By Marian L. Faupel
FAUPEL, FRASER & FESSLER
Ann Arbor, MI
2010
If you are younger than 60 years old, you may think that it's not yet necessary to worry about estate planning or signing a will. Think again.
In Michigan and in other states, there are statutes that define who will share in your estate if you have died without a will. If you have a will and die, you are considered to have died "testate." If you do not have a will and die, you are considered to have died "intestate." People are often surprised at who inherits a share of the estate if the relative died "intestate"-but if you have already died, you won't be one of those surprised people. And it will be too late to change anything.
If you are married when you die, then your "surviving spouse" is entitled to share in your estate; however, the spouse will not get 100% of your assets if you had children and any of them survive you.
MCLA 700.1202(1) provides as follows:
(1) The intestate share of a decedent's surviving spouse is 1 of the following:
(a) The entire intestate estate if no descendant or parent of the decedent survives the decedent.
(b) The first $150,000.00, plus 1/2 of any balance of the intestate estate, if all of the decedent's surviving descendants are also descendants of the surviving spouse and there is no other descendant of the surviving spouse who survives the decedent.
(c) The first $150,000.00, plus 3/4 of any balance of the intestate estate, if no descendant of the decedent survives the decedent, but a parent of the decedent survives the decedent.
(d) The first $150,000.00, plus 1/2 of any balance of the intestate estate, if all of the decedent's surviving descendants are also descendants of the surviving spouse and the surviving spouse has 1 or more surviving descendants who are not descendants of the decedent.
(e) The first $150,000.00, plus 1/2 of any balance of the intestate estate, if 1 or more, but not all, of the decedent's surviving descendants are not descendants of the surviving spouse.
(f) The first $100,000.00, plus 1/2 of any balance of the intestate estate, if none of the decedent's surviving descendants are descendants of the surviving spouse.
In today's world, where people are often married more than once and have "blended" families, this statute can make a big difference. If, for example, Tom and Doris marry, Tom dies intestate (or without a will), and Tom has two children from a prior marriage and one child with Doris, then provision (e) applies. Doris will get the first $150,000 plus ½ of the balance of the estate. If Tom had not had any children but had a parent who was still alive at the time of Tom's death, then Doris would get the first $150,000 plus ¾ of the balance of the estate.
Most people do not want their surviving spouse to "share" the estate with other people. To avoid this, you must make a will. In fact, the State of Michigan has approved a "statutory will" that is available at many public libraries and through state representatives' offices. The "statutory will" provides that the entire estate will pass to a surviving spouse upon the other spouse's death.
