Revocable Living Trust
A revocable trust, properly planned and executed, provides the greatest chance of avoiding probate and is an integral part of most estates. The Grantor creates the trust, which is a legal relationship whereby the Trustee holds property for the benefit of the Beneficiaries. The Grantor (you) is the initial Trustee, so you maintain full control of all trust property while you are alive. The Successor Trustee is the person or corporate fiduciary you nominate to manage the property after you can no longer do so. While the cost of a plan utilizing a trust is approximately twice as much as the cost of a plan without a trust, even this augmented cost is still usually less than half of the cost of probate proceedings that the trust is designed to avoid.
Generally, a single client can have a single trust, and joint clients can have either a joint trust or two separate trusts. It all depends on the unique family and financial circumstances of the client. If a beneficiary (generally the client's child) is likely to be receiving governmental disability or Medicaid benefits, then a supplemental needs trust should be prepared to ensure the government benefits are not endangered by an inheritance. If a client expects they might need to apply for Medicaid for long term care in the future, this office also provides advice in this area, which is commonly referred to as elder law or long term care planning.
Last Will and Testament
Everyone should have a will. This is not hyperbole, because while there are default rules set out by Kansas statutes, these rules are rarely what clients want to happen if they have the choice. A well-drafted will allows a client to nominate the executor and an alternate executor, nominate guardians and alternate guardians for minor children, authorize the sale of real estate without additional legal proceedings and costs, waive the requirement and cost of the Executor posting bond, designate a testamentary trust for minors' property instead of a conservatorship (allowing property to be held until a later age than 18, and avoiding a potential conservator's bond), and so much more than can be listed here. Every will-based plan includes advice and documents to attempt to avoid probate, if appropriate to the client's unique family and financial situation. This includes transfer on death deeds on real estate, and advice on vehicles and various financial and retirement accounts.
Power of Attorney and Advance Directives
A general durable power of attorney nominates an agent to conduct your financial affairs on your behalf, including while you are incapacitated. A durable power of attorney for health care decisions nominates an agent to make health decisions for you, including if you are unable to make these decisions yourself. Both documents retain your ability to make your own decisions if you are able. A living will is a document everyone should have, which states if you are incapacitated and have a terminal condition, only comfort care shall be provided to ease your passing. A do not resuscitate (DNR), goes much farther and states cardiopulmonary resuscitation (CPR) shall not be used on you, and this is generally advisable only if CPR would do more harm than good. While these documents are generally a footnote to the will or trust, these documents can many times actually be more important and deserve equal attention.