Meeting with an attorney to draft an estate plan will provide your loved one’s with peace of mind. However, to ensure the experience with an attorney goes smoothly, it might be good to understand the definition of a few legal terms. In this blog we’ll explore the meaning of “property” and how it pertains to your estate plan.
Property in an Estate Plan
If you don’t have a structured estate plan in place, settling affairs after you’ve passed could become a lengthy and expensive probate process for your executor and loved ones. An estate plan is a document that outlines who will inherit your assets after you’ve passed away.
Property encompasses all of your assets when discussing the term within the context of estate planning. Property does not solely mean real estate holdings; but rather it includes both real property (real estate) and personal property.
What is Personal Property?
Your personal property is separated into tangible and intangible property.
- Tangible personal property is an asset you can touch, such as a piece of furniture, jewelry, clothing, books, art, and more.
- Intangible personal property has no physical form, like retirement accounts (pension plans, 401(k), 403(b)), investments (stocks and bonds), insurance policies, and bank accounts.
The Importance of Defining “Property”
The correct phrasing and intention of your estate plan are critically important. Your attorney and you should explicitly outline real property, personal property (tangible and intangible), and list which beneficiaries are bequeathed each property item.
Safeguarding Your Estate Plan
HereToday helps you and your family members prepare for an end-of-life event. Through our platform, family members are safely authorized to quickly access important digital records, accounts, and memories when you become incapacitated or pass away. It can be an unpleasant topic to discuss, but it’s best to prepare your loved ones for when the occasion arrives. Get a FREE HereToday account.
Disclaimer. HereToday is not a legal service. This content should not be taken as legal advice. Before drafting any legal document, please consult an attorney.