When it comes to estate planning, many people believe that setting up a revocable living trust is enough to ensure their assets are distributed exactly as they wish after they pass. While a trust is a powerful tool to avoid probate and maintain privacy, it’s important to know that a trust alone might not cover all your assets. That’s where a pour-over will comes in — an often overlooked but essential component of a complete estate plan.
In this post, we’ll explain what a pour-over will is, why it’s critical to pair it with your revocable living trust, and how failing to do so could lead to unintended consequences under North Carolina law.
What Is a Pour-Over Will?
A pour-over will is a special type of will designed to “catch” any assets that were not transferred into your revocable living trust during your lifetime. In essence, it acts as a safety net, directing those assets to be transferred (“poured over”) into your trust upon your death.
Without this document, any assets outside the trust become subject to intestacy laws meaning the state decides how those assets will be distributed, which may not align with your wishes.
Why Is a Pour-Over Will Important?
1. Catches Missed or Newly Acquired Assets
It’s common to overlook transferring every single asset into a trust. You might acquire new property, forget to retitle certain accounts, or simply be unaware that some assets are excluded. The pour-over will ensures those assets still end up in your trust and are distributed according to your estate plan.
2. Protects Your Privacy
Without a trust and pour-over will working together, assets may go through probate, which is a public court process. A trust with a pour-over will helps keep your affairs private.
3. Prevents State-Controlled Distribution
If assets are not covered by your trust or a will, North Carolina’s intestacy laws will dictate who inherits your property, which could mean unintended heirs or family disputes.
What Happens If You Don’t Have a Pour-Over Will?
Imagine you have a well-crafted revocable living trust but no pour-over will. Some of your assets, such as a recently acquired vehicle or a forgotten bank account, remain outside your trust. Without a pour-over will, these assets will not “pour over” into your trust and instead pass according to intestate succession laws.
In North Carolina, this means the state decides how to divide those assets among surviving relatives, which may not reflect your personal wishes. This can cause delays, increase legal costs, and potentially result in family conflicts.
How to Make Sure Your Estate Plan Is Complete
- Consult an Experienced Estate Planning Attorney
Make sure your revocable living trust is paired with a properly drafted pour-over will. - Review and Update Your Trust Regularly
Life changes such as marriage, divorce, births, or new acquisitions can impact your estate plan. - Transfer All Eligible Assets into Your Trust
Work with your attorney to retitle property and accounts in the name of your trust.
The Importance of a Pour-Over Will
Jane, a North Carolina resident, created a revocable living trust but didn’t execute a pour-over will. She forgot to transfer her recently purchased car into the trust. When Jane passed away, the car wasn’t covered by her trust and went through probate under intestacy rules. The state then distributed the car to relatives Jane never intended to inherit it.
Had Jane included a pour-over will, the car would have been automatically transferred into her trust and distributed according to her wishes.
Take Action Today….. Protect Your Legacy
Your estate plan is only as strong as its weakest link. Don’t leave your assets exposed to the unpredictability of intestate succession laws. If you already have a revocable living trust but no pour-over will, now is the time to address it.
At Sabrina Winters Law, PLLC, our experienced attorneys specialize in comprehensive estate planning tailored to North Carolina law. We can help ensure your trust and pour-over will work seamlessly together to protect your legacy and provide peace of mind for you and your loved ones.
Ready to Secure Your Estate Plan?
🔗 Schedule a consultation with us today at sabrinawinterslaw.com
📞 Or call us at +1 704-843-1446 to speak directly with an estate planning attorney.