Good morning,
I hope you’re doing well today. With Thanksgiving around the corner, it’s a great opportunity to discuss important matters with your loved ones. One often overlooked topic is estate planning. Unfortunately, I’ve seen many families struggle when a loved one passes away without a will.
Did you know that about 67% of Americans don’t have a valid estate plan? This can leave state laws, not personal wishes, to dictate how assets are distributed. Understanding what happens without a will is crucial.
Here’s what generally happens when someone dies without a will:
- Appointment of an administrator: The court appoints an “administrator” to handle the estate, which includes paying debts, filing taxes, and distributing assets.
- Distribution of assets:
- Spouse and children: They typically receive the majority of the estate, though the exact division depends on state law.
- No spouse or children: Assets usually go to other close relatives, such as parents, siblings, or nieces and nephews.
- Extended family: In the absence of immediate family, distant relatives may inherit assets. In rare cases, the estate may revert to the state.
- Minor children and guardianship: For minor children with no surviving parent, the court assigns a guardian.
- Taxes and debts: Outstanding debts and taxes are paid from the estate before assets are distributed.
Without a will, the estate may face disputes, challenges, and probate delays. Each state has unique intestacy laws, which is why understanding these differences is essential for ensuring your wishes are followed.
Please feel free to share this with anyone you think may benefit from this knowledge. As always, reach out if you have any questions or needs.
