The thought of an estate plan can be daunting, a task to put off for "someday." But what many people don't realize is that without one, you've already made a plan—just not one you had any say in. For California residents, it's a plan crafted by the state of California, and it may be nothing like what you would have wanted.
Dying without a will or living trust means your estate is considered "intestate." When this happens, your assets are not distributed according to your wishes, but rather through a rigid, court-supervised process called probate.
The Court Takes Control
The moment your loved ones must navigate your passing, the state steps in. A probate court will appoint an administrator—often a family member, but not necessarily the one you would have chosen—to manage your estate. This administrator's sole job is to follow a strict set of rules laid out in California's Probate Code, not to fulfill your personal desires.
This can lead to heart-wrenching and unintended consequences. Perhaps you wanted your beloved home to go to your partner, but the law dictates it must be split between them and your children. Or you intended to leave a specific heirloom to a dear friend, but the court’s rules mean it must be sold and the proceeds distributed among your closest relatives. These legal formulas don't account for unique relationships, family dynamics, or individual wishes.
The Costly and Time-Consuming Process
Probate is a public, expensive, and lengthy affair. In California, the process typically takes 12 to 18 months, but can easily stretch for years, all while your family's assets are tied up in the legal system. During this time, your heirs can't access or use the property.
On top of the delays, the costs can be staggering. California law sets statutory fees for the attorney and the administrator, which are a percentage of the gross value of your estate—not the net. For example, a $1 million estate could incur tens of thousands of dollars in legal fees alone, all paid directly from the estate before your beneficiaries see a penny. This doesn't include court filing fees, appraiser costs, or the expense of unexpected family disputes that often arise from this complex process.
The Peace of Mind You Leave Behind
An estate plan is a compassionate gift to your family. It is an act of love that ensures your legacy is protected and your loved ones are cared for, not burdened. A well-crafted plan allows you to:
Appoint Guardians: Name who will care for your minor children, rather than leaving this critical decision to a judge.
Avoid Probate: A living trust allows your assets to be transferred directly to your beneficiaries, privately and efficiently, without court interference.
Control Your Legacy: Decide who receives which assets, when they receive them, and for what purpose. You can protect a family home, provide for a special needs child, or support a favorite charity.
Protect Your Family: Minimize taxes, prevent family conflict, and provide clear guidance during a difficult time, allowing your loved ones to grieve in peace.
Comprehensive Estate Planning in Palo Alto
Don't leave your family's future to chance. Taking a proactive step now can save them from years of stress, unnecessary costs, and emotional strain.
Gilfix & La Poll Associates LLP has been helping California families for decades, providing expert, compassionate guidance through the entire estate planning process. If you need help, we are here. We can help you secure your family's future and provide you with the peace of mind you deserve.
Contact us today at (650) 683-9200 to begin a confidential conversation about your estate.