WHY DIY ESTATE PLANS ARE ONE OF THE MOST EXPENSIVE ESTATE PLANNING MISTAKES
Would you trust YouTube to rebuild your car’s brakes? 🚘
Probably not.
So why trust your family’s future to a DIY estate plan?
Online forms and software can only work with the information you enter. They can’t recognize family dynamics, legal issues, or planning opportunities that could cost your loved ones thousands later. The cheap estate plan you use today can become the most expensive mistake tomorrow.
If you’re ready to protect your family with a plan that’s built for you, we’re here to help. Schedule a consultation with Great Lakes Family Probate & Estates at (888) 554-5373.
Read more on our blog: https://www.glfpe.com/can-ai-write-your-estate-plan-why-michigan-families-still-need-an-estate-planning-attorney.
WHAT IS A LADYBIRD DEED AND WHY DO YOU NEED IT?
A Lady Bird Deed (also known as an enhanced life estate deed) is a special type of deed which allows real estate to be transferred to one or more individuals (or a trust) upon your passing. Essentially, it allows you to add a “beneficiary” to the real estate you own. The benefit of using a Lady Bird deed as opposed to a traditional life estate deed is that you keep the authority over the property during your lifetime. You can mortgage, refinance, rent or even sell the property as you wish. You do not need permission from the “beneficiary.” Whereas, once a traditional life estate is conveyed, you may not sell, mortgage, convey or gift the property without consent of the “beneficiary.”
UNDERSTANDING WILLS
Everyone knows what a last will and testament is, but do you really understand how it works? Common knowledge acquired through movies, television and even music can be wrong. Clients occasionally will ask: when does the reading of the will take place or how much do I have to leave my estranged child to keep them from contesting the will? Test your knowledge with this video.
PROTECTING YOUR FAMILY COTTAGE FOR FUTURE GENERATIONS
What Happens When There’s No Cottage Succession Plan?
If you pass away without a plan for your family vacation home, your heirs will inherit the property together, usually as tenants in common. While that may work well for the first generation, as in our example at the beginning of this article, you can have more than a dozen joint owners once a second or third generation inherits their parents’ portion of the cottage. Problems arise when one family member wants to sell their portion or has a creditor who tries to force a sale. On top of this, there may be disputes over who uses the cottage, and when, and who is responsible for maintenance and taxes. To avoid conflicts over ownership, expenses, and sharing, you should consider creating a cottage trust or an LLC for your family vacation home. An experienced Michigan trusts and estates attorney can guide you through your options and help develop the best plan to protect your family cottage for future generations.
ESTATE PLANNING FOR UNIQUE COLLECTIONS
Stamps, figurines, movie posters: Lots of people collect these items, and their heirs find it easy enough after the collectors pass away to put them back into circulation. But what if your eye tends to more unusual objects? Do you have a plan for the 11,000 bottles of hot sauce in your basement, or the 105 bagpipes the neighbors love to hear you play? How about your small but exquisite collection of incunabula?
The collector’s vision is an idiosyncratic one, which is exactly why their collections are so unique and memorable. But they can also be difficult to put a price on, and can be subject to surprisingly high taxation when they are. To ease the burden on their beneficiaries, and to make sure a beloved collection is handled in keeping with their wishes, collectors should include it in their estate plan.