These clients had an estate worth over $11M, but their children were barely old enough to go to college. With an estate including a home, a rental property, various investments, and a shared interest in an LLC, they wanted to make sure that their children were taken care of but also not given more than they could handle. They had an outdated plan but needed a new one.

Based on their needs they chose to do the foundational/trust/tax trust package, which includes:

– Credit Shelter Trust;
– Wills;
– Powers of Attorney;
– Medical Powers of Attorney;
– Minor Power of Attorney
– Minor Medical Power of Attorney
– Health Care Directive;
– Disposition Instructions; and
– Quit Claim Deeds moving real estate into the trust

The Credit Shelter Trust is a special type of Revocable Living Trust married couples can use to double their WA state estate tax exemption amount from $2.2m to $4.4m.

The Will does three things: (1) name long-term guardians for the kids if something happens to both of them; (2) name a personal representative (i.e. executor) of the clients’ estates; and (3) ensure all assets get into the trust, even those the client failed to allocate.

The Power of Attorney names people to manage the clients’ finances if they are ever incapacitated.

The Medical Power of Attorney nominates people to manage the clients’ health care if they are unable to do so themselves.

The Minor Power of Attorney and Minor Medical Power of Attorney acts as a short-term guardian designation in case both parents are incapacitated at the same time.

The Health Care Directive tells the client’s Medical Power of Attorney what to do if they are in a vegetative state (i.e. pull the plug or not).

The Disposition Instructions state what the clients would like to happen to their remains after they are gone.

The Quit Claim Deeds transfer the clients’ interest in real property to their trust, so it will avoid going through probate.

__________________________________________________________

Need help with estate planning or probate? Click here to schedule your free consultation.