Howard On Estate Administration

You are the executor or trustee. Congratulations??

When you find yourself the executor or trustee for an estate, you are confronted by legal mandates, family dynamics, and unsolicited advice. Even for the simplest estates, federal and state laws impose specific deadlines and duties that you, as executor or trustee, are responsible for. For instance, you must file the will with the county court. Since death is a "change in ownership" for property tax purposes, you face deadlines for filing notices and exemption claims in each county where real property is owned. When a portion of a living trust becomes irrevocable, you must mail certain notices to all beneficiaries, obtain a federal tax ID, segregate assets, and commence fiduciary accounting. If probate is needed, you must timely provide legal notices and petition the court.

As you begin to uncover your many responsibilities to pay taxes, value assets, and account for distributions, you discover that you are personally liable for mistakes. You learn that self-help guides only scratch the surface of California and Federal law governing your duties and responsibilities. You realize that many estates are not as simple as they first appear. Even a modest estate can have unique assets, incomplete documents, or ambiguous distribution clauses that aren't explained in any paperback book. You can be left guessing what to do.

My job, as an estate attorney, is to guide you through the estate administration process so you don't make costly mistakes. I help you get on with your life rather than slogging through California's massive estate, property, and tax codes. I relieve you from the stress of guessing what the law really requires.

The good news is that many estates qualify for disposition without probate or any formal administration. Living trusts, joint tenancy, and bequests to a spouse can qualify even substantial estates for informal administration. Small estates often qualify with no pre-planning whatsoever. After I review your documents, property titles, and asset list; I will review the law to see if the estate qualifies for informal administration. In those qualifying estates, I will prepare and file the necessary notices and transfer documents, help you document the fulfillment of your duties, and coordinate with an accountant to prepare tax returns.

Most families want to avoid the expense, delay, and public exposure of probate proceedings. I will normally work hard to help you avoid or at least reduce the probate estate. Occasionally, people want to commence a probate to cut off problematic creditors or beneficiaries. If probate becomes necessary, I will represent you by filing papers, providing notices, countering claims, and appearing in court.

Trust administration can range from being very simple to being extremely complex. After I review your will, trust, and property, I can tell you how complex the administration will be. The name of a trust has little to do with its complexity. "Irrevocable" trusts can be revocable. "Revocable" trusts often become wholly or partially irrevocable whenever a settlor dies. Especially with mass market "trust mill" trusts, I often see trusts that are partially or totally inoperative due to various defects. On the other extreme, I see surviving spouses of modest means saddled with complex trusts appropriate only for multimillionaires. After I read your documents and we discuss your family dynamics, I can estimate we can explore your options.

In the circle of life, postmortem administration is also survivor planning. My approach to estate administration is to serve the survivors while honoring the decedent's intent. I like to work with your accountant and financial advisor to facilitate a distribution and management process that helps survivors get on with their lives the best they can. You can save money by letting me help you do some of the work yourself. I strive for the simplest process that the law and family situation will allow.

Because every estate is a unique mix of people, property, and documents, I invite you to call me to discuss your situation.