When a person in Colorado Springs starts developing an estate plan, they may initially think of what assets they want to pass down to their spouse, children and other loved ones. However, they may not initially think of what will happen to their pets if they pass away before their pet does. Our furry friends need protection in such times, so those undergoing the estate planning process will also want to address how they want their pet cared for if their pet outlives them.
Transfer on death (TOD) accounts go by many names. Sometimes they are referred to as Totten trusts or as payable-on-death accounts. What a TOD does, though, is provide a means for a person in Colorado to pass on assets to their spouse or another loved one in a manner that is simple, making them an important and attractive part of a well-rounded estate plan.
Actor, Luke Perry, made famous by his work on the 1990s teen television drama, "Beverly Hills 90210," tragically passed away from a stroke earlier this month. He was only 52 at the time of his death. He leaves behind a fiancé, two adult children, his mother, siblings and other loved ones. His loved ones, along with his fans in Colorado and across the nation, will feel his loss keenly.
It is not unusual for a married couple in Colorado to have children, and then later divorce. Sometimes, one or both parents will remarry, creating a blended family. While it is generally good for people to end a marriage that is simply not working out, and for these individuals to find love again when their children are grown, estate planning when it comes to blended families can be complex.
If one has a child, it is often the case that they want their child to inherit their assets when one passes away. Therefore, those with children may execute a will or trust to ensure this happens. However, estate planning is important for anyone, including those who do not have children. This is because without an estate plan, the state will determine who will inherit one's assets and make decisions on their behalf.
A resident who is executing an estate plan may want to consider including a trust in their estate plan. Trusts can be useful vehicles for passing assets on to a beneficiary. Two basic types of trusts are living trusts and testamentary trusts.
While many people in Colorado may have a vague idea that they'll receive an inheritance from their parents, they may stay more or less in the dark until their parents have passed, and their will is read. However, it is entirely possible to sit down and have a conversation with your parents about their inheritance plans while your parents are still alive, and, in fact there are some good reasons for doing so.
Life is rarely static, and Coloradans can expect that as they age, they will see many changes in their life. Family members may have come into or gone from their lives, they may have worked their way up the corporate ladder and many other major life events may have occurred over the years. It is important, then, that one's estate plan reflects these changes.
The recent passing of President George H.W. Bush less than eight months after the passing of his wife serves as a good example of what some in Colorado believe to be "broken-heart" syndrome, in which loving spouses die within quick succession of one another. While "broken-heart" syndrome may seem to some to be a mere romantic fancy, there are very real estate planning issues that will arise when only a brief period of time passes between two spouses' deaths. This is particularly true when it comes to beneficiary designations.
Some people in Colorado might execute a will or trust, and then consider the matter open and shut. However, estate planning is truly an ongoing process. There are many reasons why it is good to review your estate plan periodically, to ensure it still meets your needs and wishes, as well as the needs of your loved ones.