You can address some responsibilities in very basic ways to minimally cover your bases, and you can alternately choose to take a more comprehensive approach. This dynamic applies to the process of estate planning. A basic estate plan would cover the essentials, but you could take things a step further and engage in the process of legacy planning. We will look at some of the specific distinctions between these two approaches in this blog post. Bare Bones Planning A basic estate plan will … [Read more...] about What Is the Difference Between Estate Planning and Legacy Planning?
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What Is a First Party Special Needs Trust?
People with special needs are typically enrolled in the Medicaid program. This is a government health insurance program that is administered by each state government along with the federal government. We practice law in the state of California, and in our state, the program is called Medi-Cal. Clearly, health insurance is going to be particularly important for people with special needs. In some cases, care and treatment can cost millions of dollars over the course of a lifetime. Medi-Cal … [Read more...] about What Is a First Party Special Needs Trust?
Long Term Care Planning After the Onset of Dementia
For most people, the realization that a parent is showing early signs of dementia or Alzheimer's Disease is not easy to accept. Along with the emotional aspect of watching a parent struggle with their loss of mental powers, there are typically a number of practical issues that must also be addressed. The knowledge that your parent will eventually need long-term care may cause concerns about how that care will be paid for unless your parent is fortunate enough to be independently wealthy. Many … [Read more...] about Long Term Care Planning After the Onset of Dementia
How to Save for your Kids (or Grandkids) College Education
Saving for college and saving on taxes can be accomplished thanks to Education Savings Accounts, commonly referred to as "529" plans. The number refers to the section of the Internal Revenue Code which authorizes these accounts. As we all know, it is challenging to use gifting as a tax efficiency strategy because of the existence of the federal gift tax. This levy is unified with the estate tax. While there is an exclusion of $5,43 million for the year 2015, it is just one unified exclusion … [Read more...] about How to Save for your Kids (or Grandkids) College Education
Estate Planning with IRAs: Traditional v. Roth
Most folks know that an IRA can provide you with a financial underpinning during your retirement years. However, did you know that you can also use an individual retirement account as part of your estate plan. Let's start by looking at the two types of IRAs - traditional and Roth. A traditional individual retirement account is funded with pretax earnings. One can begin taking penalty-free distributions from the account when you are 59.5 years of age. Because you didn’t pay taxes on the funds … [Read more...] about Estate Planning with IRAs: Traditional v. Roth
Free Report: Charitable Gifting in California Through Your Estate Plan
A charitable gift annuity also offers benefits to the donor as well as to a designated charity. As the donor, you would make a one-time gift of cash or securities (though some states allow gifts of property or closely held stock as well) to a charity. In return, the charity will provide you with annuity payments for life from the charity. You determine when the annuity payments begin. Topics covered in this report include: The Gift and Estate Tax Tax Benefits of Gifting Direct … [Read more...] about Free Report: Charitable Gifting in California Through Your Estate Plan
What Is a Grantor Retained Annuity Trust?
There are various different strategies that can be implemented to mitigate gift and estate tax exposure. In this post we will look at the value of the grantor retained annuity trust as a tax efficiency tool, but we should explain the federal transfer tax parameters first. Unified Gift and Estate Tax Exclusion The federal estate tax credit or exclusion is the amount that can be transferred free of the death tax. We are getting near the end of the 2014 calendar year, but for the rest of this … [Read more...] about What Is a Grantor Retained Annuity Trust?
Free Report: What is a Will and How Does It Work in Northern California?
A will, also called a last will and testament, is a specific type of legal documents whereby you can make a number of choices that you cannot make otherwise. Topics covered in this whitepaper include: Creating a Will What They Do Will Property and Probate Modification Click here to read the whole article or download the PDF. … [Read more...] about Free Report: What is a Will and How Does It Work in Northern California?
Free Report: What is a Will and How Does It Work in California?
When you create a will it’s important to understand that your document is not a contract. A will only becomes effective after you die. In order for it to become effective for probate estates in excess of $150,000 your executor, or someone else, will have to commence probate proceedings in a California Superior Court. Topics covered in this report include: Creating a Will What They do Will Property and Probate Modification Click here to read the whole article or download the PDF. … [Read more...] about Free Report: What is a Will and How Does It Work in California?
What Are the Disadvantages of a Medicaid/Medi-Cal Trust?
The Medicaid program is administered by the state government in conjunction with the federal government. Each state has a bit of latitude with regard to the exact way that the program is implemented. We practice law in the state of California, and in our state, the program is called Medi-Cal. This program is only available to people who can prove that they have financial need. Medi-Cal is important for many senior citizens who were never financially needy, because it will pay for long-term … [Read more...] about What Are the Disadvantages of a Medicaid/Medi-Cal Trust?
