| Where should I do my planning?….read on:
READER QUESTION:
Hello,
I am still a NY resident and working in NY, but I have sold my NY real estate and purchased two properties in NC. I currently use one property as a vacation home (with plans to retire there) and the other as an income-producing rental. My will, power of attorney, and health care proxy were prepared by a NY attorney and list my prior home. I would like to prepare a trust for my children and grandchildren, and want to know: 1) Are my current NY documents legally binding in NC, and if so, should I add the two new properties as an addendum? 2) Would it be preferable to update these documents with current information, and wait to create the trust when I retire and move, and/or 3) Should I do these updates with a NY attorney, or would it be smarter to do this in NC, and can I do so prior to becoming a resident there?
Thanks!
MY RESPONSE:
Is there anything wrong with your current documents? Assets change all the time, but does the will already say that ALL of your assets go to the correct people? Did you want your new assets (i.e., NC property) to pass differently? If there is nothing wrong with your current plan, then doing nothing is an option. Also, know that if you never change your will, NC will honor one made in NY.
It also sounds like you want to upgrade your plan from a will to a revocable trust, I assume to avoid probate. This may be a very good plan for you because you have assets in multiple states.
My bottom-line answer to whether you should do the new plan here or in NC really depends on how soon you will be moving to NC. If you are moving within a relatively short time (and your will still does what you want), then I would wait until I get to NC.
If it may be a while before you relocate, then I would get your updated plan done here in NY…it will work in NC and will cover you from anything happening to you before you move. This is true if you do a NY will or a NY revocable trust.
On the other hand, if your current will is out of date and NEEDS to be changed, then make those changes ASAP in NY with either a new will or a revocable trust.
Things happen!
I hope this helps. |
