Although the laws in some states have changed, or are changing, laws relating to wills, trusts and estate matters are still predominantly geared toward the concept of marriage. While same sex marriages are recognized in a small percentage of the states, the vast majority of states still do not recognize them. Even if you were legally married in a jurisdiction that recognizes same sex marriage, or domestic partnerships, if you now live in a state that does not, you may find yourself in the same legal position as if the marriage never took place. For this reason, creating and executing a Will takes on a heightened importance.

If you fail to execute a Will prior to your death, the state laws of intestate succession will determine how to dispose of your estate property. This typically means that a spouse and/or children will inherit first from your estate. If your state does not recognize same sex marriages, your spouse may not legally be entitled to anything from your estate.

Your Will, however, overrides any state intestate succession laws, allowing you to devise anything you want to your spouse or partner regardless of whether or not your state recognizes your marriage or partnership.

Although each state defines estate planning terms, most states use a very similar definition of the terms “beneficiary” and “heir.” Both terms are frequently used when drafting a Last Will and Testament.

A beneficiary is someone who receive a bequest in your Will. The bequest may be cash, property or any other estate asset. What defines a beneficiary is that he or she is specifically mentioned in the Will as receiving something from your estate. For example, if you give your son Charlie your house in your Will, then Charlie is a beneficiary. Likewise, if you give your best friend Mary $10,000 in your Will, then Mary is a beneficiary.

A heir, however, is someone that stands to inherit under the laws of intestate succession. Intestate succession laws kick in in the event you die without leaving behind a valid Will. Intestate succession laws also apply when you fail to devise all of your estate through your Will. Although laws will vary among the states, heirs are usually your spouse, children, parents, siblings and other blood relatives.

A person can be both an heir and a beneficiary. In the above example, your son Charlie is both an heir, because he is your son, and a beneficiary because you specifically mentioned him in your Will.

The main purpose of executing a Last Will and Testament is to legally decide how you want your estate assets to be disposed of upon your death. If you do not execute a valid Will prior to your death, then you are said to have died intestate and therefore the state’s intestate succession laws will determine what happens to your estate assets. Intestate succession laws can also apply if a valid Will was, indeed, executed, but failed to dispose of all estate assets. For example, if you executed a Will which specified what you wish to happen to all of your property, except you forgot about a bank account and did not include a residual estate assets provision in your Will, then the funds in that account would be disposed of according to intestate succession laws because your Will failed to account for their disposition.

Intestate succession laws create a hierarchy of heirs who stand to inherit from your estate. In most states, at the top of the hierarchy are your spouse and children. What proportion they inherit will vary by state. If there is not spouse or children, then the law typically looks to other blood relative, such as grandchildren, parents, or siblings as heirs of your estate.

The principal goal of an incapacity plan is to avoid a scenario where a family member or loved one is forced to petition a court in order to ascertain control over your finances or make healthcare decision on your behalf in the event of your incapacity. Absent pre-planning, that is precisely what is likely to happen.

Many estate planning tools can also be used as incapacity planning tools. Converting titles to real property or ownership of financial accounts, for instance, can serve the dual purpose of giving your loved one immediate access to the property or account upon your death and allowing them access in the event of your incapacity. A power of attorney can also be used in the event of your incapacity if it is a durable power of attorney. Trusts are also commonly used when creating an estate plan. A trust can often function as an incapacity planning tool as well by simply adding your incapacity as a triggering event which shifts control of the trust assets to the trustee.

In many states, only a beneficiary or heir may file a will contest. This includes anyone specifically mentioned in the will as receiving something or anyone who would otherwise inherit if no will existed. The person filing the will contest must give a valid legal reason for contesting the will as well. Being left out of a will is generally not a legal reason for contesting a will. Valid legal grounds for a will contest are often things such as the testator lacked the mental capacity to sign the will or was under duress at the time the will was executed.

If the petitioner is able to prove his or her case to the court, then the court declares the will to be invalid. Once a will is declared invalid, it is as if the will never existed. At that point, the estate assets are distributed according to the laws of intestate succession in the state where the will is being probated. Intestate succcesion laws also vary by state; however, the spouse, children and other blood relatives typically inherit the assets under intestate succession laws.

Undoubedly the biggest, an most easily avoided, pitfall of estate planning for a blended family is failing to create a plan. Some people do not realize the importance of creating an estate plan while others simply wish to avoid the potential discord that may result from discussing an estate plan. Even if you do not have a substantial estate, estate planning for a blended family is particularly important in order to ensure that all the parties are protected and your wishes carried out in the event of your death.

Another common pitfall is failing to review the terms of your divorce decree when appropriate. Often, a divorce decree requires you to include specific provisions in your estate plan. Be sure to locate a copy of the decree and allow your estate planning attorney to review it when discussing your estate plan. Finally, state and federal laws must be considered. Creating an estate plan that does not comply with applicable laws may be worse than not creating a plan as it could result in your estate spending months, or even years, in probate court until it is straightened out.

Retirement planning for our grandparents was usually a simple matter of depending on a generous employer sponsored pension and/or Social Security retirement. Likewise, estate planning was often accomplished by executing a Last Will and Testament and nothing more. Pension plans are rare these days, however, and the future of the U.S. Social Security system is in doubt. Retirement planning, therefore, has become considerably more complicated and often involves various investment plans, trusts and financial accounts. Estate planning has also changed over the years to include numerous tools such as trusts, joint ownership documents and powers of attorney.

The goals of both your estate plan and retirement plan are really not so different. Your retirement goal is generally to produce enough income to support yourself comfortably during your golden years. Ideally, you will have some of those assets left over upon your death. Your estate plan goal is then to distribute those assets upon your death. With creative planning, and consultation with your estate planning attorney, you should be able to create a retirement plan that works in harmony with your estate

Simply put, a buy-sell agreement is a legal agreement that sets forth the terms upon which your share of the business will be sold upon the occurrence of a triggering event — generally your death or incapacity. By executing a buy-sell agreement prior to your death or incapacity, you accomplish two important objectives.

First, the continuity of the business is assured. If you die, or become incapacitated, in the absence of a buy-sell agreement, your interest in the business becomes a matter for a court to sort out in many cases. In the meantime, the business may suffer and the value of your interest may decrease. By executing a buy-sell agreement, the legal status of your interest in the business is pre-determined. Upon the occurrence of an included triggering event, the agreement kicks in and the business can continue uninterrupted.

Second, a buy-sell agreement protects your own interest in the business. A buy-sell agreement is binding on the buyers as well as the seller. If you become incapacitated or die unexpectedly, for example, the other partners or shareholders will be legally bound by the terms of the agreement to purchase your interest in the business. The proceeds can then be used to take care of you or your loved ones.

When you die, your estate assets must generally pass through the legal process known as probate. Probate rules vary by state, but the basic concept behind probate it to ensure that your assets are inventoried, debts and taxes paid, and the remaining assets distributed to heirs or beneficiaries. Probate can result in a long delay before your assets are available to your loved ones.

One tool used to avoid probate is to change the ownership status of accounts to a “pay on death” status. As the name implies, this simply means that in the event of your death, the assets held in the account are to be immediately paid to the person indicated on the account. Most bank accounts, as well as many investment accounts, securities accounts and vehicle registrations can easily be converted to a “pay on death” account by requesting the change. In most cases, all you need to do is request the appropriate form, designate a beneficiary and return the form to the financial institution or appropriate office. Upon your death, the designated beneficiary can then request the funds be paid out to him or her immediately without the need for the assets to be included in a pending probate case.

Although most state laws do not recognize same sex marriages, that does not prevent a GLBT couple from using the myriad of estate planning tools available to include and protect each other in the event of the death of one partner. A Last Will and Testament is the cornerstone of most estate plans. Your will is your opportunity to dictate how you want your assets to be divided upon your death. In the absence of a valid will, the intestate succession laws in the state where you were a resident at the time of death will determine how your assets are handled. This typically means your assets will go to your spouse, children and other blood relatives. A will, however, will take the place of intestate succession laws as long as the will is drafted correctly. You may leave all, or a portion, of your estate assets to your partner in your will. You may also make specific bequests, such as items of particular sentimental value, to your partner in your will.

Along with a will, you may wish to consider titling property jointly. Real property can generally be titled as joint tenants with rights of survivorship, for example. Unlike tenancy in the entirety which requires the co-owners to be married in most states, this form of joint ownership can be used by anyone, regardless of the relationship between the co-owners. Financial accounts may also offer the option to make the account “payable on death” which allows you to designate your partner as the payee. Titling property jointly not only ensures that the property will be transferred to your partner, but also avoids the need for the property to pass through the often lengthy probate process in