Your estate plan will likely be among the most important endeavors you will undertake over the course of your lifetime. Ideally, your estate plan should protect and provide for you and your loved ones, both while you are alive and after you are gone. It only makes sense, therefore, to avoid making mistakes during the creation of your plan. To help you, we will discuss the top four estate planning mistakes to avoid making. Waiting Too Long to Start Planning. One of the biggest … [Read more...] about Top 4 Estate Planning Mistakes to Avoid Making
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If I Just Inherited Property, Do I Need to Pay an Inheritance Tax?
If you recently learned that you are the beneficiary of real property as part of an inheritance you received, you may have questions about your rights and responsibilities related to the inheritance. Specifically, you may be wondering if you are required to pay an inheritance tax on the property. We'll explain when inheritance taxes might be owed on the property you inherited. Federal Gift and Estate Taxes The federal gift and estate tax is a tax that is imposed by the federal government … [Read more...] about If I Just Inherited Property, Do I Need to Pay an Inheritance Tax?
Protecting the Inheritance of a Beneficiary with an Addiction
For most people, the most difficult decision when creating an estate plan is how to distribute assets. Sometimes, however, the more difficult decision is what to do about a problematic beneficiary. For example, if you have a beneficiary who has a drug or alcohol addiction, should you gift them part of your estate or is that essentially throwing the assets away? To offer some guidance, we'll explain how to protect the inheritance of a beneficiary with an addiction. The Cost of … [Read more...] about Protecting the Inheritance of a Beneficiary with an Addiction
Low-Interest Loans: An Estate Planning Technique
The coronavirus has caused upheaval in society and the economy. But, this unique time also opens up opportunities in estate planning. Read this blog by my friend and colleague, Steve Hartnett, an estate planning expert, to learn more. Low-Interest Loans: An Estate Planning Technique … [Read more...] about Low-Interest Loans: An Estate Planning Technique
Avoiding Family Chaos in the Coronavirus Age
The novel “coronavirus” (also called “SARS-CoV-2”) causes the disease “COVID-19.” It first appeared in late 2019 and was reported to the World Health Organization (WHO) on December 31, 2019. Here’s a link to the WHO’s site for the latest global information. COVID-19 has impacted the lives of millions of people and countless events around the world. The coronavirus has infected over four million people around the world, including over a million in the United States. It has killed over 80,000 … [Read more...] about Avoiding Family Chaos in the Coronavirus Age
Irrevocable Medicaid Trusts
Medicaid is a state-federal partnership that provides medical benefit assistance to certain needy people, especially those over 65 years of age. It is known as Medi-Cal in California. However, you need to meet financial requirements such as asset limits to qualify. Assets in an irrevocable trust not for your benefit typically don’t count as available. Read the following blog by my friend and colleague Steve Hartnett, an estate planning expert, to learn more. Irrevocable Medicaid Trusts … [Read more...] about Irrevocable Medicaid Trusts
Uncompensated Transfers and Medi-Cal/Medicaid Planning
Medicaid is a state-federal partnership that provides medical benefit assistance to people who qualify, especially those over 65 years of age. However, in order to qualify, you also need to meet certain financial requirements such as asset limits. However, if you have made “uncompensated transfers,” that could lead to a period of disqualification from the program. Read on to learn more. Uncompensated Transfers … [Read more...] about Uncompensated Transfers and Medi-Cal/Medicaid Planning
Mistakes to Avoid in Your Will
A Last Will and Testament typically serves as the foundation of an estate plan. Although the concept of a Will is rather straight-forward, mistakes can – and often are -- still made during the creation of a Will. To help prevent you from making them, let's look at some common mistakes to avoid when creating your Will. Using a “DIY” Will form. It may seem as though you are saving both time and money using a DIY Will form that you find online. In reality, you are more likely to cost your loved … [Read more...] about Mistakes to Avoid in Your Will
Charitable Trusts — Lead or Remainder?
A charitable trust is an excellent way to accomplish a number of estate planning goals all at once. If giving to a cause dear to you heart is important to you, then creating a trust allows you to do so even after you are gone. In addition, you can structure a trust to provide for both a charity and non-charitable beneficiaries by creating a lead or a remainder split interest trust. Both lead and remainder trusts may also offer tax and probate avoidance benefits as well. Whether you decide on a … [Read more...] about Charitable Trusts — Lead or Remainder?
You Need Two Powers of Attorney
You, and every person over the age of 18, need two powers of attorney. A power of attorney names a trusted helper to act on your behalf when you are unable to do so yourself. The Financial Power of Attorney The financial power of attorney authorizes your trusted helper to sign your name and conduct business on your behalf should you become incapacitated. Your trusted helper is called an “agent” or “attorney in fact,” depending on state law. It is wise to name a succession of agents in … [Read more...] about You Need Two Powers of Attorney
