How to Determine What Assets Go Where When Your Parents Die
estate planning attorneys
A death in the family is always a difficult time from an emotional and mental perspective, but it’s also a challenging time financially.
A death means funeral arrangements and figuring out what happens to the deceased’s estate.
If a parent has died, their emotional turmoil is often increased at the amount of stressful paperwork they must muddle through.
From estate planning attorneys to intestate laws, this article will help you figure out what assets go where when your parents die and how you can manage such financial issues as efficiently as possible.
Find Out If There’s a Will
Typically, if a parent dies, they will leave behind a will. A will is a legal document dictating what your parents wish to be done with their remaining assets.
The will should lay out exactly what assets they have and where they want them to go. Asset distributions will generally depend on a few different factors, like whether they have a spouse who is still alive or whether you have siblings.
To find the will, contact your deceased parent’s attorney. They will probably have left a copy of the will with them, and this document will reveal the executor.
An executor manages your deceased parent’s estate, and their roles include distributing assets to the beneficiaries. It is the executor’s job to contact the beneficiaries.
They also host a hearing to read the will. If you expect to inherit, then make sure to pay attention because the law requires the executor to inform you of any inheritance.
If there was no executor, you can go to court and ask them to appoint you as the estate executor.
What Do You Do If There’s Not a Will
Asset distribution is normally simple if your parent had a will, but what do you do if there was no will?
When someone dies without a will, they die intestate. Intestacy law says that it is still possible that you may stand to inherit.
Typically, when someone dies intestate, their assets are distributed based on their state’s intestacy laws.
Following these laws, assets are allocated to the deceased’s spouse, children, and other close relatives.
These allocations are not equal, and they will have different weights depending on the state.
Assets will typically be split equally between the deceased’s children. If your parent has a living spouse, most assets will probably go to them.
Finally, if you are adopted, you still get the same privileges as a biological child.
See If Your Parent Consulted or Retained an Estate Planning Attorney
One great tip to make this process easier is to see if your parent consulted or retained an estate planning attorney.
Estate planning attorneys are hired before an individual’s death. They make a detailed plan for what happens after that individual passes.
If your parent had one, they would be an excellent resource for you to consult.
What If There Is Debt?
After someone dies, the executor must go through the process of probate. This process is where an estate pays off any debts and then allocates the remaining assets.
If your parent was in debt, it is crucial to understand that assets must go through this process before being distributed to you or any other relative.
However, it is vital to note that not every estate goes through probate. It depends on the financial status of the deceased.
Remember, the best thing to do when you are unsure of financial matters after your parent has died is to contact an attorney.
If your parent had an estate planning attorney, then definitely contact them. A stellar attorney can make the process of determining what assets go where when your parents die simple and ease the stress.
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Category: Financial Planning
