Articles Posted in Estate Planning

If you are navigating a divorce or recently lost a loved one, you might find yourself going through several complex estate planning documents. You might discover that you now have interests in one or several trusts. While you might have established a trust with a spouse to take care of children after your death or a loved one might have created a trust for you to receive benefits, it is important to understand how to read and comprehend the terms of a trust. 

While many people are familiar with wills, many people are not exactly what trusts do or how to best interpret them. While the best approach begins with reading over the terms of the trust, there are also some other important strategies to follow as you prepare to retain the assistance of a skilled estate planning lawyer.

# 1 – Become Acquainted with Common Trust Terms

Deciding to get divorced presents several considerations. While things like what will happen to your children as well as where you will live are likely at the front of your mind, estate planning is likely something that you have not yet begun to consider. 

It is a good idea to both review and update your estate plan around any changes in your situation. This includes changes in finances and divorce, but also major life events like divorce. To make sure that you revise your estate plan, this article reviews just a few of the most reasons why doing so is important. 

# 1 – Divorce Takes Time

If you’ve had a 401(k) for some time, you’re aware that each year many factors influence the value of contributions. 2020 is shaping up to be a great year to make contributions to a 401(k) plan. The Internal Revenue Service recently announced its 2020 limits for plan contributions.

Not only must employers make sure to make administrative changes to these retirements plan, but account holders should also similarly be prepared to do what it takes to make the most of their contributions.

What the Announcement Involves

For many decades, discovering that a relative or loved one had passed away and left you something was only a good thing. Due to taxes and complications with real estate, however, it has become common for people to be hesitant if you find out that you’re someone’s beneficiary. 

This presents the question of how to respond if someone does not want your estate or if you have no heirs or loved ones to name as a beneficiary.

Accepting an Inheritance is Not Required

When a family business owner has the goal of passing on ownership in the business to the following generation, it is important to include details about business succession in your estate plan. The most challenging issue presented in many family business plans relates to identifying who will control the business. This article reviews some of the important pieces of advice that you should remember to follow if you are engaged in estate planning. 

Planning in Uncertain Times

One of the most difficult aspects of business succession planning today involves the uncertainties of  federal estate tax law. Under existing federal estate law, every citizen of the United States in 2019 can give during their lifetime or at death a maximum of $11,400,000. This amount is often referred to as the “basic exclusion amount”. Without Congressional intervention, the Exclusion Amount is set to be lowered on January 1, 2026. Given that federal estate tax law is as advantageous it has ever been and that this policy will not last forever, many business owners have decided to take advantage of these laws while they can. 

Deciding which type of IRA works best for your estate plan can be challenging. While Roth and traditional IRAs are the most common types of retirement accounts, there are other options that you should consider as well. These lesser-known accounts can provide numerous tax advantages based on a person’s situation. This article reviews the six most common types so that you can begin considering which retirement account works best for you.

# 1 – Traditional IRAs

The most popular type of retirement savings account, there are several reasons why traditional IRAs are so common. Contributions are deductible from a person’s current income and consequently lower the individual’s taxable income for a year. Withdrawals from the account are then taxed at the tax rate at that time. 

If you are a parent with a college-age child, you likely have many concerns. One often overlooked thing is estate planning. Even though some people think estate planning documents are only necessary for the elderly or wealthy individuals, in reality, these documents are helpful for people who are no longer able to care for themselves. While young adults are often focused on making the most out of their lives, it is an unfortunate truth that each year numerous young people end up incapacitated or killed as a result of emergencies. The best way to avoid undesirable consequences in these situations is to make sure that you have adequate estate planning tools in place. This article reviews just some of the critical estate planning documents that college-age students should consider creating. 

Why Healthcare Planning is Important for College Students

Many college students are at least 18 years old, which means that they are viewed in the eyes of the law as adults who are capable of making their own healthcare decisions. As a result of the Privacy Rule of the Health Insurance Portability and Accountability Act (HIPAA), parents are at risk of being found without any decision-making abilities if something happens to the child and the parent becomes injured. This is because HIPAA applies even with a college student’s parents and even if the student is still listed on the parents’ medical insurance. To avoid being locked out of learning about a child’s health or decision-making abilities in case of an emergency, it is important to be mindful of either HIPAA or estate planning documents like financial powers of attorney.

Many people understand the value of having an estate plan. They also understand that not writing these documents can place their loved ones in a much more difficult situation. For some reason, however, these people hesitate to write an estate plan. For one reason, most people do not like to accept that they too will one day pass away. 

If you die without an estate plan or “intestate”, your estate will be distributed by New York’s probate laws, which follow a predetermined order of how assets should be divided. To encourage you to write your estate plan, this article reviews some important steps that will encourage you to write your estate plan.

# 1 – Realize Who Benefits from Estate Planning

It’s difficult to accept, but accidents occur every day. In addition to preparing for accidents, it is also a good idea to anticipate events like entering a nursing home. Because an event of this nature is almost a certainty, it is a good idea to take some important estate planning tips to prepare for what lies ahead. 

As a result, this article reviews some important strategies that you should remember to implement to make sure that your loved ones have an easier time navigating matters when the unexpected happens.

# 1 – Plan Now, Not Later

There are several reasons why people hesitate to or refuse to plan for death or incapacity. Failure to create an estate plan, however, can result in a person facing several complications which includes increased fines and placing additional stress on your loved one. 

As a result, this article reviews some of the important pieces of estate planning errors you should make sure to avoid.

# 1 – Failure to Create an Estate Plan