Many Ontario residents think they only need to draft wills later in life. The truth is that life is unpredictable, and as soon as a person starts earning an income, it is wise to establish some form of estate planning that can be adapted through the years as assets increase and major changes like marriage and children occur.
Trusts are popular among Ontario residents who want more control over what happens to their assets, both during their lifetimes and after their deaths. While a will is an essential estate planning tool, trusts can be used as added methods of control. A trust may be establish in the will (a testamentary trust) or while the owner of the assets is still alive (an inter-vivos trust).The person, who establishes a trust is called the settlor, and he or she appoints trustees, who then will become the legal titleholder of any assets transferred into a trust.
Life in Ontario is unpredictable, and adverse circumstances or advancement in age can affect any person's mental competence. If such an individual did not anticipate this and failed to address it by appropriate estate planning measures, a court will appoint such a guardian -- if the individual is no longer mentally able choose a substitute decision maker. The court's appointment may not be the person that the individual would have chosen.
Whether one has a lot or a little, it only makes sense to consider what is going to happen to his or her assets when he or she passes away. While there is no legal requirement to make a will or do any kind of estate planning whatsoever, leaving no plan for heirs to follow can create chaos and disappointment during a time of need. Rather than forcing family and loved ones to scramble, it is always better to put a plan place to provide comfort at a dark hour. Here are some tips for men and women in Ontario looking to put their affairs in order.
Although it makes great fodder for soap operas and dramatic movies, no one wants to leave the family to squabble over an estate after he or she passes away. For that reason, many people leave their final wishes in a will, so that there can be no doubt as to who gets what. Disappointed heirs, however, can make life difficult for others if they feel the will was unfair. Blended families may be especially likely to experience turmoil, if the estate planning is not done just right.
If a person is fortunate, he or she may accumulate significant assets over the course of a lifetime. Deciding what is to become of those assets after one passes away can be a challenge. Wills are a common way of handing down assets; However, once the will is submitted for the probate, the will and the entire application become a part of public domain. Anyone may obtain from the Court a copy of the will submitted for probate. To protect their privacy, many high earners in Ontario are making trusts a part of their estate planning.
When many of today's adults were children, choosing the right people to be by their sides was just as important as it is now. Whether making friends, or picking players for a team, kids learn early that it pays dividends to choose the best people for the job. The same holds true when an adult is working on his or her estate planning in Ontario. Whom one chooses to be the executor of the estate can have a major effect on the administration process.
No person can predict the future, but that does not mean one shouldn't make plans for the inevitable. At some point, everyone passes away, and it is important to prepare for the distribution of one's assets when the time comes. Being prepared for multiple contingencies can help to ensure that all of a person's estate planning wasn't for nothing.
It is one of life's great ironies that one of the most important and potentially complicated events an individual will be associated with occurs after he or she has passed away. The dispersal of personal effects and assets after a person's death may be a simple wrapping up of affairs, but it could also be a time for giving generous gifts to loved ones, or securing a legacy for the future. Unfortunately, the donor cannot be there to oversee the process. For that reason, choosing an executor is one of the most important aspects of estate planning in Ontario.
Most children probably believe that mom and dad will always be there. As people age, however, they come to understand and accept that all things come to an end in time. Part of being an adult in Ontario should include preparing for the day when one is no longer around. Some financial experts believe children and other heirs should be included in the estate planning process.