Annex Wealth Management’s estate planning attorney Rich Behrendt was recently quoted in several national publications about the unexpected death of pop megastar Prince. It appears that Prince died without an estate plan, which will likely cause chaos and confusion for his heirs and the administrators of his estate.
Here are some of Rich’s comments that were recently featured in the national press:
Moneybeat, a blog in The Wall Street Journal, the largest newspaper in the United States (by circulation), quoted Rich in a piece on Prince’s estate, “Prince’s Death Triggers Estate Questions.” ““For an artist, whether it’s Picasso or Prince, death has an impact on their body of work. It’s undeniable,” said Richard Behrendt, a former IRS estate tax attorney who now works at Annex Wealth Management,” wrote the Wall Street Journal.
In “Prince’s Apparent Lack Of Planning May Cost His Estate,“ an online article on CNBC’s website and an accompanying segment of its daily programming, the business channel focused on the turmoil around Prince’s estate – and again, turned to Rich and Annex for insight.
“Without a will, the fight over Prince’s estate could also be a doozy. “His situation is just going to be a hot mess of litigation and legal fees,” Behrendt said,” CNBC wrote.
Investment News wrote “Prince’s Death Sets Off Estate Planning Quagmire,” a piece focused on the complicated process involved in the valuation of a celebrity’s estate.
“Richard Behrendt, director of estate planning at Annex Wealth Management, calls it a “quirky valuation challenge” that is more art than science. The difficulty comes down to placing a value on intangible assets, such as future royalties the artist may earn from a body of work,” the Investment News wrote.
Financial Advisor IQ wrote a similar piece, “Prince Passing May Cause Feud Between Estate, Beneficiaries, And IRS,” using a quote from Rich. “The artist’s death could potentially increase the value of the estate’s future earnings. “The IRS will factor that in and say his death will blow the royalties off the charts, but his attorneys will say, ’You can’t do that,’” reported Financial Advisor IQ.
Rich’s comments in these publications may be unique to a celebrity like Prince, but the teaching moment provided by events like these is that every adult should have an estate plan. If you have not already done so, consult with an attorney to create or update your estate plan, or contact Annex Wealth Management to learn more about this important subject.