Protect your family. Preserve your future.
Your future and the future of your loved ones is too important to be left to chance. A good estate plan helps you manage your assets during your lifetime, and protects you and the people you care for in the event that you become disabled. After your death, it can continue to protect and provide for your loved ones, or fund your favorite charities.
However, planning your estate is not a time for cookie-cutter solutions - your estate plan must be tailored to fit your particular circumstances and needs. The issues of estate planning are intricate, with many decisions impacting on another. Patricia Mallon works with you to help identify your goals, so together you can craft a plan that best protects and preserves your estate for you and your loved ones. Ms. Mallon provides Probate and Trust Administrative services and practices in the Probate courts in the counties of Wayne, Oakland, Livingston, and Monroe.
If you would like to discuss your estate planning needs, please call our office at (248) 449-4297. We will ask you to bring the Estate Planning Questionnaire (PDF file) with you to your initial consultation. This questionnaire walks you through the information needed to design your estate and asset management plan. It does not need to be fully completed before your first meeting, but please answer as many questions answered as possible. (Note: Each spouse or partner must fill out his or her own questionnaire).
Frequently Asked Questions about…
- Avoiding Probate
- Revocable Grantor
- Why Consider a Trust?
- Living Wills
- Lady Bird Deeds
- Irrevocable Life Insurance Trusts
- Guardians
- Estate Administration
- Helpful Links and Resources
Avoiding Probate
The most common vehicle for avoiding probate involves placing your assets in a Revocable Grantor Trust. However, you can also use Lady Bird Deeds to pass real estate, and beneficiary designations to pass insurance proceeds and other funds. Together, we review your asset mix to determine the best and most economical method for you.
Revocable Grantor Trust
There are many types of trusts, but the most commonly used trust for avoiding probate or for tax planning is the Revocable Grantor Trust. A Revocable Grantor Trust is a vehicle for holding and managing assets during your lifetime and after your death. During your lifetime you have complete control over the trust and the assets in it. Most people who set up such a trust act as the trustee, but you can select another person or an entity, such as a bank, to act as trustee. After your death, the assets in the trust are managed or distributed in accordance with the terms of the trust.
Why Consider a Trust?
Asset Management
Simply put, a trust a wonderful way to take care of yourself and your loved ones. You design the trust to fit your particular life circumstance and needs. If you die or become disabled, a successor trustee (a person or entity you have selected) takes over management of the assets. And if you wish, you can set up the trust so that the trust assets remain in the trust after your death, instead of being distributed outright to persons who may not be prepared to manage the assets themselves. Because a trust is so flexible it is a great way to accommodate the needs of blended families, unmarried partners, minor children, and disabled loved ones.
Probate Avoidance
Placing assets in a trust is one way of distributing assets outside of probate. You can also plan for the management of your assets in the event you become incapacitated during your lifetime thereby avoiding the court’s supervision of your affairs.
Privacy
Trust provisions – and the assets in them – are not subject to disclosure. In contrast, if your estate goes through probate, your will and other documents become public records.
Estate Tax Savings
A trust may provide you with an opportunity to reduce or avoid estate taxes.
Living Wills
In Michigan, you must appoint a person or persons (your Patient Advocate) to make medical decisions for you in accordance with your wishes. This designation must be in writing in a document called a Patient Advocate form, which is often referred to as a Living Will.
The form allows your Patient Advocate to make decisions for you, in accordance with your written directions, including decisions regarding life-sustaining procedures in the case of an incurable injury, disease or illness. You can also direct your Patient Advocate to withhold or withdraw life support treatment.
Lady Bird Deeds
A Lady Bird deed (so named after former President Lyndon B. Johnson reportedly used such a deed to convey land to his wife, Lady Bird Johnson) is a deed which transfers your real estate on your death automatically, outside of probate. During your lifetime, it does not impede the sale of your real estate. In order to be effective, however, it must be carefully crafted by someone who understands all the benefits and drawbacks to such a deed.
Irrevocable Life Insurance Trusts
An Irrevocable Life Insurance Trust (ILIT) is a vehicle that is designed to avoid estate tax on life insurance proceeds received after death. The ILIT owns and is the beneficiary of life insurance policies. On your death, the insurance proceeds are placed in the ILIT and used to provide for your loved ones in the same manner as a Revocable Grantor Trust. This trust is irrevocable, however, and because its terms cannot be changed after it is established, it is not for everyone. You should give very careful thought and consideration to the terms of an ILIT.
Guardians
A guardian is a court-appointed person who cares for a minor child or an adult with a mental disability. A guardian for a minor child makes medical and education decisions if the child’s parents are not available. You can nominate a guardian for your children or yourself in a simple document called a “guardianship designation.” Under Michigan law, however, you may also nominate a Guardian for your minor children in your will.
Estate Administration
Estate administration services include probate of wills and trust administration. My probate practice is limited to the state of Michigan, counties of Wayne, Oakland, Washtenaw, Livingston, and Monroe.
Helpful Links and Resources
Advance Directives/Living Wills - University of Michigan Forms
My Voice My Choice (PDF file) - Advance Directive/Living Will from Oakwood Healthcare System
New Hope Center For Grief Support