Dear Liza: A friend of mine is considering a living trust. The only property he has is a coin collection maybe worth around $15,000. He has an adult daughter who he doesn’t communicate with and does not want her to get anything. He would like to leave the collection to me. Is a living trust a good way to go listing me as the trustee or the beneficiary? Or is doing a Will just as good? If the only property that your friend has is a coin collection, a simple Will should accomplish his goals. A Will allows your friend to clearly state who should receive that collection upon his death. Assuming that $15,000 falls below the probate threshold in his state (called the “Small Estates Limit”), no probate would be required upon his death to transfer the collection to you. A living trust is just a way to avoid probate, but really serves no purpose in an estate that’s below the probate limit anyway. To determine the probate threshold in your friend’s state, start here.
For more information about LexisNexis products and solutions, connect with us through our corporate site.