Beth Sullivan-Summers, Attorney at LawBeth Sullivan-Summers, Attorney at Law2026-06-12T05:38:28Zhttps://www.bethsullivansummers.com/feed/atom/WordPress/wp-content/uploads/sites/1102845/2022/09/cropped-siteIcon-32x32.jpgOn Behalf of Beth Sullivan-Summers, Attorney at Law<![CDATA[A personal representative must inventory and value an estate]]>https://www.bethsullivansummers.com/?p=2548422023-07-21T15:08:22Z2023-07-31T15:07:17Zstate law. Being aware of and living up to all the responsibilities it entails is imperative.
Know the timeline and the details of overseeing an estate’s inventory
The personal representative will be appointed and within two months, they must complete the inventory of the decedent’s estate. There must be documentation, a fair value of the items in the estate and a statement of liens and other charges that might exist.
The property must be categorized in a specific way listing the real property; household items and furniture; profit from growing crops; corporate stocks; mortgages, bonds and debts owed; bank accounts, cash and insurance policies if they will be paid to the estate or to the personal representative; and other personal property.
To get an accurate gauge as to the property’s value, a professional appraiser might be needed. This individual must have no role or interest in the proceeding. There can be different people asked to appraise the assets based on their area of expertise. The identity of the appraiser or appraisers must be provided. Interested persons who request a copy of the inventory must receive one.
Estate valuation is a vital part of the entire process
When a personal representative is tasked with completing their duties, one of the most important parts is knowing how to come to an accurate estate valuation. The law is clear on these matters, but some parts can still be complicated. For assistance and guidance, caring and competent advice can be helpful.]]>On Behalf of Beth Sullivan-Summers, Attorney at Law<![CDATA[Who can serve as the executor of an estate in Indiana?]]>https://www.bethsullivansummers.com/?p=2548402023-07-07T06:52:13Z2023-07-17T06:51:22ZWho can be an executor in Indiana?
The rules regarding who can serve as an executor in Indiana can be found in Indiana Code § 29-1-10-1(b).
First, executors in Indiana must be age 18 or older. Minors are not permitted to serve as executors. You will not want to name a minor as your executor anticipating that by the time you pass the minor will be an adult. This is because you cannot predict when you will pass away. There is the possibility that you might die before the minor reaches the age of majority, in which case they will not be able to serve as your executor.
Second, executors in Indiana must be of sound mind. This means a court has not adjudicated that the executor is incapacitated. Being of sound mind is essential, as executors have many responsibilities that can only be handled by a competent individual.
Third, executors in Indiana cannot have any felony convictions on their record. This includes felonies under state and federal law. It is a common practice in many states to prohibit convicted felons from serving as executors of an estate.
Fourth, there remains the possibility that a court will find that a proposed executor is unsuitable and thus cannot serve in said role. This generally relates to the qualifications of the proposed executor. Courts retain the right to determine if an executor is suitable and can reject the appointment of a proposed executor if that person is not qualified for the role.
Executors have many important duties and responsibilities. It is important that they can effectively carry out their obligations. For this reason, Indiana imposes limits on who can serve as an executor of an estate.
]]>On Behalf of Beth Sullivan-Summers, Attorney at Law<![CDATA[Are you worried about your children fighting over your estate?]]>https://www.bethsullivansummers.com/?p=2548382023-06-21T17:51:03Z2023-07-03T17:46:41Zreduce the chance of your children fighting over your estate after you are gone.
Have a detailed will
Make sure the terms of your will are clear, with both major and minor assets. You might think your children will fight over only major assets, such as your house, but many sibling disputes are over small items, like who gets the nice set of dishes.
In addition to including the terms in your will, when it comes to minor items, consider giving them away during your lifetime. This will reduce the number of items in your estate, and the smaller your estate, the less likely there is to be a dispute.
Handling a disinherited child
You may decide to leave one child out of your will, and this is fine. You are legally allowed to do this but talk with the child beforehand and tell them about it.
This will likely be a difficult conversation that you do not want to have, but it will go a long way toward preventing a future will contest.
Choose a non-child executor
As part of your estate planning, you will appoint an executor to administer your estate in Indiana probate court and distribute property to your heirs. If possible, choose an executor who is not one of your children.
Appointing a third-party executor with no personal interest in the property division can help avoid conflict.
There is no way to predict the future and guarantee that no sibling disputes will arise, but these ideas can decrease the chance of disagreements.]]>On Behalf of Beth Sullivan-Summers, Attorney at Law<![CDATA[Can you avoid probate in Indiana?]]>https://www.bethsullivansummers.com/?p=2548362023-06-07T16:11:28Z2023-06-19T16:07:24Zit takes planning. Here’s how you might proceed.
Small estate provision
In Indiana, for estates of $50,000 or less, there’s no probate per se, although an affidavit or written statement accounting for the estate’s assets or debts and listing the beneficiaries’ contact information should be provided to the court within 45 days of the date of death.
Joint ownership with survivorship rights
For real property, there’s a construct known as joint tenancy with rights of ownership. One owner dies and the other owner retains full title to the property. Another version of this is tenancy by the entireties, but it applies only to married couples.
Joint ownership can apply to other properties as well. Physical items such as cars, boats and planes can have title documents that reflect ownership with survivorship rights. Liquid assets such as bank and brokerage accounts can also be transferred in the same way.
Pay-on-Death (POD) or Transfer-on-Death (TOD)
With POD and TOD property, beneficiaries are designated and have no rights in the property until date of death.
POD: For bank accounts and IRAs, a form is filled out, and upon death, the monies are paid to the beneficiary and the account is closed.
TOD:
For stocks, bonds and other securities, title is transferred upon death to the beneficiary.
Indiana is among the states that allows a motor vehicle’s title to be set up in much the same way.
Indiana is among the states where this can be done for real property as well. To accomplish this, a transfer on death deed has to be executed and recorded.
Revocable living trusts
Here you create a trust, an entity that is separate from you, and transfer title of your property to it, while maintaining total control of the trust as its trustee. Upon death, a successor trustee distributes your assets per your instructions.
The revocable living trust is more costly to set up than a will, but depending on the size of your estate, it may save time, hassle, and a considerable sum of money down the road.
Finally, gifting is another plausible option. Why wait until death? You can simplify matters and pare down holdings by transferring property before you die.
Sidestepping probate is a challenge, but there are means and ways to do it. It might be prudent, though, to consult with counsel or a financial advisor to guard against unforeseen missteps.]]>On Behalf of Beth Sullivan-Summers, Attorney at Law<![CDATA[Mortgages and death]]>https://www.bethsullivansummers.com/?p=2548342023-05-25T19:03:15Z2023-05-30T19:03:02ZMortgage debt may impact inheritances and the homeowner’s estate.
Mortgage remains
A mortgage is a lien on the property that remains until the loan is repaid, even when the borrower dies and the property has a co-owner. This liability also persists with home equity loans or lines of credit after the homeowner’s death.
When a property owner dies, the mortgage must be repaid. The lender may foreclose on the property if it is unpaid.
A co-borrower or co-signer may remain liable for the debt and should continue to make mortgage payments. If there are no co-borrowers or co-signers on the title, the estate executor should continue to make mortgage payments with estate funds until the property is sold or passed on to heirs. There may be complications for the heirs and the estate if there are insufficient funds for mortgage payments.
At times, the home may be bequeathed to someone or there may be a joint owner with the right to survivorship. Those individuals will have to decide on what happens to the property and the mortgage. The person who inherits the home must assume the mortgage and make payments or sell the property.
Joint ownership or tenancy of the home is not a joint mortgage. A person may own a home with their spouse or another person and have their names on the deed. But one person can still be the sole borrower on the mortgage agreement or deed of trust and promissory note. The joint owner usually assumes the debt obligation.
Dying intestate
The debt persists if a person dies without a will and even if there are no co-borrowers, no named heirs and nobody in charge of making mortgage payments. If nobody makes payments, the lender will typically ask a court to determine if there are any legal heirs. If no heirs are identified, the lender will foreclose on the property.
Mortgage companies
Estate administrators or heirs should notify the mortgage company about the borrower’s debt within 30 days and provide updated mailing and email addresses. Having time to obtain and submit the death certificate and other important documents is important. Assuming the mortgage quickly can prevent long-term problems with the lender.
Inheritances
Mortgage debt is passed on to the heir or new property owner. Sole heirs may seek to assume the mortgage or sell the property. Allowing the lender to foreclose is an option but there is a risk of a deficiency judgment if the sale proceeds are inadequate.]]>On Behalf of Beth Sullivan-Summers, Attorney at Law<![CDATA[How do Indiana probate judges value digital assets?]]>https://www.bethsullivansummers.com/?p=2548322023-05-11T15:41:50Z2023-05-22T15:39:58ZProbate
Probate is a legal process for administering a deceased person’s estate and distributing their assets to their heirs or beneficiaries.
In Indiana, probate is required for estates that have a gross value of more than $50,000 or that contain real estate. Probate is supervised by a probate judge who oversees the administration of the estate by a personal representative (also called an executor or administrator).
The personal representative is responsible for identifying, collecting, valuing and distributing the assets of the estate, as well as paying any debts, taxes and expenses. The personal representative must file an inventory of the estate's assets with the court within two months of being appointed. The inventory must include a description and value of each asset as of the date of death.
How do probate judges value digital assets?
Unlike tangible assets, such as bank accounts, stocks or real estate, digital assets may not have a clear market value or ownership record. Moreover, digital assets may be subject to different laws and policies depending on the type of asset, the service provider and the location of the user.
Revised Uniform Fiduciary Access to Digital Assets Act
Indiana has adopted the Revised Uniform Fiduciary Access to Digital Assets Act, which took effect on March 23, 2016. RUFADAA gives your trustee or representative the ability to manage your digital assets and electronic communications.
You must do so in your trust, will, a power of attorney or some other document. Courts can also allow access, as can the service provider’s own terms of service.
The RUFADAA also allows a decedent to use an online tool provided by a service provider to direct the disclosure or nondisclosure of their digital assets to a designated recipient. This online tool overrides any contrary direction in a will or other document.]]>On Behalf of Beth Sullivan-Summers, Attorney at Law<![CDATA[Your estate plan is in place—can you help others do the same?]]>https://www.bethsullivansummers.com/?p=2548302023-05-01T16:28:18Z2023-05-08T16:27:19Zrecent news article noted how it can help for parents to talk with their children about estate plans—even when those children are young. Doing so can help prepare children for important “real world” tasks that will need to be accomplished sooner rather than later. And then, when the children are adults, the article mentioned how important it is to actually walk through your estate plan with them since, for the most part, those children are probably important beneficiaries of your estate plan.
Discussing your plan
Some people, for some reason, are reluctant to discuss their estate plans with anyone, including their own children who will be the ones to receive assets that are passed on. There can be a whole feeling of secrecy when it comes to estate plans. But, in reality, communication is key.
If you already have an estate plan in place, good for you—that is a major accomplishment that, quite frankly, many Americans never get around to. But, think about how you can help others, including close family members, to consider the importance of accomplishing the same goal.]]>On Behalf of Beth Sullivan-Summers, Attorney at Law<![CDATA[What is a standby guardianship declaration?]]>https://www.bethsullivansummers.com/?p=2548272023-04-20T18:59:57Z2023-04-24T18:58:15ZHow is standby guardianship established?
Under Indiana Code 29-3-3-7, the parent seeking a standby guardian must make a written declaration including certain information. The declaration must include:
The names of the parent (declarant), designated standby guardian, alternate standby guardian, and minor child/protected person.
A statement that the declaration will become effective when declarant passes away or becomes incapacitated.
A statement that the declaration will terminate 90 days after it went into effect unless the standby guardian files for permanent guardianship within the 90 days.
The declarant’s signature in the presence of a notary public.
A standby guardian declaration is legally binding and allows the person appointed as standby guardian to take over temporarily, if necessary, without having to go through a hearing. A standby guardian is legally allowed to act as a guardian, but the parents will still retain their parental rights. The parents also have the right to revoke the standby guardianship at any time.
Standby guardianship is sometimes necessary to make sure a child or other person in need of protection receives proper care when their parent is unable to provide it.]]>On Behalf of Beth Sullivan-Summers, Attorney at Law<![CDATA[Calculating the value of an estate]]>https://www.bethsullivansummers.com/?p=2548252023-04-04T11:07:44Z2023-04-11T11:06:59ZWhy an estate valuation must be performed
The purpose of valuing the estate’s assets is so that heirs or beneficiaries know the value of the asset they are receiving and can determine any tax consequences. Knowing the value of the assets can also be helpful if any debts or taxes are owed.
You must pick a date on which to calculate each asset’s value. Commonly used dates are the date of death of 6 months after the date of death.
Once you have chosen your date, obtain financial statements showing the value on that date.
When you need experts
Valuing some assets may require the use of experts. Unique pieces of personal property, such as antiques or artwork, might require a professional appraiser.
Likewise, if the decedent owned a business, it is best to hire a professional appraiser to provide a value for the business. This can be especially important for tax purposes.
Don’t forget deductions
When calculating your values, remember to account for any deductions. For example, if you are valuing a house, subtract the amount of any owed mortgages or liens against the residence.
Additionally, the value should comprise only the decedent’s portion of the asset. A jointly owned bank account between the decedent and their still-living spouse with $100,000 in it should be valued at $50,000.
We are here to help
Handling all your responsibilities as an executor can be overwhelming and difficult when you are also grieving the death of a loved one. It can help to have the assistance and guidance of an experienced estate planning attorney throughout the process.
]]>On Behalf of Beth Sullivan-Summers, Attorney at Law<![CDATA[What is a standby guardian and do I need one?]]>https://www.bethsullivansummers.com/?p=2548232023-03-23T18:53:22Z2023-03-27T18:52:09Zfor naming a standby guardian and to select a trustworthy person to serve in the role. It is also possible to name an alternate standby guardian.
Key aspects of a standby guardianship
If a person cannot care for their child due to their own incapacity or death, the person designated as the standby guardian will assume legal custody of the child or incapacitated adult. Once the standby guardianship goes into effect, it will last for 90 days.
Even though the parent selected the standby guardian, the person must still be suitable for the role. They need to be willing to provide the necessary care. Suitability comes in many forms, but it is primarily giving the ward a safe environment with all the basic requirements—clothing, schooling, a home, medical care—they have.
The standby guardian is not permanent. Once 90 days have passed from the time the parent has died or became incapacitated, it terminates. A petition for guardianship can be filed during those 90 days and it will stay in effect until a ruling is made. Standby guardians have all of the powers granted to a guardian.
Those with children or who care for a special needs adult should know their options
It can be difficult thinking about the worst-case scenario, but when there are significant responsibilities, it is essential to be fully prepared. A standby guardianship is not commonly discussed and it is a relatively new, having gone into effect in the state slightly more than a decade ago.
Still, it can be a useful document to have to make sure the loved one is cared for after a parent dies or is incapacitated. For assistance with this or to explore other options, contacting those who understand guardianships and estate planning can give guidance and advice.]]>