Wills & Trusts

A Last Will and Testament or “Will” is a document that is used for someone to direct where or to whom their assets go after they die. The person signing the Will is called the “Testator.” The person or entity that the person is leaving their assets to is called a “beneficiary.” Our St. Augustine Estate Planning attorneys guide our clients through the process of creating a Will that legally states their wishes. After the Testator dies, the assets have to go through the probate process to go to their new owner, the beneficiary. The probate process makes sure that the assets get to the correct beneficiaries after a proper administration. When assets are owned by a trust, then the probate process is not required for the assets to be transferred to the beneficiary. Bank accounts, retirement accounts, life insurance, etc, that have a beneficiary identified on the account also avoid the probate process. Not everyone needs a trust. It depends on the assets and beneficiaries involved. For example, if someone owns real estate outside of the State of Florida, then I will want them to have a trust so that property can be owned by the trust and not require an out of state probate after their death. The St. Augustine estate planning lawyers meet with each client to discuss their assets, requested beneficiaries, family circumstances and wishes to create the estate plan that fits their needs. At the end of the consultation, then we can give our recommendation based on the specific situation.

In addition to the difference of whether probate is required, Wills and Trusts differ significantly on the options of how to transfer assets to beneficiaries. A beneficiary of a Will receives their assets or cash directly from the estate near the end of the probate administration. A beneficiary of a trust could receive their share over the duration of many years in separate amounts based on age, choice of education, health care needs, life events such as a wedding or graduation, etc. The person making the trust is called the “Trustor” or “Settlor.” The Settlor gets to decide how and when the beneficiaries receive their share. We start with the first beneficiary preference but then go further to contingencies in case the first preference has already passed away when the Settlor dies. Creating the trust or will is the cornerstone of the estate plan. This is why the St. Augustine estate planning attorneys of Shorstein and Lee take it seriously to really understand the family circumstances and individual wishes of each client, to make sure that those wishes will be carried out upon the death of the testator or settlor.

There is also a possibility of directing that a trust be made through a Will. This is called a “Testamentary Trust.” The assets would have to go through a probate process to be distributed into a trust that is created during the probate process to receive the probate assets. Those assets are then distributed from the trust as directed in the Will. This can be good for individuals who would only need a trust if an unlikely disaster occurred, but they still want to be prepared just in case without having to go through the process of setting up the trust and transferring assets to it.

Our St. Augustine Estate Planning attorneys are here to help create the right estate plan for you. Call us today to set your consultation at 904-829-3035 and let’s get planning!