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Per stirpes (/pɜːr ˈstɜːrpiːz/; “by roots” or “by stock”) is a legal term from Latin used in the law of inheritance and estates. An estate of a decedent is distributed per stirpes if each branch of the family is to receive an equal share of an estate.
What does the legal definition of per stirpes mean?
Per stirpes is a Latin phrase that translates literally to “by roots” or “by branch.” In the estate context, a per stirpes distribution means that a beneficiary’s share passes to their lineal descendants if the beneficiary dies before the inheritance vests.
What does issue per stirpes mean in a will?
by branch
Per stirpes is a legal term that describes how your assets are divided and distributed. In Latin, per stirpes simply means “by branch.” If you choose to distribute assets to your children first, but then to their children should they pass away before you do, you have in essence set up your Will or Trust per stirpes.
Should I choose per stirpes or per capita?
A trick to help you remember the difference between per stirpes vs per capita is to remember their Latin origins. Per stirpes is Latin for “by branch,” while per capita means “by the heads.” The word branch could remind you that the inheritance goes down the beneficiary’s branch of the family tree.
What should you never put in your Will?
Types of Property You Can’t Include When Making a Will
- Property in a living trust. One of the ways to avoid probate is to set up a living trust.
- Retirement plan proceeds, including money from a pension, IRA, or 401(k)
- Stocks and bonds held in beneficiary.
- Proceeds from a payable-on-death bank account.
Which is better per capita or per stirpes?
Per stirpes means that the beneficiary’s inheritance will be passed on to their next-in-line heir, or heirs. Per capita means that the beneficiary’s inheritance would be divided evenly amongst any surviving beneficiaries.
How does per stirpes work?
Per stirpes stipulates that a beneficiary’s heirs receive the inheritance should the beneficiary die before the testator. The term refers to every person down a branch of a family tree. Children may represent their parents if a parent passes before the decedent.
What is an example of per stirpes?
Per stirpes means that assets are divided equally by each branch of the family when there were surviving descendants in that branch. For example, let’s say Ann has three children: Adam, Barbara, and Chris. If all three of her children survive her, each child inherits one-third (1/3) of Ann’s estate.
What is the alternative to per stirpes?
What is per stirpes? This Latin legal term means that, if your primary beneficiary dies before you die, their next of kin inherits your money. The alternative is known as per capita. By choosing per capita, you are ensuring your money goes to your primary beneficiaries only.
What would make a will invalid?
A will is invalid if it is not properly witnessed or signed. Most commonly, two witnesses must sign the will in the testator’s presence after watching the testator sign the will. The witnesses typically need to be a certain age, and should generally not stand to inherit anything from the will.
What are the three conditions to make a will valid?
The three conditions to make a will valid are intended to ensure that the will is genuine and reflects the wishes of the deceased.
- Condition 1: Age 18 And of Sound Mind.
- Condition 2: In Writing And Signed.
- Condition 3: Notarized.