The Importance of Effective Estate Planning | The Benefits to Your Loved Ones
As humans, we tend to get nervous when we start contemplating our own demise. For that reason, far too many of us don’t take the time and spend the money to put an effective estate plan in place—current estimates are that up to 60% of Americans do not have a will. The reality? If you die without a will, it will likely end up costing your loved ones far more than if you had a simple will in place.
What Happens When You Die with a Valid Will in Place in Texas?
As a general rule, when you have executed a last will and testament, it will be submitted to and administered by the probate court after your death. The court will work with the person you have designated as administrator or personal representative to ensure that your wishes are followed and that all property is distributed or sold in an orderly manner. The process it typically pretty straightforward. Attorneys may charge a flat fee, bill you by the hour or take a percentage of the estate (more common in Texas than in other states). In limited circumstances, such as where the estate owns no property, probate may be avoided.
What Happens When You Die without a Will in Texas?
When you die without a valid will in place, the law considers you to have died “intestate.” Any property that you own at the time of your death will be distributed according to the Texas intestacy laws, which may not comply at all with your actual wishes. Don’t think that because you didn’t have a will, your estate won’t have to go through the probate process. If there are sufficient assets in the estate, it will be in your heirs’ best interests to have the court oversee distribution of property.
How Does Texas Divide Property When There Is No Will?
Texas is one of a handful of states that adhere to community property laws. When a person dies without a last will and testament, those laws govern the initial consideration of property distribution. As in a divorce proceeding, the court will first determine what property was community property and what property was separate property.
- If there is a surviving spouse, the spouse receives all community property (whether or not there are surviving children). The spouse is entitled to 1/3rd of all separate personal property and real estate, with the remainder to any surviving children. If there are no surviving children, the spouse inherits the entire estate.
- If there is no spouse, but there are surviving children, they share equally in the entire estate, regardless of any gifts they may have previously received from the parent
- If there is no spouse and no surviving child, the parents of the deceased inherit the entire estate
- If there is no surviving spouse, child or parent of the deceased, the entire estate will be divided equally among any surviving siblings
Why Would It Cost More to Die without a Will in Texas?
First and foremost, dying intestate typically requires far more involvement from the court, meaning many legal proceedings, all of which must be attended by your attorney. In such circumstances, your heirs will typically pay hourly fees to legal counsel, which can mount very quickly. The process will likely include many components that wouldn’t be necessary if a will were in place:
- The determination of heirs
- An inventory of assets
- The determination of title to real property and other assets
- The appointment of an administrator, who will have to be paid for his or her services, including:
- Locating heirs
- Cataloging assets
- Paying any debts and claims of the estate
- Filing any necessary tax returns
- Transferring title to certain assets in the estate
- Distributing the property in the estate
Contact the Proven Estate Planning Lawyers at Bailey & Galyen
At the law offices of Bailey & Galyen, we have more than four decades of experience successfully helping people across the Lone Star State create and implement effective estate plans. We have a comprehensive understand of the tools available to ensure the orderly distribution of your estate, and know how to tailor our counsel to respond to your unique circumstances. To learn more about your options and the ways that we can help bring you peace of mind, Contact us by e-mail or 844-402-2992 call our offices at one of the convenient locations listed below. Our phones are answered 24 hours a day, seven days a week.
