An estate plan is more than just a will. It is a comprehensive strategy for managing your assets during life and distributing them after death. Whether you are planning for your family’s future or helping a loved one organize their affairs, knowing what assets are included in an estate plan is essential.
The estate planning lawyers at Mark Harford Law stand ready to help you design a customized estate plan that fits your unique needs. This page provides key asset categories and how they fit into a well-structured estate plan.
Real Property
Real estate is often one of the most valuable components of an estate. This includes:
- Primary residence
- Vacation homes
- Rental properties
- Undeveloped land
- Commercial real estate
These assets can be transferred through a will, a revocable living trust, as well as other estate planning tools. Titling and beneficiary designations, such as joint tenancy with right of survivorship, can also affect how property passes upon death.
Financial Accounts
Estate plans usually include a wide range of financial accounts, such as:
- Checking and savings accounts
- Certificates of deposit (CDs)
- Brokerage accounts
- Money market accounts
- Retirement accounts (IRAs, 401(k)s, pensions)
While some accounts pass through probate, others can transfer directly to named beneficiaries. It is important to keep beneficiary designations up to date and coordinate them with your overall estate plan.
Business Interests
If you are a business owner or own interests in a private company, those interests ought to be addressed in your estate plan. This may include:
- Sole proprietorships
- Partnerships
- LLC membership interests
- Corporate shares
- Buy-sell agreements
Proper planning ensures you are best protected from tax issues and legal disputes involving heirs. Business succession planning may also be necessary to designate future leadership or ownership.
Personal Property
Personal property includes tangible items that may hold financial or sentimental value:
- Vehicles (cars, boats, motorcycles)
- Jewelry, art, and collectibles
- Furniture and household items
- Firearms and tools
- Digital assets (photos, videos, cryptocurrency)
While you can list some items in a will, others are better addressed in something like a trust or personal property memorandum. Clear documentation helps avoid family conflict and ensures your wishes are honored.
Life Insurance Policies
Life insurance proceeds are separate from the probate estate, but are considered part of the overall estate plan. These policies can provide liquidity to cover:
- Funeral expenses
- Outstanding debts
- Estate taxes
- Income replacement for surviving dependents
Make sure your beneficiary designations are current and consistent with your estate planning goals.
Intellectual Property and Royalties
If you own copyrights, patents, trademarks, or receive royalties, these assets should be included in your estate plan. They may generate ongoing income and require special handling to preserve value and transfer rights.
Trust Assets
Trust assets are managed pursuant to the terms of the trust document itself. Assets you might place in a trust include, but are not limited to:
- Investment accounts
- Life insurance
- Real estate
- Business interests
- Personal property
Trusts offer benefits like probate avoidance, enhanced privacy, and control over your assets. They are especially useful for more complex estates, especially those including individuals with special needs or blended families.
Debts and Liabilities
Debts should be taken into account in estate planning, even though they are not assets. Mortgages, credit card bills, medical expenses, and personal loans can decrease the estate’s value. Planning for debt repayment can shield heirs from financial stress.
Protect Your Assets with a Personalized Missouri Estate Plan
A comprehensive estate plan accounts for all types of assets. This includes anything from real estate and financial accounts to personal property and business interests. Proper documentation, beneficiary coordination, and legal structuring ensure your wishes are carried out efficiently and minimize the risk of disputes or delays.
Let the experienced estate planning attorneys at Mark Harford Law protect your assets with the right estate plan. Contact us today for a consultation.