Part 11 of 11

TERMS USED FOR WILLS & TRUSTS

To end our series of wills and trusts, I thought a glossary of terms might be in order.

Beneficiary: Someone named in a legal document to inherit money or other property.

Bequeath: To leave property at one’s death: another word for “give.” Custodian: The person named to manage property inherited by a minor.

Devise: A gift of real estate left at death. Also a verb meaning to give at death.

Executor: The person named in a will, and appointed by the probate court after the will-maker’s death, to wind up the affairs of a deceased person.

Executrix: An old-fashioned term for a female executor. Most wills these days use “executor,” whether the person is a man or woman.

Gift and Estate tax: A tax imposed on very large transfers of property (during life or at death) by the federal government

Grantor: Someone who creates a trust; a settlor.

Heir: Someone who inherits property under state law if there is no valid will. Intangible property: Assets that cannot be touched, such as an ownership interest in a corporation and stock certificates.

Issue: Direct descendants, including children, grandchildren, and so on. A spouse, brothers, sisters, parents, and other relatives are not issue.

Legacy: A gift of personal property left at death.

Legatee: Someone who inherits personal property.

Personal property: All kinds of assets except real property.

Per capita: A way of dividing property among the descendants of a deceased heir beneficiary.

Per stirpes: A Latin term that means “right of representation.”

Real property: Real estate - that is, land and things permanently attached to it.

Residue or Residuary Estate: All property subject to a will that is not given away specifically in the will.

Revocable trust: A trust that the settlor can revoke at any time during his or her lifetime.

Seized Of: An old-fashioned way of saying “having possession of.” For example, a will might state, “I leave to my wife all property I am seized of at my death.”

Senior: Someone who creates a trust.

Successor Trustee: Someone who takes over as trustee of a trust if the original trustee can no longer serve.

Tangible Property: Items that can be touched. (Compare “intangible property.”)

Testamentary: A trust that is set up in a will is called a testamentary trust.

Testator: Someone who writes and executes (signs) a will.

Trustee: Someone who has legal authority over* assets in a trust

THOUGHT OF THE WEEK

Never let the things you want make you forget the things you have.