New York Estate Laws

Individuals can use New York estate laws to plan for their children's futures.boy enjoys the playground image by ann triling from Fotolia.com

Individuals may choose to combine various New York estate laws to help them organize their estates and determine the distribution of their property after their deaths. The regulations can also enable parents to make arrangements for the care of their minor children. They give individuals the ability to plan for health care in the event of physical or mental incapacitation or near the end of their lives. Common estate laws deal with durable power of attorney, estate taxes, wills and intestacy.

Durable Power of Attorney

A durable power of attorney allows individuals to give another person, called an agent, the authorization to handle their health or financial affairs in the event they become incapacitated. The power of attorney can allow the agent to manage property and other assets. In addition, the agent may deal with the IRS or make gifts, create trusts and perform a variety of other financial functions. The agent can also make decisions concerning medical treatment and other health care matters in the event that the principal does not have the ability to do so.

Beginning in September 2009, the New York legislature amended estate laws to require signatures, date and acknowledgments by the principal and the agent. Some people refer to this document as a "springing power of attorney" because it only goes into effect upon the occurrence of a certain event.

According to the New York Department of Taxation and Finance, an estate tax must be paid when the total federal gross estate and the federal adjusted taxable gifts plus certain exemptions surpass $1,000,000. In some cases, American nonresidents may have an obligation to pay estate taxes for New York real estate and tangible personal property, along with federal gross estate, adjusted taxable gifts and certain exemptions, that total more than $1,000,000. These laws are current as of July 2010.

Many New York residents choose to leave a will to orchestrate specific matters after their death. The person making the will must demonstrate mental competence in the form of a sound mind and memory and be at least 18 years old. Two adults who do not have a beneficiary interest in the document must witness the signing of the will. A basic will allows individuals to choose the people or organizations they want to leave their property to upon death. A person can also name a guardian for minor children and select someone to manage any property left to minors. In addition, a will allows an individual to handpick the executor of his estate. The executor has the legal right to carry out the wishes of the deceased as documented in the will.

An individual who dies without leaving a will dies intestate. If the deceased leaves a spouse but is childless, the spouse receives all of the property. If the deceased leaves a spouse and children, the spouse inherits the first $50,000 and 50 percent of the balance of the property. The children receive equal shares of the remaining property. New York estate laws require the courts to divide the decedent's property and personal assets among the heirs.