What Is a Pour-Over Will?

What Is a Pour-Over Will?

Estate planning is an important step in ensuring your hard-earned assets are protected and distributed according to your wishes. Whether you own a home, business or other significant property, having solid legal documents in place provides you and your loved ones with peace of mind. One key component of a comprehensive estate plan is a concept many people may not be familiar with—a pour-over will. What is it, and how does it fit into the bigger picture of estate planning? At TrustMasters, we’re here to demystify this critical tool and explain how it can help support your plans.

What Is a Pour-Over Will?

A pour-over will is a type of will designed to work alongside a living trust. Its purpose is to ensure that any assets you own at the time of your death, which haven’t already been transferred into your living trust, are seamlessly transferred (“poured over”) into the trust after your passing. Essentially, its function is to catch any assets that might have been overlooked or left outside the trust. 

For instance, if you forgot to transfer a bank account into your trust or acquired a new piece of property shortly before passing, a pour-over will helps direct those assets into the trust. This allows your estate plan to remain intact and your assets to be distributed according to your wishes as laid out in the trust. 

How a Pour-Over Will Works with a Living Trust

Living trusts are the backbone of many estate plans. At TrustMasters, we emphasize not only creating but properly funding your trust—that is, putting all your assets into the name of the trust during your lifetime. However, even the most thorough planners can miss an asset or forget to make updates as their circumstances change. 

Here’s where the pour-over will comes into play. Upon your passing, the pour-over will directs any “unfunded” assets (those not already in the trust) into the trust. Combining a pour-over will with a living trust simplifies the distribution process for your loved ones. Instead of juggling multiple documents or trying to piece together your wishes, the trust serves as the central tool governing how your assets are distributed according to the specific instructions you’ve laid out. 

Why Should You Consider a Pour-Over Will?

A pour-over will is a smart safeguard for anyone with a living trust. It offers peace of mind that no assets are left unaccounted for, even if life gets busy or unexpected changes occur. Here are some potential benefits of including a pour-over will in your estate plan:

• Streamlined Process: By directing stray assets into the trust, a pour-over will consolidates everything under one plan, reducing confusion and administrative burden.
• Flexibility: Even unanticipated assets, like newly acquired property or accounts, are handled consistently with your wishes.
• Coordination and Simplicity: It allows your loved ones to manage your estate more easily, reducing potential disputes or complications. 

Take the Next Step with TrustMasters

Estate planning doesn’t have to be complicated, and you don’t have to face it alone. At TrustMasters, we assist with the process. Our experienced team offers consultations and takes the time to educate you on all aspects of estate planning, including pour-over wills, trusts and more. 

Whether you’re just getting started or need to update your existing documents, our mission is to guide you every step of the way. Contact TrustMasters today to schedule a consultation and take the first step toward supporting your legacy.