John S. Smith
Attorney at Law

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homeestate planning — estates and trusts terms

Estates and Trusts Terms

To learn more about Estates and Trusts, look below; or you can return to the Estates and Trusts Page

  • Beneficiary: A beneficiary is the individual who gets the enjoyment out of a transaction such as a contract, will or trust.
  • Charitable Trust: A charitable trust is a trust made for the benefit of specific charitable purposes. The purpose of the trust must fall into one of the specific purpose categories or is it not valid.
  • Codicil: A written amendment or addition to an existing will.
  • Donor: A donor is a person who gives an asset or assets to another person or legal entity.
  • Donee: A donee is a person or legal entity who receives an asset or assets.
  • Estate: An estate is all of the property that belongs to a person, whether living or dead.
  • Estate Tax: The estate tax is the tax applied to your taxable estate at your death. Your taxable estate is your gross estate less allowable deductions.
  • Grantor: A grantor is a party (person or organization) who transfers ownership of property to another party.
  • Grantee: A grantee is a party (person or organization), who receives the property.
  • Living Trust: A living trust allows you to determine how you want your property managed while you are alive and how your assets should be distributed after your death.
  • Probate: Process used by the state to ensure distribution of assets to heirs with or without a will.
  • Power of Attorney: Power of attorney gives someone written authority to act in your name with regard to your financial and business affairs.
  • Will: A will is a document that gives instructions for managing a testator’s estate. To be valid, a will must be in writing, signed and attested (witnessed).