Ask an Attorney: Consider all the consequences

Question: I am a widow and I would go to my house, my daughter, if I die. If I am an act that I own well with it as a tenant with a right to survivor’s pension?

Answer: The signing of such an effect, the means to achieve the objective, to ensure that the house is for his daughter after your death, and would also ensure that the Assembly is not scheduled by the home.

However, there are problems with this type of planning for the fortune.

First, your daughter, co-owners of the building that you made a gift to your daughter. Provided that the value of the interest your daughter is worth more than $ 12,000 (the annual gift tax exclusion amount), you have a file a gift tax for a statement regarding of this report to the IRS.

In most cases, no taxes actually paid to be at this stage, but the gift has not yet been reported.

Moreover, given that his daughter was now in a facility of the property, all creditors of your daughter would be able to meet their interest in the property. Their interests are not protected, in so far as they are not considered residents of private property.

Finally, if you and your daughter, a fall, you do not have the power to remove, as owner of the building.

A better approach would be to sign the so-called “beneficial effect.” Receiver document it is stated that, after your death, your interest in all of the property is transferred to the beneficiary who is your daughter in this case -. The act must be signed before your statements and death, but the transfer will not enter until you die.

The transfer in the context of an act of beneficiaries out of the opening of wills. They may revoke or modify the act’s name receiver at any time. The beneficiaries were acts of Arizona since 2001, and the law is a useful tool for estate planning.

Q: Do I need a living trust, so that my presence will not be with us by whom? I heard that if my presence at the crossing of the state might think, all assets, and the process could take years.

A: Probate often last longer than most people expect, and with the heart, all your assets in a trust is a way to avoid that, in our country, deal with them. Most of the horror stories you hear about Arizona are simply not true.

Each state has a different process for the opening of wills, Arizona, it is relatively straightforward. If a trust is for you and your family must be decided on a case-to-case basis.

Many people with whom I have spoken have misconceptions on trusts and setting us.

I am going home, the process in detail in next month’s column.

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