Update Your Beneficiary Designations
Want to prevent your assets from going through probate? Update your beneficiary designations. This simple preventive measure can save your loved ones from the time-consuming and expensive hassles of probate. Under California Law, assets which pass by beneficiary designation do not have to be included in your probate estate.
This means that your bank accounts, IRA accounts, money market accounts, trading accounts… any account that allows you to name a beneficiary can be excluded from your probate estate. Since fees for filing a probate are usually determined by the value of the estate, keeping these accounts from being counted in your probate estate can offer significant savings in the end.
However, many people may designate a beneficiary when they open the account but never update or check the status of their designations. Financial institutions often merge or transition ownership over the years and your beneficiary designations can be lost. If you have stayed with the same bank for most of your life, chances are there has been a merger. So check your beneficiary designations. It is a very simple and easy way to ensure that your assets pass to those you care about without the expense and hassle of going through probate.
Proviso Law Group Attorneys provide estate planning and business law services. We also offer estate administration, trust administration and probate services.