National Risk
Management
Education Conference
Phoenix, AZ
April 17 & 18, 2007
1

The Financial
Risks of Dying
Without a Will in Montana
2

Marsha A. Goetting
Ph.D., CFP
®
, CFCS
• Professor & Extension Family
Economics Specialist
• Department of Agricultural
Economics & Economics
3

4

Project Collaborators
• MSU Extension
• Montana Grain Growers
Association
• Montana Department of
Agriculture
• State Bar of Montana
• School of Law, U of Montana
5

Historical Progress
• Prior Grant
– Managing Property
Title Risks of Dying
Without a Will
6

Property Titles
• Montana Specific
– Sole ownership
– Joint tenancy
– Tenancy in common
7

Dad & Son: Property in Joint Tenancy
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Both Married
• Dad has wife
• Son has wife
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Truck Accident
• Dad dies first
• Son dies
3rd day
10

•
Team Question
Who receives the property?
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Truck Accident
• Dad dies first
• Son dies
3rd day
12

Property Distribution
• 1/2 dad’s wife
• 1/2 son’s wife
13

Survivor Lives Beyond
120 Hrs
• Dad dies first
• Son dies
6 th day
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Property Distribution-son Dies on 6th Day
All to son’s wife
15

Survivor Lives Beyond
120 Hrs
• Dad dies
6 th day
• Son dies first
16

Property Distribution: Dad
Survives Son Beyond 120
Hours
All to dad’s wife
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Consequences of
Joint Tenancy
• All to dad’s wife
• All to son’s wife
• 1/2 to dad’s wife &
1/2 to son’s wife
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Estate
Planning for the next
Generation
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Targeted Audience
• YACC
– 2006
– 2007
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• www.nextgeneration.
montana.edu
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Contents
• 31 MontGuides
• FAQ
• Discussion Club
– Book club approach
22

Question
• What % of
Americans die without a written will?
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7 out of 10 do not have a will
24

Age influence
Percent Age
• 50 - 54 44%
• 70 - 74 75%
• 80 + 85%
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Survivors : 3 children
Dad Mom
1/3
Son
1/3 1/3
Son Daughter Daughter Son
26
Son

Survivors : two children
& grandchild
HUSBAND WIFE
Son
1/3 1/3
Son Son Daughter Daughter 1/3
Right of Representation
Son
27

Survivors : one child
& grandchildren
HUSBAND WIFE
Son Son 1/3
1/3 1/6 1/6
Right of Representation
28

Survivors : One child
& grandchildren
HUSBAND WIFE
Son Daughter
1/3
1/3 Son Son 1/9 1/9 1/9
29
Right of Representation

Survivors : one child
& grandchildren
HUSBAND WIFE
Son Son 1/3
1/3 1/6 1/6
Right of Representation
30

Survivors : One child
& grandchildren
HUSBAND WIFE
Son Daughter
1/3
1/3 Son Son 1/9 1/9 1/9
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Right of Representation

The Financial
Risks of Dying
Without a Will in Montana
32

Interactive Web site
• Under construction
– www.montana.edu/ dyingwithoutawill/
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Key Players
• Keri Hayes —very very KEY
– MSU Extension Publications
Assistant & Web site developer
• Joel Schumacher
– MSU Extension Economics
Specialist: Reviewer
• Mary Anne Anderson
– MSU Student Assistant: Reviewer
34

Family Situations
13
35

Family Situations
• Single
– No Living Children
– No Living Grandchildren
– No Living Great-
Grandchildren
36

Family Situations
• Single
– No Living Grandchildren
– Have Living
Grandchildren
– Have Living Great-
Grandchildren
37

Family Situations
– Have Living
Children
– Have Living
Grandchildren
38

Family Situations
22
39

Family Situations
• Married –
– No Living
Children
40

Family Situations
• Married –
– Have Living
Children
– Have Living
Grandchildren
41

Family Summary
Single = 13
Married = 22
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Single
Example:
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44

45

46

47

48

49

50

Example 1:
51

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Example 2:
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Married
Example:
54

55

56

57

58

59

60

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Example
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Status
• Under construction
– www.montana.edu/ dyingwithoutawill/
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Medical Challenges
• Under Review
– Professor
• School of Law
University of Montana
64

Next stage
• Develop CD for those with “slow” internet service
65

• MGGA Grain News
• Montana Lawyer
• YACC Next
Generation
66

The Financial
Risks of Dying
Without a Will in
Montana
Questions???
67