Coordinating Probate and Non-Probate Assets: A Will generally governs the disposition of assets held in the decedent’s name alone. Thus, one can draft a Will only to learn that it will have little impact if most of the assets are governed by beneficiary designations or other arrangements. Lawyers sometimes call assets governed by a Will “Probate Assets.” Assets that are governed by a contract, joint ownership, a beneficiary designation or similar arrangement may be called “Non-Probate Assets” (these can include IRAs, 401ks, joint bank accounts, homes, other real estate and insurance). For many Americans, most of their assets may fall into these categories (all of which may be included in their “taxable estate” for estate tax purposes). An experienced estate lawyer can guide the client through this process, helping to ensure that the client’s desired objectives comport with the structure of his assets.
source http://www.americanbar.org/groups/real_property_trust_estate/resources/estate_planning/diy_estate_planning.html
source http://www.americanbar.org/groups/real_property_trust_estate/resources/estate_planning/diy_estate_planning.html
