Tangible Personal Property Distribution

September 13, 2016

Failure to plan for the distribution of tangible personal propertyPersonal property that is physical in nature and generally capable of being touched, such as jewelry, household items, furniture, automobiles, tools and equipment, guns and sporting goods. It is not “intangible personal property” such as cash, stock certificates, bonds, insurance policies, patents. Tangible personal property is also not real estate (referred to as real property) or things generally unique to real estate or attached to real estate in a permanent fashion. often results in unnecessary conflict and hard feelings among children and other beneficiaries. While tangible personal propertyPersonal property that is physical in nature and generally capable of being touched, such as jewelry, household items, furniture, automobiles, tools and equipment, guns and sporting goods. It is not “intangible personal property” such as cash, stock certificates, bonds, insurance policies, patents. Tangible personal property is also not real estate (referred to as real property) or things generally unique to real estate or attached to real estate in a permanent fashion. normally does not make up a significant percentage of a deceased person’s estate value, proper estate planningPlanning in advance of disability, incapacity, or death to make sure that key life issues have been addressed while the person is still of sound mind and able to understand and sign key documents such as Power of Attorneys, Power of Attorneys for Health Care, Wills, and Trusts to form a strategy and provide for the administration and disposition of his or her assets upon death or upon incapacity. can avoid the extra expense and conflict that can result when dealing with tangible personal propertyPersonal property that is physical in nature and generally capable of being touched, such as jewelry, household items, furniture, automobiles, tools and equipment, guns and sporting goods. It is not “intangible personal property” such as cash, stock certificates, bonds, insurance policies, patents. Tangible personal property is also not real estate (referred to as real property) or things generally unique to real estate or attached to real estate in a permanent fashion..

Estate Planning and Tangible Personal Property:  The Little Details Matter

Part of our estate planningPlanning in advance of disability, incapacity, or death to make sure that key life issues have been addressed while the person is still of sound mind and able to understand and sign key documents such as Power of Attorneys, Power of Attorneys for Health Care, Wills, and Trusts to form a strategy and provide for the administration and disposition of his or her assets upon death or upon incapacity. process involves a discussion about the “little things” like your tangible personal propertyPersonal property that is physical in nature and generally capable of being touched, such as jewelry, household items, furniture, automobiles, tools and equipment, guns and sporting goods. It is not “intangible personal property” such as cash, stock certificates, bonds, insurance policies, patents. Tangible personal property is also not real estate (referred to as real property) or things generally unique to real estate or attached to real estate in a permanent fashion.. During the estate planningPlanning in advance of disability, incapacity, or death to make sure that key life issues have been addressed while the person is still of sound mind and able to understand and sign key documents such as Power of Attorneys, Power of Attorneys for Health Care, Wills, and Trusts to form a strategy and provide for the administration and disposition of his or her assets upon death or upon incapacity. process, we ask about personal property items, such as jewelry, cars, furniture, clothing, photographs, books, silver, coins and any other items of tangible personal propertyPersonal property that is physical in nature and generally capable of being touched, such as jewelry, household items, furniture, automobiles, tools and equipment, guns and sporting goods. It is not “intangible personal property” such as cash, stock certificates, bonds, insurance policies, patents. Tangible personal property is also not real estate (referred to as real property) or things generally unique to real estate or attached to real estate in a permanent fashion. that you may desire to be distributed to certain beneficiaries. These items are often overlooked, which can result in conflicts amongst your children or other beneficiaries.

Did you promise a grandchild your car, or promise a daughter your wedding ring? If so, those promises should be put in writing so that other children do not object. Without a proper written and signed document, the specific items that you have promised a loved one may not be distributed according to your wishes if you still retain possession of them at the time of your death.

Lack of proper documentation can result in an argument that the car that you intended be given to a specific grandchild, should be sold and the sale proceeds distributed amongst all of your beneficiaries – or in an argument that the wedding ring was not left to your daughter, and so should be sold and the funds distributed to all of the beneficiaries.

Failure to properly address these “little things” can result in life long grudges and family conflicts, that could be avoided with proper thought and estate planningPlanning in advance of disability, incapacity, or death to make sure that key life issues have been addressed while the person is still of sound mind and able to understand and sign key documents such as Power of Attorneys, Power of Attorneys for Health Care, Wills, and Trusts to form a strategy and provide for the administration and disposition of his or her assets upon death or upon incapacity..

Avoid Conflicts After You Are Gone

It is fairly easy to avoid these type of personal property errors and disputes in Wisconsin during the estate planningPlanning in advance of disability, incapacity, or death to make sure that key life issues have been addressed while the person is still of sound mind and able to understand and sign key documents such as Power of Attorneys, Power of Attorneys for Health Care, Wills, and Trusts to form a strategy and provide for the administration and disposition of his or her assets upon death or upon incapacity. process. For major items that you know who willA written document that sets forth and names the personal representative who will be in charge of overseeing the probate process and names the specific bequest and residual beneficiaries of property who are to receive and inherit assets and property through probate. A Will does not avoid probate, and must be properly drafted and executed to be legal. A Will can also avoid the use of a surety bond in many instances and can help utilize an “informal” Wisconsin probate process if it has the proper clauses and attestation clause. receive them and that are not likely to change over time, our estate planning attorneys can place a specific bequest in your Last Will and TestamentSee Will. or in your TrustThe arrangement creating the legal ownership of assets by a trustee for the benefit of the Settlor and/or other beneficiaries. specifically distributing personal property items to certain beneficiaries.

For example, it can be as easy as stating as a specific bequest in your Last Will and TestamentSee Will. or TrustThe arrangement creating the legal ownership of assets by a trustee for the benefit of the Settlor and/or other beneficiaries. that “any car that I may own at the time of my death shall be distributed to my son Robert.”  Or, by way of a specific bequest that qualifies it to a certain item you now own, such as “my 2014 Toyota Camry, if I own it at the time of my death, shall be distributed to my son, Robert.”

Being specific on the little items in your Last Will and TestamentSee Will. or TrustThe arrangement creating the legal ownership of assets by a trustee for the benefit of the Settlor and/or other beneficiaries. willA written document that sets forth and names the personal representative who will be in charge of overseeing the probate process and names the specific bequest and residual beneficiaries of property who are to receive and inherit assets and property through probate. A Will does not avoid probate, and must be properly drafted and executed to be legal. A Will can also avoid the use of a surety bond in many instances and can help utilize an “informal” Wisconsin probate process if it has the proper clauses and attestation clause. result in the person you promised or intended to receive a personal property item actually receives the item.

Using a Personal Property Memorandum

In Wisconsin, we can also use a list separate from your Last Will and TestamentSee Will. or TrustThe arrangement creating the legal ownership of assets by a trustee for the benefit of the Settlor and/or other beneficiaries. to make the distribution of tangible personal propertyPersonal property that is physical in nature and generally capable of being touched, such as jewelry, household items, furniture, automobiles, tools and equipment, guns and sporting goods. It is not “intangible personal property” such as cash, stock certificates, bonds, insurance policies, patents. Tangible personal property is also not real estate (referred to as real property) or things generally unique to real estate or attached to real estate in a permanent fashion. items easier and more flexible.

Since most people are not sure to whom they want to leave personal property, and because the list of what-goes-to-whom willA written document that sets forth and names the personal representative who will be in charge of overseeing the probate process and names the specific bequest and residual beneficiaries of property who are to receive and inherit assets and property through probate. A Will does not avoid probate, and must be properly drafted and executed to be legal. A Will can also avoid the use of a surety bond in many instances and can help utilize an “informal” Wisconsin probate process if it has the proper clauses and attestation clause. change over time, our lawyers often utilize a Personal Property Memorandum form. We incorporate this form into the Last Will and TestamentSee Will. or TrustThe arrangement creating the legal ownership of assets by a trustee for the benefit of the Settlor and/or other beneficiaries. by including a Personal Property Memorandum clause that sets forth that any signed and dated Personal Property Memorandum or list shall be incorporated into the client’s Last Will and TestamentSee Will. or TrustThe arrangement creating the legal ownership of assets by a trustee for the benefit of the Settlor and/or other beneficiaries.. Then, we provide our client’s a separate Personal Property Memorandum form, all ready to be filled in by our clients with the tangible personal propertyPersonal property that is physical in nature and generally capable of being touched, such as jewelry, household items, furniture, automobiles, tools and equipment, guns and sporting goods. It is not “intangible personal property” such as cash, stock certificates, bonds, insurance policies, patents. Tangible personal property is also not real estate (referred to as real property) or things generally unique to real estate or attached to real estate in a permanent fashion. items to be distributed and the names of the beneficiaryA person who will receive something, possibly cash or real estate or personal property, through a Will or trust or income from a Will or Trust. A beneficiary can be a Specific Bequest beneficiary or a Residual beneficiary. of each item.

Our clients can complete and update his or her intended distribution of personal property at death, with the use of a simple Personal Property Memorandum form that we have given each client.  We willA written document that sets forth and names the personal representative who will be in charge of overseeing the probate process and names the specific bequest and residual beneficiaries of property who are to receive and inherit assets and property through probate. A Will does not avoid probate, and must be properly drafted and executed to be legal. A Will can also avoid the use of a surety bond in many instances and can help utilize an “informal” Wisconsin probate process if it has the proper clauses and attestation clause. also give clients new Personal Property Memorandum forms as needed, for free without any cost or charge.

A Personal Property Memorandum Has Key Advantages

The use of a Personal Property Memorandum has several key estate planningPlanning in advance of disability, incapacity, or death to make sure that key life issues have been addressed while the person is still of sound mind and able to understand and sign key documents such as Power of Attorneys, Power of Attorneys for Health Care, Wills, and Trusts to form a strategy and provide for the administration and disposition of his or her assets upon death or upon incapacity. advantages in Wisconsin, including the following:

1. A client can update a personal property memorandum list on his or her own without having to see an attorney and without incurring any additional costs or expenses.
2. It is flexible and allows for easy changes and revisions without having to update a Last Will and TestamentSee Will. or TrustThe arrangement creating the legal ownership of assets by a trustee for the benefit of the Settlor and/or other beneficiaries..
3. It avoids conflict amongst beneficiaries and children, since each time you promise a certain personal property item to a child or other beneficiaryA person who will receive something, possibly cash or real estate or personal property, through a Will or trust or income from a Will or Trust. A beneficiary can be a Specific Bequest beneficiary or a Residual beneficiary., you can easily update your Personal Property memorandum form.

What Items Can Be Left to a Beneficiary in a Personal Property Memorandum?

You can leave tangible personal propertyPersonal property that is physical in nature and generally capable of being touched, such as jewelry, household items, furniture, automobiles, tools and equipment, guns and sporting goods. It is not “intangible personal property” such as cash, stock certificates, bonds, insurance policies, patents. Tangible personal property is also not real estate (referred to as real property) or things generally unique to real estate or attached to real estate in a permanent fashion. to beneficiaries using a Personal Property Memorandum form, such as the following:

• Furniture
• Jewelry
• Cars
• Photographs
• Books
• Artwork
• Silver, Coins, Stamps
• Other similar items

You should not leave these type of items as they are not considered Tangible Personal PropertyPersonal property that is physical in nature and generally capable of being touched, such as jewelry, household items, furniture, automobiles, tools and equipment, guns and sporting goods. It is not “intangible personal property” such as cash, stock certificates, bonds, insurance policies, patents. Tangible personal property is also not real estate (referred to as real property) or things generally unique to real estate or attached to real estate in a permanent fashion.:

• Money
• Stocks
• Bank Accounts
• IOU’s
• Promissory Notes
• Intellectual Property such as copyrights
• Similar Items

Legally Included in Your Estate Plan

To be legal in Wisconsin, the Personal Property Memorandum list should specifically detail the items and beneficiaries, it must be incorporated into your Last Will and TestamentSee Will. or TrustThe arrangement creating the legal ownership of assets by a trustee for the benefit of the Settlor and/or other beneficiaries., and it must be signed and dated. A list alone willA written document that sets forth and names the personal representative who will be in charge of overseeing the probate process and names the specific bequest and residual beneficiaries of property who are to receive and inherit assets and property through probate. A Will does not avoid probate, and must be properly drafted and executed to be legal. A Will can also avoid the use of a surety bond in many instances and can help utilize an “informal” Wisconsin probate process if it has the proper clauses and attestation clause. not be legally valid in Wisconsin, unless it has been incorporated into your estate planningPlanning in advance of disability, incapacity, or death to make sure that key life issues have been addressed while the person is still of sound mind and able to understand and sign key documents such as Power of Attorneys, Power of Attorneys for Health Care, Wills, and Trusts to form a strategy and provide for the administration and disposition of his or her assets upon death or upon incapacity. documents such as your Last Will and TestamentSee Will. or TrustThe arrangement creating the legal ownership of assets by a trustee for the benefit of the Settlor and/or other beneficiaries. and meets the other requirements set forth above.

(To be very clear, simply putting a sticker on an item is not likely to work legally in Wisconsin. The sticker approach has other problems as stickers can be easily moved from items intentionally or accidentally fall off.)

Get Help with Your Estate Plan

The little details matter, and the distribution of personal property can often lead to conflict after you have passed away. By following a few simple steps during the estate planningPlanning in advance of disability, incapacity, or death to make sure that key life issues have been addressed while the person is still of sound mind and able to understand and sign key documents such as Power of Attorneys, Power of Attorneys for Health Care, Wills, and Trusts to form a strategy and provide for the administration and disposition of his or her assets upon death or upon incapacity. process, we can help you avoid these conflicts.We can provide our clients with a simple and flexible way to distribute personal property items at death. At Wokwicz Law Offices, LLC, we provide the necessary expertise and legal documents for you to easily and legally distribute tangible personal propertyPersonal property that is physical in nature and generally capable of being touched, such as jewelry, household items, furniture, automobiles, tools and equipment, guns and sporting goods. It is not “intangible personal property” such as cash, stock certificates, bonds, insurance policies, patents. Tangible personal property is also not real estate (referred to as real property) or things generally unique to real estate or attached to real estate in a permanent fashion. by way of a Personal Property Memorandum.