Top Estate Planning Attorneys in the Burlingame, CA Area

Have You Started Estate Planning Yet?

Estate planning is more than just drafting your will. It is about protecting your loved ones, preserving your assets, and ensuring your medical and financial wishes are honored. Estate planning can help your family avoid probate, minimize taxes on your estate, and safeguard your family’s future.

California has unique state laws that influence inheritance, trusts, and estate taxes. This means you need to work with an experienced estate planning attorney who can maximize the transfer of wealth to the next generation and minimize the amount of time they have to deal with the legal process.

A comprehensive estate plan involves many moving parts, and The Singh Law Firm is here to help you every step of the way.

Why is Estate Planning Essential in California?

When someone dies, their estate must pass through probate before it can be distributed to their family. Probate is the process of validating the decedent’s will. The courts will work with the decedent’s executor to gather and assess the value of the decedent’s estate. The executor will pay any debts owed by the state, pay the final taxes owed by the estate, and then distribute the remaining assets to the decedent’s beneficiaries.

Creating a will and specifying how you would like your assets to be distributed is one of the simplest parts of estate planning. Yet, people die every day without a will, leaving the probate court in charge of the distribution of their assets.

Estate planning also includes tactics that help minimize taxes that must be paid by your estate before they can be distributed to your family. Estate taxes can eat an exorbitant amount of your estate before your family ever gets the wealth you worked hard to provide them. Proper estate planning can lead to fewer disputes among your family members after you die because you will remove the guesswork. They won’t have to decide what you would have wanted because you worked with an estate planning attorney to clearly and thoroughly plan the distribution of your estate.

Estate planning doesn’t only benefit your family after you pass away. Things like a durable power of attorney and an advanced healthcare directive help your family make important decisions on your behalf should you ever become incapacitated.

How Can You Create a Comprehensive Will?

As described above, for many people, their will is the backbone of their estate planning. This legal document is the instruction manual that probate will use to distribute your wealth to your beneficiaries.

The creator of a will is called the testator. When you create your will, you will be its testator. The testator will choose someone who will administrate their will. This person is called the executor of the will. They will be responsible for gathering your assets, paying debts owed by your estate, settling estate taxes and then distributing the remainder of your assets as you outline in your will. The people who receive assets in your will are called beneficiaries.

To die, intestate means to die without a will. Just the simple mistake of not creating a will can put more pressure and stress on your family. The probate court will be forced to choose someone to act as the executor of your estate. Can you imagine if the wrong person had that much control over your estate?

Dying without a will means the probate court and the executor of the will have no instructions on how to gather assets and distribute the remaining assets to the decedent’s family. The courts will follow a set of laws called “intestate succession” to distribute the estate.

Imagine you are married, but divorce seems imminent, or you and your spouse are already separated but not divorced. You have adult children, and you want to ensure everything you worked hard for goes to further their future. Intestate succession laws would see your spouse receiving an equal percentage of your estate as your children.

Something like a pour-over will work in conjunction with a living trust to ensure your estate is managed the way you intend. With a pour-over will, any assets you owned at the time of your death that were not already held by your living trust will transfer over to your living trust, ensuring they are managed by the same distribution administration you set when creating the trust.

Creating a will is the first step you should take when planning for the future of your family. Call 888-828-2864 to speak with one of the super lawyers at The Singh Law Firm and find out how you can get your will in order so your wealth is passed on how you would want it to be!

What Are Trusts and How Do They Fit Into Estate Planning?

Trusts are one of the best estate planning tools you can use.

A trust is a legal entity that you create and then fund with assets and property. There are many different kinds of trusts, each with various benefits and drawbacks, that you can utilize during the estate planning process.

Some trusts allow you to minimize the impact of estate taxes owed on your estate. Others allow you to care for disabled children who rely on government benefits without risking their eligibility. There are even trusts that offer a form of asset protection, protecting your estate from certain creditors.

One of the biggest benefits to your family is assets held by a trust do not have to go through probate before your family can gain access to them, allowing them to benefit from those assets faster.

There are key parties involved in the creation of every trust.

Trust Maker

The creator of a trust is called the trust maker, grantor, or trustor. When you create and fund a trust, you are the trustor of that trust. As the trustor, you can set guidelines for how the trust will be managed and how the assets within it will be distributed to your family after you pass away.

Trustee

When you create your trust, you will choose someone to manage it. This person is called the trustee and is responsible for the trust administration. With certain trusts, you can assign yourself as the trustee, allowing you to both fund and manage the trust. A trustee successor will take over the trust administration after you pass away and will manage and distribute the assets held by the trust.

Important: certain trusts that offer asset protection or tax benefits can be rendered invalid if the trust maker has too much control over the trust. Speak with an estate planning attorney to ensure your trust is legitimate and will give the benefits you intend.

Beneficiary

The people who receive assets from the trust are called the beneficiaries. When creating your trust, you will outline the management and eventual distribution of the trust funds to your beneficiaries.

In some circumstances, you can be the trustor, trustee, and beneficiary of a trust simultaneously.

What Kinds of Trusts Are There?

There are two primary categories of trusts: revocable and irrevocable.

Revocable Trusts

A revocable trust, also called a living trust, allows you to maintain control over the assets held by the trust during your lifetime. You are able to modify, amend, or even revoke the trust at any time.

Typically, when you pass away, your living trusts become irrevocable. Your successor trustee will distribute the assets held by the trust according to the terms you set when creating the trust. A revocable trust can help your family avoid probate and provide an extra layer of privacy, but these trusts typically don’t receive any estate tax benefits or asset protection from creditors.

Revocable trusts can be a great tool you can use in conjunction with a guardianship clause in your will. You can ensure your minor children will not only be cared for by a trusted adult but will receive financial support through your estate planning strategy.

This trust can also help your family should you become incapacitated. Your successor trustee can manage the trust without court intervention and ensure your financial obligations are being met, your investments are being managed, and your family is financially supported.

Irrevocable Trusts

An irrevocable trust cannot be easily changed or revoked once it is created and funded. You transfer ownership of assets to the trust, relinquishing your control over them. But, because the assets are no longer legally owned by you, your family can receive certain estate tax benefits, asset protection, and even benefit a disabled dependent.

Irrevocable trusts are governed by strict laws and regulations. The mismanagement of a trust can result in harsh penalties and can even see your family receiving none of the benefits you planned for them. It is important to work with an experienced estate planning attorney to ensure your trust is properly formed, funded, and managed to maximize the benefits your family may receive from them.

How Can Irrevocable Trusts Benefit Your Estate?

Irrevocable trusts are powerful estate planning tools that provide benefits such as asset protection, tax reduction, and control over how the assets held within are distributed.

Once formed and funded, an irrevocable trust cannot be modified or revoked unless certain legal obligations are met, such as all beneficiaries agreeing to revoke the trust.

Here are some common types of irrevocable trusts you may be able to use in your estate planning:

Irrevocable Life Insurance Trust

An irrevocable life insurance trust (ILIT) holds a life insurance policy outside of your taxable estate, preventing death benefits from being subject to estate taxes. This helps ensure that your beneficiaries receive the full amount without heavy tax burdens.

Charitable Trusts

There are two different types of charitable trusts: a charitable remainder trust (CRT) and a charitable lead trust (CLT).

A CRT allows you to donate assets to a legally recognized charity of your choice while receiving income for a set period of time, up to your entire life. After the term ends, the remainder of the assets go to the chosen charity. This type of trust offers tax deductions while you are alive and estate tax benefits after you pass away.

A CLT provides income to a legally recognized charity of your choice for a set period of time. Afterward, the remaining assets in the trust will go to the beneficiaries as outlined in the trust. This type of trust can potentially reduce estate and gift taxes.

What is a Special Needs Trust?

If you have a dependent with special needs, leaving them a large inheritance without proper planning could result in them losing eligibility for their government benefits, like Medicare and supplemental security income (SSI), because these programs have strict income limits.

Creating a special needs trust can help pass wealth to your disabled loved one without the risk of them losing their public assistance. A special needs trust is an irrevocable trust with strict guidelines governing how the funds held by the trust can be used. This helps ensure your disabled loved ones will not lose the benefits that they rely on.

Special needs trusts are complex legal entities. You will need the help of one of our estate attorneys. Call 888-828-2864 to find out how The Singh Law Firm can help protect your loved one’s government assistance while still passing your wealth to them.

Why Should an Advanced Directive Be Part of Your Estate Plan?

Most estate planning revolves around the transfer of your wealth to your loved ones in a way that you approve of. But estate planning can also help your family make difficult medical decisions on your behalf should you suddenly become incapacitated.

An advance directive is an essential part of your estate plan to ensure that your medical wishes are honored when you are unable to communicate your preferences. This collection of documents allows you to specify treatments you are comfortable with and treatments you would like to avoid.

You can also appoint a trusted person, called a healthcare proxy or agent, to make important decisions on your behalf.

Without an advanced directive, your family may face emotional distress and legal difficulties while trying to determine your preferences. This advanced planning is not only for your health; it affords your family the peace of mind that they are making choices on your behalf that you would agree with.

How Can Proper Estate Planning Prevent Family Disputes?

Inheritance disputes can tear families apart and lead to prolonged legal battles and emotional turmoil. A clear estate plan can help your family avoid disagreements over the distribution of your assets, guardianship of minor children, and medical decisions. Proper estate planning provides a structured approach to ensure that your final wishes are honored with minimal confusion and delay.

Proper estate planning can help with the following:

• Clear asset distribution: Your will and trust provide clear instructions regarding the distribution of your assets to your beneficiaries.
• Minimizing probate disputes: Estate planning tools like living trusts help bypass the probate process, reducing delays and potentially preventing family disagreements.
• Appointing credible fiduciaries: Knowledgeable trustees, executors, and power of attorneys can prevent the mismanagement of your assets and avoid favoritism. This can make the process much easier for your loved ones.
• Encourage open communication: Because you have discussed your wishes with family members in advance, there will be no surprises waiting for them after you pass. They can also rest assured knowing you were not exposed to undue influence or coercion.

Should Your Estate Plan Be Updated?

As circumstances in your life change, so too will your intentions. When there is a change of marriage status, the death of parents, or the diagnosis of a new illness, you should revisit your estate planning documents to ensure they still match your future interests.

The Singh Law Firm does not have a “one and done” approach to managing your estate, something that is common with certain “self-help” websites. We understand that things change and those changes should be reflected in your plan. We strive for an ongoing relationship with our clients and their affairs.

Do You Need an Estate Planning Attorney?

Proper estate planning means proper planning for the future. As you can see, there are many hurdles and obstacles to overcome, and even a slight mistake can result in less efficacy in your post-life plans. A mismanaged trust can result in your family not receiving the tax benefits they were expecting. A poorly planned special needs trust can see your loved one losing their benefits. Lengthy disputes, legal battles, and costly legal fees can arise when your will isn’t well put together.

The Singh Law Firm can help you with all of your estate planning needs. Our law practice offers the best solutions and the best attorneys and works for your best interests.

Call 888-828-2864 to schedule your free consultation. The Singh Law Firm can help you avoid potential problems that arise from poor planning.

Don’t risk a disastrous outcome, call The Singh Law firm to find out how we can get you and your family on the right path!