Tegwyn

I will get back to you on that JAJ as that was one of the questions he had asked us because of our tax questions. I should be able to offer precise info for you then. This trust sets up an asset directive for me in the event of my hubby passing, for my hubby in the event of me passing and my daughter should we both pass on. This is instead of a will not as well as. I will ask more at the next meeting.

md95065

While the trust will probably cover most of your assets there are bound to be things not covered by the trust and if you don't have a will then you are relying on the laws of intestate succession to deal with those things. If it turns out that the only thing that this would apply to would be the loose change in your pocket then it probably doesn't matter but I suspect that there will be more than just that ...

ian-mstm

Here's another thought not yet addressed - the nightmare scenario. That happens when neither you nor your husband are killed... but you're both totally incapacitated. Your will wouldn't come into effect, because you're both still alive... but you'd both be unable to act or make decisions. You might want to consider seting up both a durable power of attorney, and a medical power of attorney.

Ian

kodokan

Totally terrifying but excellent thought, shall add this to the discussion pot.

jackattack

This is a very relevant topic for us right now, I'm interested to know how your meeting goes.

My husband is USC and I am currently a green card holder but one of the things on my New Year resolution list was to become a citizen. We had a phone conversation with an advisor discussing revocable trust (I'm not sure of the difference between that and a living trust) and she also advised that the tax implications between me being USC vs not was significant should my husband pass away. I don't have specific numbers but we also don't hit the $5m asset threshold and the implication was that it would definitely impact us.

I'll do some more research. But these are all good things to add to my list of things to discuss with her, we're currently procrastinating until I become a USC (N-400 filled out, just waiting for IRS tax transcript). Note to self to get passport photos taken today.

Tegwyn

I found a small blurb on the tax issue here. http://www.nolo.com/legal-encycloped...oncitizen.html Bit more scoop here. It is in PDF format. Page 4/5 of 7 http://www.deloitte.com/assets/Dcom-...ion_240811.pdf

Michael

A living trust and a revokable trust are the same thing. A living trust is revokable.

swsprime

Trusts are easy to set up in the UK, you just go to your Bank and ask them to set one up. In the US its 'not so easy, you need a lawyer and that can be expensive. I would find a trusted friend in the US who can act as an executor of your Will, then put it all in a legal Will, put the original in a Bank Safe Deposit Box with you executor named. The bank will then allow the executor to remove the original Will from your safe deposit on your death and execute it.

ian-mstm

I think you mean an executor of the estate.


Is there such a thing as an illegal will?


Bad advice. You seem to dole out a lot of bad advice.

Ian

Steve_

Term of art, a "legal will" must be properly witnessed.

Steve_

Estate, will, probate whatever they want to call themselves lawyer.

Not a bunch of strangers on the internet, quite honestly. I know people give out advice on these forums but if you're going to look on the internet I would suggest searching a website to do with probate, rather than this one.

It's a very complex area of law and individual estates vary considerably, as does State law.

And now I've said that I'll give you my opinion.

If all your tangible assets are in Arizona and you only have intangible assets (e.g. financial accounts) outside the US, then you just write a will for Arizona, get it witnessed.

Various ways of doing a trust, set up an inter vivos trust now and name the guardian as the beneficiary until the kids turn 21 or something like that is a common method. Or a regular trust transfer upon death.

If in fact a trust is a good idea, from the sounds of your estate it sounds a bit excessive.

But like I said, talk to a lawyer who specializes in it.

Steve_

Perhaps he means the tax treaty (or lack thereof), estate tax works differently for residents of different countries. This one comes up in Canada all the time, oh you're going to get hit with US estate tax, but in reality you won't because under the US-Canada tax treaty you're basically treated the same as an American as regards the amounts. But you're right, as an LPR I think the only relevant bit is the lack of the unlimited exemption for the spouse.

ian-mstm

A will can be both legal and valid even if it isn't witnessed. Just sayin'.

Ian

Steve_

http://en.wikipedia.org/wiki/Holographic_will

Unfortunately I don't own a tractor.

Tegwyn

Okay, so this is the updated info I have from our lawyers. So correction on the will info. A will is part of a trust, but the trust simply bypasses the probate process as clear instruction is issued as to how and what assets are divided without the requirement of the court. It is in essence an instruction to banks, insurance policies, real estate to clarify inheritance instruction without the probate process. Addition to assets (monies, real estate) can always be updated without having to go through the legal hassle of changing the will. A will alone would do pretty much the same thing but the probate process could be a dragged out. The cost of the probate process would be charged to the recipients.

As explained to me. US citizen estate > non US citizen spouse. 5$mil exempt. Same for non US Citizen to US Citizen spouse.
US Citizen to children, $5 mil exempt. Non US citizen to children - subject to estate tax ( no exemption) Tax rate 40%. (All must be residing in the US)

I am told more changes to the estate tax structure are due later this year.