What if Prince had a will? Protect your legacy after death

Prince died on April 21 reportedly without a will, leaving his devastated fans to wonder what will happen to his $300 million estate.

Even if your fortune is less “princely,” there are simple steps to ensure that your wealth and possessions go where you want them to.

1. Put it in writing. Who gets your cash? Your car? Your house? Your wedding ring? When there’s nothing in writing, things can get messy. John was sure Dad promised him those baseball cards, while Leigh can recite the exact moment when they were left to her. If Prince really does have a vault of unreleased music, who now owns the rights? Situations like these are easily avoided with a simple will or estate plan.

2. You don’t have to be rich, and it’s easier than you think. Prince was among the 55 percent of adults who do not have a will in place, according to LexisNexis. A lawyer can help you implement an estate plan that incorporates the necessary tax planning and allows for the transfer of your assets to your heirs.

3. What happens when there is no will? As you can see in Prince’s case, it’s complicated. Laws vary state to state. Because Prince died single and supposedly childless in Minnesota, the law dictates that his siblings will split his estate evenly.

In Missouri, the succession goes like this:

▪ If there are no kids, all goes to the spouse.

▪ If the kids are all of the surviving spouse, $20,000 plus half of the balance goes to the spouse (the balance to the kids).

▪ If the kids are not of the surviving spouse, half goes to the spouse and the balance to the kids.

▪ If there is no spouse, all goes to the children.

▪ If there is no spouse or descendants, then all goes to parents and siblings equally.

▪ If there are no living parents or siblings, then all goes to the grandparents, uncles and aunts, equally.

In Kansas:

▪ If there are no kids, all goes to the spouse.

▪ If there are children, then half goes to the spouse (with the balance to the children).

▪ If there is no spouse, all goes to the children.

▪ If there is no spouse or descendants, then all goes to the parents.

▪ If there are no living parents, then all goes to the parents’ heirs.

It’s confusing, and it comes with hefty costs.

4. Leave your wealth to loved ones, not lawyers. When you don’t execute an estate plan, your estate will go through the probate court. This will cost your heirs both time and money, and the details of your accounts will now be public record.

The American Bar Association estimates that probate proceedings cost Americans up to $2 billion per year.

5. It’s about more than money. Of course you want to ensure that your little red Corvette stays in the family, but one of the less obvious benefits of an estate plan is to delegate a person of your choice to make medical decisions on your behalf, if you are unable to. It will state your wishes for medical procedures should you become incapacitated, as well as for end of life care (i.e. life support, artificial hydration, etc.).

We’ll likely have to wait (and wait) to see the outcome of Prince’s estate. Meanwhile you can take a few simple steps to ensure your intentions for your wealth and property are honored, protecting your own legacy.

This story was originally published May 31, 2016 at 3:00 PM with the headline "What if Prince had a will? Protect your legacy after death."