Stock

By Terry Savage on January 03, 2023 | Financial Planning / Retirement

My husband and I own various stock, some certicates, Some held by the company. The approx total value is $150000. What can I do to assure that my two children inherit the stock without probate. Our house is in trust to them. And all financial accounts have them as beneficiaries. Can a transfer upon death go to two people and do u advise that I have a broker to handle all of the stock. I am 76 years old and my husband will be 75 soon
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Terry Says

Stock certificates held in your name will definitely have to go through probate — a time consuming and expensive mess. There will be no estate tax if they shares are not sold until your death. Under current law, the shares get a “step-up” in value, so your heirs cost will be the value on the date of your death.

But this is a messed up way to handle a diverse estate situation. Please watch this video:
https://www.terrysavage.com/wp-content/uploads/2022/10/Terry-Talks-Wills-Trusts-Estate-Planning.mp

I recommend starting over now — while both you and your spouse are healthy. You need to create a Revocable Living Trust — and retitle your home in the name of that trust. Your named successor trustee will be able to act if you are incapable of doing so. And you should open a brokerage account in the name of the trust and deposit the shares. The brokerage firm will handle the name change to the trust — no taxes involved. That way things will all be set up if one or both of you passes, or one or both of you becomes incapacitated.

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