Video Summary
How do you avoid probate and also have asset protection? Well, the easiest way to do that is if you’re a married couple. Of course I don’t know – you’ve gotta be a couple I guess if you’re married. But in any event, as a husband and wife, if you hold assets as a husband and wife or the term tenancy by the entireties and you should hold all your bank accounts and all your assets as husband and wife except automobiles. And that way if something would happen to either of you, then the property would automatically pass to the survivor. And so you’ve avoided probate by holding your assets in your names, as husband and wife. The asset protection comes in so that if either one of your are sued, and they get a judgment against one spouse, it will not attach to assets that are held in the name of husband and wife or as tenancy by the entireties.
I suggested that you not have automobiles in your joint names as husband and wife since an automobile is considered a dangerous instrumentality so that if it’s involved in an automobile accident they can sue both the owner and the driver. So whatever spouse is driving a particular automobile, they need to have it titled in their name as the primary vehicle so that if they are involved and they don’t have enough insurance coverage and they do get a judgment against one spouse that was not attached to the assets that are owned as tenancy by the entireties and also motor vehicles can be transferred without a probate proceeding whenever the first spouse passes away.
I gave you a quick overview as far as husband and wife property. If you’d like some more information if you’re single as to what to do about asset protection and avoiding probate, well give me a call or if you have any questions as a husband and wife give me a call and we can do some estate planning for you at 727-847-2288. Thank you.