For the love of god, get a will!!

[bclover]

Why don't people have one. At the time of her death Aretha franklin had no will nor trust.
worth almost 100 million and now her sons are hopping no one contests their claim and a niece has already petitioned to be executor of her estate.

https://www.cnn.com/2018/08/22/entertainment/aretha-franklin-will/index.html

this just boggles my mind.
Why won't people get wills or trust

 

[Bamaman]

No one ever taught entertainers how to protect assets--or how.to.run their.business as a business.

Remember Willie Nelson having an IRS agent following him from town to town collecting concert proceeds to go against his tax bill.

When the wealthy die without a will, artists relatives and their attorneys come out of the.woodwork. But don't expect estate valuations at this point to be accurate.

 

[JoeWras]

And Prince. At least with Aretha, her children are well documented. The Prince estate had to fight off all the pretenders.

What bugs me about this is management. Most of these performers have management of some sort. Are they doing their job? Or just collecting the cut? You would think management would help them get these kinds of affairs in order.

 

[gauss]

Without a will, the assets will be divided according to state law. These laws typically provide for the nearest relatives, by blood relation, to split. More distant relatives would get nothing. At least that is how it works in my state.

The tricky part would then be that documenting that the two sons are indeed hers and that there are no others. Should be easier today with DNA testing I would think.

DW and I don't currently have a will but would like to get one in place at some point.


-gauss

 

[Teacher Terry]

I have had a will since age 22 and I had no money. What I did have was my 3 yo son and I wanted to make sure to pick his guardian if I died, We have continued to update it.

 

[anethum]

Many years ago, a close friend made a great comment to me when I told him truthfully that the reason I didn't have a will yet was because I hadn't been able to decide to whom I wanted to leave my assets. My friend said to me, "Well, I'm not sure either, but I figure my best guess is better than where my assets would end up if I die without a will." I had a will drawn up and that friend agreed to be my Executor.

 

[GrayHare]

A valid Will can require disclosure of information a celeb may not want publicized, such as prior marriages. Rather than deal with such baggage, it's easier to put it off.

 

[Red Badger]

We had simple wills done in our thirties, but last year, I made DW go with me and conclude new wills, POA's, organ donor, living wills, and advance directives. She was unsettled for a few days. She's from Korea. I'm not stereotyping (excessively?), but this stuff doesn't go down easy from a cultural perspective.

We got through it, but my Maker's Mark inventory was decremented that evening. She was reluctant to replenish my stash.

 

[Chuckanut]

Everybody has a will in the USA. In Ms. Franklin's case it is the one drawn up by her state of residence.

 

[lucky penny]

Everybody has a will in the USA. In Ms. Franklin's case it is the one drawn up by her state of residence.

True, every state has laws specifying how an estate will be divided among relatives of an individual who dies intestate (with no valid will). BUT it can be a mistake to assume that you don't need a will because you have only a few close relatives who will inherit everything anyway. There are many reasons why having no will can lead to problems that could have been avoided by thoughtful planning.

Who is going to distribute your assets? Who will decide how personal property (vehicles, jewelry, electronics, collections & other valuables) will be divided among relatives (spouse, children, siblings)? If you have no will, the court will have to appoint an administrator to make those decisions -- usually an attorney, selected by the court (these sought-after appointments are competitive and can be political); relatives can apply, but a court makes the decision. That can be avoided by having a will that designates an executor, someone whose judgment you trust, who will make those decisions & resolve disputes, rather than a court-appointed stranger who will be paid out of your estate.

What happens if some of your heirs (children, grandchildren, nieces & nephews) are minors when you die? A will can provide for that so that your assets are handled appropriately.

Do you have something that you would like to go to a close friend, or a cause that's important to you? Do you have a relative with special needs who would lose government benefits by receiving an inheritance directly, but who could benefit by a bequest that goes into a special needs trust? A will can address issues like this and help insure that your assets are distributed the way you want by people you trust.

 

[sturbridge]

I don't have any kids, and my husband is my beneficiary on everything that isn't already owned jointly (and I'm his beneficiary). Getting a will is not at the top of my list, unless he dies. He gets it all, or I get it all, and there's little to nothing that would go through probate. That's why we've put it off. (We do have health care proxies etc). The likelihood of both of us dying at the same time (eg plane crash) is remote.

 

[joeea]

What bugs me about this is management. Most of these performers have management of some sort. Are they doing their job? Or just collecting the cut? You would think management would help them get these kinds of affairs in order.

You seem to be forgetting who "management" works for in these cases.

Aretha was advised many times, but liked to do things her own way.

 

[JoeWras]

Celebs that talk a lot and preach causes better put their money where their mouth is and get a will to behest to those causes, after taking care of their family of course.

Edit: took out my specific case. Don't want to get too personal. I just find it perplexing when really prominent people pass away and don't help change the world and problems they talk about without having a will. I'm not talking about Prince or Aretha.

 

[joeea]

A valid Will can require disclosure of information a celeb may not want publicized, such as prior marriages. Rather than deal with such baggage, it's easier to put it off.

That argues for having a trust, not for putting things off.

 

[ER Eddie]

It's an unpleasant subject, and people assume they have time. They'll get to it later...

And then, oops, it's time to turn in the meat suit.

 

[lucky penny]

"It's an unpleasant subject, and people assume they have time....".

...or that "the likelihood of X happening to me is remote."

Maybe so, but unexpected things don't just happen to other people.

 

[Chuckanut]

True, every state has laws specifying how an estate will be divided among relatives of an individual who dies intestate (with no valid will). BUT it can be a mistake to assume that you don't need a will because you have only a few close relatives who will inherit everything anyway. There are many reasons why having no will can lead to problems that could have been avoided by thoughtful planning.

Very true. I just point out that most of us have a will, we just didn't right it and probably don't know what it says. You will get no argument from me on having a properly made out and authenticated will.

FWIW, a lawyer - back in the 80's - told me that in the state of California, the state's official will says something to the effect that the deceased was so grateful to the state for all the good things it did for him/her that he/she instructs the executor to take no steps designed to mainly minimize taxes paid to the state.

 

[Walt34]

True, every state has laws specifying how an estate will be divided among relatives of an individual who dies intestate (with no valid will). BUT it can be a mistake to assume that you don't need a will because you have only a few close relatives who will inherit everything anyway.

In addition to everything else that lucky penny wrote, even if your net worth is $1.98 the cause of your passing may create a sizable estate. For example, shortly after we moved to WV, there was a horrific traffic wreck nearby caused by a dump truck driver high on drugs. He killed four or five people in four different cars.

When the dust settled on the lawsuits each of those estates was worth well into seven figures.

In that type of case a will determines who gets what instead of the state. Even if it doesn't matter to you (after all, you're dead) it may matter greatly to those you care about.

 

[gauss]

Following up on my previous post, a local public radio show had a 13 minute segment on today with a local law professor that discusses this very topic.

The Link to the actual audio portion is here


A few points from the show that seemed to be consistent with my view on all this:

If you have assets in any sort of account, it is likely that you already filled out a form with the bank naming the person who will take over the account once you die.

“Most people's wealth in America today is bound up in and managed according to contractual agreements with financial institutions,” explained Belian.

 

[jazz4cash]

Hard for those of us with the ER gene to understand. It goes beyond just having a will and medical directives. I’ve seen it suggested here to leave a list of assets. A good friend also had foresight to leave instructions for DW to sell his Corvette when he’s gone. I’ve known family members anguish over what to do with prized possessions when a loved one dies.

Edit: Also, this is something a good FA should recommend, but many times it is overlooked.

 

[gauss]

For the folks advocating the necessity of a will, how do you handle your beneficiary designations on your financial accounts (ie 401k/IRA/brokerage/bank etc.)?

Do you leave them blank? Do you explicitly mention that your estate is the beneficiary?

It would be sad for folks to spend all the time planning a will and then not have the financial assets be controlled by it.

In my situation, with no children, brothers or sisters (and the same situation with DW), perhaps I don't have the same level of concern for folks around me on this as most do. If all the first cousins split what is not specified on the beneficiary forms, then that would not be a huge issue for me.

As far as "prized possessions" go, I have the insight to believe that nobody wants my stuff -- especially being a LBYMer.

Perhaps I am jaded from cleaning out multiple parents and grandparents houses during the past 4 years and not finding takers for the vast majority of the stuff.

-gauss

 

[RenoJay]

No one ever taught entertainers how to protect assets--or how.to.run their.business as a business.

Remember Willie Nelson having an IRS agent following him from town to town collecting concert proceeds to go against his tax bill.

When the wealthy die without a will, artists relatives and their attorneys come out of the.woodwork. But don't expect estate valuations at this point to be accurate.

This is a good point. Most of the blood-suckers who leach onto young talented entertainers are trying to rob them of their money, not help them keep it.

 

[Walt34]

For the folks advocating the necessity of a will, how do you handle your beneficiary designations on your financial accounts (ie 401k/IRA/brokerage/bank etc.)?

For me DW is the primary beneficiary of the IRA, and by default I'm the primary for her TSA account. DW's nephew (who is also medical POA) is secondary. Experience with handling DW's father's physical/mental decline made us realize that can be nearly a full time job so that's why the nephew. I have a niece that I would trust but she has some serious physical ailments and it is very possible that I will outlive her and DW almost certainly will.

 

[RAE]

Many years ago, a close friend made a great comment to me when I told him truthfully that the reason I didn't have a will yet was because I hadn't been able to decide to whom I wanted to leave my assets.

This is basically our situation. DW and I have talked it over, and we really can't think of anyone who would be able to manage the $$ that we would leave, in a responsible manner. What do you do in a situation like that? Sure, I could leave it to a charity, and we may end up doing that with some of it, but I'm not sure yet. Basically, for us it comes down to waiting to see how the two grandkids turn out, as they are the most likely recipients at this point. Their mom is just not someone who is capable of managing money, and our 3 siblings all fall into that same category.

 

[jazz4cash]

This is basically our situation. DW and I have talked it over, and we really can't think of anyone who would be able to manage the $$ that we would leave, in a responsible manner. What do you do in a situation like that? Sure, I could leave it to a charity, and we may end up doing that with some of it, but I'm not sure yet. Basically, for us it comes down to waiting to see how the two grandkids turn out, as they are the most likely recipients at this point. Their mom is just not someone who is capable of managing money, and our 3 siblings all fall into that same category.

I had this conversation with a brother. He finally agreed he might leave his estate to some charitable organizations that support veterans in need. Since that conversation he has also looked into a living trust.