We created this estate plan for a married couple with two minor children, who had family overseas and dogs. The wife had an existing estate plan, but had gotten married and had two kids after it was executed.
Their goals were to update everything, create a trust to take care of their children, take care of their dogs, make it easy for their family overseas, and avoid probate.
We created an A/B trust plan for them, which included:
- An A/B Trust;
- A Power of Attorney for Minor Children;
- A Health Care Power of Attorney for Minor Children;
- Powers of Attorney for Finances;
- Powers of Attorney for Health Care;
- Health Care Directives;
- Disposition Instructions;
- A Quit Claim Deed to Trust;
- Letters to the Temporary Guardians; and
- A Babysitter Manual.
The A/B Trust allows the couple to place their assets into the trust, to be distributed in the manner they choose by the Trustee they name after they are gone. This type of trust assists the couple in most effectively managing their assets in accordance with the federal and state tax exemption limits. Upon the death of the first spouse, a trust for the deceased spouse is created, and their assets are either distributed then in the manner they choose, or held in trust and distributed with the residue of the estate after the other spouse’s death. The trust also allows them to provide for their children, dogs, and family overseas throughout their lifetimes.
The Wills designate people to act as guardians of the minor children, and name persons to act as Personal Representatives of the Estate if the clients miss transferring any assets into the trust during their lifetime.
The Power of Attorney for Minor Children names people to act as short-term guardians of the children if anything happens while the parents are still living.
The Health Care Power of Attorney for Minor Children states who the clients would like to manage their children’s health care if anything happens to them while they are still living.
The Powers of Attorney for Finances state people who the clients would like to manage their finances for them if an emergency happens and they are unable to do so in their lifetime.
The Powers of Attorney for Health Care appoint people to manage health care for the clients if they are unable to manage their own during their lifetime.
The Health Care Directives detail the type of health care the clients would like to have provided to them if they are ever in a permanent, vegetative state.
The Disposition Instructions list what the clients would like to happen to their remains after they are gone.
The Quit Claim Deed to Trust transfers the clients’ real property into the trust, so it will be distributed in the manner they choose by the Trustee without needing to go through probate.
The Letters to the Temporary Guardians are letters for short-term guardians to receive if an emergency happens and the clients are then living, and instructs the short-term guardians in regard to the next steps to take.
The Babysitter Manual is a document the clients may leave with a babysitter, to ensure the proper steps are taken to care for their children if any emergency happens to them while they are still living. It also lists the names and phone numbers of the parents, in addition to stating the names and numbers of the short-term and long-term guardians.
Need estate planning help but not sure where to start? Click the link to check out this free presentation I put together that will answer all your questions (it’s basically the talk I give at potential client strategy sessions):
And, if you know you just want to talk, click the link below to schedule a free strategy session with us: