Creating an estate plan is one of the most taxing and overwhelming tasks one has to perform. An estate plan ensures that your loved ones will take good care of your estate and assets after you’re gone or turn incapacitated due to any reason. When it comes to estate planning, people believe that there are limited options. Estate planning is more than having a trust or will. When preparing your estate plan, your trust and estate attorney will suggest you create a detailed inventory of your assets, accounts, and properties. Doing so will help your successors to manage your property and finances without any problem. 

Most children who are aware that their parent had a will or a trust are not sure of the bank accounts, pension plans, or real or personal property that the parent possessed. If the parent’s attorney was never given an inventory, the kid would have to spend a lot of time going through all the asset documents, accounts, tax returns, and other financial documents to create a detailed inventory. 

Let’s find out some benefits of creating asset inventory. 

You can aid your loved ones in assuming ownership of your assets and property for administration and distribution by producing an inventory. Since the benefits of creating a list of assets are more, you should look for a trust and estates attorney near me to get assistance with creating one. Certain goods and accounts may be dispersed based on the legal features of the assets in question:

  • Property held under the joint tenancy with rights of survivorship will pass on to the surviving joint owner automatically and without the need for probate.
  • Some bank accounts may contain POD or TOD designations, which allow funds to be transferred straight to a specified recipient, such as kin, spouse, organization, charity, or trust. The transfer of account happens without going through the probate procedure.
  • If you have adequately enacted the beneficiary designation form by identifying your beneficiaries on the policy, the profits will automatically go to the names heirs without a probate proceeding. 
  • Investment or property held by the trust can be dispersed without going through probate if the trust contract allows it.
  • Before a pension account may be cashed out, the named recipients must generally claim with the fund custodian. Pension savings are typically beyond the jurisdiction of probate courts.
  • Automobiles are transferred directly via the local department of transportation, which needs an attestation, a death certificate, and the automobile title.
  • Unless they have been put into a trust upon death, certain personal goods (e.g., furniture, jewels, art, collections, etc.) that exceed the value specified by state law ($50,000 in Virginia) may be liable to probate. 

What to do once you have created the inventory?

Once you have created the inventory of your assets, you should keep a copy of the inventory at a safe location. You can keep the inventory with other estate planning documents or somewhere accessible. Many people find it convenient to keep the inventory with their lawyers.