Are My Assets Titled Correctly?

June 10, 2024

For married Florida residents, titling assets as “joint tenants with right of survivorship” might not be the best option. Florida, one of only 14 states that allow it, offers a preferable method: “tenancy by the entirety.”

This form of asset titling not only ensures that assets transfer directly to the spouse outside of probate if something happens to one partner, but also provides significant asset protection.

Under tenancy by the entirety, jointly held assets are protected from claims against one spouse alone if legal action from creditors arises.

Takeaways:

  • Understanding Asset Titling: It’s crucial for married couples in Florida to understand the differences between joint tenancy with right of survivorship and tenancy by the entirety. The latter provides both probate avoidance and asset protection benefits.
  • Asset Protection: Tenancy by the entirety can shield the couple’s joint assets from being targeted by individual creditors, which is not possible under the more common form of joint tenancy.
  • Legal Guidance: Due to the complexities and potential implications of how assets are titled, consulting with a legal advisor who understands state-specific laws and can offer personalized advice is advisable.
  • Estate Planning: Proper titling of assets is an important aspect of estate planning that can significantly affect the management and disposition of assets upon the death of a spouse.
  • Proactive Review: Regularly reviewing how your assets are titled, especially after relocating to Florida from another state, can help ensure that your estate planning aligns with your personal protection goals and legal advantages available under state law.

For married couples in Florida, how assets are titled can have significant implications. Unlike many other states, Florida offers a unique option called “tenancy by the entirety,” which provides both probate avoidance and protection from individual creditors. This means that jointly held assets are shielded if one spouse faces legal action.

It’s important for couples to understand this distinction and seek legal guidance to help ensure their estate planning aligns with their goals. Regular reviews of asset titling, especially after moving to Florida, help maintain this alignment and take advantage of the state’s legal benefits.

For comprehensive guidance on estate planning and wealth management strategies tailored to your specific needs, check our list of wealth management services. Our team at Landsberg Bennett Private Wealth Management is here to assist you every step of the way.

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