Estate Planning in New York

What it means in New York:
Estate planning in New York focuses on transferring assets efficiently, minimizing probate, and using state-specific tools like TOD deeds.

Key points:

• Governed by New York statutes
• Applies to individuals at all asset levels
• Planning can reduce probate involvement

New York-specific considerations:

• Transfer on Death (TOD) Deeds
  • As of July 19, 2024, New York enacted the Uniform Real Property Transfer on Death Act (N.Y. Real Property Law § 424).
  • Allows property owners to record a TOD deed to automatically transfer real estate upon death, bypassing probate while retaining full control during their lifetime.
  • Strict Validity Requirements:
    • Must be signed in front of two witnesses
    • Must be acknowledged by a notary public
    • Must be recorded in the county clerk’s office before the owner’s death
• State Taxes
• New York has no state inheritance tax for direct transfers (note: state estate tax rules may apply to certain estates)
• Federal estate tax may apply for high-value estates
• Federal Estate Tax Context

Whom it applies to:

• Residents planning to transfer property
• Property owners seeking probate avoidance

Individuals managing complex estates