How to Choose the Executor of Your Estate

Writing Your Will? How to Choose the Executor of Your Estate

Choosing whom to name as the executor in your last will and testament is a critical decision. This person will be responsible for carrying out your final wishes, settling your debts, and distributing your assets.

As such, it’s imperative to give the selection considerable thought. If you’re unsure where to start, here are a few tips for narrowing down the options:

1. Review the Executor’s Responsibilities

Before giving someone the role, it’s important that you understand the duties that come with it. This will ensure the individual you select can actually handle the tasks that come with settling your estate.

The executor will be responsible for:

  • Filing your last will and testament with the probate court,
  • Paying your debts and taxes,
  • Distributing assets to your beneficiaries, and
  • Filing estate tax returns if necessary.

2. Prioritize Trustworthiness

The executor should be someone whom you trust to carry out your last wishes. They should possess honesty and integrity, and they should be willing to assert their authority if any disputes arise.

3. Look for Someone Who Is Financially Responsible

The executor must be equipped to manage your final affairs effectively. This includes paying all debts and taxes on time. They may also have to oversee the liquidation of various assets prior to distribution. With that in mind, you’re going to want to choose someone who is well-versed at navigating complex financial transactions.

4. Consider Logistics

Since life is ultimately unpredictable, there’s no way to be sure that the person whom you name as the executor of your estate will outlive you. Generally speaking, though, it’s wise to choose someone who’s younger than you and in fairly decent health. This is why younger siblings and adult children are popular choices.

It’s worth noting that many people choose their spouses for the sake of simplicity. Keep in mind, however, that if you end up outliving your husband or wife, you’re going to have to update your own estate plan.

Availability is another important element to consider. Settling an estate is a demanding job, so you don’t want to choose someone who travels all the time for work or otherwise has very little free time to begin with.

5. Name a Backup Executor

Even if you put considerable thought in your selection, there’s no guarantee that the person whom you choose will be willing or able to settle your estate upon your death. As such, it’s wise to name a backup. That way, you’ll have peace of mind knowing your estate will be in good hands even if an issue regarding your first choice does arise.

Call 231-946-0700 to Speak with an Estate Planning Attorney in Michigan

Once you’ve decided on an executor, turn to Smith & Johnson for help writing your last will and testament. Our team can assist with every aspect of estate planning, so you can ensure your loved ones are protected in all eventualities. Call 231-946-0700 or submit our Contact Form to schedule a free initial consultation with an estate planning lawyer in Michigan.  

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Can You Modify Your Last Will and Testament?

Can You Modify Your Last Will and Testament?

A last will and testament is a critical estate planning document. In fact, regardless of your family dynamic, personal situation, or financial circumstances, your will is going to serve as the foundation of your entire estate plan.

In this legally binding document, you can:

  • Appoint an executor to ensure your wishes are followed and guide your estate through probate,
  • Appoint a guardian to watch over any minor children, and
  • Distribute assets to loved ones and/or charities.

Because life is ultimately unpredictable, it’s wise to draft a will as soon as you turn 18. Most people put off doing so, however, since creating an estate plan means facing your own mortality. This can be challenging mentally, spiritually, and emotionally.

That’s not the only reason why people are reluctant to write a last will, though. Those who consider themselves fairly practical tend to put off doing so because of their ever-changing circumstances. As you age, your situation is inevitably going to evolve, and that means the terms of your will must, as well.

Thankfully, you can modify your will as needed. As such, there’s really no reason to put off writing one.

In fact, there’s no limit to how many times you can change the terms of the document. As long as you implement the newest provisions in a legally binding way, the revisions you make will always hold up in court.

How Often Should I Review My Last Will?

Once you write a will, it’s wise to make a note in your calendar that reminds you to review it periodically. Most people find it makes sense to review their estate planning documents around tax time each year, since that’s when they’re taking inventory of their assets anyway.

If you cannot find the time to look over your will annually, at least try to do so every three years. It’s also advisable to review it after every major change in circumstances. Examples include:

  • Getting married,
  • Starting a business,
  • Having children,
  • Buying a house,
  • Receiving an inheritance,
  • Selling a business,
  • Getting divorced, and
  • Having grandchildren.

Chances are you’ll need to modify at least some of the terms in your will after any of the scenarios mentioned above. By doing so right away, the document will always be up-to-date. In addition to providing peace of mind, having a will with current terms will make things so much easier for your loved ones if something were to happen to you unexpectedly.

If you take anything away from this post, it should be this: Yes, you can modify your last will and testament, and no, there is no limit to how many times you can do so. As such, it’s wise to draft one as soon as possible and then update it as needed. This is the easiest and most effective way to ensure your family will be taken care of in all eventualities.

Speak with a Michigan Estate Planning Attorney

Need help writing your last will and testament? Turn to the knowledgeable team at Smith & Johnson. We have been representing Michigan citizens since 1965, and we’d be proud to counsel you, too. Call 231-946-0700 or submit our Contact Form to schedule a free initial consultation with an estate planning lawyer in Michigan.

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What to Know When Writing a Last Will

5 Considerations to Keep in Mind When Writing a Last Will

 Thinking about your own mortality isn’t easy, but doing so is a must if you want to protect your loved ones in all eventualities. By taking a proactive approach to estate planning, you can ensure your family will be taken care of long after you’re gone.

If you’re unsure how to start, drafting a last will and testament is usually the best route. The foundation of every comprehensive estate plan, a last will can address almost all the essentials.

When you’re ready to proceed, here are a few considerations to keep in mind. In answering these questions, you’ll be able to ensure the document is as thorough as possible:

1. Who Will Oversee the Probate Process?

In your will, you can name an executor. This party will be responsible for guiding your estate through the probate proceedings. It’s typically a spouse, sibling, or adult child; however, you can also name a professional, like an attorney, to step in and take on the role.

2. Who Will Care for Any Minor Children?

If you have any children and something were to happen to both you and their other parent before they turned 18, who would care for them? In your will, make sure to name a guardian, so your children are cared for according to your wishes no matter what happens.

3. How Will Your Personal Property Be Distributed?

If your estate is fairly simple, you can distribute all applicable assets in your will. While there are other ways to bequeath property, many people find including it in their will is the easiest way to do so. Should you have concerns about any specific assets, however, talk to an estate planning attorney about how best to proceed before adding them to your will.

4. Who Will Care for Any Pets?

If you have any pets and something were to happen to you while they were still alive, the caregiver named in your will can step in and take them. On a side note, while you cannot leave assets to animals, it may be wise to leave something to their caregiver, so he or she has the funds to continue giving them a comfortable life.

5. How Will Your Family Proceed If Any Terms Cannot Be Met?

Sometimes, the terms of a will cannot be followed. For example, the person whom you name as executor may be unwilling or unable to step up and serve in the role. As such, it’s wise to include contingencies.

Include alternative arrangements for all the most important terms. This will keep the court from having to get involved and make decisions on your behalf after you’re gone should issues arise.

Speak with a Michigan Estate Planning Attorney

At Smith & Johnson, we’re proud to help clients protect their families by making comprehensive arrangements for their estate. If you’re ready to get started—or you need to modify existing arrangements—we can help. Call 231-946-0700 or fill out our Contact Form to schedule a free initial consultation with an estate planning lawyer in Michigan.

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Common Myths About Last Wills

Don’t Fall for These Common Myths About Last Wills

Taking a proactive approach to estate planning by getting your affairs in order while you’re still of sound mind is one of the kindest things you can do for your loved ones. This is assuming, however, that the terms of your last will and testament are actually legally binding.

Unfortunately, there are a lot of misconceptions about last wills, and falling for any one of them could prove disastrous when it comes time to settle your estate. Let’s take a look at some of the most common myths, so you don’t inadvertently complicate things when you’re ultimately trying to simplify them:

1. You Should Include Wishes Regarding Your Final Arrangements

If you want to ensure your family abides by your wishes regarding your funeral and burial or cremation, it’s reasonable to assume that you should add them to your will. This is especially true if your wishes are somewhat eccentric or unexpected. Perhaps you want them to play a certain song at the service, for example, that’s not often associated with funerals.

Unfortunately, your will must go through probate, which is a lengthy process that won’t be completed until long after your funeral. Instead, it’s wise to leave a separate letter of instruction in which you relay your preferences, if you have any. While not a legally binding document, this letter can be given to someone trustworthy whom you know will see to it that your wishes are followed when planning the funeral.

2. You Should Include Any Businesses in Your Will

You might assume your will is only comprehensive if it addresses all your assets, including any companies you own. When it comes to business succession planning, though, it’s best to make alternative arrangements.

While you can bequeath business interests in a will, doing so could hinder operations (or even stall them entirely), since the plans won’t go into effect until probate is complete. Assuming you want the business to remain operational, it’s better to create a separate plan that allows for a seamless transition upon your death.

3. You Can Only Modify Your Will in Certain Scenarios

You can modify your will as often as you like. As long as you go about doing so in the correct way and the new terms are legally binding, there’s nothing stopping you from updating the document whenever you want.

In fact, it’s wise to review your estate planning arrangements often. Since your circumstances will inevitably change over time, your wishes may, too. And depending on the circumstances, dying with an outdated will could cause more problems than dying without any will at all.

Call 231-946-0700 to Speak with an Estate Planning Attorney in Michigan

For help writing or updating your last will, turn to Smith & Johnson. Our team is well-versed in virtually all aspects of estate planning, and we’re equipped to assist clients with everything from guardianship to business succession planning. Call 231-946-0700 or fill out the Contact Form on our website to schedule a free initial consultation with an estate planning lawyer in Michigan.

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How to Prepare for Your First Meeting with an Estate Planning Attorney

Estate planning allows you to ensure your family and loved ones are taken care of after you’re gone. It’s a complicated process, though, which is why it’s wise to consult an attorney. A lawyer can guide you through every stage to confirm you cover all your bases.

Of course, before they can do so, your attorney will have to know the major players in your life. This includes your spouse, children, parents, siblings, friends, any pets you have, and any charities or causes you support.

Your estate planning lawyer will also need to have a clear picture of your financial situation. For example, how much income do you make? How much do you spend on living expenses? Do you have debt? Do any assets need protection against creditors or lawsuits?

If you find the thought of tackling all these logistics overwhelming, don’t worry. By taking a few simple steps to prepare for your initial consultation, you can ensure your attorney has almost everything they need to get your estate plan off the ground. Read on to learn what those steps are:

1. Compile Documents That Support What You’ll Be Telling Your Legal Team

You may already be aware that you should bring a list of all your assets and liabilities to the estate planning meeting, but it is also helpful to bring along a list of dependents and beneficiaries.

You should bring any legal documents in progress, as well, so your attorney can see what has already been accomplished. If there are any insurance policies or debts that need attention, these should be brought up during the meeting, too, so they can be included in the discussion.

2. Consider How You Want Your Property Divided

The first step in preparing your estate plan is deciding how you want your property divided. The best way to do this is by writing down all the people who could be affected by your decisions, along with their needs and wishes.

3. Consider Who Will Care for Your Children

There are a few ways to ensure the ongoing care of your children. One approach is naming a guardian who will be responsible for making decisions on behalf of your children if something happens to you before they reach adulthood.

Some parents choose to appoint multiple guardians, so each one has some authority, but no single person controls everything. It’s wise to write down a list of all potential guardians before your first meeting.

Another option is to set up an irrevocable trust, which allows a trustee (usually someone other than yourself) to manage the assets in the trust until your children turn 18. At that point, the assets pass on directly into the children’s control, without needing any additional action from anyone else.

Call 231-946-0700 to Discuss Your Case with a Michigan Estate Planning Lawyer

In the end, estate planning is an opportunity to make sure your loved ones are taken care of after you’ve passed. Preparing for this process can be difficult and stressful, but it doesn’t have to be.

The team at Smith & Johnson can lead the way while making sure you account for all eventualities. We have been representing clients since 1965. Call 231-946-0700 or fill out our Contact Form to schedule a free initial consultation with an estate planning attorney in Michigan.

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What to Ask Before Hiring an Estate Planning Attorney

Since life can be unpredictable, it’s wise to take a proactive approach to estate planning. By making arrangements long before you actually need to, you’ll ensure your loved ones are taken care of no matter what happens.

Of course, that’s assuming the arrangements you make are actually legally binding. The best way to guarantee as much is by enlisting help from a seasoned estate planning attorney.

With your family’s financial security at stake, however, you shouldn’t turn to just anyone. Estate planning is a vast practice area, encompassing everything from wills and trusts to special needs planning. To ensure you’ve found the right lawyer, ask the following questions before hiring them:

1. Have You Helped Many Clients Whose Situations Were Similar to My Own?

Do you own a small business? Are you a real estate investor? Do you have loved ones who aren’t related by blood or marriage relying on you for financial support?

Whatever your situation, it’s imperative that you find an attorney who’s familiar with your estate planning needs. You need someone who can propose practical solutions for ensuring all your wishes and contingencies are carried out after your passing.

2. How Long Will It Take You to Get Back to Me?

As you consider the kinds of arrangements you’re going to have to put in place, questions will inevitably arise. When they do, you deserve a prompt answer from your lawyer. That means if you end up having to leave a message, you should be able to count on them getting back to you within a matter of days, not weeks.

While you can ask the attorney about their average response time during your initial consultation, it’s also wise to do a little research of your own. One of the easiest ways to gauge a firm’s commitment to their clients is by reading reviews from past clients.

3. What Is Your Fee Structure?

Since everyone has unique needs when it comes to estate planning, there’s really no standard pricing structure for formalizing the arrangements. As such, it’s important to confirm that the attorney you’re considering hiring is within your budget before you proceed with their counsel.

You should also inquire about the firm’s fees should you ever have to modify your estate plan. Since your circumstances will likely change over the years, your wishes probably will, too. When that time comes, it would be nice to know the practice will honor whatever fee structure you agreed upon from the start.

4. What Do You Need from Me to Get Started on My Estate Plan?

If, at the end of your consultation, you’ve decided to hire the attorney in question, ask for a list of all the documents they’ll need from you to start making your arrangements. The sooner you get everything to them, the sooner they can put your plans in place, and the sooner you’ll have peace of mind knowing your family is protected.

Speak with a Michigan Estate Planning Lawyer

For a knowledgeable estate and trust attorney who’s well-versed in Michigan law, look no further than Smith & Johnson. Our team assists clients with all kinds of probate matters. To schedule a free initial consultation with one of our Michigan estate planning attorneys, call 231-946-0700 or submit our Online Contact Form.

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The Dos & Don’ts of Writing a Last Will

The best time to write your will was the day you turned 18. Since most teenagers aren’t thinking about their mortality on their 18thbirthday, however, chances are you weren’t, either. Thankfully, the second best time to write your will is today.

By making arrangements long before you actually need them, you’ll have peace of mind knowing your family is protected in all eventualities. Since the foundation of every comprehensive estate plan is a last will and testament, drafting this document is a great place to start. Here are a few tips on proceeding:

1. Do Include Alternates

If you name an executor, health care proxy, and/or power-of-attorney in your will, it’s wise to include alternates. There’s always a chance that the parties you include will be unwilling or unable to step up should the time come. In such a scenario, the court would have to assign the role to someone else, and it might not necessarily be the person you would have chosen.

2. Don’t Let Minutiae Slow You Down

It’s easy to get overwhelmed when drafting your will. How do you distill your entire life and legacy into the terms of a single document?

While there is undoubtedly a lot to address, it’s best to start with the biggest issues first. Examples include things like asset distribution and guardianship of any minor children. As long as your will addresses 90 percent of the issues at hand, you’ll have peace of mind. What’s more, you can go back and add additional terms later, once you’ve tackled all the most important elements of the estate.

3. Do Ensure the Terms Are Legally Binding

For a will to be legally binding in Michigan, it must be in writing, signed by the testator (or at the testator’s direction), and signed by at least two witnesses. Just because you ensure all of the above, however, doesn’t mean the court will abide by the terms you included.

When it comes to estate planning, there are certain things you simply cannot do within the confines of a will. For example, you cannot leave money to your pets.

The easiest way to confirm everything you’ve included in the document will be honored is by consulting a local attorney. After discussing your wishes, a lawyer will help you draft your will and then implement any additional arrangements needed to ensure the court will honor everything.

4. Don’t Forget to Review It Periodically

Once you’ve finished writing your will, make a note to pull it out from time to time and review it. Since your circumstances will likely change over time, you’ll probably want to modify some of the terms in your will, as well.

Call 231-946-0700 for a Free Consultation with a Michigan Estate Planning Attorney

When you’re ready to write your last will, turn to the knowledgeable team at Smith & Johnson. We can help you draft a comprehensive document that will ensure your loved ones are taken care of even after you’re gone. Call 231-946-0700 or complete the Contact Form on our website to schedule a free initial consultation with an estate planning lawyer in Michigan.

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5 Scenarios That Warrant a Review of Your Last Will

Since life is ultimately unpredictable, it’s wise to take a proactive approach to estate planning. You should consider drafting a last will and testament as soon as possible, for example, instead of waiting until you’ve reached old age. In doing so, you’ll be able to put certain protections in place that ensure your loved ones are taken care of in all eventualities.

It’s important to remember, however, that your circumstances will inevitably change over time. That means if you do write a last will sooner rather than later, you should be prepared to review it periodically. Chances are you’ll need to modify its terms on occasion, so they always align with your current situation.

Read on for some of the most common scenarios that should prompt a review of your last will:

1. Changing Your Marital Status

Whether getting married or divorced, you’re probably going to want to update your estate plan. While the laws of intestate succession grant certain rights to spouses—and take them away from ex-spouses—modifying your will is the only way to ensure your precise wishes will be honored.

2. Having Children or Grandchildren

Whenever you gain a new descendant, you should consider whether you want to include them in your last will. If they rely on you financially, it’s also advisable to update other aspects of your estate. You might want to purchase life insurance, for example, to ensure they have ample financial security in the event of your passing.

3. Starting a Business

Every business should have a succession plan. If you start a company, make sure the terms of your will are in line with the succession plan. This will help mitigate disputes in the event of your untimely passing.

4. Moving out of State

Every state has slightly different laws when it comes to estate planning. That means if you relocate, some of the terms in your will may no longer be enforceable. Consequently, you’re going to want to review the document carefully with an attorney who practices in your new home state as soon as you get settled.

5. Acquiring a Major Asset

Whether you win the lottery, buy a home, or receive an inheritance, you shouldn’t wait too long to add the new asset to your will. Otherwise, the state will decide how it’s distributed upon your passing, which may not actually be consistent with your wishes.

Discuss Your Case with an Estate Planning Attorney in Michigan

For help writing or updating your will, turn to the knowledgeable team at Smith & Johnson. Our estate and trust attorneys are well-versed in all aspects of wealth transfers, as well as probate, guardianships, contested wills, and special needs trusts.

We’ll address your concerns, answer your questions, and ultimately help you decide how best to plan for the future, so your family is protected no matter what. To schedule a free initial consultation with an estate planning lawyer in Michigan, call 231-946-0700 or submit our Contact Form.

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Claim For Unpaid Back Rent From Estate Must Be In Writing…

Plaintiff rented out a condominium to his mother and the decedent, his mother’s husband. The couple paid the mortgage payment directly to the mortgage holder.  After plaintiff’s mother died, the decedent continued to live in the residence and pay the mortgage.  After the decedent passed away, the plaintiff filed a claim for unpaid back rent. The plaintiff claimed that he did not charge the couple full rental value during the decedent’s lifetime because of a promise that the outstanding balance would be paid back through a provision in the decedent’s will. In other words, he claimed that the decedent promised to leave the plaintiff something in his will. The Personal Representative filed a disallowance of the claim.   The plaintiff thereupon filed a complaint in the probate court on the theories of breach of contract, promissory estoppel, and quantum meruit (an equitable theory to receive remuneration on the basis of fairness).

The probate court dismissed the case on the basis that MCL 700.2514, which requires that contracts to make a will must be in writing,  barred the action.  The probate court raised this statute on its own.  The plaintiff claimed on appeal that it was error for the probate court to raise this statute on its own.  The plaintiff claimed that his case was an ordinary breach of contract action.  The Court of Appeals disagreed.  The Court of Appeals held that a party’s choice of labels for a cause of action is not dispositive.  A party cannot avoid the dismissal of a cause of action through “artful pleading.”  The Court of Appeals further held that MCL 700.2514 directly applied to this situation.  This statute provides that a contract to make a will, or to die without a will, must be in writing.  The Court of Appeals held that because the terms of the alleged contract in this case were to arise after death, it was clearly an agreement to make a will.  Since it was not in writing, it was unenforceable.  The trial court correctly dismissed the case.

What this means for claimants:  If you expend monies or provide other services on behalf of someone in exchange for their promise that you will be reimbursed via their Will or Trust, be sure to get that promise in writing.

You can read the entire opinion here.

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Promise to Reimburse Rent by Leaving Inheritance in Will…

Plaintiff rented out a condominium to his mother and the decedent, his mother’s husband. The couple paid the mortgage payment directly to the mortgage holder.  After plaintiff’s mother died, the decedent continued to live in the residence and pay the mortgage.  After the decedent passed away, the plaintiff filed a claim for unpaid back rent. The plaintiff claimed that he did not charge the couple full rental value during the decedent’s lifetime because of a promise that the outstanding balance would be paid back through a provision in the decedent’s will. In other words, he claimed that the decedent promised to leave the plaintiff something in his will. The Personal Representative filed a disallowance of the claim.   The plaintiff thereupon filed a complaint in the probate court on the theories of breach of contract, promissory estoppel, and quantum meruit (an equitable theory to receive remuneration on the basis of fairness).

The probate court dismissed the case on the basis that MCL 700.2514, which requires that contracts to make a will must be in writing,  barred the action.  The probate court raised this statute on its own.  The plaintiff claimed on appeal that it was error for the probate court to raise this statute on its own.  The plaintiff claimed that his case was an ordinary breach of contract action.  The Court of Appeals disagreed.  The Court of Appeals held that a party’s choice of labels for a cause of action is not dispositive.  A party cannot avoid the dismissal of a cause of action through “artful pleading.”  The Court of Appeals further held that MCL 700.2514 directly applied to this situation.  This statute provides that a contract to make a will, or to die without a will, must be in writing.  The Court of Appeals held that because the terms of the alleged contract in this case were to arise after death, it was clearly an agreement to make a will.  Since it was not in writing, it was unenforceable.  The trial court correctly dismissed the case.

What this means for claimants:  If you expend monies or provide other services on behalf of someone in exchange for their promise that you will be reimbursed via their Will or Trust, be sure to get that promise in writing.

You can read the entire opinion here.

Authored by Barbara A. Assendelft

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