
for transfer-on-death real estate, 127

Age

choice of living trust and, 106
IRA contribution limits, 139
for minors to receive property under UTMA, 53, 54
and retirement plans, federal laws for withdrawals from, 138, 139, 141
and withdrawals from IRAs into which rollover funds were placed, 141
See also Minor children

Agent for finances (attorney-in fact for finances), 68, 77, 78-79. See also Financial decisions if you become incapacitated

Alaska

community property option, 10, 134
community property with right of survivorship, 133
joint tenancy restrictions, 129
tenancy by the entirety, 132
See also Community property states; State laws

Alternate beneficiaries. See under Beneficiaries

Annuities, caution against attempts to sell you, 107

Antiques/heirlooms, 43, 116, 120

Appreciation of property. See Tax basis

Arizona

as community property state, 10
community property with right of survivorship, 133
electronic wills, 91
transfer-on-death real estate deeds, 127
transfer-on-death vehicle registration, 126
See also Community property states; State laws

Arkansas

tenancy by the entirety, 132
transfer-on-death real estate deeds, 127
transfer-on-death vehicle registration, 126
See also State laws

Art works, living trusts and, 104-106, 120

Assets

inventory of, 8-9
resource for, 15
shielding from creditors, 118, 130, 132-133
shielding from medical costs, 15
that may not be transferred by wills, 98, 206
See also Digital assets

Attorney-in-fact for finances (agent for finances), 68, 77, 78-79. See also Financial decisions if you become incapacitated

Attorney-in-fact for health care (health care proxy), 68, 69-70, 78. See also Durable power of attorney for health care (health care agent); Medical decisions if you become incapacitated

B

Bank accounts

estate, 87
in joint tenancy, 131
living trusts, transfer to, 120
pay-on-death accounts, 16, 97, 124-125
See also Checking accounts

Bankruptcy, 133. See also Creditors; Debt problems

Banks and other financial institutions

copy of durable power of attorney for finances given to, 81, 82
as executor of will (not recommended), 88
for information on pay-on-death bank accounts, 124-125
living trusts, cooperation with, 120-121
as living trust successor trustee (not recommended), 117
as property manager for children (not recommended), 52
Uniform Transfers to Minors Act, cooperation with, 53
See also Bank accounts

Basis. See Tax basis

Bearer bonds, 120

Beneficiaries

overview, 24
alternate, and survivorship requirement, 27
alternate, as recipient of disclaimed gifts, 24, 171
alternate, for individual retirement programs, 142
alternate(s), 84, 102
alternate(s), whether or not to name, 27-28
of child's trusts, 55
choosing, 11-12
death of, and need to change your estate plan, 198
defined, 11
direct, 24-25, 84
of education trusts, 181
of individual retirement accounts, 128, 142-143
of joint tenancy share, 129
life beneficiaries of marital property trusts, 175
of living trusts, 105-106, 108, 118
living trusts as, 89, 102, 121
not used as witnesses to wills, 86
of pay-on-death bank accounts, 124-125
primary, 25
reciprocal, 132
See also Beneficiary complexities; Children; Discussion of your estate plan; Disinheritance; Life insurance; Living trusts; Residuary beneficiary; Trusts; Wills; specific types of instruments, e.g., individual retirement programs

Beneficiary complexities

overview, 29
irresponsible beneficiaries, 36, 62-63, 168-169
long-term care for a child with special needs, 34-35
pets as beneficiaries, 37
placing controls on gifts, 36-37
same-sex couples, 30-31
second or subsequent marriages, 12, 29, 174-175, 208-209
shared gifts, 33-34
simultaneous death of spouses, 38-39
unequal distribution of property, 32
unmarried couples, 30
See also Second or subsequent marriages; Special needs, children with; Unequal distribution of property; Unmarried couples

Bequests. See Gifts

Blended families, 29, 174-175. See also Marital property control trusts; Second or subsequent marriages

Boats

living trusts and, 121
transfer-on-death registration for, 126

Bonds. See Securities (stocks and bonds)

Businesses, gifts of interest in, 161

C

California

as community property state, 10
community property with right of survivorship, 133
domestic partners, 10
gifts to caregivers, 26
lawyers certified as estate planners, 192
probate-exemption laws, 96
resources on, 20
simplified probate for small estates, 92
statutory wills, 91
transfer-on-death boat registration, 126
transfer-on-death real estate deeds, 127
transfer-on-death vehicle registration, 126
See also Community property states; State laws

Capital gains taxes

advantage of transferring after death vs. gifting during life, 156
exclusion of principal homes from, and living trust, 109
inherited property does not incur, 146

Capital improvements, 154-155. See also Tax basis

Cardiopulmonary resuscitation (CPR), asking to withhold, 74-75, 77

Caregivers, gifts to, 26

Cash, 120

Certificate of deposit accounts, 124

Changes to your estate plan

overview, 17
amendment of documents ("codicil"), 199
and competence, legal requirement for, 17
death of beneficiary and, 298
estate tax law changes, 198
irrevocable trusts may not be changed, 162-163, 199
joint tenancy as irrevocable, 130
life events leading to need for, 197-198
living trusts as changeable and revocable, 198-199
new children, inclusion of, 47, 198
new documents vs. revision of documents, choice of, 199
pay-on-death bank accounts, 124-125, 199
physically destroying outdated documents, 199
revoking old documents, 199
wills, 199

Charitable gifts and reduction in estate taxes

charitable remainder trusts, 149, 169-170
charitable trusts, pooled, 169-170
estate tax deduction, 147, 149
tax-exempt charities, 160

Charitable remainder trusts, 149, 169-170

Checking accounts

living trusts not recommended for, 113
pay-on-death bank account as preferable for, 124

Children, 45-64

overview, 4-5, 46
adoption of, and need to change estate plan, 47, 198
adult children, 62-63, 182-183
as beneficiaries of individual retirement accounts, 143
blended families, 29, 174-175
disinheritance, requirement of clear expression of, 39
legally mandated inheritance by, 47
other people's children, leaving gifts to, 63-64
from previous relationships, 7
unequal distribution of property to, 32
young adults, leaving property to, 64
See also Beneficiaries; Child's trusts; College funds; Grandchildren; Irresponsible beneficiaries; Minor children; New children; Special needs, children with

Child's trusts

overview, 55, 56
for adult child who is irresponsible with money, 36, 62-63
age the child receives the trust, 54, 55, 56, 62
dollar amounts appropriate for, 56
duties of trustee, 55-56
for grandchildren or other people's children, 64
for life insurance proceeds left to children, 58-59
pour-over wills and, 89-90
separate trust for each child, 56
trust beneficiary (child), 55
trustee, alternate, 57
trustee, changing, 198
trustee, choice of, 55-56
trustee, reasonable compensation for, 55
trustee, successor, 55
See also Uniform Transfers to Minors Act (UTMA)

Citizenship. See Noncitizen spouses

Civil law system (of other Western countries), 94

Civil unions, tenancy by the entirety allowed for, 132

Clinician Orders for Life-Sustaining Treatment (COLST). See POLST (Physician Order for Life Sustaining Treatment)

Clothing, and living trusts, 113, 120

Coast Guard forms for boat title transfer, 121

Collectibles, 120

College funds

Coverdell education accounts, 60-61
education trusts, 180-182
529 education plans, 59-60
gift tax exemption for paying tuition bill, 153
Uniform Transfers to Minors Act and, 53

Colorado

electronic wills, 91
transfer-on-death real estate deeds, 127
transfer-on-death vehicle registration, 126
See also State laws

Comfort One. See Do-Not-Resuscitate (DNR) order

Common law states (equitable distribution states)

all states that aren't community property states as, 10
moving to a new state and changes needed in estate plan, 199
shared living trusts for couples, 110
waiving right to inheritance in prenuptial agreements in, 10
See also Spouse's right to inherit property in common law states (statutory inheritance rights)

Community property agreements (CPAs), 134

Community property states

community property agreements, 134
for domestic partners, 10
inheritance rules in, 10
legal half-interest in money the other spouse earns during marriage, and waiver of, 143
list of, 10, 110
moving to a new state and changes needed in estate plan, 199
with right of survivorship (ownership agreement), 133
separate property and, 10
separate property of spouses, conversion into community property, 134
shared living trusts for couples and, 110

Competence

durable power of attorney for finances and, 81
durable power of attorney for health care and, 69-70
in lawyers, 19
as legal requirement for a valid will, 40
as legal requirement to make changes to your estate plan, 17
as reason for court invalidation of a will or living trust, 40, 100
unmarried couples and need to establish proof of, 30
wills and living trusts requiring, 40
See also Duress; Fraud

Computer equipment, 120. See also Digital assets

Connecticut, transfer-on-death vehicle registration, 126. See also State laws

Conservatorship proceeding, 77, 130. See also Financial decisions if you become incapacitated

Contested will. See Lawsuits contesting your estate plan

Controls of gifts

lawyer for, 37
legal rule on length of time for, 36
See also Irresponsible beneficiaries; Property control trusts

Corporations, transferring to living trust, 121

Corpus of living trust, 104

Cost basis. See Tax basis

Court orders

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