Raymond James & Associates, Inc. Wilmarth Private Wealth Management Steven T Wilmarth, CEP®, WMS® Managing Director 202 N. Harbor City Blvd. Suite 301 Melbourne, FL 32935 321-253-7911 877-210-0769 steve.wilmarth@raymondjames.com www.wilmarthpwm.com
| |
| | |
|
Loss of a Spouse
|
|
The elective share (sometimes called the widow's election, forced election, or "taking against the will") is a statutory right of a surviving spouse to receive a specified share of the decedent's estate instead of accepting the provisions made for the spouse in the decedent's will. | | Surviving Spouse's Elective ShareDefinitionThe elective share (sometimes called the widow's election, forced election, or "taking against the will") is a statutory right of a surviving spouse to receive a specified share of the decedent's estate instead of accepting the provisions made for the spouse in the decedent's will. The surviving spouse may either claim or waive the elective share. If waived, the surviving spouse can keep whatever he or she received under the will or other arrangements. The rationale behind the elective share is that it is in the public's best interest to protect surviving spouses. The elective share is determined under state law and varies from state to state. Key strengths- Protects a spouse from becoming impoverished by an inadequate inheritance
- May reduce estate or income taxes
Key tradeoffs- Receipt or waiver of the elective share may make an institutionalized spouse ineligible for Medicaid
How to do it- Election must be made in a timely fashion (varies from state to state)
- The surviving spouse must initiate legal proceedings
- The election is made in writing (or by petition), filed with the appropriate court, and served on the estate's personal representative
- After notice and hearing, the court orders the beneficiaries and/or the estate's personal representative to contribute a pro rata share of the estate's assets to satisfy the surviving spouse's elective share
Tax consequences- In separate property states, amounts received by the surviving spouse pursuant to a spousal election qualify for the unlimited marital deduction
- In community property states (Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin) and Puerto Rico (Alaska has an optional system), the surviving spouse generally has no right to an elective share because the surviving spouse already owns half of all community property
|
|
|
|
|
Raymond James & Associates, Inc., member New York Stock Exchange/SIPC
This information, developed by an independent third party, has been obtained from sources considered to be reliable, but Raymond James does not guarantee that the foregoing material is accurate or complete. This information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. The information contained in this report does not purport to be a complete description of the securities, markets, or developments referred to in this material. This information is not intended as a solicitation or an offer to buy or sell any security referred to herein. Investments mentioned may not be suitable for all investors. The material is general in nature. Past performance may not be indicative of future results. Raymond James does not provide advice on tax, legal or mortgage issues. These matters should be discussed with the appropriate professional.
|
Prepared by Broadridge Investor Communication Solutions, Inc. Copyright 2024. |
|