When helping clients create estate plans, we cover a wide range of issues such as wills, trusts, power of attorney documents, advance directives and retirement beneficiaries. We also delve into real and personal property including homes, vehicles, furnishings, collectibles and more. Clients often assume their children, grandchildren or other intended beneficiaries actually want their “stuff”. Often this is simply not the case.
There are several trends working against the acquisition of personal property – minimalism, environmental consciousness, economic downturns and what antique collectors call “the death of brown furniture”.
Minimalism is a simplistic, back-to-the-basics aesthetic that millennials are adopting at rapid speeds, partly due to the interior design industry embracing clean lines and neutral color schemes. The less-is-more lifestyle also appeals to those who want to reduce their carbon footprint and live in less square footage. This requires ensuring that each item of personal property is both aesthetically appealing and functional. Unfortunately, that means that many antiques do not make the cut.
Neither do collectibles. Your children and grandchildren likely do not share your passion for those items you collect whether it be cars, Hummels or some other type of knickknack. If you leave these collectible items to them, they will likely sell them for far less than their value. So how should you approach the small items like furnishings and collectibles?
First, have a conversation with your intended beneficiaries. Determine whether they want to “shop” your home now and select any items of interest (either as a gift now or to be inherited when you pass away). This can actually be a fun bonding activity. You can share stories as you declutter.
Next, once you know what items to set aside for later distribution, start selling the items you no longer need. You will convert your collectibles to more cash than your beneficiaries could later because you know the industry. Your expertise will help you get top dollar. With other personal items that you no longer need (hint: all of the extra sets of china no one uses or wants), consider donating items that you cannot sell to organizations that provide housewares to individuals and families in need.
Finally, a plan needs to be made for larger items like vehicles and homes. Again, have a conversation with intended beneficiaries to see if they actually want the cars or homes. You may be surprised that they even turn down the beach house. Many people avoid the hassle and expenses of maintaining second homes. It is an especially bad idea to assume your children or grandchildren will want to share a home, even if it is at the beach. In reality, multiple families sharing a common property almost always leads to conflicts.
We can help you navigate the process of divvying up personal property as part of your comprehensive estate plan. Contact the experienced estate planning attorneys at Stouffer Legal in the Greater Baltimore area for a consultation. You can schedule an appointment by calling us at (443) 470-3599 or emailing us at office@stoufferlegal.com.
