Why You Shouldn't Add Your Child to Your Deed or Bank Account

Aug 4

Should you add your child to your deed or bank account?

It sounds like a simple way to avoid probate or make things easier if you need help later in life. But that estate planning shortcut can create risks you never intended, from exposing your home to your child's creditors to accidentally changing how your estate is distributed.

In this episode, estate planning attorney Jill Mastroianni explains why the first question should never be, "What's the solution?" Instead, it should be, "What problem are you actually trying to solve?" Once you know the problem, you can choose the right estate planning tool.

What You’ll Learn in This Episode

Why adding your child to your deed or bank account can create unintended legal and financial risks
The one question you should ask before making any estate planning decision
When avoiding probate actually makes sense, and when it doesn't
How revocable trusts help avoid probate while also planning for incapacity
The advantages and limitations of ladybird or transfer-on-death (TOD) deeds in estate planning
Why naming multiple TOD beneficiaries can produce surprising results
How payable-on-death (POD) and transfer-on-death (TOD) bank account designations work
Why your estate may still need liquid assets even if you've mostly avoided probate
How financial powers of attorney differ from joint ownership in estate planning
Why healthcare powers of attorney and advance directives are essential parts of a complete estate plan

Resources & Links

Watch this episode on YouTube: https://youtu.be/3tlGkQk1Sac

Episode 19: Why You Need (or Don’t Need) a Trust: https://www.deathreadiness.com/podcast/episode-19-how-to-know-if-you-need-a-trust

Episode 36: When Transfer-on-Death Deeds Promise to Avoid Probate but Create Chaos: https://www.deathreadiness.com/podcast/when-transferondeath-deeds-promise-to-avoid-probate-but-create-chaos

Episode 68: Why Good Powers of Attorney Still Fail: https://www.deathreadiness.com/podcast/68

State-specific healthcare powers of attorney: https://www.caringinfo.org/planning/advance-directives/by-state/

Tennessee estate planning: https://www.deathreadiness.com/estate-planning-solution

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