How to Leave Your Personal Property When You Die (Part 1)

Some of the most contentious issues we see when guiding families with respect to estate administration involves tangible personal property.  This is because of the emotional attachment to these items which may or may not also have financial value.  New Jersey law provides a way to handle personal property which can alleviate many of the common issues.  Before we discuss that, however, let’s identify what is and is not personal property.

It’s often easier to start by identifying what is not considered personal property.   Real estate is not considered personal property.  Bank and investment accounts are not personal property.  Even stock certificate shares are not personal property.  Generally, tangible property includes items you would typically find in your home such as jewelry, clothing, furniture and collectibles.  Motor vehicles are included.

If you have prepared a will, you can include specific bequests (gifts) to specific recipients.  The will always has, however, a “catch all” clause called the residuary clause.  Whatever probate property not otherwise specifically covered by a specific bequest is distributed as part of the residuary estate.  We do not recommend including tangible items as part of a specific bequest.  Next week I’ll explain why.