FAQs: Heads of Households
Q: If my will is contested, to what degree will the probate court take care of things for my spouse?
A: Probate can be a long, arduous process-and one you don't want to inflict upon your loved ones during a difficult time of grief. Thorough estate and asset protection planning can help you avoid this outcome by installing appropriate and legally sound vehicles and making your wishes clear.
Q: How can I make sure my children, and not creditors, get what I leave them?
A: A will is a first step, but your planning shouldn't end there. A solid, comprehensive asset protection plan can help reinforce your will with vehicles and layers of protection that stand up in a court of law. This helps to ensure that your hard-earned assets remain in your family and provide a legacy for future generations.
Q: Can I ensure that the assets I leave my child remain within my family, and not with the family of his or her spouse, when my child passes away?
A: Absolutely. You've worked too hard to not be able to pass on your wealth in exactly the way you desire, well into the future. The McLawhorn Firm can help you discover just the right set of vehicles and asset protection structures to make your vision of a legacy reality.
Q: I'm an entrepreneur who's financially responsible for my elderly parents. If someone sues my business, will the resources I use for their care be safe?
A: That depends. A wide range of vehicles are available to help business owners protect their personal and family assets, including family limited partnerships and trusts. How your business is structured-as a corporation, LLC, sole proprietorship or other entity-also can make a difference between potential vulnerability and solid protection.
Q: Is my current insurance enough to cover my and my family's expenses if I'm incapacitated?
A: It's hard to say without examining specific policies. What we can tell you: Many people and families find themselves tragically surprised by the many expenses that can accrue as a result of an illness or injury and by unforeseen gaps in their coverage. Insurance-specifically, ensuring you have enough of it-is an essential part of any estate plan.
Q: I own property in Virginia, Maryland and the District of Columbia. Will my will be sufficient to specify who gets what?
A: In some cases, possibly-however, we don't recommend it. We suggest that everyone prepare, as a bare minimum, a living will and designate a trusted family member or friend with financial power of attorney for property and financial matters, as well as power of attorney to represent your wishes in healthcare decisions should you become incapacitated.
Situations that involve property law across multiple jurisdictions might demand even more protection and planning vehicles. For instance, putting the property in a revocable living trust would enable the assets in the trust to be passed on to your loved ones outside of the probate process. Otherwise, the property would be subjected to probate in each jurisdiction - costly for your estate and time-consuming for your executor.
Have questions of your own? Contact The McLawhorn Firm today for a consultation.
IRS CIRCULAR 230 DISCLOSURE: Unless expressly stated otherwise, any U.S. federal tax advice contained in this website is not intended or written by THE MCLAWHORN FIRM to be used, and any such tax advice cannot be used, for the purpose of avoiding penalties that may be imposed by the Internal Revenue Service.
