How to bequeath bank accounts to charities without a trust?

[jiminnm]

Originally Posted by Mary2014

OP,

I did a little research on line and the rules about if a NON person can be on a POD bank account depends upon state laws. In my state the answer is no. If I chose to open a bank account in another state that did allow a POD to a NON person , as I understand the law in my state the account would be subject to probate and the estate would have to pay taxes on this money.

Since the purpose of a POD is to avoid going thru probate it does not help you to avoid probate if you die in a state that does not allow a bank account to list a non person as POD.

The current federal estate tax exclusion is over $11 million. I think 13 states have an estate tax and the exclusion varies among them.

[Mary2014]

Originally Posted by jiminnm

The current federal estate tax exclusion is over $11 million. I think 13 states have an estate tax and the exclusion varies among them.

In my state there is a "fee" for items that must go thru probate and it is a percentage of the value of the item. There is an exclusion for real estate owned by a single individual. It must go thru probate, but, the value of the real estate is not subject to the fee. Any other assets such as a vehicle or bank accounts that are not jointly owned or an individual is not listed as POD are subject to probate and a probate fee. So, not an Estate tax, but, a fee to cover the costs of probate.

Rules will vary from state to state, so it is important to know how the state where you live (and where you may die) handles the probate process upon your death.

[idontbotheranybody]

Originally Posted by Mary2014

OP,

I did a little research on line and the rules about if a NON person can be on a POD bank account depends upon state laws. In my state the answer is no. If I chose to open a bank account in another state that did allow a POD to a NON person , as I understand the law in my state the account would be subject to probate and the estate would have to pay taxes on this money.

Since the purpose of a POD is to avoid going thru probate it does not help you to avoid probate if you die in a state that does not allow a bank account to list a non person as POD.

Important to know, thank you.

[markg91359]

Many states allow for accounts where the money can be directly paid to a charity on your death. Some do not though.

A good place to start is at your bank or financial institution. Find out what accounts are available. If this is the only asset you own, you may not even need a will.

However, if you have other assets besides the account than I would recommend a trip to the office of a lawyer who is involved in estate planning.

[idontbotheranybody]

Originally Posted by markg91359

Many states allow for accounts where the money can be directly paid to a charity on your death. Some do not though.

A good place to start is at your bank or financial institution. Find out what accounts are available. If this is the only asset you own, you may not even need a will.

However, if you have other assets besides the account than I would recommend a trip to the office of a lawyer who is involved in estate planning.

Thanks.