ESTATE PLANNING, PROBATE, AND TRUST ADMINSTRATION

Regardless of net worth, having a comprehensive estate plan in place is essential to ensure family and financial goals are achieved. Thoughtful planning involves the preparation of legal documents designed to carry out individual wishes, protect assets, and provide clarity during times of transition.

Transferring ownership of a family business from one generation to the next can be complex and sensitive. A well-structured transition minimizes risk and disruption while preserving wealth and maintaining continuity.

Carney’s estate planning, probate, and trust administration attorneys in Seattle provide comprehensive planning and administration services to ensure the orderly disposition of assets. The practice includes preparation of required court filings and, when applicable, federal and state estate tax returns. Representation also extends to estates and beneficiaries in audits before the Internal Revenue Service and the Washington State Department of Revenue.

Wills and Trusts

Wills and revocable trusts are legal instruments used to provide for the distribution of an estate upon death. Determining whether a will or a revocable trust is appropriate depends on individual circumstances and applicable tax laws. In Washington, wills are frequently used due to the state’s streamlined probate system. When real property is located in another jurisdiction, a title-holding revocable trust is often recommended to avoid ancillary probate.

Business Structures

The practice reviews business formations and assists in reorganizing ownership structures to preserve business wealth, retain family ownership, and reduce estate tax exposure. This may include the creation of family limited liability companies or family limited partnerships.

Charitable Plans

Charitable giving programs allow clients to contribute meaningfully to organizations through the establishment of foundations and charitable trusts.

Estate Planning

Estate planning services include drafting wills, revocable trusts, irrevocable trusts, qualified personal residence trusts, grantor retained annuity trusts, gifting strategies, education or care funds for family members, powers of attorney, and health care directives.

Planning addresses full utilization of federal and Washington state estate, gift, and generation-skipping transfer tax exemptions. Because Washington imposes a stand-alone estate tax, planning must consider both federal and state transfer taxes to avoid unintended loss of exemptions or adverse income tax consequences.

Estate and Trust Administration

The practice assists personal representatives and trustees in administering probate estates and trusts. Services include preparation of state and federal estate tax returns, audit representation, asset transfers, and asset sales.

Fiduciary Responsibilities

Fiduciaries are advised in the administration of estates and trusts for the benefit of beneficiaries.

Guardianship

The practice advises on and prepares documentation relating to limited or general guardianships and the powers and responsibilities of guardians.

Irrevocable Trusts

Trusts are established for use of the gift tax annual exclusion, commonly known as Crummey trusts, as well as irrevocable life insurance trusts, qualified minors’ trusts, and trusts for children and grandchildren.

Life Insurance Planning and Trusts

Services include advising on ownership structures, beneficiary designations, and irrevocable life insurance trusts to avoid estate taxation of life insurance proceeds.

Living Revocable Trusts

Living trusts are drafted to allow clients to control the distribution of their estates and transfer ownership of property and assets into the trust. Clients may serve as trustee or designate an individual or institution to act in that role. A principal advantage of a living revocable trust is avoidance of probate, as the trust holds title to the assets rather than the individual.

Powers of Attorney and Healthcare Directives

Durable general powers of attorney are prepared to appoint one or more agents to manage financial affairs and property, either immediately or in the future. Durable powers of attorney for healthcare allow individuals to define the scope of authority granted to a healthcare agent. Healthcare directives document wishes regarding artificial life support and other life-prolonging measures in the event the individual is unable to communicate.

Probate Administration

Probate administration services include admission of a will to probate, commencement of intestate administration when no will exists, appointment of personal representatives, inventory of assets and liabilities, asset transfers, and final settlement.

Estate and Trust Litigation

Disputes may arise involving the validity, interpretation, or administration of wills, probate proceedings, or trusts. Representation includes personal representatives, trustees, and beneficiaries. While resolution through negotiated settlement is often pursued, matters are litigated when necessary.

Succession Planning

Closely held and family-owned businesses must address continuity following a founder’s retirement or death. Effective succession planning ensures the orderly transfer of ownership and management. Counsel addresses the legal, financial, and personal complexities involved and prepares documentation, including wills, trusts, buy-sell agreements, and related agreements, to implement the owner’s wishes while minimizing uncertainty for the family and the business.

Tax-Exempt Organizations

The practice serves charitable organizations, trade associations, private foundations, and charitable trusts. Services include structuring and formation of tax-exempt entities, obtaining exemption determination letters from the Internal Revenue Service, and advising on ongoing nonprofit tax and corporate governance matters.