Get Answers to Your Highest Priority South Dakota Legal Questions

What Does Real Property Mean In Estate Planning?

Refers to land and any property that is attached to that land; i.e. buildings, homes, etc.

Example Of Real Property In Regards To Estate Planning

My dad’s probate estate was super small since most of his assets were retirement accounts, life insurance or assets he had placed into a trust before he died.

 

What Does Probate Estate Mean In Estate Planning?

Assets that will go through probate, either through a will or by state law.  This generally does not include property that was jointly owned, payable on death, life insurance, retirements accounts or other assets with beneficiary designations or otherwise already in trust.

Example Of Probate Estate In Regards To Estate Planning

My dad’s probate estate was super small since most of his assets were retirement accounts, life insurance or assets he had placed into a trust before he died.

 What Does Probate and Estate Administration Mean In Estate Planning?

A process involving a court/state oversight through which a decedent’s assets (estate) are distributed to the decedent’s heirs/devisees/issue/descendants.

Example Of Probate and Estate Administration In Regards To Estate Planning

Lots of people talk about how horrible probate is, but my mom’s was actually pretty easy and the clerk at the probate court was very helpful.

What Is A Personal Representative, Executor or Administrator In Estate Planning?

The person who is in charge of probating a decedent’s estate including finding assets, paying creditors and making distributions.  

You cannot be forced to serve in this position, even if you were specifically named in the Will.

Example Of Personal Representative, Executor or Administrator In Estate Planning

My friend named me as her personal representative, but I don’t live anywhere near where she passed and we hadn’t spoken in years.  I am declining to serve, I’m just not in a place to manage her estate.

What Is Personal and Tangible Property In Estate Planning?

Generally speaking, things you own that can be touched and/or moved.  These are physical items such as jewelry, furniture, art, cars, clothes, books etc.  This does not include physical things that represent intangible items such as stock certificates, savings bonds etc.

Example Of Personal and Tangible Property In Regards To Estate Planning

I am so excited! My grandma wrote a separate list of who was to inherit her tangible property and she gave me the antique bookshelf I always loved.  My uncle wanted it, but she gave it to me.

What Does Per Stirpes Mean In Estate Planning?

A way to distribute assets from an estate “by representation” so that the living members of the generation closest to the person who died will receive the distributions. 

Example: If you have 3 children and 2 grandchildren, your assets would pass equally to your 3 children provided they are all living at your death 1/3 to each and nothing to your grandkids.  If a child, the parent of your 2 grandchildren dies before you, then those 2 grandchildren would share the amount their parent would have received.  Thus, your 2 surviving children would each receive a 1/3 share of your estate and your 2 grandchildren would split the remaining 1/3 of your estate.

What Does Per Capita Mean In Estate Planning?

A way to distribute assets from an estate “by total headcount” so that all of your descendants/issue will receive distributions regardless of their generation.  

Example Of Per Capita In Regards To Estate Planning

My grandpa died and all of his descendants got the same percentage of his estate.  So my mom, and 2 uncles each got a 1/5 share and my brother and I each got a 1/5 share.  I don’t think that’s what he intended, but his will clearly said to distribute per capita.

What Does Payable On Death Account and Totten Trust Mean In Estate Planning?

A bank account that will automatically transfer to a named beneficiary.  This is often, but not always, designated by a “TOD” (transfer on death), “ITF” (in trust for), “ATF” (as trustee for), or “POD” (payable on death) in the title of the account.  These accounts will pass outside of a will and other estate planning documents.  Beware: If you add someone to an account to help you manage your financial affairs, that account will automatically transfer to them at your death.  This will happen whether you intended it to or not.

Example Of Payable On Death In Regards To Estate Planning

My dad didn’t know that by making his investment account a POD (Payable on Death) account that he was leaving the entire thing to my cousin.  He just wanted some help with investments and didn’t want my cousin to inherit all that money.

What Does Minor Mean In Regards To Estate Planning?

A person under the legal age of an adult.  This varies by state law, but is generally either 18 or 21.

Example Of Minor In Regards To Estate Planning

My sister and I both received an inheritance when my dad died, but hers in being held in trust for her since she is still a minor.

What Does Medicare Mean In Regards To Estate Planning?

A federally funded health care program primarily for Americans over age sixty-five (65) who are covered by social security.

Example Of Medicare In Regards To Estate Planning

My mom was so happy when she finally qualified for Medicare, she had been putting off some medical procedures she really needed.