Creating a comprehensive estate plan ensures your wishes are honored and your loved ones are cared for after passing. However, people often overlook several key elements that can lead to confusion, disputes, or unintended consequences. Here are some commonly forgotten aspects that should be included in an estate plan:
Digital Assets
- Online Accounts: Ensure that your estate plan includes instructions and access information for online accounts, including email, social media(such as Facebook, Twitter, and Instagram, online subscriptions (like Netflix and Spotify), and financial accounts. This can prevent identity theft and help executors manage your digital presence.
- Digital Content: Consider any valuable digital assets, such as cryptocurrencies, domain names, and digital files (photos, music, manuscripts).
Pets
- Pet Care Provisions: Pets are often regarded as family members, so including provisions for their care is crucial. Designate a trusted person to care for your pets and set aside funds for their ongoing expenses.
- Pet Trusts: Establishing a pet trust can ensure that your pets receive proper care and that the designated caregiver has the necessary resources to meet their needs.
Heirlooms and Sentimental Items
- Specific Bequests: Clearly specify who should receive family heirlooms and sentimental items, such as jewelry, antiques, collectibles (such as stamps and coins), and keepsakes. This helps prevent disputes among heirs and ensures that these items are passed down according to your wishes.
- Letter of Instruction: A letter of instruction can provide detailed guidance on distributing personal items, explaining the significance of certain items and why you have chosen specific recipients.
Personal and Family Memorabilia
- Photo Albums and Mementos: Include instructions for distributing personal and family memorabilia, such as photo albums, scrapbooks, and other mementos that hold sentimental value.
Automobiles
Forgetting to include a car in your estate plan is a common oversight, but it can be addressed to ensure all your assets are distributed according to your wishes. Regularly reviewing and updating your estate plan helps ensure all automobiles, including recently acquired ones, are accounted for. Make it a habit to update your estate plan whenever you purchase a new car or other significant assets.
You might also want to consider drafting a residual clause in your will. This will ensure that any assets not specifically mentioned, for example, an automobile, are still covered and grants the authority to distribute any forgotten or newly acquired assets to your beneficiaries according to your wishes.
If you want a particular person to inherit your car, update your will to include this. List the car’s make, model, and year to avoid any confusion. Pennsylvania is not one of the states that recognize Transfer-On-Death (TOD) Registration, which allows you to designate a beneficiary on your car’s title, which transfers ownership automatically upon your death. However, Pennsylvania does allow you to title the car jointly with a loved one, so they automatically become the sole owner at your death by designating the car under Joint Ownership with Right of Survivorship.
Other Assets
- Prepaid Burial Plans: Include any pre-arranged or prepaid funeral plans.
- Memberships: Consider country club memberships, timeshares, or other membership-based assets.
- Debts Owed to You: Don’t overlook promissory notes or other forms of personal loans where money is owed to you.
- Tax Refunds: Include any expected state or federal tax refunds.
- Employee Benefits: Account for unclaimed employee benefits, such as stock options, restricted stock units, or unpaid bonuses.
Additional Tips To Include Particular Assets
- Use a Revocable Living Trust: This can be used to include assets as an alternative to including them in a will. Without going through probate, a revocable living trust can help manage and distribute your assets, including vehicles, heirlooms, and pets. You can transfer ownership of your assets to the trust, ensuring they are included in your estate plan.
- Communicate with Your Executor or Trustee: Ensure your executor or trustee knows all your assets, including your car. Provide them with a list of assets and their locations to make the administration process smoother.
- Inventory Your Assets: Keep a comprehensive inventory of all your assets, including vehicles. Update this inventory regularly and share it with your executor or trustee.
Contact Our Pittsburgh Estate Planning Attorneys
Addressing these often-overlooked assets in your estate plan can provide clarity and direction for your loved ones, reduce the potential for disputes, and ensure that all of your assets and wishes are accounted for. An estate planning attorney can help design your plan to distribute your assets according to your wishes. Jones Gregg Creehan & Gerace has experienced Pittsburgh estate planning attorneys who can provide guidance on the best ways to include forgotten assets in your estate plan. Contact us today.