Estate Planning in Pennsylvania: A Complete Guide

Estate Planning in Pennsylvania: A Complete Guide to Wills, Trusts, and Probate

By Moro and Moro, Attorneys at Law

Introduction

Estate planning is often considered a daunting task, yet it is a crucial part of financial planning that ensures your assets are distributed according to your wishes after your passing. In this comprehensive guide, we at Moro and Moro aim to simplify the complexities surrounding estate planning in Pennsylvania.

The Importance of Having a Will

A will is a legal document that outlines how your assets should be distributed after your death. Without a will, your estate will be divided according to Pennsylvania's intestate laws (20 Pa.C.S. §§ 2101–2114), which may not align with your personal wishes. A well-crafted will allows you to:

• Designate Beneficiaries: Specify who will receive your assets, from real estate to personal belongings.

• Appoint Guardians for Minor Children: Choose who will take care of your children if both parents are deceased.

• Choose an Executor: Appoint a trusted individual to manage your estate.

Wills vs. Trusts: What's the Difference?

Both wills and trusts are essential tools for estate planning, but they serve different purposes and are governed by different Pennsylvania statutes.

Wills

• Effective After Death: A will only becomes effective after you pass away.

• Probate Required: Wills must go through the probate process, as outlined in 20 Pa.C.S. §§ 3101–3102.

• Public Record: Once probated, a will becomes a public document.

Trusts

• Effective Immediately: A trust becomes effective as soon as it is created.

• Avoids Probate: Trusts generally avoid the probate process, making asset distribution quicker.

• Privacy: Trusts are not public records and offer more privacy.

How Probate Works in Pennsylvania

Probate is the legal process of administering a deceased person's estate. Governed by Pennsylvania law (20 Pa.C.S. §§ 3301–3988), the process involves:

• Validating the Will: The will is submitted to the Register of Wills for validation.

• Inventorying Assets: All assets within the estate are cataloged.

• Paying Off Debts and Taxes: Debts, including any inheritance tax, must be paid before asset distribution.

• Distributing Assets: The remaining assets are distributed to beneficiaries as per the will or state law if no will exists.

Tips for Choosing an Executor or Trustee

Choosing an executor or trustee is a critical decision. This individual is responsible for carrying out your wishes as outlined in your will or trust. Here are some tips:

• Trustworthiness: Choose someone who is honest and reliable.

• Financial Acumen: A basic understanding of financial matters can be beneficial.

• Willingness: Make sure the person is willing to take on the responsibilities.

• Legal Requirements: Pennsylvania law (20 Pa.C.S. §§ 3151–3154) outlines who can serve as an executor or trustee.

Conclusion

Estate planning is essential for anyone who wishes to have control over the distribution of their assets after their passing. At Moro and Moro, we specialize in helping you navigate the complexities of estate planning in Pennsylvania. Contact us today to schedule a consultation and take the first step in securing your legacy.

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