Living Trust – this document when executed properly clearly states how your assets pass to your heirs upon your death. This avoids the courts getting involved in the distribution of your assets.

POD/TOD or Payable/Transfer on Death – is another way to title your assets such as bank accounts. In this case your beneficiaries are also named on your accounts. However, you retain control of the asset. Only upon death does the beneficiary receive the asset. This is immediate, and again without the hassles of probate.

Beneficiary designations – for retirement accounts such as IRAs and 401ks. Once you have considered the tax implications for leaving this asset to your beneficiary, a properly titled retirement account can be spared from the probate process.

This is a very brief discussion on the possibilities of how to transfer your assets upon your death. Seek the counsel of a qualified estate planning attorney for more complicated estate matters or more indept consultation on the proper solutions for your specific situation.

The moral of this strip is for you to review your will or estate plan periodically and modify it as needed including beneficiary designations. If you don’t have a will or estate plan…walk don’t run (to avoid becoming incapacitated or dying) to your nearest estate planning attorney and get it in place immediately.

And yes, if you wish, you can leave it all to your cat! Better yet, consider looking into a pet trust.