Which topic are you most interested in?

Link exchange
Are you interested in link exchange? Contact Us
Home » Law and Legal
Can you use your will to change joint ownership of property?
Category :- Law and Legal

Author :- Lynne Butler 
* Please rate and share the article if you find it interesting *

Posted on November 14, 2014, 11:41 am
(2 Ratings)

Below is a question that illustrates a question that arises frequently among those planning their estates. It involves trying to work around a joint property designation.

"We are trying to draw up a will. If one spouse dies, we want to divide their portion of joint assets (50%) among the surviving spouse (50%) and two adult children (25% each). Our concern is will the assets (house, property) have to be forced liquidated to pay out the children? How can this be avoided?"

You are making a fundamental error in your planning. That mistake is trying to make a will control joint assets. The legal nature of a joint asset is that ownership on the death of one owner is already determined while both owners are alive, and your will does not affect this. Regardless of what your will says, on the death of one of the joint owners, the property will pass to the surviving joint owner.

Therefore, if you really want the children to receive a share of the joint property, the surviving joint owner will have to sell the property to pay out the children.

I hesitate even to type this next paragraph, as I do not know your situation, your assets, or the rest of your estate-planning goals. Changing the ownership of the property to tenants in common might be a solution to your question. However, making a change like that is not something that should be done without first working through tax consequences and other possible outcomes. Make sure you understand any downside to any changes you make.

Every estate plan is a combination of a will, joint property designations, beneficiary designations, wishes and goals. I strongly suggest that you sit down with an experienced estate planner, and possibly an accountant, to discuss your situation. There may other ways to achieve your goals or address your concerns.


Source: http://estatelawcanada.blogspot.co.uk/2014/10/can-you-use-your-will-to-change-joint.html

Comments : Lynne Butler, BA, LLB, TEP Works at Scotia Private Client Group Lives in St. John's, Newfoundland and Labrador
Rate this article   

Business Insurance for Home-Based Businesses
Many people believe that their homeowners or renters insuran....
(0 Rating)
Protect Your Company With The Right Commercial Insurance
Commercial insurance is a necessity for every company, but c....
(1 Rating)
Understanding the Different Types of Business Insurance
InsurEye helps business owners understand what they need and....
(1 Rating)
No Medical Insurance Means Coverage Despite Pre-Existing Conditions
Having a pre-existing medical condition does not exclude you....
(0 Rating)
In which situations you can apply for a car title loan?
Life throws us challenges that are tough to get through. The....
(2 Ratings)
We do not like ads, banners, Google ads or any other kind of promotion. We promise to never put such ads on our site.
Greengeeks.com-Leading Web Host Provider
Our web provider, has very reliable support (: 2013)

Contact us for more details

Keywords: Financial podcasts, investment podcasts, canadian financial news, insurance articles 2013, best insurance articles, minimize taxes article, information about, how to save, how to minimize, how submit article, post your article, tax returns, T4011 guide, how to T4011, tax credits, child tax benefits