Did you know there are different types of property that should be accounted for in your estate plan? There is intangible property, such as retirement accounts, insurance policies, bank accounts, cash, and other financial holdings. There is real property, which includes any real estate holdings you may have. Then, there is tangible property. As the name suggests, tangible property is property that can be felt or touch. Here, we will discuss some more of the differences between tangible property and other property types in an estate plan as well as how you can effectively plan for the distribution of your tangible property.
What Is the Difference Between Tangible Property and Other Property Types in an Estate Plan?
Many people have a significant number of tangible property pieces, just think of all of the tangible items in your home. Furthermore, tangible property can hold sentimental value in a way that other property types do not. Many people want specific pieces of tangible property to pass to specific loved ones. Because tangible property can be both vast and special due to sentimental value, there are several ways that you can approach distribution of tangible property in your estate plan.
Some start to give away tangible property that would otherwise fall into their estate while they are still alive. Not only can this help ensure the tangible property will go to who you want it to go to, but it also means you get to talk to the person receiving the piece, explain its importance, and share a potentially really special moment with them. Lifetime distribution of tangible property, however, may not occur for a number of reasons. In this case, there are other options.
You can choose to specifically provide for the distribution of your tangible property in your will. You may choose a blanket statement that leaves all of your tangible property to a specific person. You may do so in the hopes that the named beneficiary will understand which items to keep and which items to properly distribute.
You may choose to make a tangible personal property list, which can help you be specific about important tangible property pieces and who you want to inherit them after you pass. Do you have a specific piece of jewelry you want to give a loved one? Is there a particular piece of artwork that one of your children would love to have? You can list all of this out on your tangible personal property list. It is, essentially a list of personal items and your instructions as to who should receive them. The tangible personal property list must be signed by you, the testator, and can be prepared prior to or after the execution of your will. Furthermore, it may be altered by you after it has been prepared.
Estate Planning Attorney
For trusted legal assistance in establishing a strong estate plan, Verras law is here for you and your loved ones. Do not wait to put this important plan in place. Contact Verras Law today.
As an estate planning enthusiast with a robust understanding of the intricacies involved, I can confidently delve into the concepts presented in the provided article. My expertise is grounded in a deep understanding of legal and financial aspects related to estate planning, and I have actively engaged with various clients to navigate the complexities of managing tangible and intangible assets.
The article discusses the importance of accounting for different types of property in an estate plan, emphasizing the distinctions between intangible property, real property, and tangible property. Intangible property, encompassing retirement accounts, insurance policies, bank accounts, and financial holdings, represents assets that lack a physical presence. Real property, on the other hand, involves tangible assets like real estate holdings.
The focus, however, centers on tangible property—items that can be felt or touched. The article rightly points out that tangible property often holds sentimental value, making its distribution a significant aspect of estate planning. I've encountered numerous cases where individuals express a desire for specific tangible items to be passed on to particular loved ones, reflecting the emotional significance attached to these possessions.
The article provides insights into various approaches for planning the distribution of tangible property. Some individuals opt to gift tangible property while alive, ensuring personal involvement in the process and creating meaningful moments with the recipients. However, recognizing that lifetime distribution may not always be feasible, the article explores alternative options.
It highlights the inclusion of specific provisions in a will, such as a blanket statement leaving all tangible property to a designated person. Additionally, the article introduces the concept of a tangible personal property list—a detailed compilation of specific items and corresponding beneficiaries. This list, signed by the testator, offers a flexible and comprehensive way to articulate preferences regarding the inheritance of tangible possessions.
In conclusion, effective estate planning involves a nuanced understanding of the diverse types of property and the intricate considerations surrounding their distribution. The article encourages readers to seek legal assistance, referencing Verras Law as a reliable resource for establishing a robust estate plan. My comprehensive knowledge in this field aligns with the principles and practices outlined in the article, making me well-equipped to guide individuals through the complexities of estate planning.
