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What Are the Documents Required to Create a Will in Colorado?

Mon, 02 Dec 2024 21:44:09 GMT

What Are the Documents Required to Create a Will in Colorado?

Creating a will is an important step in ensuring that your wishes are carried out after your passing. In Colorado, the process of drafting a valid will involves specific documents and requirements. At Klein Law Firm, PC, we are committed to providing legal assistance to the Denver public, guiding you through the steps necessary to create a will that reflects your wishes.

Key Documents and Information Required to Create a Will in Colorado

Personal Identification Information
To start the process, you’ll need to provide basic personal information, including your full legal name, date of birth, and address. This helps ensure that your will accurately identifies you and that there is no confusion about your identity.
List of Assets
A thorough inventory of your assets is crucial to ensure that your property is distributed according to your wishes. This includes real estate, vehicles, bank accounts, investments, retirement accounts, personal belongings, and business interests. Providing detailed information about each asset, including account numbers, titles, and the current value, will help ensure an accurate division.
Beneficiaries Information
You must identify the individuals or organizations who will receive your property upon your passing. For each beneficiary, provide their full name, relationship to you, and, in some cases, their address. You may also want to specify what portion of your estate each beneficiary will receive, whether it's a specific asset or a percentage of your overall estate.
Executor Information
Your will must name an executor or personal representative who will be responsible for carrying out the instructions in your will. The executor handles administrative duties such as settling debts, distributing assets, and filing necessary legal documents. You’ll need to provide the full name and contact information of your chosen executor.
Guardianship Information (if applicable)
If you have minor children, it’s important to designate a guardian who will be responsible for their care and upbringing in the event of your passing. You should provide the full name and contact information of your chosen guardian. It’s also advisable to discuss this decision with the person you plan to name as a guardian to ensure they are willing to take on this responsibility.
Witnesses
In Colorado, your will must be signed by two disinterested witnesses (individuals who are not beneficiaries or related to you). These witnesses must be present at the time you sign the will. It’s important to choose witnesses who are of legal age and can attest to your mental competence at the time of signing.
Signed and Notarized Document
After drafting your will and having it witnessed, you will need to sign the document in front of your witnesses. While notarization is not required in Colorado, having the will notarized can help strengthen its validity and ease the probate process.

How Klein Law Firm, PC Can Help

Creating a will is a significant step in planning for the future and protecting your loved ones. At Klein Law Firm, PC, we provide expert legal guidance to ensure that your will is valid and reflects your true wishes. Our attorneys will help you understand the legal requirements, gather necessary documents, and draft a comprehensive will tailored to your unique needs.

Contact us today to schedule a consultation, and let us help you protect your legacy and provide peace of mind for your family.

What is Probate, and How Long Does It Take in Denver?

Mon, 28 Oct 2024 15:26:42 GMT

What is Probate, and How Long Does It Take in Denver?

Probate is a legal process that occurs after someone passes away, during which their estate is settled, debts are paid, and remaining assets are distributed to heirs or beneficiaries. This process is overseen by the court to ensure the deceased’s wishes, as expressed in their will, are honored or, if there is no will, that Colorado’s inheritance laws are followed. At Klein Law Firm, PC , we assist Denver residents with all aspects of probate, helping families navigate this often complex process smoothly.

What is Probate?

Probate involves several steps to legally transfer assets to the deceased person’s heirs. If there’s a will, the court validates it and ensures that assets are distributed accordingly. If there isn’t a will, the estate is distributed according to state intestacy laws. The probate process generally includes:

Appointing an Executor or Administrator : This person manages the estate through probate, handling tasks such as paying debts and distributing assets.
Inventorying the Estate : All assets are accounted for, including property, bank accounts, investments, and personal items.
Paying Debts and Taxes : Outstanding debts, bills, and taxes must be settled from the estate before distributing remaining assets.
Distributing Assets : Once debts are paid, assets are distributed to heirs or beneficiaries according to the will or state law.

How Long Does Probate Take in Denver?

The duration of probate can vary widely depending on the complexity of the estate, the clarity of the will, and whether disputes arise. On average:

Simple Estates : For smaller, uncomplicated estates, probate may take as little as six to nine months.
Complex Estates : For larger estates with numerous assets, debts, or disputes, probate can extend to a year or more.
Uncontested vs. Contested : If beneficiaries agree on the will’s terms, probate can progress faster. Contested cases, where beneficiaries disagree or challenge the will, can significantly extend the timeline.

How Klein Law Firm, PC Can Help

Understanding probate can be challenging, especially while grieving a loss. At Klein Law Firm, PC , we provide compassionate, knowledgeable support to guide Denver families through each step of the probate process. We strive to streamline the process, protect your rights, and help ensure a timely, effective resolution.

If you’re facing probate in Denver, contact Klein Law Firm, PC to learn how we can help make the process as smooth and efficient as possible.

What Actually Is A Trust? Who Needs A Trust In Colorado?

Mon, 13 Nov 2023 20:57:44 GMT

What Actually Is A Trust? Who Needs A Trust In Colorado?

A trust is a legal arrangement that sets up an entity to essentially hold your assets. With a revocable living trust, you would generally be the trustee or manager, and you would also be the beneficiary during your lifetime. If you have re-titled your assets in the name of the trust, there is no need for a probate court administration when you pass away or lose capacity, because the assets aren’t held in your own name. The trust is written in such a way that you can appoint new trustees to step in if you lose capacity or die, and they would be the new beneficiaries upon your death. Essentially the trust is a legal entity that outlives you and has a lot of flexibility in terms of how you want to structure things for your beneficiaries.

There are also other types of trusts such as irrevocable trusts, but those trusts are generally used for specific purposes such as tax planning. The revocable living trust is the standard estate planning trust that most people would use.

As for the question of who needs a trust, it really depends on what your goals are. Some people ask me if they have enough money for a trust. I’ve talked to people with modest estates who don’t know if they have enough money for a trust, but I’ve also talked to people with quite a lot of money who don’t know if they have enough money for a trust. My answer is that it doesn’t really matter how much money you have beyond a certain point; it just matters what you’re trying to accomplish. We can do a lot of planning with a trust that is either not possible or much harder to do in a will. In general, a trust costs more and requires more effort to set up on the front end, but over the life of the trust it should cost much less money because you don’t have to go through a court proceeding.

Can Or Should I Have More Than One Trust?

You can. Sometimes we do other types of trust for tax planning. Sometimes spouses who have mixed families and separate assets create two separate trusts. You might have your own trust and your spouse might set up another trust with you as a beneficiary. It’s possible to have multiple trusts. In general people just do the one, but there are circumstances where it’s appropriate to have more than one.

What Are The Different Types Of Trusts And Their Purposes?

There is a standard revocable estate planning trust. That is intended to be your primary estate planning document so your estate can avoid probate court. It can include some tax planning and it will also describe who should receive your assets upon your death as well as how and when they will do so. It describes who is going to be in charge of settling your estate. The revocable trust is the broadest trust.

There are other more specific trusts you can do. There are irrevocable trusts which are often used for tax planning or asset protection. There are a number of different types of trust, but revocable and irrevocable are the two main types.

There is also what’s called a testamentary trust. That is a trust that is written into the will but it doesn’t come into existence until after the person dies. A testamentary trust comes into existence through the probate court administration, in contrast with a living trust which is set up during your lifetime. In general, I advise people to do a living trust rather than a testamentary trust because a testamentary trust does not provide the benefit of avoiding probate.

What Are The Legal Requirements Of Setting Up An Effective Trust?

You must have three parties: the trustor is the person who sets up the trust, the trustee is the manager of the trust, and the beneficiary or beneficiaries would get the benefit or use of the trust assets. There are a number of provisions that you want to have in there to take advantage of this type of planning. You want to not only outline who is in those roles but all the terms and provisions that are necessary for it to work properly.

You also have to fund the trust – a trust has to own assets. This is a step a lot of people skip or forget about, which is unfortunate. If you don’t put your assets in the trust then it doesn’t work, and we would still have to go through probate court. The way a trust works is that it owns your assets and it outlives you – it just has new trustees and beneficiaries in the future. If it doesn’t own anything then it doesn’t have anything to manage.

If the trust didn’t get funded while you were still alive, we’d have to go through a probate court to have assets re-titled. You should always have a will as well as a trust, because the will can function as a backup plan. If the will just states “I leave everything to my trust,” the legal term for that is a pour-over will. Think of it as pouring assets over to the trust. However, it would still have to go through probate court, which could have been avoided if you had gotten everything in the trust while you were alive.

For more information on Trusts In the State Of Colorado , an initial consultation is your next best step. Get the information and legal answers you are seeking by calling 720-802-5171 today.

What Assistance Do You Provide To Clients Going Through Probate?

Thu, 26 Oct 2023 15:56:46 GMT

What Assistance Do You Provide To Clients Going Through Probate?

I provide all levels of representation in probate court, including uncontested matters in which I ensure that deadlines are met, the proper person is appointed, and the estate’s being properly administered and closed. I also work on contested matters involving disputes over estates.

What Exactly Is Probate?

Probate is the legal process of changing title or ownership of an asset from a deceased person to that person’s heirs or descendants. It is also the forum in which creditors can make claims, and disputes over the estate can be resolved.

Is There More Than One Type Of Probate?

There is informal probate and formal probate. Informal probate is an unsupervised estate administration, meaning that the court is not involved in the day-to-day administration of the estate and there are no hearings unless the party requests it. A formal probate means that there is judicial supervision and hearings on each matter.

What Factors Set The Stage For Probate To Occur In Arizona?

In Arizona, probate will occur if a person dies with assets in excess of the small estate exemption, so long as those assets are not jointly owned and do not have beneficiary designations. In Colorado, probate will occur if a person dies with any real estate that is not jointly owned or assigned a beneficiary designation.

Is Probate Necessary?

Probate is not always necessary.

What Are My Options To Avoid Probate?

There are several ways to avoid probate, such as by having a properly funded trust, joint tenancy with right of survivorship, and beneficiary designations (which are available on real estate and most bank accounts in Colorado). Joint tenancy and beneficiary designations sometimes fail to avoid probate if the beneficiary or other joint tenant dies before the other. Therefore, a trust is the most effective way to avoid probate because it’s a more sophisticated plan that can take into account contingencies that a beneficiary form or designation cannot.

Can Someone Realistically Navigate The Probate Process Without An Attorney?

It’s possible to navigate the probate process without an attorney, but in most cases, it does not work. Unfortunately, the probate process is not intuitive. An individual can save a lot of time, headache, and money by hiring a lawyer.

What Is The Expected Outcome Once The Probate Process Is Complete?

The expected outcome of probate is for the decedent’s assets to be conveyed to their heirs or beneficiaries under the will (if there is a will). Money for attorney fees, court fees, and publication fees will be lost in the process of probate. The cost of disputes over an estate can be significant, as can the amount of time for probate to be completed.

How Long Does The Probate Process Generally Take?

At minimum, the probate process generally takes four to six months. This is because there are periods of time that must elapse for creditor claims. The probate process can take significantly longer if the person who is administering the estate works slowly, or if disputes arise. The longest case I have ever worked on took eight years to resolve.

For more information on Avoiding Probate In The State Of Colorado, a free consultation is your next best step. Get the information and legal answers you are seeking by calling 720-802-5171 today.

How Can Someone Avoid Probate?

Thu, 26 Oct 2023 15:55:23 GMT

How Can Someone Avoid Probate?

In the interest of efficiency, it is best to avoid court proceedings in the administration of an estate. This can be done through the creation of a properly set up trust. The trust will need to be administered, but it will be done so privately and efficiently. Creating a trust will be more expensive on the front end to set up than a will-based plan, but it will ensure the avoidance of high costs associated with probate after death.

Why Would Someone End Up In Probate Litigation?

There are infinite reasons people argue and sue each other. Common reasons include disagreements regarding who should be in charge of an estate, questions of validity, and disputes about capacity (often when there is no clear medical evidence that the person knew what they were signing). In addition, allegations of undue influence can lead to probate litigation. Undue influence can be seen in cases involving people who are not incapacitated, but simply vulnerable and easily influenced by someone they thought they could trust.

Other disputes arise when the personal representative of the estate fails to follow the terms of the will, fails to communicate properly, or fails to conduct the proper accountings. This is why it is very important to give careful consideration to who is given the authority to act as personal representative of an estate.

I’ve handled many cases wherein a child was accused of having taken advantage of their parent before they died. In some situations—especially those in which the decedent was like the glue maintaining the relationship between family members—the death itself increases people’s willingness to fight with the other beneficiaries in order to gain as much as they can from the estate.

For more information on Avoiding Probate Process In Colorado, a free consultation is your next best step. Get the information and legal answers you are seeking by calling 720-802-5171 today.

What Actually Is Probate?

Thu, 26 Oct 2023 15:53:54 GMT

What Actually Is Probate?

Probate is the court administration of a decedent’s estate. In general, when a deceased person owns assets and those assets don’t have a way to transfer on their own to a beneficiary, then those assets are in what’s called the decedent’s estate. Probates can be either testate or intestate. Intestate means that the person died without a will and the state intestacy laws will be followed instead. It’s a procedure whereby the decedent’s creditors are paid and past matters are settled. In general, the probate process takes six months to one year to complete, but it can take significantly longer if there is a dispute or creditor issues.

What Misconceptions Do People Have About The Probate Process?

Many people have the misconception that the probate process is very intimidating, but in my experience, it doesn’t have to be. For example, Colorado allows for informal probate, which is a fairly efficient system wherein court hearings are not necessary and the estate is not supervised by the court. Despite the belief that probate is a horrible result, with the appropriate guidance it can be a straightforward and efficient process.

What Actually Happens During The Probate Process?

The first determination must be whether or not a particular case requires probate. This determination is made after an analysis of the assets and the value of the probate estate. In Colorado (and most states), there’s a minimum threshold. For estates in Colorado that are under $65,000 and do not contain any real estate, a small estate administration procedure can be followed in lieu of probate.

If probate is necessary, then the next question is whether it should be opened formally or informally. Most of the time, it should be opened informally because informal trade is much more efficient and less expensive, and there’s no court supervision. The court essentially grants powers to the personal representative, which is a person who is tasked to handle certain duties and meet certain deadlines regarding the estate. Unless there’s an objection or someone raises a concern regarding the personal representative, the court will only ensure that the deadlines are being met.

Formal probate occurs when there is a disagreement about whether or not the person had a will, or who should serve as personal representative. If the estate has been sitting for a long time and no one bothered to open probate, then it may need to be opened formally, which requires a hearing for appointment.

Once the decision to pursue formal or informal probate has been made, several documents will be filed in order to open the case. If it is informal probate, then a person will generally be appointed as personal representative within a few days. If it is formal probate, then there will have to be a hearing during which the personal representative is appointed as the fiduciary who is in charge of the probate estate.

After someone has been appointed, notice that the appointment has happened must be sent to all interested parties, including creditors. A legal classified notice will have to be made in order to reach potential unknown creditors. These notices initiate the statutory clock on creditor claims. Once the personal representative has been appointed, they have 90 days to file an inventory of the estate, which is a list of all the assets the decedent owned that are subject to probate (this excludes assets that are in a trust or that have a beneficiary designation). The inventory form is the starting point for the decedent’s estate accounting.

The personal representative is also responsible for completing the final tax returns. Any income earned after death will be reflected on an estate income tax return. The personal representative also has the responsibility to sell assets or determine how the assets are going to be distributed. For example, they would have the authority to sell a house, or transfer investments. Before the case can be closed and at least once per year, the personal representative is to do a full accounting of everything that’s happened in the estate.

The estate can be closed in one of two ways. The first way is by filing a sworn statement that all beneficiaries and creditors have been paid and that the taxes have been completed. Once that statement has been filed, the case will sit for one year; if there’s no activity within that year, then the court will close the case. The other way to close probate is through a formal closing, which involves petitioning the court for an order to close the estate.

For more information on Probate Process In Colorado, a free consultation is your next best step. Get the information and legal answers you are seeking by calling 720-802-5171 today.

How Can A Trust Avoid Probate In Colorado?

Thu, 26 Oct 2023 15:48:18 GMT

How Can A Trust Avoid Probate In Colorado?

A trust avoids probate because your assets are not in your own name when you die, they are in the name of the trust. The trust will outlive you and have new trustees and beneficiaries in the future. The purpose of probate court administration is to determine what should be done with the assets of a deceased person. The probate court has a process to make sure that creditors get paid and that taxes get paid. Everything’s done in a certain order and eventually the remaining assets are transferred to the beneficiaries or heirs.

A trust avoids all that because the trust is the owner. The person that set up the trust has it set up so that someone else can take over when they can’t manage it anymore and someone else gets the benefit of the trust when they’re gone. The court doesn’t have anything to do because it’s already been set up to handle the death of the trustor.

What Generally Needs To Be Done To Settle Or Administer A Trust After Someone Dies?

The first step is to get the new trustee appointed. Usually that’s just in the form of an affidavit. The new trustee or trustees would sign the affidavit, and they can then replace the deceased trustee as the manager of the trust’s assets. There is a legal procedure to notify creditors and to shorten the statute of limitations for creditor claims – if you don’t give notice then creditors have a much longer period of time to come forward than if you give notice.

The trustee will need to inventory all the assets, figure out what the person owned, and get everything appraised. They have to keep very careful books and records because at the end of the day they’ll have to render an accounting to the beneficiaries showing what assets there were, what came in, what went out, and what’s left at the end of the day. They have to do the tax returns for the deceased person. There’s usually the final individual return and then there will be trust income tax returns for larger estates to determine whether a federal estate tax return has to be filed. They may have to move money around in such a way as to make it more manageable. They may need to sell things to make distributions to pay the creditors and taxes. They may need to negotiate with the creditors – sometimes there’s an opportunity to negotiate after somebody has passed away depending on the creditor or the situation.

At the end of the day they have to follow the terms of the trust and distribute the assets the way the trust is written. In general, the trustee will need the advice of counsel to figure all that out, especially to help them interpret how the trust terms are written. They’re also going to need the help of an accountant, because there are several tax returns and some bookkeeping requirements. While a trust is more efficient than going to probate court administration, you still are going to end up doing many of the same tasks. It’s just that you can do all this privately rather than through a court.

How Long Does It Generally Take To Settle A Trust?

It’s a minimum of four to six months. That’s due to the length of time required for creditor notices. You have to give them an opportunity to respond. Sometimes a trust is written in such a way as to just keep going after the person is deceased, so in that case it could be years. There are cases when a trust just keeps going for decades with the beneficiaries receiving money from the trust. In some circumstances, it could all be wrapped up in four months.

Can Someone Realistically Handle Trust Administration Without An Attorney’s Assistance?

Generally, no – there are some people who have a background in accounting or finance or maybe even in law that can handle it with minimal assistance from counsel and then there are some people that are just completely lost and they need as much assistance from the lawyer as they can get. I would say in general that you must hire a trust and estate lawyer. You’re going to need advice to make sure you’re carrying out your fiduciary duties properly as trustee. A lot of mistakes can be made because a lot of it isn’t intuitive. You can get yourself into real trouble because if you mismanage a trust, there’s a possibility of you being personally liable. I suppose a person very familiar with the process could do it, but it wouldn’t be advisable.

For more information on Trusts Avoiding Probate In Colorado , an initial consultation is your next best step. Get the information and legal answers you are seeking by calling 720-802-5171 today.

What Is The Importance Of Funding A Trust?

Thu, 26 Oct 2023 15:47:11 GMT

What Is The Importance Of Funding A Trust?

Getting a trust set up can be emotionally difficult for many people. Once they sign the trust, they sometimes feel like they’ve done what they needed to do. However, there are still steps to take after the trust has been executed, including transferring assets into the trust.

I always take care of the real estate for my clients and then give them a set of instructions for what to do with the other assets. I also follow up six months later to make sure that they’ve done it. Sometimes when people do it on their own or if they use a low-cost document preparation service, they don’t realize that the trust isn’t going to work properly unless they fund it. Sometimes they are told, but they just don’t follow through. Some of these things cannot be done without talking to the bank and talking to a financial adviser, and they just never follow through with it.

People sometimes acquire a new asset and forget that they need to have the title in the name of their trust. Sometimes people forget to make sure that the beneficiary on their IRA or life insurance matches the beneficiary on the trust. Some people end up putting their children on their accounts even though they have already gone to all the trouble to have a trust made, which causes all kinds of issues.

Sometimes people refinance. If you refinance your house, the lender may require you to take it out of the trust to close on the financing. The lender will often tell you that they’ll just put it back in the trust after you close but if they never end up doing so then the family might not realize that. This sort of thing happens all the time, which is why you need a pour-over will to catch anything that didn’t get put in the trust.

Ideally, though, it’s better to stay on top of it. Just remember in the back of your head that you have this trust and that things need be titled in a specific way. Sit down with a lawyer every couple of years and review all your assets to make sure everything is in the trust.

If I Put My Assets In A Trust, Does That Mean I Lose Control Of Them?

No, you would still be the beneficiary and you would still be the trustee. The trustee has all the same authority that you would have had as the direct owner. You can still buy things, sell things, borrow against things, or whatever else needs to be done. As the trustee, you’ll have all the authority that an individual has, and since you’re the sole beneficiary while you’re alive, you can use your money in any way you want.

Generally speaking, you cannot protect your assets from creditors just by putting them in a trust. However, you can protect them from your beneficiaries’ creditors. For example, if you leave your assets to your children upon your death and the trust is set up properly, your children’s creditors can be kept out of the assets you leave for them. That includes creditors from lawsuits, bankruptcies, and divorces. There are ways to set up trusts to protect your assets from your own creditors. There are certain jurisdictions that allow for what is called a self-settled asset protection trust. Some of them are overseas, and there are a couple of states that allow it now.

Is A Will Just As Good As A Trust? Do I Need Both?

It depends on what you’re trying to accomplish. In general, a will costs more to administer because we have to go through the whole probate process which can take a lot of time and money. A trust is more sophisticated than a will because you can avoid probate court and you can also do a lot of very specific planning that you cannot do with a will. Whether one is better than the other really depends on your situation. I would define “better” as what’s best for your circumstances. In some cases, it doesn’t make sense to do a trust and you should just do a will. In some cases, it makes more sense to do a trust. It just depends on the client’s situation and goals.

For more information on Funding A Trust In The State Of Colorado , an initial consultation is your next best step. Get the information and legal answers you are seeking by calling 720-802-5171 today.

What Does Funding A Trust Actually Mean?

Thu, 26 Oct 2023 15:45:45 GMT

What Does Funding A Trust Actually Mean?

Funding a trust is the process of changing the title on assets from the individual owner to the name of the trust. In order for a trust to work properly, it has to be funded, which means it must own assets. There are certain assets that cannot be put into a trust. For example, a retirement account has to be held by an individual taxpayer. However, during the funding process, the trust could be named as the beneficiary of the retirement account.

Who Is Ultimately Responsible For Funding A Trust?

Ultimately, the trustor or the person who created the trust is responsible for funding the trust. Our firm can help a person initially fund their trust, but that person will need to update us over time in terms of what assets they have acquired and what assets need to be put in the name of the trust.

What Happens If A Trust Is Not Funded Properly Or Not Funded At All?

If there are assets that are not in the trust nor tied to the trust through beneficiary designations, then those assets may need to go through probate. One purpose of establishing a trust is to avoid having a probate court handle the administration of the estate, as that is both time-consuming and expensive.

What Assets Can Be Put Into A Trust? Is There Anything That Cannot Be Put Into A Trust?

A trust can own anything that a person can own, with the exception of qualified retirement or tax-deferred plans held by taxpayers who are still living. However, a trust can be designated as a beneficiary of a retirement account, and as long as the trust is drafted properly, the beneficiaries would receive the account with the same tax treatment as they would have if they received it directly.

Is There A Lookback Period For Putting Assets In A Trust In Terms Of Asset Protection?

In general, there’s a two-year lookback period for putting assets in a trust for the purposes of asset protection. However, it could be longer if the transfer is being done to defraud or hinder creditors. The sooner an asset protection plan is created, the better the chances of avoiding those types of arguments.

Can I Add New Assets To My Trust At Any Time?

Since the assets an individual owns throughout their lifetime will likely change, they will need to add new assets to their trust over time. For example, a new house or a new bank account would need to be properly funded in the trust.

Do I Need To Retitle Assets To Add Them Into A Trust?

Assets must be retitled in order to be added to a trust. In fact, retitling assets is the purpose of funding a trust. A trust has to be the owner of the assets in order for it to work properly.

What Is The Actual Process Of Funding A Trust? Is It Difficult?

The process of funding a trust is the process of retitling every asset in the name of the trust, or tying every asset to the trust through a beneficiary designation. The process is not difficult, but does require a significant amount of follow-up and attention to detail. For this reason, it is important to coordinate with an attorney to make sure it gets done properly. All too often, people procrastinate or don’t realize that they need to continue funding a trust once it’s been established. This is a serious oversight, because an improperly funded trust could result in a probate estate, which would undermine one of the purposes of establishing the trust in the first place.

How Is Real Estate Placed Into My Trust?

Real estate is put in a trust by drafting a new deed on the title of the real estate. The owner of the real estate would sign a deed conveying the asset from him or herself to themselves as trustee of their trust.

Do I Need An Attorney To Assist Me In Funding A Trust?

An attorney is not necessary for funding a trust, but in my experience, most trusts will never get properly funded without the assistance of an attorney. It is helpful to have an attorney ensure that funding is done in a timely manner.

For more information on Funding A Trust In The State Of Colorado, a free consultation is your next best step. Get the information and legal answers you are seeking by calling 720-802-5171 today.

What Should Be The Ultimate Goal Of A Proper Estate Plan?

Thu, 26 Oct 2023 15:43:24 GMT

What Should Be The Ultimate Goal Of A Proper Estate Plan?

A proper estate plan should accomplish the client’s goals. Every client has a different life, a different family, a different situation, and different priorities. My job is to take those goals and put them in the form of a legally enforceable plan that’s practical and will give them some peace of mind. No one wants to leave a headache for their families, so the process of settling the estate should be as smooth as possible. People who have lost a family member are already going through a lot. If you have the foresight to get everything done before they experience that loss, it can help them out tremendously.

When Is It The Best Time To Start Planning For Your Estate?

It’s never too late, and I don’t really think it’s ever too early either. I’ve worked with people that are very young and don’t really have any assets yet but they have young children and want to make sure that everything’s taken care of for them. I’ve worked with people who are well into retirement and have large estates and significant assets. There is no one correct time because nobody knows what’s going to happen or when they’re going to go. It’s always better to have a plan in place.

What Is A Will? Does A Will Need To Be A Part Of Every Estate Plan?

Yes, a will should be part of every plan. The will is basically a court document that is meant to be administered in a probate court. The will tells the probate court who to appoint as executor of the estate. It will also have provisions for bonding and allowances, and it will describe how the estate will ultimately be distributed.

Are There Any Limitations To A Will, Or Is it Sufficient On Its Own?

There’s nothing wrong with just having a will. However, there are ways to avoid having to use a probate court to administer your estate. Probate court is a public process, and it can be expensive and time consuming. If you want to avoid probate, there are ways around it.

What Are Some Other Key Components Of An Effective Estate Plan?

An estate plan should include powers of attorney for both property and health. These documents give someone the authority to handle your affairs if you’re still alive but not functioning – if you’re incapacitated due to an accident or stroke or dementia or for some other reason. Power of attorney for your property allows someone to make sure your bills are getting paid. Power of attorney for health gives someone the authority to determine what kind of care you’re going to get, where you’re going to live and so on.

That person could also have the authority to stop treatment if you’re in a condition that is not recoverable, based on your own wishes for end of life care. If you have a terminal illness and you’re in a permanent coma or a vegetative state, do you want treatment to continue or do you just want to be kept comfortable? A living will is a document in the health care power of attorney that would outline your wishes in that situation. The plan should also include a health care privacy law release so the person you’ve nominated for this role can get the information needed to determine if you are incapacitated.

You also would need to review the titling on all your assets, including your home, your savings, your retirement, and any other accounts. All the beneficiaries should also be reviewed as part of this process.

Finally, it is often a good idea to set up a trust. This will allow your estate to avoid probate administration if it’s set up and funded prior to your death. Administering a trust involves many of the same procedures as probate, but they’re all done privately. A trust is generally more efficient and less expensive to administer than a probate case.

How Often Should I Review And Update My Estate Plan?

At a minimum, you should review your estate plan every two years. You should also review it any time things change. I always advise clients not to just put these documents in a drawer and forget about them. You should take the plan out every two years and read it, do the math again, make sure it still makes sense for you – that things haven’t changed in your life and you haven’t changed your mind about anything. You can also reach out to me of course. If the law has changed, if someone has passed away or someone has become disabled or sick, or if any other circumstances have changed that might affect the plan, then it should be reviewed at that time rather than waiting.

For more information on Ultimate Goal Of An Estate Plan In Colorado , an initial consultation is your next best step. Get the information and legal answers you are seeking by calling 720-802-5171 today.

Can Someone Set Up An Estate Plan Without An Attorney?

Thu, 26 Oct 2023 15:41:44 GMT

Can Someone Set Up An Estate Plan Without An Attorney?

While it is possible to try to set up an estate plan without an attorney, it is unlikely to work as expected or hoped. In part, this is because there are certain questions that most people would never stop to think about had an experienced professional not asked them. For anyone who doesn’t think about estate planning matters on a daily basis, it can be very challenging to navigate the process of creating an estate plan. By hiring a professional, there will be no question as to whether everything was done properly.

What Are Some Potential Pitfalls When Someone Tries To Create Their Own Estate Plan?

Failing to create a proper estate plan by trying to complete it without the assistance of an attorney can lead to hundreds of thousands of dollars in litigation costs. In addition, most people who work without an attorney will remain unaware of certain planning options that could help them greatly. For example, rather than disinheriting a disabled family member for fear of rendering them ineligible to continue receiving government assistance, an individual has the option of creating a special needs trust. When working without experienced legal counsel, there is only a small chance that the individual’s wishes will be followed after their death.

What Sets You And Your Firm apart In Handling Estate Planning Matters?

I operate as a solo practitioner and don’t take on as many clients as a large firm, which means I am able to be highly responsive to each and every client. I take the time to make sure that what we’re doing is appropriate for the individual. Unlike many attorneys who choose one practice area or the other, I have experience both as a probate court practitioner and an estate planning attorney. As a result, I am familiar with all available techniques, I know what to encounter in probate court, and I am aware of issues that many probate litigators don’t understand, such as tax and special needs planning.

For more information on Setting Up An Estate Plan Without An Attorney, a free consultation is your next best step. Get the information and legal answers you are seeking by calling 720-802-5171 today.

How Often Should I Review Or Update An Estate Plan?

Thu, 26 Oct 2023 15:40:52 GMT

How Often Should I Review Or Update An Estate Plan?

It is recommended to review and update an estate plan any time there is a change in life circumstances (e.g. a loved one passes away or a beneficiary becomes disabled) or a change in the law that affects how the estate plan is interpreted or administered.

Although an irrevocable trust is unchangeable, most states have a provision that allows a person to petition the court to modify an irrevocable trust if it becomes impractical or if circumstances have changed that were not anticipated by the state law. In some cases, consent from all affected parties might be sufficient to change an irrevocable trust. However, it is much more difficult and expensive to have an irrevocable trust changed than to have a revocable trust changed.

What Are Potential Remedies For Trusts That Are No Longer Working?

If there is a problem with a revocable trust, an amendment to the trust document can be made in order to fix the problem or revoke the trust. If there is a problem with an irrevocable trust, the court can be petitioned to allow for a change to that trust, which may be granted if the trust has become impractical or if circumstances have changed that were not anticipated by the state law.

When Can A Trust Be Terminated?

A revocable trust can be terminated by taking the assets out of the trust and revoking it. This is sometimes done during the divorce between two people who previously created a revocable trust together.

Some trusts terminate by their own terms. For example, if the assets in the trust have been distributed and there’s nothing further for the trust to administer, then its terms have been carried out and the trust would be terminated.

Does Modifying A Trust Create More Challenges For The Estate In The Future?

If a trust is terminated by its own terms as a result of the distribution of all assets, then the beneficiaries of those assets may need to set up their own estate plans, which may include a trust. Some trusts are designed to hold assets in trusts for the beneficiaries to avoid this problem. In addition, trusts can be designed to protect the beneficiaries’ assets from creditors and spouses. If divorcing spouses terminate a trust that they created together, then each spouse would have to create a new, separate trust in order to avoid probate at a later time.

For more information on Reviewing/Updating An Estate Plan, a free consultation is your next best step. Get the information and legal answers you are seeking by calling 720-802-5171 today.

What Are The Key Components Of An Estate Plan?

Thu, 26 Oct 2023 15:37:03 GMT

What Are The Key Components Of An Estate Plan?

One of the key considerations in the creation of an estate plan is whether a will-based plan or a trust-based plan better suits the client’s goals and amount of assets. For people who own multiple properties, own a business, have special needs family members, have a blended family, or have a taxable estate, a trust is strongly recommended. For other people, a will-based plan including powers of attorney and the names of beneficiaries will suffice.

What Are Some Different Types Of Estate Plans That May Be Suited For Different Age Groups?

A good estate planning attorney will take into account the specific circumstances that apply to the client, including their wishes and the type of assets they own. If someone has a special needs child, it will be very important to ensure that the assets they leave to that child do not interfere with that child’s eligibility for government assistance.

If a husband and wife each have children from different relationships, then it will be important to plan in a way that lowers the possibility of the surviving stepparent having to engage in a dispute with the children of the deceased spouse. Without planning, disputes and/or litigation are almost guaranteed to occur.

A young couple with no children may or may not want to create a trust. A will-based plan with beneficiary designations is less expensive on the front end, and puts the cost on the back end for the family to absorb down the road. In my experience, most people who do not have children are primarily concerned about providing for each other.

When working with someone who is on their deathbed, the primary consideration is whether they are competent. In some cases, more harm than good can be done by trying to plan on death, especially if there are questions about capacity. In these situations, my goal is to obtain a medical opinion about the individual’s decision-making ability, and then determine what type of planning can be accomplished.

What Are Some Common Trusts That People Should Be Aware Of?

A revocable trust is also referred to as a living trust and can be amended, revoked, or changed during one’s lifetime. This type of trust is the centerpiece of many estate plans. After the death of the person who created a revocable trust, the trust becomes irrevocable. A testamentary trust is usually written into a will and only goes into effect upon death. Irrevocable trusts are usually created with a specific planning purpose in mind, such as tax planning, asset protection planning, or credit shelter planning.

For more information on Key Components Of An Estate Plan, a free consultation is your next best step. Get the information and legal answers you are seeking by calling 720-802-5171 today.

What Are The Top Misconceptions That People Have About Estate Planning?

Thu, 26 Oct 2023 15:34:08 GMT

What Are The Top Misconceptions That People Have About Estate Planning?

A common misconception about estate planning is that the creation of an estate plan is a one-time transaction, and that once a plan has been created, it can be put away and forgotten about. While it is always better to have a plan than to not have a plan, it is critical to occasionally review estate plans to ensure that there haven’t been any changes in the law that affect it, and that everything remains accurate.

Many people have pipe dreams about how their estate plan will be carried out; having worked with estate plans both post-death and during the pre-planning stages, I am able to advise clients as to how realistic their estate plan is, and provide suggestions for how to adjust an estate plan in order to ensure a particular outcome.

Other misconceptions revolve around what happens when specific accounts are left in the names of specific people. Since accounts often change in value or get closed, it is usually better to leave percentages of assets or specific assets to beneficiaries. Married couples often create their estate plans in ways that assume they will die simultaneously, which would be unusual. In these cases, I explain to them what their plan is missing, and how to change their plan so that it is consistent rather than arbitrarily made based on which spouse passes away first.

Do Most Attorneys Just Do A One-Time Estate Planning Document?

Most attorneys just complete one-time estate planning documents for their clients, thereby leaving those clients without an attorney to help them ensure that their plan stays up to date and reflects their wishes as their lives change.

What Should Be The Ultimate Goal Of A Proper Estate Plan?

The goal of an estate plan is to ensure that upon a person’s death, their wishes are carried out and their assets go where they wanted them to go. An estate plan should also account for how the individual wants to be cared for during their lifetime in the event that they become incapacitated or otherwise unable to manage the affairs of their estate. Lastly, an estate plan should address health care and end-of-life matters, and name an individual who would be responsible for making health care-related decisions in the event that the individual becomes unable to do so themselves.

Why Do People Put off Creating An Estate Plan?

The majority of Americans pass away without having done any estate planning. In some ways, this is understandable because it is not pleasant to have a conversation about death, disability, and taxes. However, I have found that once someone finally does estate planning, they experience a tremendous sense of relief.

When Is The Best Time To Start Planning For My Estate?

I’ve worked with clients who were in their twenties, and clients who were on their deathbeds; with the exception of cases wherein the person has already lost capacity due to Alzheimer’s, a stroke, or other condition, there isn’t a time that is too early or too late to begin estate planning. With that said, the earlier the better.

Is Estate Planning A One-Size-Fits-All Process?

Estate planning is definitely not a one-size-fits-all process. Every plan should be tailored to the details of the individual’s life, values, and assets, all of which may change over time. This means that working with someone who is in their 20s or 30s will involve addressing different issues than those that would be addressed with a retiree.

For more information on Misconceptions About Estate Planning, a free consultation is your next best step. Get the information and legal answers you are seeking by calling 720-802-5171 today.

daniel-klein

What Are the Documents Required to Create a Will in Colorado?

What Are the Documents Required to Create a Will in Colorado?

﻿ Key Documents and Information Required to Create a Will in Colorado

How Klein Law Firm, PC Can Help

What is Probate, and How Long Does It Take in Denver?

What is Probate, and How Long Does It Take in Denver?

What is Probate?

How Long Does Probate Take in Denver?

How Klein Law Firm, PC Can Help

What Actually Is A Trust? Who Needs A Trust In Colorado?

What Actually Is A Trust? Who Needs A Trust In Colorado?

Can Or Should I Have More Than One Trust?

What Are The Different Types Of Trusts And Their Purposes?

What Are The Legal Requirements Of Setting Up An Effective Trust?

What Assistance Do You Provide To Clients Going Through Probate?

What Assistance Do You Provide To Clients Going Through Probate?

What Exactly Is Probate?

Is There More Than One Type Of Probate?

What Factors Set The Stage For Probate To Occur In Arizona?

Is Probate Necessary?

What Are My Options To Avoid Probate?

Can Someone Realistically Navigate The Probate Process Without An Attorney?

What Is The Expected Outcome Once The Probate Process Is Complete?

How Long Does The Probate Process Generally Take?

How Can Someone Avoid Probate?

How Can Someone Avoid Probate?

Why Would Someone End Up In Probate Litigation?

What Actually Is Probate?

What Actually Is Probate?

What Misconceptions Do People Have About The Probate Process?

What Actually Happens During The Probate Process?

How Can A Trust Avoid Probate In Colorado?

How Can A Trust Avoid Probate In Colorado?

What Generally Needs To Be Done To Settle Or Administer A Trust After Someone Dies?

How Long Does It Generally Take To Settle A Trust?

Can Someone Realistically Handle Trust Administration Without An Attorney’s Assistance?

What Is The Importance Of Funding A Trust?

What Is The Importance Of Funding A Trust?

If I Put My Assets In A Trust, Does That Mean I Lose Control Of Them?

Is A Will Just As Good As A Trust? Do I Need Both?

What Does Funding A Trust Actually Mean?

What Does Funding A Trust Actually Mean?

Who Is Ultimately Responsible For Funding A Trust?

What Happens If A Trust Is Not Funded Properly Or Not Funded At All?

What Assets Can Be Put Into A Trust? Is There Anything That Cannot Be Put Into A Trust?

Is There A Lookback Period For Putting Assets In A Trust In Terms Of Asset Protection?

Can I Add New Assets To My Trust At Any Time?

Do I Need To Retitle Assets To Add Them Into A Trust?

What Is The Actual Process Of Funding A Trust? Is It Difficult?

How Is Real Estate Placed Into My Trust?

Do I Need An Attorney To Assist Me In Funding A Trust?

What Should Be The Ultimate Goal Of A Proper Estate Plan?

What Should Be The Ultimate Goal Of A Proper Estate Plan?

When Is It The Best Time To Start Planning For Your Estate?

What Is A Will? Does A Will Need To Be A Part Of Every Estate Plan?

Are There Any Limitations To A Will, Or Is it Sufficient On Its Own?

What Are Some Other Key Components Of An Effective Estate Plan?

How Often Should I Review And Update My Estate Plan?

Can Someone Set Up An Estate Plan Without An Attorney?

Can Someone Set Up An Estate Plan Without An Attorney?

What Are Some Potential Pitfalls When Someone Tries To Create Their Own Estate Plan?

What Sets You And Your Firm apart In Handling Estate Planning Matters?

How Often Should I Review Or Update An Estate Plan?

How Often Should I Review Or Update An Estate Plan?

What Are Potential Remedies For Trusts That Are No Longer Working?

When Can A Trust Be Terminated?

Does Modifying A Trust Create More Challenges For The Estate In The Future?

What Are The Key Components Of An Estate Plan?

What Are The Key Components Of An Estate Plan?

What Are Some Different Types Of Estate Plans That May Be Suited For Different Age Groups?

What Are Some Common Trusts That People Should Be Aware Of?

What Are The Top Misconceptions That People Have About Estate Planning?

What Are The Top Misconceptions That People Have About Estate Planning?

Do Most Attorneys Just Do A One-Time Estate Planning Document?

What Should Be The Ultimate Goal Of A Proper Estate Plan?

Why Do People Put off Creating An Estate Plan?

When Is The Best Time To Start Planning For My Estate?

Is Estate Planning A One-Size-Fits-All Process?

Key Documents and Information Required to Create a Will in Colorado