Legal Question in Wills and Trusts in California

If you have only a will, then you will have to go through Probate, which is costly and time consuming. A trust is a much better option. I don't recommend simply trying to patch something together on your own, particularly with a 401k as a significant asset. I deal with cleaning up botched estates all the time. It is terrible for families to have to incur the frustration and legal expense that could have easily been prevented. The cost to do it right is so much less expensive (think of it as preventative medicine) and so much easier on your children ultimately. Please contact me and I would be happy to provide a free consultation to discuss various options for you and your husband.

The end of life preferrences you mention do not exist with any binding effect unless they are part of a Will or Trust. A written note saying on your death the eldest child get the car, does not result in anythig except to inform the people who wil share in your estate that if they are nice they should agree to switch around some of the assets of your estate.

There are books, especially from Nolo Press, that cover the topics of Wills and Trusts. Each can have certain advantages, but in general most probate attorney's prefer a revocable Trust [never, never an unrevocable one because then you are stuck with the terms and the Trustee who runs it] with a pour over Will to handle those assets not mentioned in the Trust or the titles not yet transferred to the Trust.

You seem to be above the normal intelligence level, and you wrote iln complete, correct sentences. But I have no way of knowing if you are smart enough to prepare competently both documents. More importantly, are you emotionally strong enough to do more than split the assets equally among the three children [doing so means the selling of your home as it is worth more than 33% of the total assets]. I think you should learn what the law is and then after thinking out in detail who you want to get what [and perhapws putting in the variable that the a child who takes care of you in your final illness before you die be rewarded with a larger share than the others, etc.] then go to an expert to be sure the documents are properly prepared, your understanding of the law is correct, you are using the best approach to achieve what you want done, etc. The money you spend now may reduce some of the adverse emotional distress and reaction that will result among your heirs.

You should also see someone about financial planning. It is wonderful that iln three years you will be able to have a house free and clear of debts, but that means yo will have an asset worth several hundred thousand sitting there earning nothing. You could find a safe investment that pays more than a home interest loan and make money. If your house is worth $300,000 and you can make 4% more per year than the mortgage rate, youwould make $12,000. If you ilnvested most of your one million in assets, you could make about $40,000 per year without drawing down any of the principal, You might want to get term life insurance, additional health insurance coverage, etc.

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Estate planning is something that I never advise clients to do on their own. There is a great deal of misinformation on the web when it comes to estate planning, and I have reviewed some of the forms that my clients have obtained on their own. I can tell you from experience that they are either legally insufficient, or contain provisions that do things the people don't want.

It may seem expensive, but seeking the advice of an attorney who specializes in Estate Planning will actually save you a lot of time, money and heartache in the long run.

Find an attorney who is a certified specialist in estate planning.

Best,

Daniel Bakondi, Esq.

[email protected]

415-450-0424

The Law Office of Daniel Bakondi, APLC

870 Market Street, Suite 1161

San Francisco CA 94102

http://www.danielbakondi.com

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this is an important time to not only develop and implement an estate plan that will achieve your goals, but to also consider asset protection as part of an overal assessment of your situation. in my experience self-help plans and documents seldom accomplish what it is intended and often create unexpected difficulties and problems. a qualifed attorney is essential to a sound estate and asset protection plan.