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The Stig
06-06-2012, 12:01 AM
One of Mrs Stigs aunts passed away unexpectedly this past weekend. Her daughter is scrambling because (1) she is broke (2) the aunt didn't organize her important papers in any way (3) she was not aware of her Mom's wishes.

So...for the ultimate SHTF event....have you organized your affairs so your loved ones have quick access to money for funeral expenses? Have a detailed list of important papers so people can find them (bonds, CDs, bank accounts, pensions, life insurance, etc.?

I must confess I've been putting off having a will drawn up. I also need to organize the important documents with a master list for what Mrs Stig needs to do in the event I'm hit by a bus.

ak474u
06-06-2012, 12:29 AM
AND, if they're not in a trust... Instructions need to be left on how to sell, or Form 5? Iirc (tax free transfer) any SBR or Class III goodies. There is a very short grace period before an heir can be charged with constructive possession for merely having access to a safe after you're gone. I talked to the gun trust lawyer about this very thing just a few weeks ago, and it's happened before. It may also be a good idea to have a list of ballpark values of your guns so an heir gets the maximum value out of them when settling your estate.

bacpacker
06-06-2012, 12:53 AM
Thanks for the post Stig. This is something we have been putting off as well. It is an important item to have covered, regardless of preps.
AK, good stuff from the lawyer. Good info.

ladyhk13
06-06-2012, 12:57 AM
Every state has it's own codes for estates and heirs. Our state just passed the "no inheritance tax" law/code last week. As of 2012 there will be no inheritance tax when you are left anything by a loved one. Yahoo! Also, everything automatically goes to the spouse here as well but still a will needs to be done I guess for anything that's not covered or if both get killed at the same time.

bacpacker
06-06-2012, 01:28 AM
Great news on the tax issue. I knew that was coming up. But I hadn't heard it had passed already.

The Stig
06-06-2012, 01:32 AM
AND, if they're not in a trust... Instructions need to be left on how to sell, or Form 5? Iirc (tax free transfer) any SBR or Class III goodies. There is a very short grace period before an heir can be charged with constructive possession for merely having access to a safe after you're gone. I talked to the gun trust lawyer about this very thing just a few weeks ago, and it's happened before. It may also be a good idea to have a list of ballpark values of your guns so an heir gets the maximum value out of them when settling your estate.

Excellent advice.

For us the will isn't so much to protect our financial assets as it is ensuring LiL Stig is raised by the right people and take care of in the event Mr and Mrs Stig are suddenly removed from earth.

Twitchy
06-06-2012, 02:01 AM
after seeing several estates ending quite bad, might i suggest some things... Have everything decided prior to any event happening... Make SURE it complies with all state and federal laws so it isn't disputable... This will really help if something unexpected does happen... It will make things easier for the heirs...

Grumpy Old Man
06-06-2012, 03:56 AM
I am spending my children's inheritance and plan on leaving them noting! Naked came I into this world and naked shall I return to my maker! It's all just stuff and it's all God's stuff, I'm just watching over it for him while I'm here. Sorry to derail a thread, but I have gone with a minimalist attitude and created joint survivorships. When I'm gone the remaining name has right of survivorship. No muss; no fuss. Goes straight to them.

Sniper-T
06-06-2012, 10:05 AM
^ ditto!

But I have created an inventory of all my high ticket items for the Mrs... guns, boats, quads, sleds, jewelery, cash, etc.

Kodiak
06-06-2012, 01:00 PM
The Mrs. and I have had a will on our to do list for a few years now and keep putting it off, thanks for the reminder to get off our rear ends and get it done. I think ill call a lawyer today and find out how much it costs.

msomnipotent
06-06-2012, 02:19 PM
I turned 40 last month and the idea of a will has been nagging at me. My grandmother knew she was dying of lung cancer, so she had everything in order before she passed on. It still took 8 months and a lot of frustration for my mother, her executor. There is paperwork for everything and not everyone knows what they are doing. One of her banks was especially screwy.

I just do not have a good option for a caretaker for my daughter. My husband and I have talked about this a lot and we just don't know who to choose. We have also come to realize that we are the only sane people in both of our families, and my sisters' kids will wind up with us if something happens to them.

ladyhk13
06-06-2012, 04:37 PM
My dad called me up one day and said "congratulations, you now own a home" and I thought he was nuts. He put his house in my name and in his documents he stated that his wife (step mother) will be allowed to live the rest of her life in the home as long as the taxes are paid. He did this so that if she ever gets sick the home cannot be used as an asset for Medicare nor can it be taken away from her due to medical bills. It covered her butt so she never has to worry about a place to live. If she ever wanted to move of course I would sign the house over to her (I don't think she ever will though, they have lived there 30 years and the house is supposed to be sold and split between the grandkids - he died last year) so she could do what she wanted, it would be the right thing to do.

izzyscout21
06-09-2012, 01:00 AM
I had a will while I was on active duty. That has since lapsed, and I've been reluctant to have anew one drawn up. The issue for me and the Mrs. is exactly what Stig mentioned: Don't know who to entrust the rugrats to.

ladyhk13
06-09-2012, 01:25 AM
I had a will while I was on active duty. That has since lapsed, and I've been reluctant to have anew one drawn up. The issue for me and the Mrs. is exactly what Stig mentioned: Don't know who to entrust the rugrats to.

That is always a really tough one. I guess the Catholics have that one figured out when they assign Godparents - not always a family member. Who would raise the kids the way you would want them raised (your values, unconditional love, respect, financial responsibility, ect) and such. I'm just glad I don't have to worry about that anymore.

ladyhk13
06-09-2012, 01:27 AM
Great news on the tax issue. I knew that was coming up. But I hadn't heard it had passed already.


Yeah, I got an email from David Alexander (My Congressman and friend) letting us know it was passed effective 2012.

Katrina
06-23-2012, 05:16 AM
Guys just an fyi, I had to pay taxes on what I "inherited" from Pop's estate. Pop put it all in trust and when the trust distributes, that's income not inheritance to the heirs so check your fed and state tax rules. Maybe no inheritance taxes for the trust but you WILL get hit with income taxes. This is from the tax lawyer we consulted when we got the 1099 for the first distribution of the Trust. And make sure your trustee takes their fees in the same year as they do any distribution(s) because you can take that off the taxes and the costs of maintaining any property to offset the taxes charged . That is also what the lawyer told us. Since the trustee for Pop won't take her costs till the estate is settled we couldn't take her fees/costs on last years taxes. She bumped us into a much higher tax bracket, cost me a bunch of money and I didn't get any offsets. It's legal just not too ethical.

ladyhk13
06-27-2012, 01:53 AM
^that stinks! Guess Trusts aren't always a good thing. Is that a state law or federal, do you know?

Katrina
06-27-2012, 04:58 AM
Not exactly sure if it is the same in all states but Federal is IRS rules. Which I believe is what states mirror.

Sniper-T
06-27-2012, 11:42 AM
Liquid assets are what is easiest to transfer to your heirs. After a nightmare of a time being executor for my mom's estate, I got my dad to sort his out while he was still alive. On hand Cash, coin, and possessions could all be transfered to the heirs (me and my brother) easily, and with no tax issues for us. What he had in the bank, and money from the sale of his house, were all taxable income for us.

Keep in mind, this is under Canadian Law, and may vary down there.

tompnoid
06-27-2012, 08:19 PM
everything is to be split between my sons the three will inherit the 401k life insurance whole nine yards. the insurance tried to make me get my ex wife to sign a waiver for my 401 k told em to beat it and listed my kids as the sole beneficiaries. as far as the rest goes whatever i dont care my sons get the guns and fishign gear my brother gets the boat and wife is left with the house