When drafting critical estate planning documents, it’s easy to overlook tangible property. Unlike investments accounts, stocks, securities, and real estate, most people don’t consider tangible property to be part of their life savings. Additionally, it can be hard to quantify the total value of these belongings. As a result, many people fail to include them when distributing assets to loved ones. Unfortunately, it’s often tangible property that sparks disputes among beneficiaries because of its sentimental value. Here is what you should know about distributing these belongings to mitigate conflict during probate.
What Is Considered Tangible Property?
In estate planning, tangible property refers to personal belongings like jewelry, furniture, collections, clothing, appliances, and automobiles. In other words, it includes everything but intangible property, or assets like investment accounts and real estate. Distributing your tangible property may not seem as important as bequeathing major assets like vacation homes and stocks, but such property likely means a lot to your surviving loved ones.
How Should Tangible Property Be Distributed?
You can distribute tangible property however you wish. The easiest way to account for it in your estate plan is to leave it all to one individual, like your spouse or child. Few people have such a simple family dynamic, though. Fortunately, if you want to leave certain items to specific individuals, you can draft a Tangible Personal Property Memorandum; however, to ensure this document is unambiguous and legally binding, it is wise to turn to an attorney for help.
If you want to learn more about distributing tangible property and other assets, turn to the estate planning attorneys at Scott & Heenan in Platteville, WI. Since 1999, they have been representing clients throughout Grant County in a variety of areas. In addition to estate planning, they handle cases that fall under personal injury law and criminal law. To view all the legal services they provide visit their website and then call (608) 348-9506 to schedule your initial consultation.