When developing an estate plan, it is paramount to understand your state’s laws to avoid as many fees and taxes as possible. New Jersey is one of the only states to have inheritance taxes, but spouses, siblings and children are typically exempt.
When making your estate plan, you want your loved ones to have assets and money to have easier lives after you pass away. You need to take the right steps to ensure your loved ones receive their inheritances in a timely manner, so they do not go through lengthy legal processes. Consider these items if you want your heirs to receive their inheritances as quickly as possible.
Know which documents you need
Two of the most common estate planning documents are a last will and trust. A lot of people are familiar with last wills, and they tend to assume one is all they need in their estate plan. The truth of the matter is that it can take a while for heirs to receive assets. Whomever you make the executor of your estate needs to send the last will into probate. Probate is a detailed legal process that takes place within the Surrogate’s Court of New Jersey. The heirs will need to wait until this process is complete before attaining any assets.
If you do not like how long it will take for heirs to receive inheritances, then you may want to look into a living trust. With a trust, you maintain control of all your assets when you are still alive. That means if you want to make any changes to the plan, then you can do so relatively easily. When you pass away, the person you name as trustee will oversee the distribution of assets. You will provide the trustee with instructions on how long to wait before administering the inheritances.