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When estate planning attorneys ask for a full accounting of a client’s property ownership, it is not so we can see how much money the client has or that we are snooping. We need this information so we can review and consider each asset and determine the best way for it to be transferred at death. In many cases, and especially in a progressive nonprobate, transfer-at-death state such as Colorado, the majority of a person’s assets can be transferred outside of probate court. This is not only efficient and time-saving, but considerably reduces the cost of will administration. We can achieve this result by understanding the value and importance of beneficiary designations . Every custodial account holding our monies and other assets, like stocks and bonds, typically requires the owner to designate in writing who will inherit the asset upon their death. These are called beneficiary designations which allow us to fill out a form with the financial company holding the asset and name our choice of beneficiary or beneficiaries. Assets such as retirement accounts (401(k)s, IRAs, 403(b)s and similar accounts), life insurance proceeds and annuity accounts all pass to heirs by beneficiary designation. Additionally, many financial companies, like brokerage firms and banks, allow you to name beneficiaries on non-retirement accounts, which are known as transfer on death (TOD) or payable on death (POD) accounts. In a typical probate proceeding, the personal representative for the estate (the person to whom you have given administrative authority in your will) will strive to identify, inventory and collect all the decedent’s property, and this may require time and investigation. If property is illiquid (i.e. not cash), then the personal representative may need to work with experts and appraisers to put values to each item. Depending on the specifics of the probate case, there may also be a need to sell off some assets to cover the costs of administering the estate, repaying creditors, or covering estate taxes. And court approval is necessary for execution of each of these steps. So, you can see how bequests would not necessarily be paid to heirs immediately after the death of the decedent. It could possibly take months or longer to settle this estate and heirs would wait. But heirs named beneficiaries in the beneficiary designations for the decedent’s retirement account or were beneficiaries of brokerage and bank accounts would receive distributions directly from the custodians of the monies ~ without probate involvement. Transfer of monies through beneficiary designation avoids probate. Importantly, these designations can authorize direct payment of our largest assets, including bank accounts and retirement account. So, it is critically important to keep your beneficiary designations up to date and correctly naming those heirs of your choice. There are many life circumstances that might necessitate a change of a beneficiary designation: Divorce Remarriage Death of Spouse Death of a Beneficiary Change of mind Desire to gift to charity Birth of children Any estate planning that you undertake needs a thorough review of your beneficiary designations and your rights and those of your heirs regarding these forms. Let us know how we can help you plan your estate to transfer your treasures and property to your chosen heirs!

Part One: Immediate Needs

3 things I didn't know!

An estate plan often focuses on tangible property such as jewelry, artwork, money, and vehicles. However, in this age of technology, it is important to remember to include your digital assets. Digital assets consist of everything we own online. Because we spend more time on computers and smartphones than we ever did before, you may not realize how much digital stuff you own, from photos and videos to online accounts, cryptocurrency, and nonfungible tokens (NFTs). Why Is It Important to Plan for Digital Assets Planning for digital assets is important for several reasons. First, without a plan, digital assets may get lost in the Internet ether and not pass to your loved ones after your death due to the simple fact that their existence is unknown. Second, planning now means your family will not have to worry about hunting for these items upon your death while also grieving a beloved family member. Third, like most adults ( roughly 70 percent of us), you want certain aspects of your digital life to remain private. If you do not create a plan, your loved ones may learn things that you wish to keep secret. Finally, planning now can minimize the risk of identity theft, which happens to 2.4 million deceased Americans each year. Keep reading to learn more about why it is important to include digital assets in your estate plan and how to account for them. Digital Assets: What Are They? Instead of existing in photo albums and on videotapes and DVDs, most of our family photos and videos are now digital. Even if they lack commercial value, they certainly have sentimental value that you want to preserve for your family and friends. Social media accounts containing your photos and videos can also have value to your loved ones when you are gone. For example, a Facebook account can serve as a memorial after you pass away. When you consider all of the other accounts that you log into ( more than 130 on average), the list becomes quite lengthy. Digital assets that you may own include the following: Social media accounts (e.g., Facebook, Twitter, LinkedIn) Financial accounts at brick-and-mortar and online institutions Business documents and other files stored in the cloud Cryptocurrency NFTs Databases Device backups Internet domain names and uniform resource locators (URLs) Streaming service accounts (e.g., Netflix, Peacock, Hulu) Merchant accounts (e.g., Amazon, Etsy, eBay) Gaming tokens Virtual avatars Points-based loyalty programs (e.g., for groceries, gas stations, airlines, and hotels) Rights to intellectual property, artwork, and literature Online betting accounts Monetized video content Including Digital Assets in Your Estate Plan Taking inventory of your digital assets may take some time, but it is worthwhile. If something were to happen to you, your estate planning attorney or another trusted person should have complete access to your online footprint. This includes usernames and passwords for all accounts. Tools such as Dashlane ( https://www.dashlane.com/features ) or the password manager integrated in your browser can be used to simplify the storage of usernames and passwords. In addition, you should continuously back up all digital assets, including photos and important documents, to the cloud, and ensure that your attorney and trusted person can easily access them when the time comes. Because they are not controlled by governments or banks, cybercurrency and NFTs must be handled carefully. You do not have the option of calling customer service to reset your password if you forget or lose it. NFT and cryptocurrency passwords should be stored online in a “hot wallet,” or in an offline device known as a “cold wallet.” Either way, someone needs to know how to access your passwords when you cannot. Other estate planning considerations for digital assets include the following: Your estate plan can provide that your digital possessions be handled by one or more cyber successors who can distribute your digital assets like tangible property. One cyber successor can control your Instagram account, for example, while another can take possession of your Bitcoin. Keep in mind that passwords should not be memorialized in your will, especially regarding cryptocurrency, as they could be made public if the will is submitted to probate court. Consider how technologically savvy a person is before appointing that person as your cyber successor. Next Steps for Your Digital Assets Talk to your estate planning attorney about your digital assets and cyber successors. Have a conversation with potential cyber successors about how they would handle your assets, and make sure that they would carry out your wishes before appointing them. Digital assets can be placed into a trust or distributed through your will, or you could grant access to them through a power of attorney. With the help of an experienced estate planning attorney, you can feel relieved that your digital assets will be easily located, managed, and passed to your loved ones. Let us know if we can be of help! *Courtesy of WealthCounsel, LLC

Estate Planning attorneys are often asked by prospective clients why they should be hired and what can they provide to the client that an online will creating service cannot. The answer is: A LOT! Could we also be so bold as to say: You get what you pay for! If you’ve ever gone onto Legal Zoom or Nolo, you see an easy, fill in the blanks form for you to complete. There are drop downs and choices to engage with an associated state-appropriate attorney for a moderate fee. A nice and professional document can be printed out. It all appears quite easy and importantly, quick. It’s hard not to see any downside, right? And honestly, for many people, an online do-it-yourself (DIY) will is certainly better than having no written instructions in place. But in our experience, it’s the simplicity and speed that can indeed prove troubling, and unfortunately, potential expensive down the line when your heirs and family must administer this document. We’ve looked at these services and provide some context: Pros and Cons of DIY estate planning A big advantage of using a DIY service is that you will have a quick and cheap plan, and, as we mentioned above, that may be better than having no plan at all. For the basic cost, you will receive a will, a power of attorney and an advance health care directive. Those documents will be important for folks who want to designate someone to handle emergencies if something unfortunate were to happen. This option works well for people who don’t own real estate or much else. If you just want to name a guardian for your minor child, a DIY service can do that easily. But in our estimation, these online services presume that you already know what you want and additionally, you understand how these documents will work in your favor. But the reality is that many people have no idea what they want or need, nor do they know what questions need to be asked and answered. For example: How is your property (real estate, securities, bank accounts, vehicles, annuities, artwork, antiques, family heirlooms, collections, IRAs and 401ks for example), owned and how can it be transferred to an heir? Do you own retirement accounts? Do you own property outside of the state? Are your family dynamics complex; do you want to make sure your heirs don’t squander their inheritance? Do you foresee family/sibling/children problems when your distribution plans are announced? Do you have children in difficult marriages? Do you have a blended family? Do you want to intentionally disinherit a family member? Do you have a family member who has special needs? Have you divorced? Are you fully aware of the tax consequences when your property is distributed? Is your estate large enough to be taxed? Do you have a family-owned, closely held business? Do you have the right people in place to be your personal representative or power of attorney agent? Once you get into the complexities of family dynamics and perhaps trust language specific to your state and situation, DIY estate planning can cause more disputes than working with a team of professionals like the attorneys at The Harris Law Firm. A Note Of Caution For Using DIY Online Wills In our experience, the DIY option cannot and will not be able to help you plan with the above questions in mind and with these, and more, questioned answered as pertaining to YOUR personal situation. It is a truisms that we don’t know what we don’t know. You know some things about how you want to dispose of your assets after you die. What you may not know is all the case law and legislation that have evolved into your state’s probate code. If you do decide to look for an attorney who specializes in estate planning, we hope you will consider Blackwell Law, PLLC. We are confident that we can help you better prepare your estate plan than an online service can. You may already have other trusted professionals with whom you work (CPA, Financial Planner, etc.) with whom we can work so that your ‘team’ can better support you and your family’s needs. However you choose to get your plan completed, DIY or with the help of an experienced attorney, we hope that you will get your estate plan done, and soon. You never know what surprises life will bring. One thing we can promise is that you’ll have peace of mind once you have a plan in place.

As important as estate planning