Statutory provisions in the various jurisdictions specify the formal requisites of a valid will. Also, in the absence of pertinent will provisions, the statutes generally govern the construction of a will and determine the effect of various acts or events on the will, such as the testator's subsequent marriage or divorce, or the birth or adoption of children after the execution of the will.
This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.
When drafting wills, practitioners should beware of the perfunctory use of standard boilerplate language directing that all taxes be paid out of the residue of the estate. Because a number of Internal Revenue Code provisions include non-probate assets in the taxable estate if they pass as a result of the decedent's death, the result of such boilerplate could be to cause the residuary beneficiary to pay taxes on assets that pass to others, often wiping out the residuary estate altogether -- a circumstance probably not intended by the testator. In addition to the problems that may result for beneficiaries, the estate may also suffer if the residuary beneficiary is a charity or spouse, since the marital or charitable deduction can be drastically reduced by the necessity of paying taxes out of the residue, resulting in considerably higher taxes. Attorneys should discuss with their clients the existence of non-probate assets and the distribution of the tax burden.
A Delaware Married Person's Will with Children with a Credit Shelter Trust for Spouse is a legal document that outlines the distribution of assets and provisions for children and a surviving spouse in the state of Delaware. This type of will includes a credit shelter trust, also known as a bypass trust or family trust, which helps minimize estate taxes upon the death of the first spouse. In Delaware, there are several variations of the Married Person's Will with Children with a Credit Shelter Trust for Spouse, depending on specific circumstances and preferences. These variations may include: 1. Standard Delaware Married Person's Will with Children with a Credit Shelter Trust for Spouse: This type of will is suitable for couples with children who want to ensure the financial security of their surviving spouse while providing for their children's future. The will designates the creation of a credit shelter trust, which will hold the deceased spouse's assets up to the applicable estate tax exemption limit, reducing potential estate tax liabilities. 2. Delaware Married Person's Will with Children with a Credit Shelter Trust for Spouse and Irrevocable Life Insurance Trust: This variation combines the benefits of a credit shelter trust with an irrevocable life insurance trust (IIT). It is preferred by individuals who have substantial life insurance policies and want to exclude the insurance proceeds from their estate. The IIT holds the life insurance policy, ensuring its proceeds are protected and outside the taxable estate. 3. Delaware Married Person's Will with Children with a Credit Shelter Trust for Spouse and Special Needs Trust: For couples with children who have special needs, this type of will incorporates a credit shelter trust alongside a special needs trust. The special needs trust is designed to provide ongoing financial support for a disabled child while preserving their eligibility for government assistance programs. 4. Delaware Married Person's Will with Children with a Credit Shelter Trust for Spouse and Dynasty Trust: A dynasty trust is an estate planning tool used to preserve wealth for multiple generations. This variation of the will establishes a credit shelter trust that allows the assets to be protected from estate taxes throughout several generations, ensuring the family's long-term financial stability. Overall, a Delaware Married Person's Will with Children with a Credit Shelter Trust for Spouse provides a comprehensive estate planning solution for married individuals with children. It safeguards the interests of both the surviving spouse and children while minimizing potential estate tax liabilities. It is advisable to consult with an experienced estate planning attorney to determine which variation of this will best suits your specific circumstances and goals.
