Estate Planning: Testacy vs. Intestacy

It’s possible you have heard the words “died intestate” to describe someone who passed away. This is a legal term meaning a person died without having a will. Conversely, to die “testate” means a person had a valid will in place at the time of his or her death.

While the difference in the two words may amount to only two letters, in the real world, the difference can be monumental to your estate and your beneficiaries.

Dying Without a Will

When a person dies intestate, State law prevails and divides their estate according to statute. It can leave loved ones with questions, burdens and confusion during an especially sad and stressful time. They may need to petition for Letters of Administration to proceed. What are those and how to you get them? Exactly. Devastated people should not be strapped with research, paperwork and possibles legal actions.

What is Probate?

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Probate is the legal process of governing a person’s estate after their death. If you have a Last Will and Testament in place, probate is limited to verifying your will’s validity, executing your instructions, and using available assets to cover any applicable taxes.

In Florida, if you die without a will, Florida Probate Court laws will determine who inherits your estate. In simple cases, 100% your estate will go to your surviving spouse, but this is true only if neither of you has children from another relationship. But what if one or both of you have children from previous relationships? What if you have no spouse? If that is the case and you are survived by one or both parents, your estate will go to them. If you have two living parents who are divorced, how will they divide things like your home and property? What if one or both parents are incapacitated? There are countless questions like this to consider.

If both your parents are deceased, next in line are your siblings. But what if you don’t have living siblings – or you don’t want one or more of your siblings to share in your estate? If you have two or more surviving siblings, will they fight over your estate? Who will get your home, car, collectables and heirlooms? In such cases, valuables in your estate may need to be liquidated to be divided among your State-designated heirs.

Even more complicated, who will take care of your dependent children and/or your pets? Clearly those aren’t things you want to leave to chance.

“If you die without a will, the probate court will decide how to distribute your estate,” says Of counsel Probate Litigation attorney Matthew Black. “That will typically leave second- or third-degree relatives, friends and others who matter to you out of your list of beneficiaries. This can lead to probate litigation, as heirs fight over who gets what, or someone you once promised something to asserts there was a verbal contract in place. Dying intestate can quickly become a nightmare scenario – not the legacy most of us want to leave behind.”

Clearly, this is a potentially worrisome and stressful situation in which to leave your loved ones. And probate can cause long, complicated delays, leaving your heirs to deal with complex bureaucracy during a time of grief.

The Merits of Having a Will

People sometimes avoid writing a will out of vague feelings of superstition or dread, as if planning for their demise will invite it to happen. Of course, we know this isn’t so, but for many, the whole concept can feel scary and depressing. “Death can create illogical reactions in even the most logical people,” says Estate Planning attorney Jeff Skates. “They may see meeting an estate planner to compose a will akin to going to the dentist – something they want to avoid as long as possible. What I want people to know is that getting their affairs in order is not only a highly organized and relatively simple process, it can also provide tremendous relief.”

Wills do more than name all the beneficiaries you want to be included and avoid complicated probate, they also provide:

  • Your choice of a trusted Executor to oversee the execution of your wishes

  • Estate tax reduction, so more of your estate goes to your beneficiaries and less to taxes

  • Contributions to charities, organizations, schools, museums – whichever entities matter to you

  • Protection from disputes among family members

“Knowing your estate will go toward protecting the people you care about, as well as supporting the specific charities and organizations you favor, takes those concerns off your hands,” says Mr. Skates. “It can be a truly freeing experience.”

For comprehensive planning including Wills, Trusts and Estate Law, McLin Burnsed’s Estate Planning team can make the experience smooth, comfortable and stress-free, so you can get back to focusing on life in the here and now.