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A pour-over will can be an important backup

On Behalf of | Jun 13, 2018 | Estate Planning |

When it comes to estate planning, a variety of strategies someone in Ohio could use to protect his or her assets. Many people develop an estate plan based on trusts; by creating trusts, people can have more control over how those assets are used as well as present mechanisms to transfer property outside the realm of the probate court. However, a pour-over will can also be important when an estate plan is largely reliant on trusts. This kind of will can be important when not all property is transferred into a trust before the grantor’s death.

During the estate planning process, a pour-over will works essentially as a backup for a plan that is primarily based on trust distribution. It indicates that any assets outside the revocable living trusts that were created should be passed into the trust upon the grantor’s death. In this way, the trust will be able to receive the property that was not passed to it prior to the creator’s death.

Many people prefer to plan their estate by using a revocable living trust as the use of such trusts avoids the probate system. However, if a person hasn’t put their assets into the trust before passing away, probate will be necessary, even if a pour-over will exists. Without a pour-over will, the property would be distributed to one’s legal heirs using state law for intestacy, as if the person had died without a will.

In most cases, the person creating this document will not need the pour-over will, because all relevant property will be transferred to the living trust. However, when it comes to estate planning, having this critical backup in place can be important. An attorney might provide advice and guidance on creating an estate plan.