In a recent conversation, someone mentioned the idea of leaving their daughter only one dollar in their estate documents instead of an inheritance. You should not leave someone one dollar if your ultimate plan is to disinherit them.
Many people believe that to demonstrate intentional omission, the person making the will (the “testator”) should leave the beneficiary a token amount, such as one dollar. However, the testator should state in the legal document that they are disinheriting the person, which would show the intent very clearly. Also, you are not legally required to leave your children anything unless they are minors. The simple statement of disinheriting the daughter would be enough, there is no need to leave her one dollar.
Sometimes the testator mistakenly thinks that if they leave the beneficiary a small sum, the beneficiary won’t be able to contest the will or trust without penalty. Again, this is untrue. A no-contest clause is a provision that prevents a beneficiary from receiving any inheritance if they unsuccessfully challenge the will or trust. A “no contest” provision is not valid in Florida.
Lastly, even if you only leave someone one dollar, the beneficiary would still be involved in all the administration aspects of the documents. Meaning, if it goes through probate, the beneficiary still sees most of the legal documents, and signatures or waivers are required.
Even with a trust, this beneficiary remains involved and is entitled to much more information than a non-beneficiary. The person now has more rights as a beneficiary and thus more of a reason to litigate. In conclusion, leaving someone even a small sum in your estate planning carries substantial legal implications. Always consult a qualified estate planning attorney to tailor your estate documents to your unique circumstances.
Cheers to peace of mind and smooth sailing ahead!
Tara David, Esq. of Estate Law of Florida, P.A. is located at 2211 E. Sample Road (Suite 101) in Lighthouse Point. Visit elflorida.com, email [email protected], or call 954-951-7274 for more information. Tara David offers complimentary consultations for estate planning and probate matters.