You have options when you are planning your estate, and this is one of the reasons why you should engage an estate planning attorney. If you have specific objectives, there is some type of approach that can be used to address them. With this in mind, let’s look at the legal device called an incentive trust. Encourage Positive Behavior A large windfall of money can potentially do more harm than good if the recipient has not reached full maturity. You may have concerns about this if you are … [Read more...] about Provide Guidance With an Incentive Trust
Five Things You Need to Know About Medicaid Planning
The biggest elder law issue at the present time is the matter of long-term care and the costs that go along with it. Medicare does not pay for living assistance, and the vast majority of seniors will need some form of long-term care. In fact, more than one third of seniors will eventually reside in nursing homes. Medicaid is another government health insurance program that does pay for living assistance. Most people in nursing homes are enrolled in the Medicaid program, and a high percentage … [Read more...] about Five Things You Need to Know About Medicaid Planning
Wills Demystified
There are different types of wills and trusts used in the field of estate planning, and it can all be kind of confusing for someone who does not work in the field. This is understandable because we are in the same situation when it comes to subjects that are outside of our profession. In an effort to provide some clarity, let’s look at the different types of wills that are sometimes used. Simple Wills The one estate planning document that everyone has heard of is the simple will, which is … [Read more...] about Wills Demystified
Don’t Take Chances With an Outdated Estate Plan
They say that the only constant is change, and this is something to keep in mind when you consider the estate planning process. It is wise to put a plan in place as soon as you are a responsible adult with other people depending on you. Over the years, life will change, and the original estate plan will invariably come become outdated. Let’s look at some of the events that can take place that would trigger the need for an estate plan update. Additions to the Family We are providing a … [Read more...] about Don’t Take Chances With an Outdated Estate Plan
IRA RMDs Waived for 2020
We are going to share some information about a very important change to the guidelines for individual retirement accounts for current account holders and beneficiaries. Before we get to it, we have to provide some necessary background information about these accounts. Traditional Individual Retirement Accounts When you have a traditional individual retirement account, the contributions that you make into the account are made before you pay taxes on the income. This has positive tax … [Read more...] about IRA RMDs Waived for 2020
Don’t Assume You Will Never Need Long-Term Care
Retirement planning can seem like it is completely focused on the active years that you will be able to enjoy shortly after you put your working years behind you. This is certainly an important consideration, and your golden years can be quite satisfying if you are properly prepared for them. At the same time, it is wise to budget for the years that will follow when you are not as capable as you once were. The United States Department of Health and Human Services tells us that seven out of … [Read more...] about Don’t Assume You Will Never Need Long-Term Care
Estate Tax Could Be Expanded After Election
They say that elections have consequences, and this is definitely true. Whether or not the consequences are to your liking will depend upon the circumstances. This dynamic is going to play itself out in the near future, because 2020 is an election year. There could potentially be some changes in the tax structure that impact the taxes that are paid on inheritances. We will look at the details in this post. Federal Estate Tax Exclusion The federal estate tax looms large for very wealthy … [Read more...] about Estate Tax Could Be Expanded After Election
Veterans May Qualify for Aid and Attendance Pension
Americans who serve in the United States Armed Forces make sacrifices for the common good, and they are often asked to complete very difficult tasks. In return, they receive some valuable benefits that can set a service member up for a comfortable retirement. One of them is the retirement pension that veterans can receive after a minimum of 20 years of service. The amount of the payout increases if you stay in longer than 20 years, so an individual could stay in the service until he or she is … [Read more...] about Veterans May Qualify for Aid and Attendance Pension
Estate Planning for a Spendthrift Heir
One of the reasons why you should discuss your unique personal situation with an estate planning attorney is because there are many ways to proceed. A lot of people think that there are constraints when this is really not the case. You do not have to take risks if you develop your plan in a fully informed manner. With this in mind, let’s look at an estate planning approach you can take if you have a spendthrift on your inheritance list. Revocable Living Trust A relatively simple but highly … [Read more...] about Estate Planning for a Spendthrift Heir
Incapacity Planning is a Must for Young Adults
The vast majority of American adults that are under the age of 65 do not have estate plans in place. Obviously, people usually do not pass away before their time, but it does happen. Estate planning should be looked upon as a basic responsibility of adulthood, and everyone should have a plan in place. It is important across the board, but it is absolutely essential as soon as you have people relying on you for monetary support to one extent or another. You should have an income replacement … [Read more...] about Incapacity Planning is a Must for Young Adults
