Estate Law / Tax Law

[Horn_Spanker 524]

Mom turned 80, dad died years ago and I'm an only child.  She's willing to sign anything to get her ducks in a row.

A relative in real estate told us to get a REVOCABLE TRANSFER ON DEATH DEED.  She has a will, but this sounds like it's more convenient than waiting on will stuff.

She's also going to put me as co-owner on her bank accounts.  And we might as well sign MEDICAL POWER OF ATTORNEY and STATUTORY DURABLE POWER OF ATTORNEY forms.

Would these three documents be all that's needed for me to make important decisions and assume her stuff at death?  And the big question is, is there any tax implications on me signing these documents now?

 

 

[HouTex 1887]

It may depend on how much money she has.  Unless it's more than $5 million (maybe $10 million if it's done right) there should not be a gift tax issue unless she's already used up some of her lifetime exemption.  I can't help with the rest--not my area of the law, but I can tell you that the more things that can pass through without going through probate, the better.

If her estate justifies it, you should seek out an estate planning attorney for advice.  You could save money in the long run.

[Player 4575]

In addition to setting up jtwros on the bank accounts, make sure she submits beneficiary designations to all all life insurance companies, annuities, and investment accounts.