Dying is inevitable, we’re all going to leave this earth one day. The sad part is, how we go is not up to us. We all hope we would take our final breaths surrounded by our loved one. However, this isn’t always the case, and for the majority of people, this will come true when their time comes. So before it gets to this kind of stage surely, we’d all like to make sure we don’t leave our loved ones with an empty bag. In this sense planning is the holy grail and nothing will substitute it. It isn’t as easy as we see in the movies when it comes to carving up our possessions and making everything clean-cut for the lawyers and such. Real life comes at your fast, and from angles, you sometimes can’t see. So you must be prepared to ride through the legal maze and not get lost. If you make a mistake here, there’s a big chance you could end up giving your friends and family the short end of the stick.
Who were your real friends
It’s a complicated question that buries itself back in our psyche. Can friends that aren’t our blood relatives be treated as such? Life is amazing, and in it, you meet people who you would be proud to call your brother or sister. But how much do they mean to you and do they deserve to be on the same level as your family? A clear conscious would say only the very few who have been with you through thick and thin. But you run into a conundrum because you’d like some things to be given to them if you pass away before they do. However certain things need to stay within the family such as items of sentimental value and property. However, you can give your friends cash lump sums and even other things like cars and music albums. Be mindful however that you do not cause conflict with them and your family who think they were owed what you left your friends. Have a conversation with both parties before writing anything into legal certainty.
Bypassing the banks
When you do pass away, the biggest gift you can give your children and other family members including your spouse, is the will that leaves them the property. It’s a popular belief but wrong, to think you need a bank’s authority to make this kind of large-scale transaction. Contrary to what the social consensus might be, you don’t need probate to take to your bank in order to secure the financial legalities. If you have a small state that you want to give to your loved ones and it’s of a value that’s under $150,000 you can utilize one of the methods that are an alternative to probate. For example if you had around $100,000 in a bank account but there was no beneficiary stated in the account but you did state them in the will you wrote, the firm will prepare the individual to execute an affidavit that will force the bank to release the funds to the person you solely named in the will. It’s a commonplace to think you need the bank but it’s just not true, only for higher amounts will the bank need proper sign off that legally satisfies them according to their policies. For smaller amounts, you can bypass the banks and make sure the money gets to the right person.
When leaving behind a large cash lump sum or an estate, one thing you’ll need to check before signing anything off on your will is the inheritance tax. This tax varies greatly among countries, states and sometimes regions. Put simply what this tax does is take a certain percentage of the money and value of the property that you are leaving behind for family members. There are thresholds with different values and circumstances. Much like the tax bracket, this tax behaves in a tiered response. It’s wise to check what bracket you fall under before you make the true estimate of what your wealth truly amounts to. Inheritance tax will also come with its own laws such as the rights of a particular person such as the spouse. However, if you have children, you can set your preference to be them first rather than your martial companion.
Of course, it goes without saying that planning is the end all be all when it comes to formulating a will. However laws change all the time, and this is why you need to make sure you are taking advantage of loopholes and technicalities wherever you can. It’s not like you’re cheating, you just want to give the best of your life to the people you love and not leave them holding an empty bag.