Crawfordsville, IN Laws Impacting Wills and Trusts

Many people consider having a will and trust in place to be an essential part of the aging process. Despite that fact, according to CNBC, 67% of Americans don't have either document. That means that a portion of people are leaving what happens to their assets and other belongings up to others, including the state of Indiana.

Whether you have a plan for after your death already in motion or have yet to start one, scheduling trust and will reviews is important. This ensures that your plans are still in line with your wishes. It also helps ensure that your will and trust comply with local laws.

This blog will discuss Crawfordsville, IN, laws that may impact wills and trusts and explain why you need to have these documents prepared before you pass away.

Legal Requirements for Drafting a Will in Indiana

Anyone can legally create a will in Indiana. You're not legally obligated to use a lawyer when drafting your will - you can draft it yourself. There are some legal requirements to keep in mind when doing so.

Whether you choose to do your will yourself or hire an attorney to do so on your behalf, there are some criteria you need to meet:

• Be at least 18 years old
• Be of sound mind

Being of sound mind means the individual has "testamentary capacity." That translates to understanding some of the following elements:

• Who they are
• What they own
• Who their heirs are
• That they're signing their will
• The ways they want their property and assets distributed

The person creating the will needs to be of sound mind during the creation and signing of the will. There are other requirements you'll need to meet if you're drafting your own will in Indiana, such as:

• Signed in the presence of two competent witnesses
• Option to attach a self-proving affidavit to the will

Keep in mind that you're not legally required to have your will signed in front of a notary public.

Types of Wills Accepted in Indiana

Most wills are traditionally printed on paper. They then get signed by the testator or the individual creating the will. However, several types of wills may or may not be valid in Indiana.

Oral Will

An oral will is one that's spoken to another person. Another term for it is a noncupative will.

An oral will is legal in Indiana if the individual is in imminent peril of death and then passes away from that peril. The person needs to declare their will before two third-party witnesses.

One of these witnesses is responsible for putting the will into writing within 30 days. They'll have to submit the document to Indiana's probate court within six months of the person's death.

Handwritten Will

Another term for a handwritten will is a holographic will. This type of will is written by hand by the testator without any witnesses present. It's not valid in Indiana.

Electronic Will

Electronic wills are legal in Indiana. However, getting an electronic will is a complex process. It requires identity verification and document integrity evidence.

Exploring the Different Trusts in Indiana

A living will or trust is something that you create while you're alive. In a trust, you name specific beneficiaries that'll receive the property that's placed in your trust when you die. One of the advantages of creating a trust instead of a will is that a trust doesn't have to go through probate court.

Other benefits of drafting a trust in Indiana include saving your loved ones:

• Time
• Money
• Hassle

Most people create revocable trusts. Revocable trusts can be revoked or modified at any time. People typically name themselves as the trustee of their trust and appoint another individual as the successor trustee who'll take over.

Laws Surrounding Trusts in IN

Other states have adopted a model law called the Uniform Probate Code. This model law streamlines the probate process. Unfortunately, Indiana isn't one of the states that use this law.

Your beneficiaries will experience the following simplified process after you pass away:

• Using the small estate affidavit to skip the probate process
• May qualified for minimal court supervision

Do You Need Both a Will and Trust in Indiana?

Many people are confused about whether they need both a will and a trust in Indiana. The short answer is yes, you still need a will even if you have a trust. You can expect the costs of trusts to be more than wills, but they're worth the investment.

Your will may never need to get used, but you should still have one for the following reasons:

• Assigning a guardian for your minor children
• Accounting for any property that hasn't been moved into your trust

Any property or other assets that aren't transferred into your trust will be distributed to your closest living relatives by Indiana state law. Scheduling regular trust and will reviews will ensure that everything you want to be moved into the trust is there. Reviewing trusts and wills should be something you do regularly.

Estate Tax Laws in Indiana

Indiana got rid of the inheritance or estate tax for those who passed away after December 31, 2012. Thankfully, no inheritance tax will need to be filed at this time.

However, this law doesn't apply if someone living in another state leaves you money. For example, Pennsylvania has an inheritance tax that applies to inheritors living in another state. Keep this in mind when leaving things to your loved ones.

Stay on Top of Your Trust and Will Reviews

You may think that once your will and trusts are drafted, you never need to look at them again. Routinely scheduling trust and will reviews will ensure the documents still reflect your wishes. It also ensures your trust and will structure abide by state laws so your loved ones don't encounter any hiccups after you pass.

At Whitlock Place Assisted Living, we're here to make the aging process as easy and stress-free as possible. We offer various senior living options that are designed for your comfort and ease. Contact us to schedule a tour of our community.