November 2023
Closing an estate and distributing the inheritance to heirs helps a family achieve closure, which is why many people attempt to reduce time in probate. Still, unforeseen events sometimes push probate into additional weeks, months or possibly beyond a year. It is possible to anticipate certain situations before they delay the distribution of an estate. Here is a look at three common issues that prolong probate. Missing documents or information Any instance where an executor lacks the financial records of the decedent may slow down probate. An executor might have to contact financial institutions, government agencies or family members to locate assets and debts. The probate court could delay approving any distributions until the court believes the executor has carried out a diligent search. Retrieving a will and other estate documents from a safe deposit box can also require more court time. According to U.S. News and World Report, executors generally need court authority to open a safe deposit box. However, an executor needs an original copy of the will for a judge to grant authority, so this could create a legal quandary. Tax problems and complications Income taxes can complicate probate in some cases. If the decedent owed taxes, the executor must file returns and pay the amounts due. If the estate earns interest or dividends while in probate, the executor may need to file additional income tax returns. Any disputes with tax authorities will also delay the completion of probate. Additionally, the state of Washington is one of 17 states with an estate tax . An estate with a value above $2.2 million will incur a rate of 10% to 20%. This is something executors must deal with if the estate is wealthy. Legal challenges Probate also presents opportunities for litigation. Beneficiaries can object to how the executor values the estate assets or makes business decisions. Lawsuits against the estate by creditors or other claimants are also possible. Even minor legal issues such as correcting errors in documents can consume more time. Spending extra time in probate can be necessary to account for any complications. However, proper estate planning should help a family avoid unneeded and persistent delays.
For aging parents with adult children who have special needs, the need for long-term care planning is undeniable. Taking the initiative to plan ahead is a proactive approach that can benefit your family in numerous ways. 1. Financial stability Financial stability is a cornerstone of any successful long-term care plan. By initiating the planning process now, you can establish a solid financial foundation to support your loved ones. Without careful planning, the costs associated with special needs care can be overwhelming. Early planning allows you to identify available resources, make informed decisions and explore various financial options, such as insurance, savings, and government assistance programs. 2. Tailored care solutions Each family is unique, and the needs of your loved ones are equally distinct. Commencing long-term care planning early affords you the opportunity to create tailored care solutions. Whether it is finding the right care facilities, in-home care providers, or special education programs, early planning ensures that you have the time and resources to identify and implement the best options for your family’s specific circumstances. 3. Emotional and mental preparedness Caring for a family member with special needs can be emotionally and mentally challenging. Initiating long-term care planning early can give you and your family the necessary time to adjust to these challenges. It also allows you to establish a support system, seek counseling or therapy, and access community resources that can offer emotional and mental support for the journey. Along with planning for your child’s future, it is also important to consider your potential long-term care needs. A person turning 65 has a 70% likelihood of needing some form of support and care during the remainder of their life.
