With Benefit Of Survivorship

AAA

DEFINITION of 'With Benefit Of Survivorship'

A form of joint tenancy ownership where property passes to the survivor(s) when one of the joint members dies, rather than becoming part of the decedent's estate. With benefit of survivorship is a legally defined situation where two or more individuals jointly own property, such as a home, and where the ownership is retained by other joint owners in the event that one of the owners dies. Joint tenants with right of survivorship (JTWROS) is an example of a type of joint tenancy arrangement where all survivors share the assets upon the death of one of the tenants.

INVESTOPEDIA EXPLAINS 'With Benefit Of Survivorship'

An important characteristic of joint tenancies is the destructibility of the survivorship feature by one of the joint tenants during his or her lifetime, with or without the consent of other joint tenants. For example, two people may enter a joint tenancy agreement with right of survivorship for the purchase of a home. If one of the tenants dies, his or her undivided share of the home would automatically go to the remaining tenant through survivorship. If, however, one of the tenants transfers his interest in the home to someone else (for example, a niece), the joint tenancy would be severed and the home would then we held as a tenancy in common.

RELATED TERMS
  1. Variable Survivorship Life Insurance

    A type of variable life insurance policy that covers two individuals ...
  2. Joint Tenancy

    A type of property right where two or more people own or rent ...
  3. Common Law Property

    A system used by most states to determine ownership of property ...
  4. Estate Planning

    The collection of preparation tasks that serve to manage an individual's ...
  5. Beneficiary

    Anybody who gains an advantage and/or profits from something. ...
  6. Joint Tenants with Right of Survivorship ...

    A type of brokerage account which is owned by at least two people, ...
RELATED FAQS
  1. If two people own a securities account, listed as joint tenants-in-common, it means:

    A. They each have an undivided interest in the propertyB. If one dies, that person's interest does not automatically ... Read Full Answer >>
Related Articles
  1. Retirement

    Estate Planning Must-Haves For Unmarried Couples

    Society provides benefits to those who wed and punishes those who don't. Find out how to protect yourself.
  2. Retirement

    Estate Planning: 16 Things To Do Before You Die

    Find out what you need to prepare to avoid serious estate planning mistakes.
  3. Options & Futures

    An Estate Planning Must: Update Your Beneficiaries

    Life changes make it time to rewrite your plan's designations.
  4. Retirement

    Estate Planning For Canadians

    Trusts, wills, taxes and rules differ by country. Find out what you need to know about estate plans in Canada.
  5. Retirement

    Letter Of Instruction - Don't Leave Life Without It

    This simple document can take the guesswork and headache out of settling your estate.
  6. Professionals

    Tips for Spreading the Wealth to Relatives

    There are many ways that your clients can move money or other assets to relatives in order to reduce their tax bills. Here's a primer on best practices.
  7. Professionals

    Tips for Handling Client Inheritance

    When clients leave or receive an inheritance, be prepared to deal with much more than mere paperwork or financial transactions.
  8. Professionals

    Advice on Dealing with Unequal Inheritances

    When it comes to inheritances, the concept of equal versus equitable can be hard to navigate, even when all parties are reasonable.
  9. Professionals

    Top Tips for Family Wealth Transfers

    Essential tips for tackling family wealth transfers.
  10. Professionals

    Estate Planning Tips for Financial Advisors

    Estate planning is not a set-it-and-forget-it proposition. Here are some tips for you and your clients.

You May Also Like

Hot Definitions
  1. Asset Class

    A group of securities that exhibit similar characteristics, behave similarly in the marketplace, and are subject to the same ...
  2. Fiat Money

    Currency that a government has declared to be legal tender, but is not backed by a physical commodity. The value of fiat ...
  3. Interest Rate Risk

    The risk that an investment's value will change due to a change in the absolute level of interest rates, in the spread between ...
  4. Income Effect

    In the context of economic theory, the income effect is the change in an individual's or economy's income and how that change ...
  5. Price-To-Sales Ratio - PSR

    A valuation ratio that compares a company’s stock price to its revenues. The price-to-sales ratio is an indicator of the ...
  6. Hurdle Rate

    The minimum rate of return on a project or investment required by a manager or investor. In order to compensate for risk, ...
Trading Center