What is the difference between Probate and Non-probate Assets?
As an estate planning attorney, one of the most common misconceptions I hear is, “I have a Will, so my family will avoid a probate proceeding.” This is simply not the case. Having a Will alone will not keep your estate from going before a probate court. A Will simply allows you to direct how your assets are dispersed and who gets them. Whether or not an estate will be probated depends on what assets the decedent (the person who has died) owns at the time of death and how they owned them. Assets that are left only in the... Read More
How Often Should I Update My Estate Plan?
Having an estate plan is an important step that everyone should contemplate. It allows you to direct where your hard-earned and cherished assets go, ultimately deciding who gets them and when and how they will inherit. A question I often get asked is, “How often should I update my Will or Trust document?” In typical lawyer fashion, the short answer is, it depends on your individual situation. However, your estate planning documents should be reviewed every so often, roughly every 3–7 years. Here are some instances in which an update or review of your estate plan should be considered: 1.)... Read More
Don’t Forget Your Will and Fall Cleaning To-Do List
Fall is traditionally a time for taking stock, reorganizing, and preparing. Don’t forget to add creating or updating your Will to your fall to-do list. Your Will is an essential document directing the transfer of your property when you die. A Will is necessary if you wish to make specific gifts to friends, loved ones, or charities. A Will allows you the opportunity to dispose of your assets after you die to people or organizations that normally would not inherit any portion of your estate. You can also identify specific assets that are unique to your estate such as family... Read More
Court of Appeals protects specific gifts of real property from an estate.
On December 12, 2022, in In re Estate of Zych, the court of appeals held that the “personal representative of an estate may not sell real property that the testator has specifically devised by will.” Stanley Zych left his farmland to four sons, certificates of deposit to three daughters, and the remainder of his property was left to all seven children. Prior to his death, several of his assets were mismanaged for over a decade by three of his children. As a result of the mismanagement, the district court found that the three children owed significant sums to the estate,... Read More
Estate Taxes Still an Issue
With the federal estate tax beginning for estates in excess of $5.4 million, most families no longer concern themselves with avoiding the imposition of this tax. However, Minnesota residences or non-residences with Minnesota property still face Minnesota taxes for estates that exceed $1.6 million. Do not assume that estate planning is no longer necessary simply because of the size of the federal exemption. There are a number of planning opportunities for families to avoid or minimize Minnesota estate tax. For more information on Estate Taxes and Estate Planning, contact Steve Fink at Farrish Johnson Law Office. This webpage contains general... Read More
Will Contest Case Succeeds at Appeal
Attorney Scott Kelly, representing the defendant, prevailed at the Court of Appeals in a will contest matter. In this appeal from a district court order in probate proceedings, the plaintiff challenged the district court’s adoption of the county taxing authority’s estimated market value as the fair market value of certain real property. The Court of Appeals agreed with the district court that the district court’s finding of fair market value had meaningful and adequate evidentiary support and was not clearly erroneous. This was the second appeal arising from a dispute over the administration of the estate and Scott worked closely... Read More