Estate Planning Flashcards

A client's will leaves assets to descendants 'per stirpes.' One of her three children predeceased her, leaving two grandchildren. How is that deceased child's share distributed?

Answer: The two grandchildren split the deceased child's one-third share equally

Under per stirpes, descendants of a predeceased beneficiary take that beneficiary's share by representation.

What is the primary purpose of a pour-over will used alongside a revocable living trust?

Answer: To transfer any assets left outside the trust into the trust at death

A pour-over will catches assets not retitled to the trust during life and directs them into the trust, though they still pass through probate.

Which asset would most likely pass through probate?

Answer: A brokerage account held solely in the decedent's name with no TOD designation

Individually titled assets without a beneficiary or transfer-on-death designation must pass under the will through probate.

A Texas resident dies owning a vacation home titled in her own name in Colorado. What additional proceeding will likely be required?

Answer: Ancillary probate in Colorado

Real property is governed by the law of the state where it is located, so an ancillary probate is generally needed there.

A holographic will is best described as one that is:

Answer: Handwritten and signed by the testator, often without witnesses

Holographic wills are written in the testator's own handwriting and are valid in some states without witnesses.

Which of the following is NOT typically a duty of an executor?

Answer: Choosing new beneficiaries when the will is unclear about intent

An executor carries out the will's terms and cannot substitute their own choice of beneficiaries; ambiguities are resolved by the court.

If a person dies intestate, their probate assets are distributed according to:

Answer: The state's intestate succession statute

Without a valid will, state intestacy laws dictate the order of heirs who inherit.