A pour-over will acts as a safety net in estate planning. It ensures that any assets not included in your trust during your lifetime are transferred into it after your passing. This tool seamlessly complements a living trust by capturing any missed assets and directing them to their intended destinations. This method also helps streamline the management of your estate, providing clarity and consistency in how your assets are handled, regardless of whether they were initially placed in your trust.
What Is a Pour-Over Will?
A pour-over will is a unique legal document that works hand-in-hand with a living trust, also known as a revocable trust, to ensure that all your assets are properly managed and distributed according to your wishes. Unlike a traditional will, which directly dictates the distribution of your assets, a pour-over will functions as a backup plan or a safety net for any assets you might have forgotten to place into your trust during your lifetime.
Here’s how it works: when you establish a living trust, you typically transfer ownership of your assets into the trust. However, sometimes assets are acquired after the trust is created or inadvertently left out. A pour-over will “catches” these overlooked or newly acquired assets and directs them into your trust upon your death. This ensures that your estate plan remains cohesive, with all your assets eventually managed under the terms of your trust.
Though the assets covered by a pour-over will still go through probate, the process ultimately consolidates everything under the trust, simplifying the administration of your estate and helping to ensure that your wishes are fully carried out. This makes a pour-over will an essential tool for anyone with a living trust who wants comprehensive estate planning.
How Does a Pour-Over Will Work?
A pour-over will ensure that any assets not initially placed in your trust are eventually managed according to your wishes. Here’s a step-by-step look at how it works:
- Establishment of a Living Trust: You create a living trust during your lifetime and transfer ownership of your assets into it. This trust outlines how these assets should be managed and distributed after your passing.
- Creation of a Pour-Over Will: Alongside your trust, you create a pour-over will. This will acts as a safety net for any assets that you may acquire later or forget to transfer into the trust.
- Transfer of Overlooked Assets: If you acquire new assets after establishing the trust or inadvertently leave some assets out, the pour-over will “catches” these assets upon your death.
- Probate Process: Assets captured by the pour-over will must still go through probate, where the court oversees their transfer.
- Final Transfer to the Trust: After probate, these assets are transferred into your trust, ensuring they are distributed according to the trust’s terms.
When Is a Pour-Over Will Useful?
A pour-over will is particularly useful in several situations. If you acquire new assets after establishing your trust and forget to transfer them into the trust, the pour-over will captures these assets at the time of your passing, directing them into the trust. It’s also beneficial if you inadvertently leave assets out of your trust during the initial setup. The pour-over will serves as a safeguard, ensuring that all your assets, whether intended or not, are eventually managed and distributed according to the terms of your trust.
Contact Our Experienced Southeastern Massachusetts Estate Planning Attorneys
At Surprenant & Beneski, we provide tailored estate planning services to ensure your assets are protected and your wishes are honored. Our team will guide you through the process of setting up a comprehensive plan, including a pour-over will, to safeguard your legacy. Contact us today to schedule a consultation.
