Maybe you’ve been named as trustee of an estate and are wondering if you should take on this responsibility. The first factor to consider is whether you have the time to do so. Administering a trust typically involves all of the following duties, and sometimes many more: Locating and protecting trust assets Collecting life insurance… Read More »
Blog Posts Page 69
How Is An Estate Probated?
Yesterday we discussed when an estate must go through California probate. Today, we will talk about how an estate is probated. While every situation is unique, here are the basic steps involved in probating an estate: 1. In most cases, the person requesting appointment as personal representative (executor or administrator) hires an experienced probate lawyer… Read More »
When Is Probate Necessary And What Is Involved?
If we were to make a list of topics our clients ask us about most often, probate would be near the top. In particular, many of you want to know when a probate is necessary, and what steps are involved. These are not easy questions to answer. Every family’s estate is unique. So, too, are… Read More »
Advice for Non-Professional Trustees
Acting as a trustee for a trust created by a close friend or family can be complicated. A recent article discusses three common mistakes made by non-professional trustees that can be easily avoided. First, a non-professional trustee might not provide complete records and reports. Many states require trustees to maintain records of all income and… Read More »
What is Durable Power of Attorney?
Durable power of attorney is a legal agreement that allows you to designate an attorney-in-fact to act on your behalf. You can grant the attorney-in-fact authority to perform a wide variety of tasks on your behalf, including paying bills, trading stocks, applying for public benefits, selling property, signing contracts, and filing your taxes. You can… Read More »
How to Help Children Manage Their Inheritance
An important part of a parent’s estate plan is ensuring that money left to your children is properly managed. This is especially important when your children are too young to understand how to manage their finances or not yet mature enough to do so responsibly. A common solution to this problem is to create a… Read More »
What is the Difference Between a Roth and Traditional IRA?
There are two choices when setting up an Individual Retirement Account (IRA): a Traditional IRA or a Roth IRA. In order to decide between, it is important to understand both. A Traditional IRA allows you to defer paying taxes on the money in your retirement account. Basically, you receive an income tax deduction for qualifying… Read More »
Protecting Assets through Medicaid Planning
In a recent article, CNN estimated that the average cost of a nursing home is now over $80,000 a year. With costs so high, it is extremely common for elderly Americans to run out of assets and rely on Medicaid or Medi-Cal to pay for these fees. There are strict limits one must meet before… Read More »
The High Cost of a Long and Healthy Life
Many Americans are fortunate to live a long and healthy life. The downside is that this can sometimes mean outliving your retirement account. Luckily, there are many government benefits available to senior citizens. In fact, there are so many different government programs available, that it can be hard to keep track of them all. Following… Read More »
Common Types of Trusts
Trusts are one type of tool used in estate planning. A trust is created when a donor appoints a trustee to manage donated assets for the benefit of a beneficiary. It can remain in existence for a long period of time in order to manage the assets the trustor wishes to pass to beneficiaries. Trusts… Read More »
Planning for Your Funeral Before You Die
The death of a loved one is a difficult time for family members. Emotions can run high and might lead to family disputes when family members disagree on decisions regarding the funeral. While planning on the details of your funeral is not very enjoyable, it can help your family have one less thing to worry… Read More »
Many Americans Are Writing Their Pets Into Their Wills, Should You?
One important function of wills is the ability to include a guardianship provision. For example, if an individual has minor children, that individual’s will should include a provision indicating who he or she would like to serve as the guardian of the children. Additionally, the individual would likely draft another provision that leaves funds to… Read More »
How Do I Update My Will?
Executing a last will and testament is a great first step in a comprehensive estate plan. However, it is important to not stop there. You should periodically update your will as your circumstances change. For example, getting married, having children or grandchildren, and significant changes in finances are all situations after which it is important… Read More »
The First Step in Estate Planning
It is highly recommended that you execute a last will and testament as a first step in a comprehensive estate plan. Executing a will allows you to choose who will receive your assets after you die. Additionally, a will gives you some control over the manner in which those assets are distributed. Another important aspect… Read More »
What is Stepped Up Basis in Estate Planning?
Basis is the amount that a person has invested in an asset for tax purposes. Basis is used to calculate a variety of other aspects of an asset such as depreciation, amortization, depletion, casualty losses, and the loss or gain the owner experiences on the sale, exchange, or disposition of a property. This post discusses… Read More »
Disclaiming Assets
Disclaiming an inheritance is an unusual decision that can make perfect sense. A disclaimer occurs when a beneficiary named in the will refuses to accept an inheritance. It seems absurd to refuse a gift but a disclaimer can solve common estate planning issues. Persons over 65 who are well-off may disclaim an inheritance to protect… Read More »
What Happens When There Is No Will?
When a family member dies without a will, it is referred to as dying “intestate.” A whole section of probate law is devoted to intestate situations. This law predicts what most people would want to happen to their assets at death. For example, California’s intestate laws predict that the property a married person obtained during… Read More »
What to Look Out for in Annuity Contracts
Annuity sellers promise a lot – but do they deliver? Fixed annuities seem to provide secure income that many seniors seek. However, there are several important considerations to think about before investing in an annuity. Lock-in period. Most annuities have a period where the purchaser pays into the annuity but cannot withdraw from it. The… Read More »
What Does Tenant in Common Mean?
Tenant in Common is a label seen most often on real estate titles. But what does it mean? Simply put, it refers to an asset owned by two or more people in undivided interest. An undivided interest means that although two people own the property, both have complete rights to use the property. The shares… Read More »
HIPAA and Estate Planning
Health care decision-making is a central concern of estate planning. Access to a loved one’s medical records may be necessary to make appropriate health care decisions. Protections for medical records are becoming stricter of late due to new civil penalties for wrongful disclosure of records. As a result, hospitals and clinics are becoming much more… Read More »
