What happens to money in trust after death?
If you put things into a trust, provided certain conditions are met, they no longer belong to you. This means that when you die their value normally won’t be counted when your Inheritance Tax bill is worked out. Instead, the cash, investments or property belong to the trust.
What happens to a family trust when someone dies?
When they pass away, the assets are distributed to beneficiaries, or the individuals they have chosen to receive their assets. A settlor can change or terminate a revocable trust during their lifetime. Generally, once they die, it becomes irrevocable and is no longer modifiable.
Can a trust be established after a father dies?
In California, where I practice, state law requires that you and your siblings would have to be notified after your father died if such an irrevocable trust was established upon his death. Notice requirements differ from state to state, however. Best to find out what your state requires.
Who is the trustee of my dad’s estate?
My dad left behind four adult children and his wife, our stepmother. He also — bless him — left behind what at the outset appears to be competently produced estate-planning documents: a will and a revocable trust. A bank is serving as the trustee, with a law firm representing the bank.
What happens to my father’s property after he dies?
Best to find out what your state requires. Your father’s Will probably leaves his tangible personal property (such as clothes, books, etc) to your mother, and then pours whatever else he owned at death into the family trust. So that’s the document that matters in determining what your mother can, and can’t, do now.
Where did my dad live at the time of his death?
Thank you for your time. They resided in South Carolina at the time of my dad’s passing. When it comes to inheritance, children usually fare better than stepchildren. Your father’s wishes were honored, I’m afraid to say.
What did my dad do when he died?
When my dad died from complications of heart valve surgery in 2002, most of his assets, and my mother’s, were neatly bundled into IRAs and revocable trusts. Every year since then, I’ve helped Mom gather her tax documents, compile the deductible medical bills and pass everything to her accountant who does her magic handling the complex trust taxes.
In California, where I practice, state law requires that you and your siblings would have to be notified after your father died if such an irrevocable trust was established upon his death. Notice requirements differ from state to state, however. Best to find out what your state requires.
What was the stock price in 1974 when my father died?
Translation: Instead of paying gains on the 1974 stock price, we should have been paying gains on the January 2, 2002 price, the date of my father’s death. Fortunately, the mistake was largely confined to 2015.
Best to find out what your state requires. Your father’s Will probably leaves his tangible personal property (such as clothes, books, etc) to your mother, and then pours whatever else he owned at death into the family trust. So that’s the document that matters in determining what your mother can, and can’t, do now.