Trying to create a will, avoid probate, or understand local inheritance taxes in New Jersey? You’re not alone. Every family in Monmouth County experiences estate planning—whether you own property, have young children, or want to reduce future stress for your loved ones.
This guide answers common questions about estate planning, like when to see a Monmouth County family law attorney. We’ll break down how federal law and New Jersey inheritance laws intersect and explain how working with an estate planning lawyer in Monmouth County can make the entire process easier and more effective.
What Is Estate Planning, and Why Work with a Local Attorney?
Estate planning is how you make your wishes clear—for your family, finances, and even your healthcare—during your lifetime and after you die.
A basic estate plan often includes:
- A will to direct how your assets are distributed
- Trusts to manage assets privately and avoid probate
- Durable powers of attorney for financial and medical decisions
- Beneficiary designations for life insurance and retirement accounts
If you own a home, have minor children, or want to reduce taxes and family stress, you need to estate plan. A local attorney can help navigate Monmouth County’s probate procedures and tailor your plan to your family’s needs.
Do I Need a Will? (Short Answer: Yes)
A will lets you decide who inherits your property and who manages your affairs. Without one, New Jersey’s default laws apply—and that may not reflect your wishes.
Let’s say you’ve remarried, and have children from a previous relationship. Your current spouse might not inherit everything unless that’s stated in a will.
In Monmouth County, probate begins at the Surrogate’s Court in Freehold, which requires original documents. An attorney familiar with local procedures can help with the process and prevent disputes.
Federal Estate Tax
Federal estate taxes only apply to estates valued over $13.61 million (individual) or $27.22 million (married couple) in 2024. While that’s more than most people in Monmouth County need to worry about, it’s still smart to plan if you:
- Own many properties
- Have large investment portfolios
- Operate a family business
The tax rate on the taxable part is 40%. If you’re married, unused exemption amounts can transfer to your spouse, and charitable donations can reduce your taxable estate.
New Jersey Inheritance Tax Laws
The fact New Jersey doesn’t have an estate tax anymore—but still has an inheritance tax surprises many residents. Who’s receiving the inheritance determines the tax rates.
What this means for you:
- Transfers to spouses, children, grandchildren, and parents are exempt
- Transfers to siblings, nieces/nephews, or friends may be taxed between 11% and 16%
Even modest estates can trigger this tax. A Monmouth County estate planning lawyer can help structure gifts and trusts to reduce or avoid it altogether.
What’s Included in Your Taxable Estate?
Your gross estate includes almost everything you own at the time of death:
- Primary and vacation homes (yes, even that shore house!)
- Bank accounts and investments
- Retirement accounts (IRAs, 401(k)s)
- Business ownership interests
- Life insurance (if you own the policy)
Even if your estate is below the federal exemption, it’s worth planning how your assets are titled and who gets what. Especially if you own a small business in Red Bank or Asbury Park, the way you structure your estate affects your family.
Gift Tax and the Annual Exclusion
In 2024, you can give up to $18,000 per person per year without impacting your lifetime gift/estate tax exemption. The law allows gifts over that limit—but they reduce your available exemption.
How this helps:
If you’re helping a child buy a house or supporting a grandchild’s education, these gifts can be part of a long-term strategy to reduce estate taxes. A lawyer can help structure these gifts in a way that maximizes benefits.
Using Trusts to Avoid Probate and Protect Assets
Trusts aren’t just for the wealthy. They’re powerful tools for privacy, control, and flexibility.
Common trust types include:
- Revocable living trusts – to manage assets during life and avoid probate
- Irrevocable trusts – to reduce taxes or shield assets from creditors
- Special needs trusts – to support a loved one with a disability without affecting benefits
If you’re a Monmouth County homeowner, trusts prevent confusion and delays down the road.
Probate in Monmouth County
Probate is the legal process of validating a will and distributing assets. In Monmouth County, the process begins at the Surrogate’s Court in Freehold and usually requires:
- The original will
- A certified death certificate
- Payment of filing fees
Want to make it easier for your family?
You can reduce or avoid probate by:
- Using joint ownership with right of survivorship
- Naming beneficiaries on accounts
- Creating a trust to hold key assets
What Happens If You Don’t Have an Estate Plan?
Without a plan, New Jersey’s intestacy laws decide who inherits your assets. The court may also appoint someone to care for your children or manage your finances. You want to avoid this– it may not be who you would have chosen.
Bottom line:
Not having a plan means losing control. Your family could face court delays, legal costs, and avoidable stress.
When Should You Update Your Estate Plan?
Update your plan if:
- You get married, divorced, or remarried
- You have a child or grandchild
- You move into or out of New Jersey
- You buy or sell a major asset
- It’s been more than 3 years since your last review
Your estate plan should reflect your current life, family structure, and financial goals.
Monmouth County Estate Planning FAQs
Can I name a guardian for my children in my will?
Yes—and you should. Without naming a guardian, the court decides who will raise your children. Your will lets you choose someone you trust.
What’s the difference between a will and a trust?
A will is public and goes through probate. A trust is private, often avoids probate, and gives you more control. Many people enjoy having both.
Who should I name as my executor or trustee?
Pick someone responsible, trustworthy, and familiar with your wishes. This could be a family member or a professional. Your attorney can help you decide.
What happens to my digital accounts when I die?
Online accounts (email, bank logins, cryptocurrency, etc.) don’t transfer automatically. List them in a secure place and name someone to manage them.
Does divorce affect my estate plan?
Absolutely. After divorce, many documents—including your will, power of attorney, and beneficiaries—need to be updated right away.
Ready to Take the Next Step?
Estate planning may seem overwhelming, but it doesn’t have to be. A Monmouth County family law attorney or estate planning lawyer can help you plan how to protect your legacy and support your family.
Resources
https://www.congress.gov/108/plaws/publ374/PLAW-108publ374.pdf
https://www.nj.gov/treasury/taxation/inheritance-estate/inheritance.shtml
https://www.congress.gov/crs-product/R48183
https://www.irs.gov/businesses/small-businesses-self-employed/estate-tax
