Estate Planning Archives - Wood Edwards LLP

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Mar 19, 2023 | By Wood Edwards Law Team | Read Time: 3 minutes | Estate Planning

Online Wills vs. Hiring an Estate Attorney in Texas – Get the Best of Both Worlds

Every adult should make a plan to provide for their loved ones after they pass away. Online do-it-yourself wills promise a time-saving and hassle-free option for documenting your final wishes. But you should not assume that an online will meets Texas legal standards for an enforceable will. At Wood Edwards LLP, we offer flat-fee services with all the advantages of online estate-planning options, including online consultations, online payments, and online supervision of will executions. We can help you plan your estate from the comfort of your home while providing the personalized attention you deserve. We enjoy getting to know our estate-planning clients, their families, and their goals. We are here as your needs change to help you with updates to your estate-planning documents as well. Get peace of mind and secure your legacy. Schedule a consultation with Wood Edwards LLP today to protect your family with a Texas estate plan. GET STARTED Or, give us a call at 214-382-9789 The Downside of Online Wills in Texas Online do-it-yourself wills carry risk. It’s not always obvious whether a form is specific to Texas. The form may not address specific needs you have that do not occur to you. Also, online wills still have to be executed – the process of signing the will before witnesses. Texas law has specific requirements for this process. If these requirements are not met, your will may not be enforceable. If your will is not enforceable, your property will be distributed according to Texas law for people who don’t have wills, known as Texas intestate succession law. Your property might wind up going to people you did not intend or expect to receive it. When you work with a Texas attorney who talks with you to understand your needs, prepares your will, and supervises its execution, it is much more likely that your final wishes will be carried out the way you intend. What Are the Benefits of Using a Texas Estate-Planning Attorney? Many people use online do-it-yourself wills because they believe an attorney is out of their price range. However, a mistake in your online will can result in increased legal costs in probate court and unintended results. If you hire a lawyer to draft your will and handle your estate planning, they can: While saving money using an online do-it-yourself will or trust may be tempting, doing so could cost your family later. If you use an online will and the will isn’t drafted or executed properly, your estate could get tied up in probate court while the court decides who gets your property. The additional time in probate court could result in additional legal expenses to your family while they navigate this process. You can consider the cost of an estate planning lawyer as an investment in your family’s future and peace of mind. What Happens with My Will when I Die? When someone with a will dies, the executor they name in their will files a request with the probate court to (1) accept the will as being valid; and (2) to issue the executor a legal document called letters testamentary showing that the executor has authority to carry out the terms of the will. The executor has to show that the will complies with Texas law. A valid will in Texas must be in writing, signed by the person making the will, and signed by two witnesses in the presence of the person making the will. A will prepared by a Texas attorney will typically come with what’s called a Self-Proving Affidavit. A Self-Proving Affidavit is an affidavit signed by the person making the will and the witnesses stating that the will was executed in compliance with Texas law. Without a Self-Proving Affidavit, the witnesses must appear in the probate court to provide evidence that the will is valid. Online Estate Planning: Get the Best of Both Worlds with Wood Edwards At Wood Edwards LLP, we combine the convenience of online estate planning with the advantages of having your estate plan prepared by a Texas attorney. We can meet with you online, we can accept payments online, and we can supervise the execution of your will online. We value building personal relationships with our clients and will take the time to understand your estate planning goals. Don’t leave your future to chance. Let us help you plan for the unknown and ensure that your family is cared for after you’re gone the way you intend. You can contact us online or by phone to schedule a consultation.

Jan 25, 2023 | By Wood Edwards Law Team | Read Time: 5 minutes | Estate Planning

The 6 Must-Have Texas Estate Planning Documents for Any Adult

When you marry and start a family, you’re responsible for more than just yourself. Creating an estate plan ensures that your loved ones will be provided for after your death. Your estate plan, not the courts, will determine how your assets are divided. If you’re looking for help with estate planning in Texas, Wood Edwards LLP can guide you through the process. Our attorneys offer personal attention to determine the most efficient approach to planning your estate. We offer flat fees and only prepare the documents that are right for you. You can take care of everything from the comfort of your home through online meetings and payments. We’ll start by explaining the six essential Texas estate planning documents every adult needs. Get peace of mind and secure your legacy. Schedule a consultation with Wood Edwards LLP today to protect your family with a Texas estate plan. GET STARTED Or, give us a call at 214-382-9789 What Texas Estate Planning Documents Do I Need? An estate plan is a set of legal documents explaining your wishes for your healthcare, finances, and property. These documents help your family make important decisions if you are incapacitated and can’t do so yourself. They also help your family know what you want to happen with your property and assets after you die. While you can verbally tell your family what you want, estate planning documents have legal weight and can be enforced in court. Let’s review those documents now. 1. A Written Will When someone passes away, their property must go to someone who is still alive. Your will says who will get your property and specifies how your family and loved ones will be financially cared for. You can also use a will to appoint a guardian to care for your minor children. With some exceptions, all of your property and assets go into your estate at your death. When you have a will, your designated executor must deliver your will to the probate court and ask the probate court to accept the will and authorize your executor to manage your estate. If the probate court accepts the will, your executor will be authorized to pay your funeral expenses and other creditors and distribute your assets to the beneficiaries you name in your will. If a person dies without a will, property is distributed according to the laws contained in the Texas Estates Code known as intestate succession laws. The results can be unexpected. Here are some examples: Having a will in place prevents stress to those already grieving by eliminating complications that can arise without an estate plan in place. 2. Texas Statutory Durable Power of Attorney A durable power of attorney is a form that allows you to appoint someone to manage all of your personal affairs, except for healthcare, in case you become unable to do so yourself. Choosing someone for this job in advance saves your family from fighting over these decisions and worrying about how to access your bank accounts during an emergency. The person you appoint can handle a wide range of legal and business transactions, including: A durable power of attorney allows the person you name to act quickly in case of an emergency and saves the time and legal expense of having to obtain a court-approved guardianship. Working with an estate planning attorney ensures that you use the form created by the Texas Legislature, known as the Texas statutory power of attorney, and that you complete it correctly. The Texas statutory durable of attorney form comes with certain legal protections and is given more legal deference than general forms that people find on the internet. 3. Medical Power of Attorney A medical power of attorney, sometimes called a healthcare proxy, names a person who will make medical decisions for you if you are unable to. This person must carry out your wishes, or, if they don’t know what your wishes are, act in your best interests. Choosing someone in advance saves those closest to you from the trouble of deciding who should make these decisions for you in an emergency when time is critical. If you are unmarried, it also helps your medical team understand who has the right to make decisions for you. 4. Directive to Physicians A directive to physicians, also known as a living will, documents your wishes regarding end-of-life medical treatment if you suffer a terminal illness or irreversible condition. You can state whether you want artificially life-prolonging measures, or whether you want all care withheld other than what is necessary to keep you comfortable. 5. HIPAA Authorization A HIPAA Authorization appoints a person to obtain your medical records if you are unable to request them yourself. This can be important if you need care from a specialist, and that specialist wants records from your primary care doctor or from hospitals where you have received care in the past. 6. Beneficiary Designations When you prepare your estate plan, you must also consider assets that your will cannot transfer, like 401(k)s, IRAs, pensions, mutual fund accounts, and life insurance policies. These assets are governed by contracts that require you to designate a person to receive the asset at your death, known as a beneficiary. Distributions of money from these assets are considered nontestamentary, meaning that they don’t go through the probate court process. The terms of your will cannot change the people you name as beneficiaries of these assets. When you prepare your first will or update an existing will, you should make sure that the beneficiaries you have designated for these assets match your wishes. Many people open their accounts when they are young and name their parents as beneficiaries. Changing your beneficiary designations when you get married is vital so that your spouse can access the funds in the event of your death. You should also update your beneficiary designations if a person you previously designated has passed away, or if you go through a divorce...

Dec 12, 2022 | By Wood Edwards Law Team | Read Time: < 1 minute | Estate Planning

How Much Does a Texas Estate Plan Cost with Wood Edwards?

It’s time to make sure that your family is provided for in case of the unthinkable happens. So what does it cost to get set up with a will in Texas? We offer three tiers of service that we have found to accommodate the needs of most folks. You can find a description of each below. Basic Price: $500 Description: Includes a customized will, power of attorney, and healthcare directive. Good for: Small families with minimal stuff going on. Comprehensive Price: $1,500 Description: Includes the documents in the basic package, as well as additional estate planning documents such as a living trust and advanced healthcare directive. Good for: Growing families with some stuff going on. Premium Price: $3,000 Description: Includes everything in the comprehensive plan, plus additional legal advice and assistance with implementing your estate plan, such as transferring assets and updating beneficiaries on accounts. Good for: Complicated families with lots of stuff going on.

Dec 12, 2022 | By Wood Edwards Law Team | Read Time: 4 minutes | Estate Planning

Trust vs. Will in Texas: What’s the Difference and Which Do I Need?

A will and a trust are important legal instruments used to convey property to your loved ones upon your death. So how do you know which one you need, and do you always need both? What are the benefits of a trust vs. a will in Texas? This page will explore the benefits and drawbacks of having both a will and trust in your estate plan. The attorneys at Wood Edwards LLP offer simple estate planning services backed by our experience and client-centered approach. When you meet with one of our attorneys, they will get to know you and explore the best options for your needs. We offer flat fees for our services and can help you plan your estate entirely online. With Wood Edwards, you get to establish a personal relationship with your estate planning attorney while benefiting from our simplified approach. What Is a Will in Texas? A will is a legal document that explains a person’s wishes about who should inherit their property after their death. You do not have to have a will for your family to inherit your property. If a person does not have a will, Texas intestate succession laws divide their property up between their surviving spouse and children. However, when you make a will, you can specify a different division, including disinheriting a child, giving property to other relatives or friends, or giving to charity. After you pass away, your executor will submit a copy of your will and an application to the probate court so they can begin managing and distributing your estate. The purpose of the probate court is to protect your property and facilitate the administration of your will. First, a judge makes sure your will was properly executed and meets all of the legal requirements. They may interview witnesses and examine your mental state at the time you wrote the will to accomplish those tasks. Next, the court authorizes the executor to use your estate property to pay your bills, taxes, and expenses. After creditors are paid, the executor can distribute the remaining assets to your beneficiaries according to your wishes. The executor also has to report an accounting and inventory of your estate to the probate court, which becomes a public record. What Is a Trust in Texas? A trust is another option for distributing your property after you die. Trusts can be “living” trusts or “testamentary” trusts. A living trust requires you to transfer property to the trust during your life. A testamentary trust has property transferred into it by a provision in your will. A trust will be managed by a trustee. Creating a trust requires you to execute a document with instructions for how the trust assets should be distributed and placing the property under the trust’s control. The person who creates a trust is called the “settlor” or “grantor,” and the person managing the trust is called the “trustee.” Trustees have specific legal duties, like caring for the trust property and following the trust document. A person who receives trust property is called a “beneficiary.” The trust document will name a beneficiary or beneficiaries who will receive the property upon your death. In estate planning, you will encounter two types of living trusts: revocable and irrevocable. Irrevocable trusts cannot be changed once executed, but they may offer tax benefits and protect the trust assets from creditors. On the other hand, as the name suggests, you can change a revocable trust. Revocable trusts also allow you to name yourself as both a trustee and beneficiary of the trust during your lifetime, so you can keep using your property. Upon your death, control of the trust passes to the successor trustee who will then distribute the property to your beneficiaries. Creating a trust is more complicated than executing a will and has additional upfront costs. However, the property held in trust does not have to go through probate when you die. This can save your family time and money because they do not have to wait for probate to be completed to receive the property. The Benefits and Drawbacks of a Trust vs. a Will in Texas When you write a will, you can specify how your property will be distributed and do not have to worry about transferring ownership to a trustee. You continue to own and control that property until you die. For example, you can grant half of your assets to your spouse and half to your daughter, but you still own those assets while you’re alive. When creating a trust, you must place property into the trust. Problems can arise when you forget to include an asset or transfer a title. When you use a will to distribute your property, you do not have to worry about retitling and transferring property. A will is also usually simpler to prepare, so it will cost less than establishing a trust. On the other hand, trust assets avoid probate. Because the trust document contains instructions for the successor trustee, they can distribute your property automatically. Your family can avoid a will contest in probate and receive their assets quicker. If you own property out-of-state, a trust can help your family avoid going through probate in multiple states. Additionally, a trust can give your family access to your assets if you become incapacitated or disabled. You can organize the trust so the trustee can manage the trust when you are unable to. You can also use a “pour-over” provision in a will to transfer assets into a trust after your death. Or, you can place some assets into a trust and use a will to distribute the remaining assets. Do I Need a Will or Trust? Most adults should create a will to ensure their family is cared for after their death. Only an attorney can tell you if you could also benefit from a trust. When you choose Wood Edwards for your estate planning, we will get to know you and your financial goals....

Dec 12, 2022 | By Wood Edwards Law Team | Read Time: 5 minutes | Estate Planning

Living Trust in Texas: Answers to the Most Important Questions

Am I someone who needs a trust, and how do I start one? The attorneys at Wood Edwards LLP simplify creating a living trust in Texas. We serve individuals with estates of all sizes throughout Texas and the Dallas-Fort Worth Metroplex. Our attorneys offer flat-fee, professional estate planning services while still giving you personal attention. Once we understand your goals, we can tell you if a living trust is right for you or your family. What Is a Living Trust in Texas? A living trust is a legal device used to manage real or personal property. The benefit of a trust is that your trust document determines what happens to your property, not your will. In a living trust, the person forming the trust, known as the settlor or grantor, places property in the control of a trustee. The trustee administers and distributes property to the beneficiaries according to the settlor’s instructions. Property granted by a will must go through probate, but property distributed through a trust avoids probate. An attorney will recommend either an irrevocable or revocable trust. Most living trusts are revocable, so you can change them at any time. A revocable trust also allows you to name yourself as the initial trustee and beneficiary so you can manage the trust in your lifetime. Upon your death, control of the trust passes to another trustee to administer it according to your wishes. What Is the Difference Between a Living Trust and a Will? A will is a legal document that describes how you want to distribute your property after you die. A will must undergo a legal process called probate. During probate, a judge ensures the will accurately reflects your wishes. The probate court also checks that you executed the will according to the law and when you were of sound mind. Like a will, a living trust outlines how you want your assets distributed after death. However, because you place property into the trust before your death, the trust instrument doesn’t need to be validated by probate. Your beneficiaries won’t need to wait to receive a distribution. Additionally, you can place conditions on the transfer of ownership. For example, you can require your daughter to graduate from law school before she receives your house. You can still use your will to distribute any property not covered by the trust. What Are the Advantages of Living Trusts? A revocable living trust lets you control what happens to your assets during your life, incapacity, and after death. Forming a revocable trust means you can make changes to it during your lifetime. Although the trust holds ownership, you can still use the property. For example, you can keep living in your home, pay your mortgage, and deduct the interest from your taxes. A trust can help your family manage your estate if you become incapacitated. You don’t have to worry because you’ve already written instructions and transferred your property to the trust. The successor trustee automatically takes control of the trust when you become incapacitated or die. Additionally, banks are more likely to accept trustee actions without requiring more documentation than power of attorney documents. While probate is not usually a long or expensive process in Texas, a trust helps your loved ones avoid any unnecessary delays. Distributing your out-of-state property by trust stops multiple courts from probating your property. Trusts escape many typical objections to wills, like incapacity or undue influence. Additionally, placing your business in trust means the trustee can continue operating the business after your death. One final benefit is for those who value their privacy. Before administering a will, the personal representative must file an inventory and assessment of the estate with the court. Court documents become public records, including your will. If you don’t want the public to know what is in your estate and who inherits it, you can use a trust to pass on your property. What Are the Downsides to Living Trusts? While forming a trust has the benefit of avoiding probate, it’s not always the best estate planning tool for your situation. Forming a trust requires more time and effort than executing a will. In addition to executing the trust document, you must fund the trust by transferring the property title to the trust. The costs of hiring an attorney to create and fund the trust can exceed the potential savings of avoiding probate. A living trust also offers no flexibility after you die. Your beneficiaries can’t add assets you forgot to include or never retitled. Finally, a trust doesn’t allow you to assign a legal guardian for your minor children or grant someone medical power of attorney. How Much Does a Living Trust Cost in Texas? The cost of establishing a living trust is proportional to the time your attorney spends preparing the trust document and transferring assets into it. As you and your lawyer review your estate plan, they’ll get to know you and determine the best ways to achieve your goals. As a result, your final costs will be influenced by many variables, such as: Many people believe that a living trust is only for the wealthy. While forming a living trust does come with an upfront cost, it can save you in the long run. Your family can receive their inheritance without paying for probate representation. How To Set Up a Trust in Texas An online trust form or generator promises to save you money, but there is no guarantee that it will do what you want or be compliant with Texas law. When Wood Edwards prepares your trust, you get the convenience of online service while still benefiting from a lawyer’s experience and knowledge. We’ll walk you through every step so that your trust is properly formed and funded. The first step in setting up a trust is drafting and executing a trust document. To be enforceable in Texas, a revocable living trust must: Additionally, a trust is only formed once you fund it. Funding a trust...