A pour-over-will and a living trust can be used together to create an entire estate plan. These documents are significant for maintaining control over the disposition of your properties before and after you die.
When a living trust is created as part of your estate plans, the authorities will share your high-valued assets based on the instructions in the trust.
However, if you forget to add a property or certain things in the trust before your death, a pour-over-will will help you trace and include the missing assets.
Read through this post to learn how to use these two documents together.
How do a will and a living trust work into estate plans?
Before you die, you’ll probably want to be involved in the distribution of your inheritance, shaping your legacy, and ensuring your family is well taken care of after your death. A living trust and a will enable you to outline how you want these wishes to be fulfilled.
Generally, estate planning includes legal documents such as a living will, power of attorney, and many other relevant ones depending on your situation.
For instance, a person with high-value assets and a large estate can use a living trust. This is because this document ensures the distribution of assets does not pass through the public probate process, and the beneficiaries receive their shares quicker than testaments and last Will.
While you can also create a last will and testament, the Will might be slightly different in such cases.
Understanding a pour-over-will
This is a special kind of last Will and testament that works simultaneously with a living trust. A pour-over will transfers any missed properties and assets when you die.
This document acts as a backup plan that prevents necessary properties and assets from being left out mistakenly or inadvertently. While this kind of Will is simpler and less detailed than a normal one, it enables you to leave instructions not included in a living trust like:
- Appoint a guardian in case there is a minor or dependent child.
- Name the person who will execute your wishes in the Will.
- Identify gifts to be left for various people.
Using the last Will and a living trust together for your estate planning.
Because a pour-over will identify any property not included in a living trust, it provides an excellent backup option. And additional protection of your assets can offer you peace of mind.
With a Living trust and a pour-over Will, your trustees and executor can manage your estate based on the wishes in your Will. Even in instances of a mistake or an error.
The decision on whether to use a Last Will or a Living Trust depends on your estate’s size and the procedure you want to use in distributing your properties. Both have advantages, so assess your situation to find which one suits your needs best.
Everybody wants to ensure their estate is protected even after death. That is why they leave a Will having all the instructions on how to share the properties and the executor of these wishes.
A Living trust will include all these instructions, while a Pour-over will touch on all the properties not included in the Will either by mistake or oversight. It is therefore essential to use these two documents together to get complete protection of your estate. You may download a last will and testament form online for free at this website.