The longevity of a small business depends on a well-thought-out succession plan. For a family business, you want to evaluate who else can run the business and whether you have to look beyond family members as the business grows. An experienced attorney can help the key stakeholders create a succession plan or review your existing plan.
Creating a Last Will and Testament is one of the most important things that you can do when developing an estate plan. Unfortunately, though, many people fail to make a Last Will andTestament before they die, either because they don’t think a Last Will and Testament is important or simply because they never find the time to make one. When a person dies without a Last Will and Testament, what happens to their estate and their assets? Here’s what you should know about dying without a Last Will and Testament in Massachusetts–to start the process of creating your Last Will and Testament today, call Patricia Bloom-McDonald, Attorney at Law, for your consultation.
Losing a loved one is often a tragic, heartbreaking event for surviving family members. In addition to the emotional pain that loss of life brings, there are also a number of logistical questions that a death yields, too. For example, surviving family members will need to make funeral and burial arrangements, as well as begin the process of settling the deceased person’s estate. This can be confusing and burdensome, especially if there is no Last Will and Testament in place. When no Last Will and Testament exists, an estate is subject to the rules of intestate succession. Here’s what you need to know about intestate succession in Massachusetts–
What Is Intestate Succession?
When someone dies “intestate,” it means that they die before having created a Last Will and Testament. As such, their assets are subject to the rule of intestate succession–the rules that regulate how assets that normally would pass through a Last Will and Testament are to be distributed to heirs.
What Assets Are Subject to Intestacy Rules?
Only those assets that would normally be included in a Last Will and Testament are subject to the rules of intestate succession. Assets that have a named beneficiary, such as payable-on-death account or a life insurance policy, will not be subject to intestacy rules. Common assets that are subject to this process when a person dies without a Last Will and Testament include a house (if it’s owned alone in your name), personal assets (like jewelry, art and your car), money in a bank account, and a business.
Who Gets What according to the Intestacy Rules in Massachusetts?
As found in Massachusetts General Laws, Article II, how an estate is to be divided amongst beneficiaries per the state’s intestacy laws is as follows–
● A decedent’s surviving spouse will inherit everything if there are no descendants or surviving parents of the decedent. If the decedent does have a surviving parent, then the spouse will receive the first $200,000 of the estate plus ¾ of the remaining balance–the parent will get the rest. If the decedent has a surviving child, then the spouse will receive the first $100,000 of the estate plus ½ of the remaining balance.
● If the decedent dies with children but no spouse, then the children will inherit everything. If the decedent dies with no children and no spouse but with surviving parents, then the parents will inherit everything.
● Finally, if a decedent dies with no children, spouse, or parents but does have surviving siblings, then the siblings will inherit everything.
Learn More About Intestate Succession in Massachusetts
If you don’t agree with the breakdowns above and don’t want to be told how your assets should be distributed, you can avoid the intestate succession process by creating a Last Last Will and Testament in Massachusetts. To learn more about creating a Last Will and Testament and other estate planning documents, or to seek legal representation if you are the administrator on a decedent’s estate, please reach out to a skilled estate planning attorney , Patricia Bloom-McDonald, Attorney at Law. You can schedule a consultation by calling the law firm directly or sending Attorney Bloom-McDonald a message using the form on our website.
The number of coronavirus cases is still growing, with the U.S. hitting record after record for the number of new coronavirus cases in our country. While it can be morbid to think about, for those who are high-risk individuals, creating an estate plan is one of the important things they can do.
At the law office of Patricia Bloom-McDonald, Attorney at Law, our experienced Massachusetts estate planning attorney empathizes with the anxiety you’re experiencing as a result of the circulating coronavirus, and wants to help you create an estate plan that offers peace of mind. Call today to learn more. Read more
Natural disasters, like Covid 19, are not something we can plan for; they happen at the whim of the environment. However, in the work that I do with our elder law and special needs team, I have learned that there are definitely things that can be planned for so that our loved ones do not face a crisis without our prior and proper preparation. Benjamin Franklin once said, “By failing to prepare, you are preparing to fail.” The moment the tornado hits is not the time to think that you should have re-evaluated your homeowners insurance, a medical or family crisis is not the time to think about the fact that you never got around to updating your estate plan. Below are some mistakes commonly seen that I encourage everyone to think about.