If the prospect of putting an estate plan in place seems daunting, you are far from alone. In fact, a recent survey found that only about 33 percent of United States residents have an estate plan, meaning that 67 percent of Americans have yet to take action to put these legal protections in place. Of those who have not created an estate plan, 40 percent say that they simply have not found the time to put an estate plan in place. Another 33 percent justified their lack of an estate plan by claiming that they don’t believe they have enough assets to pass on to their loved ones.
One of the most common misconceptions about the estate planning process is that putting these legal documents in place is only necessary for high-net-worth individuals who have accumulated significant wealth. However, it’s essential to recognize that an estate plan encompasses so much more than a last will and testament that addresses how you would like your assets to be distributed among your named beneficiaries. Estate planning documents can address several important issues that become more complicated as you age, such as your preferences for healthcare treatment, whether you want a trusted individual to make financial decisions in the event that you become unable to make them for yourself, and whether you would like to put aside financial assets in a trust to support a loved one who has special needs.
Whatever your unique needs and goals may be, enlisting the guidance of a knowledgeable and experienced Spokane estate planning lawyer is the best way to ensure that your vision for the future remains as bright as possible. This post will explore how Washington’s “joint tenancy with right of survivorship” allows certain assets of an estate to pass from one individual to another upon their death, removing the need for the asset to be subject to probate.
Joint Tenancy With Right of Survivorship in Washington
First, it’s helpful to understand what the term “joint tenancy with right of survivorship” means in Washington State. Under RCW 64.28.010, “joint tenancy with right of survivorship permits property to pass to the survivor without the cost or delay of probate proceedings,” meaning that one person’s interest in the asset automatically transfers to the other tenant upon their passing. It’s important to note that the term tenant, at least in this context, does not pertain to the owner’s status as a lessee or tenant in a rental property. Instead, the legal concept of joint tenancy with right of survivorship refers to people who jointly own assets, accounts, or property. Essentially, both parties enjoy equal rights to the asset, and the ownership stake of one party seamlessly transfers to the other party in the event of their passing. However, Washington joint tenancy with right of survivorship requires a few core principles. For example, the parties must acquire the assets at the same time, and they must have the same title on the assets. Additionally, each owner must have an equal share of the total assets, and the owners are required to enjoy the same right to possess the entirety of the assets. When you form a joint tenants with right of survivorship deed, you must make sure that the language of this legal contract is clear and unambiguous in articulating these provisions. Consider working with a knowledgeable Spokane estate planning lawyer to ensure that you give yourself the necessary protections when filling out a joint tenancy with right of survivorship form.
Joint Tenancy With Right of Survivorship Example
There are many instances in which two parties may wish to use a joint tenancy with right of survivorship in Washington. Married couples and a parent and child may find this option beneficial, as it protects the asset from having to pass through the probate process upon one owner’s death. However, any two parties, regardless of their relationship, may elect to form a joint tenancy with right of survivorship. A common example is forming a joint tenancy with right of survivorship to protect valuable assets like real estate property, checking accounts, savings accounts, mutual funds, or brokerage fund accounts. For instance, a married couple may decide to enter into a joint tenancy with right of survivorship when they purchase a home together. Both parties will have an equal share of the property, and the surviving spouse will assume the other spouse’s interest in the property when their partner passes away.
Advantages of Washington Joint Tenancy With Right of Survivorship
When two parties form a joint tenancy with right of survivorship, the asset circumvents the probate process. Probate can be a lengthy and costly process, and assets that pass through probate are typically subject to tax obligations. However, when you place an asset in a joint tenancy with right of survivorship, you can trust that your partner will receive full ownership of the asset when you pass away. Moreover, other family members, business partners, or other potential beneficiaries cannot claim ownership of the asset held by a joint tenancy with right of survivorship, so you can rest assured that your partner will enjoy full control of the property without any interference. It’s best to invest considerable time and effort before you sign a joint tenancy with right of survivorship form. Once the agreement is in place, other beneficiaries will not receive any stake in this particular property upon your passing. You want to trust that the relationship you have with the party you are entering into an agreement with will remain stable and secure for the foreseeable future. As you start to put the pieces of your estate plan in place, consider enlisting the guidance and support of a dedicated and experienced Spokane estate planning lawyer who will answer your questions and address your concerns as they arise.
If you have questions about the estate planning process in Washington State, the dedicated legal team at Kristina Mattson Law is here to help you identify the most strategic path forward. Please call our Spokane office today at (509) 998-6629 to discuss your needs with a dedicated and experienced estate planning lawyer.
