“To each their own” is wise to remember when it comes to things proudly collected over a lifetime. Sportscards. Pokemon cards. Porcelain dolls. Seasonal cookie jars. Antique coffins. Puppets. Nuclear power plant memorabilia? Name it, and people are collecting it. The thing is: not everyone will welcome being the ultimate recipient of unique life treasures. On the other hand, maybe more than one loved one actually wants those Barbie shoes, and a dispute is brewing. Read on for advice on planning for the future of prized possessions.
Gifting: Now or Later?
Whether heirlooms or oddities are important to us, having a solid plan for where prized possessions end up is the responsible thing to do. Absent a plan, chaos, disputes and stress are likely to be the gifts we leave behind. Even items of traditional value, like art and antique collections, can cause a great deal of confusion, as not everyone may understand their worth, or the care required to preserve them. Similarly, if you have accumulated bizarre collectibles, you’ll need to identify a kindred spirit. When collecting has become a life passion, estate planning experts remind us not to wait until it’s too late to share the zest. Consider, for example, the added value of your gifts of time, as you begin sharing possessions while you can enjoy the reactions:
If you have possessions that you are no longer using and no longer plan to use, it can be very rewarding to give them to a loved one who will use it or wear it. Seeing your loved ones enjoy something you’ve gifted them from your own life can bring you joy! That’s a very personal decision, of course…..For most people, it’s not their things that matter to their loved ones, it’s their time. The time you spend, and the time you’ve spent with the people you love, is what they will remember. It’s rarely about the material things.
As you wrangle plans for your prized possessions, be sure to include them in your formal estate plan, so as not to seed confusion or misinterpretation about your intentions. Parman Law offers these pointers on providing clear guidance for the distribution of sentimental items:
- An inventory of important heirlooms is a helpful starting point. Identifying meaningful items and listing their intended recipients creates clarity. This list should not be kept informal but incorporated into legally binding documents to prevent misinterpretation.
- A will can specify who receives certain heirlooms. However, using a trust may provide greater control, especially if an individual wishes to set conditions on how items are handled. A trust allows for detailed instructions, such as keeping heirlooms within the family for multiple generations.
- Another option is to include a provision in your will or trust that personal items, heirlooms, and non-titled property is distributed according to the terms of a Personal Property Memorandum. This document can be executed at any time and easily changed without legal assistance as circumstances change and the preferences of the potential recipients change.
Helpful To Know: Estate Bonds
Frequently the representatives appointed to administer estate plans, such as executors, or trustees are required to obtain a type of bond, referred to as an estate bond. The purpose of an estate bond is to guarantee that assets will be properly handled in accordance with the estate plan, as well as state laws and protocols. An estate bond is sometimes alternatively named specifically based on the role of the fiduciary. For example, an estate bond may be referred to as a trustee, executor, personal representative, guardianship or conservator bond.
Colonial Surety Company makes it quick and easy to obtain estate bonds of all kinds. A user-friendly online service allows you to quote and obtain a bond that is instantly available to download or e-file. Fiduciaries in every state can efficiently obtain their estate bonds right here:
Expedited Bonding Service for Attorneys
Estate planning attorneys can help clients secure court and fiduciary bonds with a few clicks on The Partnership Account® for Attorneys. Just select the bond needed, send it to your client for payment, and then download, e-file or print the bond. Our fiduciary bonds include: administrator, estate, executor, guardian, personal representative, probate, surrogate, trustee, conservator and the list goes on. Court bonds include: appeal, supersedeas, injunction, replevin, receiver and more.
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