COMMON QUESTION: I hold everything jointly with my spouse; therefore, I thought I would simply put my children’s names on our property so we can avoid probate that way. Is there any problem with this? Jointly held property between spouses is very common and does not generally lead to any estate planning issues. However, it is important to understand that the use of joint tenancy between a husband and wife will avoid the time and cost of probate at the first death, but probate at the second death will most likely still be required. Unlike jointly owning property with a spouse, jointly owning property with a child or another individual can potentially lead to some very serious problems. This type of “estate planning” often results in family feuds, severe tax consequences and your ultimate intention not being met. By adding children as joint owners to property you may inadvertently lose some, or all, control over the joint property; you may inadvertently include the dower rights of in-laws; and, you may be inadvertently subjecting the jointly held property to the creditors of your children.
Posted on: Tue, 22 Jul 2014 12:44:50 +0000
Trending Topics
Recently Viewed Topics
© 2015