Create your estate plan so that you have control over your asset distribution to your loved ones during your lifetime. Aim for your plan to be as litigation-free as possible.
Three Ways To Transfer Non-probate Property:1. Designated Beneficiaries Upon Your Death
A beneficiary is a person or organization designated to receive a benefit. You can and should also select a contingent (or secondary) beneficiary.
2. Property Ownership Designation
Husbands and wives (or parents and children) may have joint ownership of assets called joint tenancy with the right of survivorship.
3. Payable-on-death (POD) designation
Like TODs, the designated beneficiary has no right to this property, usually a bank account, until the owner has passed away.
1. Don’t Forget To Name A Beneficiary
The absence of a designated beneficiary may result in the respective assets going to the estate itself to be shared among several people rather than the sole designee.
2. Name A Contingent Beneficiary
It is essential to name a contingent beneficiary if the primary beneficiary has either passed away before the asset owner or has become incapacitated.