Should estate planning focus on leaving children as well off financially as possible? While some see no problem with doing this, others think that it could cause children to be spoiled and unappreciative of hard work.
Actor Luke Perry, best known for his work on "Beverly Hills 90210," recently passed away at the young age of 52. Nobody expects to suddenly pass away so young, which makes Perry's death all the more tragic. It is usually in these circumstances that families find themselves struggling to figure out what to do with their lost loved one's estate. In the absence of an estate plan, matters can get messy, the distribution of assets can be costly and time-consuming and family members may vie over wanted property.
Understanding the basics of trusts as estate planning tools can be crucial for California residents. Trusts are essentially agreements that dictate how assets will be managed and distributed to named beneficiaries. The creator, or grantor, of a trust can name a trustee to manage the trust. This trustee has a fiduciary duty, meaning that he or she must make decisions regarding the trust and trust assets that further the best interests of the trust's beneficiary.
The creation of a will or trust should leave an individual feeling comfortable with how his or her estate will be distributed upon death. Sometimes, however, squabbles arise over the validity of these estate planning documents when individuals challenge the creator's competence at the time of the creation of those documents. This can lead to a multitude of issues, including the invalidation of a will or trust which, in turn, can lead to distribution of an estate that is counter to a person's intentions.