Pour-Over Wills Attorney in Dunkirk, Maryland

Estate planning is crucial to making sure your assets are managed according to your wishes after you pass. One key tool in this process is a pour-over will, which assures that any assets not already included in your living trust are transferred into the trust upon your death.

A pour-over will is one of many legal tools you can use to make sure your wishes are respected. At the Law Offices of Julie A. Schejbal, CHTD in Dunkirk, Maryland, we’re here to simplify the process and make sure you fully understand your options, whether you're looking to create a pour-over will or are simply trying to get your estate plan in order. 

Give us a call to set up a free consultation and learn how our Dunkirk pour-over will attorney can help you.

What Is a Pour-Over Will?

A pour-over will is a legal document that works in conjunction with a living trust to make sure that any assets left out of the trust are transferred into it upon death.

The primary purpose of a pour-over will is to "pour" any assets not already included in your trust into your trust upon your passing. These assets may include property, money, or personal belongings.

The benefit of a pour-over will is that it offers a safety net. Even if you fail to place all your assets in the trust during your lifetime, a pour-over will makes sure those remaining assets are still distributed according to the terms of the trust.

Here’s how it works:

• The will transfers assets to the trust: After your death, the pour-over will transfers all assets into your trust, avoiding the need for probate.

• Simplifying the process: It simplifies distribution by making sure that everything is handled through the trust, which is often a more efficient method than using a standard will.

• Reducing probate complications: A pour-over will helps to avoid the complications that often arise during the probate process, where assets must be publicly inventoried, evaluated, and then distributed. Assets that are transferred to the trust aren’t subject to probate.

Why Consider a Pour-Over Will for Your Estate Planning?

You might be wondering whether a pour-over will is really necessary for your estate plan. After all, it’s an extra step, right? Well, here are a few reasons why it might be a good idea to include one:

• It covers all your assets: Sometimes, life gets busy, and you might forget to update your trust to include all of your assets. A pour-over will makes sure that those overlooked assets are caught and moved into the trust after your passing. Without a pour-over will, those assets could end up going through probate.

• It’s simple and efficient: A pour-over will can make your estate plan more streamlined. If you have a living trust set up, a pour-over will makes sure that everything falls under one umbrella and is distributed according to your wishes.

• It protects your family: When assets are placed in a trust, they avoid the long, public probate process. A pour-over will helps make sure your loved ones get what you intended for them without unnecessary delays.

• It works with your living trust: If you already have a living trust, a pour-over will acts as a backup, making sure that anything not covered in the trust still ends up in the right hands.

The Basics of Estate Planning in Maryland

When it comes to estate planning in Maryland, there are several tools at your disposal, and a pour-over will is just one of them. If you’re considering how best to structure your estate, understanding the basics of estate planning is a good place to start. A few essential elements to consider include:

• Creating a will: A will is a basic document where you lay out your wishes for your estate after your death. A pour-over will, as we’ve mentioned, assures that any assets left out of a living trust are transferred into that trust upon death.

• Setting up a living trust: A living trust is a legal entity that holds your assets during your lifetime and allows them to be transferred to beneficiaries without the need for probate. A pour-over will supports this structure by making sure that any assets outside of the trust are included upon death.

• Power of attorney: This legal document allows you to designate someone to make decisions on your behalf if you become incapacitated. A power of attorney is a key component of estate planning and can make sure that someone you trust will take care of financial matters for you if you’re unable.

• Health care directives: A living will or health care directive allows you to outline your medical wishes in the event that you can’t communicate them yourself. This is another important part of an estate plan that makes sure your health care preferences are respected.

Key Considerations When Setting Up a Pour-Over Will

Setting up a pour-over will isn’t a one-size-fits-all process. Here are some important factors to consider when incorporating one into your estate plan:

• The type of trust you have: A pour-over will is designed to work in tandem with a living trust. It’s important to determine whether your trust is revocable or irrevocable, as this can impact how assets are distributed.

• Trust fund management: Consider who will manage your trust after your death. You may want to choose a trustee who’s trustworthy and capable of handling the responsibilities of managing your estate.

• Tax implications: Estate taxes and other financial factors can complicate estate planning. A pour-over will may not be able to avoid estate taxes in some cases, so it’s essential to understand the potential tax implications and how to minimize them.

• Regular updates: Life changes—people get married, have children, or acquire new assets. Regularly updating your estate plan, including your pour-over will and trust, makes sure that your plan reflects your current wishes.

How a Pour-Over Will Helps Avoid Probate

One of the most significant benefits of a pour-over will is its ability to help avoid the probate process. Probate is the legal process in which a deceased person’s estate is administered, and it can be lengthy, expensive, and sometimes public. By transferring assets to a living trust, a pour-over will can help minimize the time and cost associated with probate.

When your assets are transferred to a living trust before your death, they don’t go through the probate process. When you pass away, the pour-over will directs those assets to the trust, making sure they’re managed according to your wishes. Your family or beneficiaries don’t have to go through the hassle of probate for those assets.

What Happens If You Don’t Have a Pour-Over Will?

If you don’t have a pour-over will, assets that aren’t included in your trust may be subject to probate. This can lead to delays and complications in distributing your estate. Even if you have a living trust, any assets not explicitly transferred into the trust during your lifetime will still need to go through probate.

Without a pour-over will, your estate plan could be incomplete. That’s why it’s crucial to work with an experienced estate planning attorney to make sure that everything is properly arranged.