No one likes to ponder their own mortality. However, this discomfort often leads to an overlooked yet essential task: estate planning.
What happens if you die without a will or trust? The repercussions of dying intestate (without a will or trust) can be far-reaching. Here’s a closer look at the potential consequences and why establishing a will or trust is crucial.
The State Determines Your Estate’s Fate
In the absence of a will or trust, state intestacy laws decide how your assets are distributed. This automated distribution may not be consistent with your true wishes. For instance, in Connecticut, your spouse and children would share your assets, possibly leaving your spouse with less than you intended.
A Time-Consuming and Costly Probate Process
Without a will or trust to guide asset distributions, your estate undergoes a particularly complicated trip through probate, a court-supervised process that can be lengthy and expensive. Probate expenses will eat into your estate, and the proceedings become a matter of public record, compromising your family’s privacy.
The Court Chooses Guardians for Your Children
A will is vital for parents with minor children because it lets you name a guardian in case of your untimely demise. Without a will, the decision falls to the court, and their choice may not coincide with your preference, potentially creating upheaval for your family.
Potential for Family Disputes
Dying intestate can lead to conflicts among surviving relatives about asset distribution. Tensions can escalate and result in long-lasting family disputes. A clear will or trust can minimize these disagreements, preserving family harmony.
Unfulfilled Personal Wishes and Legacy
Without a will or trust, your personal wishes and legacy may not be honored. Whether you wish to leave a significant contribution to a favorite charity, pass an heirloom to a dear friend, or provide for your pet’s care, these desires remain unfulfilled if you die without a will or trust.
Higher Estate Taxes
Strategic estate planning, including wills and trusts, can help reduce estate taxes, leaving more assets for your beneficiaries. However, dying intestate could result in unnecessary taxes, diminishing the wealth left to your loved ones.
Delayed Access to Assets
Without a will or trust, the probate process can delay your beneficiaries’ access to your assets. Conversely, a funded living trust enables almost immediate asset distribution after death, offering timely financial support for your loved ones.
These negatives underscore the significance of having a will or trust. Estate planning isn’t exclusively for the rich – it’s an essential step for everyone, irrespective of the size of the estate. It’s about ensuring your wishes are respected, your loved ones are provided for, and your legacy continues as per your direction.
Complete Our Complimentary Estate Planning Worksheet
There is a great deal of information on this site that you can go through to build on your estate planning knowledge. One of the tools that we highly recommend is our estate planning worksheet.
It has been carefully prepared to provide people with a more comprehensive understanding of this very important process. This is a complimentary resource, and you can visit our worksheet access page to get your copy.
Need Help Now?
If you have decided that it is time for you to work with a Westport or Glastonbury, CT estate planning lawyer to put a plan in place, we can help. You can send us a message to set the wheels in motion, and you can alternately give us a call at 860-548-1000.
Mr. Nirenstein is licensed to practice before the courts of the State of Connecticut and the United States District Court. He is a member of the Connecticut and Hartford County Bar Associations, and the Estate and Probate, Elder Law, Business Law and Real Estate Sections of the Connecticut Bar Association.