Protecting your Home and Family through Estate Planning

      Many homeowners I meet do not have their home and investment property assets in a living trust.  A trust facilitates a smooth transition in the future when you are no 
                longer around to manage these important assets. Your pre-designated trustee can 
                manage your assets immediately upon your incapacity without the delay, confusion
                 and frustration of court action.  One day every single one of us will no longer
                manage the assets that outlive us.  You can protect your home and family through estate planning.

    Setting up a living trust is an inexpensive way to make tomorrow's decisions 
                today, insuring a smooth transition in a future time of crisis for those around 
                you by estate planning now. Make it an early New Year Resolution to prepare or update your trust.
                A full trust package includes all anticipated estate planning needs; A trust, a 
                pet  trust (if applicale) A will, A durable power of attorney for finances,  advanced
                healthcare directive and all asset transfer paperwork. Domestic partners especially
                need this protection since State and Federal family law varies on dissolution of assets without estate planning.

    Below are excerpts from Santa Rosa Attorney Lisa Graetz's FAQ's on her website www.graetzlaw.com
                Lisa is knowledgeable, passionate and compassionate about Estate Planning and protecting your home and family.  Call
                her at 707.849.1532 for a complementary introduction on how planning can benefit
                you and protect your assets.

What does "Estate Planning" mean?
                   Estate Planning simply means to plan out what you want done with  your assets when
                you die.  There are a multitude of things that can be  done with proper estate planning,
                such as taking advantage of the  current tax law to lessen your tax obligation upon
                your death. You will have control of how the  money/assets are distributed, ensure
                your pets are taken care of, and indicate end of life choices.
                

What constitutes an Estate?
                   Everything you own.  Anything you are making payments on, have  in retirement, have
                in the bank, or any business you own, any life  insurance policy, stocks, bonds,
                 real estate, and all your "stuff" are  part of your estate.
                

What is the difference between a will and a trust ?
                   A will  takes effect only at death.  Once you die the person who you choose to  handle your
                will (the Executor) will carry out the instructions you set  forth in your will.
                   A trust takes effect once it is created and assets are transferred into it. Should  you become
                incapacitated, the trustee (the person you choose to manage  the trust when you 
                can't) can step in and pay bills, run businesses,  manage assets etc., on your behalf
                until you are back on your feet  again.  When you die, this person will carry out
                the instructions you  set forth in the trust regarding management of the assets 
                and  distribution of assets and money.
                

Why do I need a trust when "I don't have anything?"
                   Most of us don't realize that a home, life insurance, assets,  and bank accounts
                add up to quite a bit, and in fact, is a lot of  "something."  With the changing
                tax laws, it is practical tax planning to use the tax shelters to keep the government
                from taking your hard  earned money and assets versus leaving it to someone or some
                thing that  you care about.
                

I don't have anyone to leave anything to, why do I need a will or a trust?
                   The county where you die will end up administering your estate  when you expire.
                The officers of the court who are assigned to manage  your estate will attempt
                to find your distant relatives and when found,  divide the estate according to 
                that particular state's law of  inheritance.  A large portion of the estate will
                go to pay the court  officers to handle this and the remainder will go to the long
                lost  relatives you either didn't know or didn't like.  If no one is found,  the
                money goes to the state after the officers of the court are paid.  Wouldn't you
                rather have a good friend(s) or your favorite charity get your home and/or assets?

Establish a living trust today and protect your most valuable assets for your most valuable loved ones.

Looking out for your best interest,
Kathy Hoare
Home Loan Navigator

www.sonomacountyhomeloans.com