Aretha had soul, but she didn’t have a will
Aretha Franklin’s legacy could include teaching consumers yet another word: W-IL-L.
Get one. Franklin — like Prince, Pablo Picasso, and others before her — reportedly died without a will or a trust. And there could be legal battles ahead in probate court for family members and others because of it.
It’s shocking, especially when you consider that Franklin, who died Aug. 16 at age 76, had been battling pancreatic cancer for quite some time. And reportedly, she had $80 million in assets at the time of her death, according to People magazine, which quoted estimates from CelebrityNetWorth.com.
How much Franklin’s estate really has to distribute to her heirs isn’t known. The real value to them will be determined in the months — and possibly years — ahead.
If you die without a will, the state, the courts and the lawyers step in to handle matters. Creditors will be paid off and assets will be distributed under the law of the state where you live. The legal bills build and build in many cases — especially if there are disputes.
“The lesson for everyday family members is when you don’t have a will, it makes it more likely there’s going to be fighting,” said Danielle Mayoras, who, with her husband, Andy, co-authored a book called “Trial & Heirs: Famous Fortune Fights!”
The Michigan attorneys, who have a blog on celebrity estates, have written extensively about estate planning mishaps involving Michael Jackson, Heath Ledger, Princess Diana, Marlon Brando and others.
Danielle Mayoras reviewed some key insights in light of the Franklin estate news:
No. 1: The odds go way up for court battles without a will
Even everyday families — say where Mom or Dad leaves behind an old car, a house and maybe if you’re lucky a few hundred thousand dollars — can find something to fight about when there isn’t proper estate planning. “Then you get the ‘Oh, he promised me this’ or ‘she promised me that,’” said Mayoras.
No. 2: It is important to plan what happens with your money before you die
Even though you don’t want to think about death, it remains important to find a good, experienced attorney and start the estate planning process. Ask your accountant for recommendations. Ask an attorney who helped you in the past for a recommendation.
Ideally, you want to take time to think out potential problems. Are you worried that your daughter-in-law will spend all your son’s money once you die? Are you fearful that a child with a drug addiction shouldn’t be left $50,000 in cash? Do you have a child with special needs who will need help?
These are the kind of things you’d want to address in an estate plan. Creating a trust isn’t enough. Michael Jackson, who died at age 50 in 2009, had made a will and set up a trust for his children. But he didn’t take the next key step — and fund the trust or re-title his assets into it. And it turned into a family mess.
It could start out costing you $500 and up to go to a lawyer for a will. You’d be looking at a few thousand dollars to establish a trust and estate plan.