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Gubbels Law Office, P.C. 413 North Wilcox St. Suite 100 Castle Rock, CO 80104 Phone: (303) 688-1655 Fax: (303) 688-7511 info@gubbelslaw.com Copyright 2005 |
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Estate PlanningThe two files below are planning information sheets that you can download. They will be used by us to analyze your estate and to make estate planning recommendations.For Your Assistance in Completing the Information Sheet: 1. Property Titles Property may be owned in your individual name, in your spouse's individual name, in joint tenancy, or in tenancy in common. The ownership normally is shown by the registration, such as on a passbook, stock certificate or deed. If the ownership is in one name alone, you should list the value in the column for that person, the right or left hand column as the case may be. Sometimes the ownership is in two or more names. If the names are followed by the words "as joint tenants" or "JTTEN" or "JTWROS" or "as joint tenants with right of survivorship", this normally is regarded as joint tenancy ownership. It means that the property automatically becomes owned by the survivor if one of the persons should die. The full value of such jointly owned assets should be listed in the "Joint Tenancy" column. If property is titled to more than one person and it is not jointly owned, ownership is presumed to be as "tenants in common". This means that on the death of one owner, the decedent's share passes to his or her estate. If ownership is as tenants in common, show the value of the tenant's share in the applicable column (i.e. "You" or "Spouse"). If you and your spouse are the only tenants and there is no agreement to the contrary the total value would normally be equally divided. If you have lived in one of the community property states listed in Item 15 of the Personal Data part of the information sheet, some types of property, such as investments emanating from earnings while domiciled in a community property state, will be considered community property. If you have community property which you can identify as such, you might so indicate on the questionnaire, putting half the value in each of the columns for you and your spouse. 2. Some Matters You Should Consider Prior to Our Meeting There are some important designations that should be made by your will or trust. Prior to our initial conference, you and your spouse should consider the person or corporate entity you wish to fill the following roles: A. Personal Representative. Also commonly known as executor. The job of the personal representative is to handle the probate of an estate, usually assisted by an attorney. The personal representative is responsible for collecting the assets, determining the debts, preparing the tax returns, preparing accounts to the court for receipts and disbursements of assets and making final distribution of the estate to the beneficiaries. This job normally continues over a period of one to three years. You may designate a single personal representative or you may have personal co-representatives. Consider successor or alternate personal representatives in the event your first choice is unavailable or unwilling to serve. B. Trustee. If your estate plan will include or provide for the creation of a trust you will need to name someone as trustee. The responsibilities of the trustee normally last for a much longer period of time than those of the personal representative. The trustee is responsible for receiving assets from the personal representative, keeping accounts, safekeeping assets, filing income tax returns for the trust, and making distributions to the beneficiaries as directed by the trust instrument. Investment decisions are an important part of the trustee's responsibilities. Frequently, for tax reasons, it is not advisable to have a beneficiary (such as a spouse or a child) as trustee. However, a spouse or other beneficiary may act as trustee if certain limitations are imposed on the trustee's discretionary powers to distribute income or principal among family members. You may designate an individual or a bank as sole trustee or you may have co-trustees; that is, two or more persons, or a bank and one or more persons, acting together. C. Guardian of Minor Children and Conservator of Minor Children. If you have minor or incapacitated children, you and your spouse should designate a guardian and conservator to take care of your minor children in the event both you and your spouse are deceased. A guardian is responsible for seeing to the personal well being and education of the child, not from a financial standpoint but rather to make the day-to-day personal choices for the child. A conservator is responsible for the investment and management of the assets registered in the name of a minor child. The positions of conservator and guardian can be held by different individuals or by the same person. D. Agent for Living Will. A Living Will is a directive to withdraw life-sustaining procedures and how long artificial nourishment should be provided. Colorado law requires a terminal condition and seven consecutive days of the inability to communicate responsible decisions before the withdrawal of life-sustaining procedures. You can also direct how long artificial nourishment shall be provided after the initial seven day period. There are only two ways to deliver the living will. Either you can deliver it yourself or you can appoint an agent to deliver it for you. Given that you cannot know in advance who will be your treating physician at that time and you obviously will be unable to deliver it yourself once you are on a life support system, we have our clients execute a limited power of attorney appointing an agent for delivery. The Agent is authorized to deliver the Advanced Medical Directive (Living Will) to the doctor. E. Agent for General and Durable Power of Attorney. A General Power of Attorney gives your agent power over your financial business including day to day items such as paying your bills. This General Power of Attorney can either be an outright grant in which case it is effective immediately or a springing grant in which it is effective only upon your incapacity. In either case it should be durable, so as to remain effective even in the event of your incapacity. F. Agent for Healthcare Power of Attorney. In contrast to the General Power of Attorney, a Healthcare Power of Attorney gives your agent control over health care decisions. A Living Will only covers the narrow circumstances of being terminal and unable to responsibly communicate. A Healthcare Power of Attorney gives your agent the power to make medical decisions when you are simply unable to make and communicate rational medical decisions. |
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| Gubbels Law Copyright 2005 | ||