Strategies for Avoiding Probate

When a person passes away, there are many financial and legal matters that remain. Probate, i.e., the estate administration process, is how surviving family members wrap up the deceased person’s final affairs. You streamline administration and maintain control over your estate by executing a will, but there may be ways you can avoid probate entirely. For instance:

• If you have real estate that you hold with someone else as joint tenants with the right of survivorship, your interest passes to other tenants at your death. There is no need for probate when property is titled with survivorship rights, as the tenants take their share by operation of law. Typically, married spouses hold real estate as joint tenants. You can create survivorship rights for joint tenants as part of estate planning.
• With many types of accounts, you can include a designated beneficiary to receive the proceeds upon your death. Checking, savings, retirement, and investment accounts may be structured as pay-on-death (POD) to a beneficiary. To access the funds, your beneficiary will only need a copy of a death certificate and an ID. Probate is unnecessary.
• With different types of living trusts, you can avoid probate for everything that is titled in the trust’s name. You do not own the asset, so it will not be part of your estate. With additional estate planning, it may even be possible to avoid court entirely. A “pour over” will distributes everything you own individually to the trust at death, leaving you with no or fewer assets.

Scenarios Without an Estate Plan

An effective way to stress the importance of estate planning is to show you what would happen if you do not prepare documents for asset protection, incapacity, and your legacy.

• Without a health care power of attorney, you may not be receiving the treatment you need while incapacitated. Your loved ones have to go to court to get permission to make decisions, which can take weeks.
• Your real estate and personal property could be subject to waste, damage, or destruction if you become incapacitated. There is no one to manage them, handle maintenance, conduct repairs, and help your assets maintain their value.
• If you pass away without a will, the laws of Nevada take over. Your assets are distributed to your spouse, family, and distant relatives based upon the statute on intestate succession. The result may be contrary to your intentions.

Legal Help and Advice on Estate Planning

There are many online and self-help solutions, but it is a mistake to entrust a computer with something as impactful and personal as estate planning. You will be checking a box, entering information, and possibly even signing digitally. Though it may seem simpler, you will not receive the benefits of knowledgeable consultation and personalized estate planning.

At Escobar & Associates, our team is dedicated to guiding you through the process confidently and giving you peace of mind about your future. Our Las Vegas estate planning lawyers will handle all essential tasks, so count on us to:

• Consult with you about your family situation, financial condition, background, and goals with estate planning;
• Develop an estate plan that helps achieve your objectives;
• Explain the function of all estate planning documents we prepare, reviewing each so that you fully comprehend;
• Making arrangements for signing estate planning documents, as some require neutral witnesses and notarization; and,
• Providing instructions for all follow-up, such as details on storage and who gets copies.

Other Probate Options in Nevada

• Affidavit of Entitlement: When an estate is valued at less than $25,000 and does not own any real estate in Nevada, you can use an Affidavit of Entitlement to gain access to assets.
• Set Aside without Administration: If the value of the estate is less than $100,000, you can employ this process for both real estate and personal property in Nevada. The laws require you to file a petition listing the decedent’s assets, heirs, and beneficiaries. The process enables you to distribute property without going through full estate administration.
• Summary Administration: With this process, you eliminate all steps of probate except for certain notices and the requirement to file an inventory. However, summary administration only applies to estates valued at $300,000 or less.

Starting the Estate Planning Conversation

It can be difficult to broach the subject since many people find the topic of estate planning to be morbid or depressing. However, the description above of what happens without an estate plan is also discouraging. Some tips on how to start the discussion about estate planning may help:

• Set a proper stage for the conversation. It may be something to discuss during a walk, over coffee, or at dinner. Make sure there will be sufficient time to have a meaningful talk and that your loved one is not distracted or moody.
• Keep an attitude of positivity and sincerity. There are numerous benefits to estate planning, so be prepared to describe them.
• You should also stress how making arrangements protects your loved ones. They will not need to go to court for guardianship proceedings to get the authority to manage your assets and health care.
• In your conversation, make special mention of the implications of incapacity. Many people think of death when they discuss estate planning, not realizing the lifetime benefits. 

Debunking Myths About Estate Planning in Nevada

There are many misconceptions that might affect people’s view of estate planning, and they allow misinformation to get in the way of a very important process. In addition to the information above, there are some myths that need debunking.

• Myth: You can create a verbal will. That is not true, as Nevada law requires a will to be in writing. It must be signed by the testator in the presence of witnesses, so making an oral will is not sufficient.
• Myth: Your trust is funded when you sign the agreement. This is a very major misconception, as failing to transfer title of assets to your trust means it is empty. YOU still own assets as an individual.
• Myth: A trust can help you avoid creditors. No, you cannot use a trust to make fraudulent transfers when creditors are pursuing you. Transferring title to prevent paying a debt is unlawful.
• Myth: You cannot change your estate plan. On the contrary, you can revoke, change, update, and amend any of your estate planning documents. The exception is an irrevocable trust.

Discuss Your Options with a Las Vegas, NV Estate Planning Attorney

It is helpful to review background information about options for estate planning in Nevada, but you can see the benefits of getting help from knowledgeable legal counsel. Escobar & Associates will carefully review your family and circumstances and advise you on an arrangement that will help achieve your goals. Please call 702.789.1422 or go online to schedule a free consultation with an estate planning lawyer. We can provide personalized advice and assist you in planning for incapacity and protecting your legacy.