Rights Of Survivorship And Payable On Death Accounts
Did you know there are tools available at most financial institutions, including banks, brokerages, and retirement accounts that can help with your financial estate planning? These institutions typically allow for your accounts to have “rights of survivorship” whether held as joint accounts or designated as payable on death (POD) accounts, and other possible beneficiary designations. These beneficiary designated accounts allow for your assets to bypass probate and go right to the person you’ve designated.
Each type of account has different benefits and risks. Joint accounts with a right of survivorship creates joint ownership immediately. That could be beneficial to allowing someone you trust to help you manage your affairs. However, they can also access your money without your oversight or control.
Payable on death accounts, on the other hand, only transfer ownership to your beneficiary once you have passed away. That allows your beneficiary to take full ownership of the account without having to go through the stress and costs of probate. A much more seamless transfer.
It’s a great way to protect your family, especially if accessing money quicker can help your loved ones.
Who can help me with the Payable on Death Accounts process?
An attorney can point you in the right direction, but you will set these up with your financial advisor, licensed financial advisor, local bank, or a private individual institution may be able to help you. The answer depends on where you get your financial assistance.
The thing is, these are the types of questions you need to consider, whether your assets are in the millions of dollars are in the thousands, these questions apply to everyone. We all have bills that need paying and being prepared is a way to help your family in a stressful time.
Another question to keep in the back of your mind is how expensive would probate be? How long will it take? And can people sue and disrupt the process? Planning ahead is a way to make sure your wishes are followed and there is less fighting when you’re not here to resolve the conflicts yourself.
Contact Robinson & Casey, PLLC today to learn more.
