Do I Need a Will?

If you don't have an estate plan, the State of Connecticut has one for you.  And it may not be what you expect or want.  If you die intestate - which means without a valid written Will  - the laws of Connecticut will determine how assets you own in your sole individual name ("probate assets") will be distributed.  Connecticut General Statue Sections 45a-437 and 45a-438 provide that:  

• If you die with children but no spouse, your children will inherit everything.
• If you die with a spouse but no descendants or parents, your spouse will inherit everything.
• If you die with a spouse and at least one descendant from you and that spouse, your spouse inherits the first $100, 000 of your probate property plus one-half of the balance.  Your descendants will inherit everything else. 
• If you die with a spouse and at least one descendant from you and someone other than that spouse, your spouse inherits one-half of your intestate property and your descendants inherit everything else.
• If you die with a spouse and parents, your spouse inherits the first $100,000 of your probate property plus three-fourths of the balance.  Your parents will inherit the remaining one-fourth balance.
• If you die with parents but no spouse or descendants, your parents inherit all of your probate assets.
• If you die with siblings but no spouse, descendants, or parents, your siblings inherit everything.
• If you die without a spouse, descendants, parents  or siblings, your probate property will be inherited by distant relatives, whether you know them or not. 

Not all assets you own pass under the terms of a Will or laws of intestacy.
These assets will pass to the surviving co-owner or to the beneficiary you named, whether or not you have a will. Here are some examples:

• Property you’ve transferred to a living trust 
• Life insurance proceeds with a designated beneficiary
• Annuties with a designated beenficiary
• Funds in an IRA, 401(k), or other retirement account if you have named a beneficiary 
• Securities held in a transfer-on-death ("TOD") account 
• Payable-on-death ("POD") bank accounts 
• Vehicles held by transfer-on-death ("TOD") registration, or 
• Property you own with someone else in joint tenancy with rights of survivorship.  

However, avoiding Probate DOESN'T mean there is nothing to do when someone dies. The beneficiairies still have a legal obligation to administer the decedent's estate, and there are penalties for delaying.  

Navigating "Who gets what and how?" can be confusing.  Give us a call - we can explain and help you put YOUR preferred plan into effect.