A pour-over will is a legal document used in estate planning to transfer any remaining assets into a trust after someone passes away. It works alongside a living trust to ensure that no asset is left outside the intended estate plan. Pour-over wills offer a safety net by handling assets that were not placed in the trust during a person’s lifetime.
How a pour-over will works
A pour-over will transfers assets into an existing trust upon death. This process makes sure that any property unintentionally left out of the trust ends up there. Unlike a standard will, which directly names beneficiaries, a pour-over will “pours over” assets into the trust for further distribution according to its terms. This ensures all assets get managed as intended.
Benefits of a pour-over will
A major benefit of a pour-over will is that it simplifies estate distribution. By directing assets to a trust, a pour-over will makes the probate process more straightforward and efficient. Trust assets avoid probate, making it easier for beneficiaries to access their inheritance. A pour-over will also provide more privacy, as assets distributed through a trust do not become part of the public record.
When to use a pour-over will
A pour-over will is ideal for anyone using a living trust as part of their estate plan. It provides assurance that any assets overlooked or acquired shortly before death will still align with the intended estate plan. Individuals who want more control over how their assets are distributed or who aim to avoid probate can benefit significantly from a pour-over will. It works well for those who value privacy, efficiency, and ensuring no assets fall through the cracks.
Including a pour-over will in an estate plan helps ensure a smoother process for loved ones. Consulting an estate planning attorney can help determine if a pour-over will fits specific needs and provides comprehensive protection.