Connors and Sullivan, Attorneys at Law, PLLC
For a complimentary consultation
212-235-1339 718-414-6209

Estate planning 101: How are stocks transferred?

An estate plan can ease the transfer of assets. This includes everything from a family home to less tangible assets, like stocks. Here are three examples for the best way to discuss the transfer of stocks:

  • Example #1: Stockowner does not include stock in the estate plan or does not have an estate plan. The stock will likely transfer either to a surviving spouse or as directed by the beneficiary designation. Probate may be required if a beneficiary designation or transfer-on-death beneficiary is not listed. Probate is best avoided, as it is a costly, time consuming and public process.
  • Example #2: Stocks as part of a retirement account. When the stock is part of the retirement account, the transfer is complete without taxation. If, however, an heir makes a withdrawal, income taxes may apply.
  • Example #3: Stocks held within a trust. This answer is more complicated. The exact impact will depend on the details of the trust. If the stockowner set up the trust as a generation-skipping trust, the heir could owe capital gains taxes upon transfer.

      How can beneficiaries expedite the transfer process?

      1. Notify the firm managing the stock account in a timely manner.
      2. Make sure you have these documents before contacting the firm, i:

      a. The decedent's death certificate

      b. Court Letter of Appointment naming the executor of the estate

      c. The "stock power" document that transfers power of attorney of the stock to another individual.

      No Comments

      Leave a comment
      Comment Information

      Office Locations

      Connors and Sullivan, Attorneys at Law, PLLC
      7408 Fifth Avenue
      Brooklyn, NY 11209

      Phone: 718-414-6209
      Fax: 718-238-2616
      Brooklyn Law Office Map

      Connors and Sullivan, Attorneys at Law, PLLC
      880 Third Avenue
      New York, NY 10022

      Ph: 212-737-2700
      Map & Directions

      Bayside Queens:
      Connors and Sullivan, Attorneys at Law, PLLC
      200-20 Northern Boulevard
      Bayside, NY 11361

      Ph: 718-225-7200      
      Bayside Law Office Map

      Middle Village Queens:
      Connors and Sullivan, Attorneys at Law, PLLC
      79-43 Metropolitan Avenue
      Middle Village, NY 11379

      Ph: 718-238-6500
      Middle Village Law Office Map

      Staten Island:
      Connors and Sullivan, Attorneys at Law, PLLC
      1250 Hylan Boulevard
      Staten Island, NY 10305

      Ph: 718-238-6500  
      Staten Island Law Office Map

      Contact Our Firm

      Bold labels are required.

      Contact Information

      The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

      Legal Leaders Presents Martindale-Hubbell | Top Rated Lawyers 2015 | Featuring AV Preeminent | Martindale-Hubbell Lawyer Rating NAELA | National Academy of Elder Law Attorneys, Inc. | Member | Leading the way in Special Needs and Elder Law