A Loan May Be Taxing
This article examines important tax issues that may be overlooked when lending money to family members. Issues regarding gift taxes and income taxes are addressed and a possible solution using proper planning through an Irrevocable Trust is discussed.
New Year Brings Resolutions... and More
The coming of the New Year presents an opportunity to reflect on the past year, and reorganize our priorities and goals. One important resolution is protecting our assets and our families through estate planning. The process to achieve this goal is discussed in this article.
A Trust Can Help Protect You from a Financial Crisis
This article examines how a trust can help expand the protection on your financial accounts, including those at banks, savings and loans, credit unions, and brokerages.
What’s in a Word?
The article examines how George Carlin's comedy shows that the use of words can be important. The article looks at why that is also true in estate planning.
What Successful People Do
The article briefly looks at a few billionaires, that all of them have in common that they plan, and that they have done estate planning. The article goes on to show how with Legacy Wealth Planning the reader can do them one better.
The Top 10 Things to Know About Estate Planning
Many people are often confused by Estate Planning. Here is a list of the top things to know about Estate Planning.
Preparing for the Unthinkable
This article recites statistics regarding unexpected tragedies in the United States including heart attack, stroke, and auto accidents. It calls on the reader to establish a Legacy Wealth Plan to be prepared.
The Prime of Life
This article recites the tragic story of Heath Ledger and how he omitted his daughter from his Will.
A Plan by Design or by Telephone?
The article looks at the game of "Telephone" and how transmitting your legacy in this manner is likely to result in error.
The Passing of a Loved One
The article examines the seven elements which may be included in an estate plan: Health Care Power of Attorney, HIPAA Power, General Durable Power of Attorney, Revocable Living Trust, Pour Over Will, Funeral Trust, and Legacy Plan.
What's Important in Your Life?
This article looks at what's important in life: family, friends, and values. The article looks at tragedies in our lives and how we always come back to what's important in life. The article then transitions to a discussion of Legacy Planning. The article discusses the Family Wealth Trust, the Family Access Trust, and how they may be used as part of Legacy Planning to protect the children after you are gone.
Legacy Planning: A Holistic Approach
This article looks at the latest developments in estate planning: "Legacy Planning." Legacy Planning focuses on the values and guidance to be relayed to future generations, not just wealth. The article discusses The Family Wealth Trust and its two subtrusts, the Family Access Trust and the Family Sentry Trust and how they can protect the beneficiaries from divorce and creditors.
What are the Odds
This article examines the need to plan for the unexpected. It gives statistics for the odds of disability and of death from various likely and unlikely causes. It shows the importance to plan for the one certainty in life, i.e., death.
Your 401k or IRA: A Problem Asset?
The article looks at IRAs and 401ks and how we need to save for retirement. Then it looks at the tax problems these plans create. It examines the stretch out available with the FRPT. It also examines using distributions to fund life insurance.
The Choice Is Yours: Don't Lose Your Chance to Make It
The article examines two cases: Terri Schiavo and Sarah Scantlin. Neither expressed their end of life decisions. Terri had her feeding tube removed after 15 years. Sarah awoke from her coma after 20 years. The article calls the reader to express their own desires in a Living Will.
What Happens in My Initial Estate Planning Consultation?
This article describes what happens in the initial estate planning consultation, including the questions asked, the discussion of goals, etc. The article also references a CNNfn segment that talked about the importance of stringent continuing education requirements, like those of the American Academy of Estate Planning Attorneys.
Is a Power of Appointment the Same as a Power of Attorney?
The article examines a few legal terms that can be confused, like Power of Attorney, Attorney in Fact, and Power of Appointment. The article examines the terms and specifically, how Powers of Appointment can add flexibility to a plan.
Estate Planning is Simple....Right?
This article examines clients' preconception that estate planning is simple and that it's just simple word processing. The article examines situations in which the estate planner's experience and technical knowledge comes into play.
How to Leave a Mess to Your Heirs
This article examines several common mistakes that create a mess for heirs: Lifetime Transactions without counsel (such as adding people on title to realty), Failure to Plan, and Failure to Communicate. The article poses the problem and then offers a solution to each.
New Flexibilities for Partners, Children, and Others
The article examines the new "non-spousal rollover" provisions of the Pension Protection Act of 2006.
Anna Nicole Smith Can Teach Us a Few Things
The article examines the life of Anna Nicole Smith, her marriage, and the will dispute controversy. It encourages readers to be open about their wishes to family members and instructs on the use of a no contest clause.
A New Way to Give
This article examines new opportunities for charitable giving directly from an IRA.
Do it the Right Way
This article examines the life of tobacco heiress Doris Duke and a couple mistakes she made in planning her estate.
Do You Want Your Spouse to Lose Your Biggest Asset?
The article examines how beneficiary designations must be coordinated in order to have an effective estate plan. It looks at the story of a woman who forgot to change her beneficiary designations. As a result her husband of 20 years did not get her retirement plan proceeds.
Keep Your Cake - And Eat It, Too!
This article examines the Medicaid Income Only Trust. It gives an example of two women who are roomates in a facility: One who contributed to a trust and one who did not.
Smart People Do Estate Planning
The article examines the statistics of who does estate planning. It shows that people who are more educated are more likely to do estate planning. It recites reasons that you want to plan. Basically, the article is a call to action to the reader to take control of his or her life by planning.
Dealing with Aging Parents
The article examines how the parents took care of the kids and how the kids then take care of the parents. It looks at the need to plan in advance for wealthy parents (estate tax reduction), not so wealthy parents (Medicaid planning), and any parents (powers of attorney, etc.).
Medicaid Changes Make Pre-Planning Essential
This article discusses how long-term care costs can be a major financial drain. It examines Medicaid as a possible way to pay for long-term care. It looks at how the changes in Medicaid law could make it much more difficult to plan. It stresses the need for pre-planning.
Could Deficit Reduction Take Your Life Savings?
This article discusses how long-term care costs can be a major financial drain. It looks at how the changes in Medicaid law could make it much more difficult to plan. It stresses the need for pre-planning. It briefly looks at Income Only trusts as a potential planning option.
Preparing for Health Needs
The article looks at the financial and legal ways to plan for illness. As part of the financial portion, the article examines the use of Health Savings Accounts. As part of the legal portion, it examines the use of health care powers of attorney and health care directives.
Planning: Just Do It!
This article looks at what happens if no planning is done. It looks at the problems of probate if no trust is done and of intestacy if no will is done.
Preserve Your Wealth with Medicare Part D
The article provides a basic overview of Medicare Part D and why it is important from an estate planning perspective.
When Disaster Strikes
This article examines how tragedies can strike in any of our lives but how planning can lessen the impact. Estate planning can let you rest easier and make sure others have the legal right to help you when you need it.
Is Estate Planning for Me?
This article examines various reasons people think estate planning is not for them, such as they aren't married or don't have money. It explains why they need estate planning.
Estate Planning is Life Planning
It seems like there is always some discussion in Congress about changing the estate tax. There even have been proposals to eliminate the tax permanently. If Congress ever eliminates the tax, does this mean that there will no longer be a need for estate planning? No, it does not.
Win a FREE Estate Plan!
Trust mills mislead seniors and bilk them out of their retirement. The article compares practices of trust mills and those of legitimate, quality estate planning attorneys, and how to tell the difference.
Want Privacy? Use a Trust
Wills without trusts are open to public scrutiny. The article examines why the client may not want this public scrutiny. Further, the article looks at 8 provisions in famous people's wills which all are a matter of public record.
Study Shows Most Americans Unprepared
This article examines the percentage of Americans with various basic estate planning documents and explains each document.
Leaving a Legacy
If you want to leave a legacy, consider a dynasty trust to gain tax advantages and creditor protection.
Medicaid Planning: There’s a Right Way and a Wrong Way
You can plan for Medicaid the wrong way (through fraud) or the right way. GWA gives true fraud story and a brief Medicaid qualification overview.
Five Reasons To Plan Your Estate Now
We can all come up with reasons to procrastinate and avoid doing what we should. However, there are many reasons to avoid procrastination when it comes to estate planning. Here are five of them:
Irrevocable Trusts Need Not Be Scary
Irrevocable trusts are used frequently in estate planning for a wide variety of purposes. Irrevocable trusts can be used to make a completed gift of assets, while restricting access to the assets or retaining indirect control. Irrevocable trusts can be used in order to help protect assets from creditors of the trust beneficiaries. Such trusts even can be used as part of planning to qualify for Medicaid benefits.
Family Torn Apart by Simple Oversight
On December 3, 1963, Mary and Robert Schindler gave birth to a wonderful baby girl, Theresa Marie. Terri grew up in Pennsylvania and had a typical childhood playing with her brother and sister and the family pets. As a teenager, she loved music and did artistic sketches. In November 1984, just shy of her twenty-first birthday, Terri married Michael Schiavo. Terri seemed to have everything going for her. At age twenty-nine, Terri was living in Florida with her husband and had a job she liked.
Katharine Hepburn's Private Life and Public Death
Katharine Hepburn was a legend of stage and screen whose career spanned several decades. Hepburn's best-known films included (1933), The
Philadelphia Story (1940), (1951), (1967), and (1981). She and her films were a reflection of American society, from early innocence to the stresses of
the civil rights movement to issues on aging. Katharine Hepburn, a private and
independent woman, forged a path for gender equality and in so doing became a role model for millions of Americans.
Five Common Estate Planning Mistakes and How to Avoid Them
Estate planning is a complex weave of legal and personal objectives. Issues of taxation, family law, and business entities combine with the most personal of family concerns. Attorneys that focus on estate planning face this challenge and have experience in meeting their clients’ needs in planning to achieve personal and financial objectives. Here are some common mistakes made by attorneys that do not focus their practices in estate planning.
In Estate Planning, Caveat Emptor
When we think of Estate Planning, most of us think of the kindly attorney consoling family members at the reading of the Will. We think of the family lawyer who is there to counsel us through illness and family discord. An attorney who focuses his or her practice on estate planning applies the knowledge of the complex laws to the situation at hand. Such an attorney explains the law to the client and is a trusted advisor and counselor. This area of the law is one of the most challenging as it requires knowledge of real property law, family law, business entities, income taxation, estate taxation, gift taxation, state and local taxation, Medicaid reimbursement, and other topics. Few areas require a practitioner to have such depth and breadth of knowledge as well as counseling skills second to none. Attorneys focusing in estate planning study long and hard in honing their skills and keeping abreast of changes in the law.
Plan Now or Pay Later
Krispy Kreme and Wal-Mart have a lot in common. Die-hard fans line up in front of their locked doors the night before grand openings, licking their lips for a puffed up glazed doughnut or a bargain that can set the neighbors talking over the fences. But what do these two incredibly successful businesses and the families that started them have that sets them apart?
Do-it-yourself Estate Planning: You Get What You Pay For
Self-help books are an ever-increasing segment of the American publishing market. There are books and software on everything from gardening to health care. There are even books and software out there that purport to allow an individual to draft his or her own estate planning documents. Some of these items are promoted by media personalities and others by purported experts
Planning in a Down Economy
A poor economy puts a different spin on planning. It is likely many of your assets have decreased in value. Interest rates are low. The size of your overall estate may be less than it once was. All of these factors should be considered as you evaluate or re-evaluate planning options.
When Parent and Child Reverse Roles
When we start off in life, our parents provide love and nurturing, as well as the necessities of daily life. As time passes, we grow into adulthood. Our relationship with our parents becomes one of equals, with each providing love and nurturing for the other, while both are self-sufficient. Often, parents reach a stage in their lives when they are no longer self-sufficient, typically due to advanced age or illness.
Estate Planning Is Life Planning
What is the first thing that leaps to most people’s minds when they think about estate planning? A will. We’ve all seen the dramatic scenes in films of yesteryear: the reading of the will. The truth of the matter is that the will is no longer the focal point of estate planning.
Basic Planning for Unexpected Tragedy
None of us ever expects tragedy. Some of us plan in case it strikes us. But we never really expect it to happen to us. But, on February 25, 1990, tragedy struck Terri Schiavo and her family. At 26, Terri was a woman in the prime of her life enjoying a beautiful day in Florida. However, on that fateful day Terri’s heart inexplicably stopped beating. She became comatose and unable to communicate.
Planning for the Future Without a Crystal Ball
hen planning for the future, none of us has a crystal ball. So, we must plan our affairs based on current circumstances while trying to anticipate a whole range of possible future events.
Accounts for Children: Not All Accounts are Created Equal
hose of us with children or grandchildren want to save money for them so that they can use it for their education or in some other way to get a good start in life. Allan Levine was thinking this when he set up accounts under the Uniform Transfers to Minors Act (UTMA) for his grandchildren, Derek and Danielle.
IRA and 401k Beneficiary Designations: Not to Be Taken Lightly
If you are like most Americans, you have money taken out of each paycheck for your IRA, 401k, or other retirement plan. Those deductions add up over time. Over the past twenty years, IRAs and 401k plans have become an increasingly important part of our lives. According to statistics from the Investment Company Institute and the Federal Reserve Board, retirement plans account for nearly $11 trillion in American wealth. For many Americans, this becomes their largest asset.
Trustee Investment Decisions: Are You Being Prudent?
eing a trustee is both an honor and a responsibility. Someone trusted your wisdom and judgment enough to place you in a position of authority over their hard-earned assets. These assets may be critical to achieving their most important goals, such as supporting and educating their children.
Top 10 Reasons for Periodic Estate Planning Review
Some people think that estate planning is a once in a lifetime project. But, as John F. Kennedy said, “change is the law of life.” Periodic review of an estate plan is essential to ensure that your plan continues to accomplish your goals in the most effective manner.
Common Asset Protection Mistakes in Estate Planning
We all know that estate planning includes decisions about what should happen to our assets upon our death or disability. However, people often overlook asset protection issues and strategies in the estate planning process. Asset protection is the shielding of assets from potential creditors and others.
Saving for Retirement: But What If I Need It?
Tax-deferred Leveraging of Savings
We all know the importance of saving for retirement. Saving through a tax-deferred vehicle like an IRA or 401(k) can be a great way to leverage those retirement dollars. If you defer tax on $10,000 and invest it at 7% for 30 years and then pay tax on the entire amount, you would have approximately $53,000 after taxes (assuming a 30% tax rate at all times). On the other hand, if you paid the tax on the $10,000 and paid tax on the 7% earnings each year, you would have only $29,000 after 30 years. Tax-deferred retirement plans are extremely popular. According to the Investment Company Institute (2000), Am
