The revocable living trust is an effective alternative to a simple will. When you have a living trust, you act as the trustee while you are alive so you have access to the assets and nothing really changes. You name a successor trustee to step into the administration role after your passing. You have the ability to decide how the assets will be distributed after you are gone. If you would like the trustee to pay out a certain amount each month for a number of years, you could include that … [Read more...] about What Happens If I Leave Property Out of My Living Trust?
2022 Estate Tax Exclusion Has Been Set
The federal estate tax is not a factor for most people because there is an exclusion that is pretty high relative to most estates. This is a set amount that can be transferred tax-free -- the tax is only levied on any portion of an estate that exceeds it. There are annual adjustments to account for inflation, and we have experienced a significant level of inflation this year. The 2022 exclusion amount has been announced, and we will take a look at it here. 2022 Federal Estate Tax … [Read more...] about 2022 Estate Tax Exclusion Has Been Set
Advocacy Groups Call for the Eradication of the Medicaid Estate Recovery Mandate
Elder law attorneys counsel clients who are concerned about potential long-term care costs. Many elders reside in nursing homes toward the end of their lives, and the costs can be devastating. Medicare will not cover the custodial care that nursing homes and in-home caregivers provide so this is not the solution. Many people need Medicaid assistance because this government program for people with limited resources will pay for long-term care. Eligibility Parameters The Medicaid asset limit … [Read more...] about Advocacy Groups Call for the Eradication of the Medicaid Estate Recovery Mandate
An Overview of 2022 Medicare Cost Increases
There was some good news to share about the Social Security cost of living adjustment for 2022, but out-of-pocket Medicare costs are another matter. The program has release the parameters for the new year, and we will take a look at them here. Medicare Part A The portion of the program that covers hospitalization is Medicare Part A. There is no premium unless you have not earned eligibility and you want to pay for this coverage. However, beneficiaries are required to pay a deductible per … [Read more...] about An Overview of 2022 Medicare Cost Increases
Elder Financial Abuse Is a Looming Threat
There are few things that are more appalling than the idea of someone taking advantage of senior citizens. As abhorrent as it may be, elder financial abuse is very common, and you should understand the facts so you can take preventative measures. Massive Losses A MetLife Mature Market Institute Study published in 2009 got a lot of attention because it focused on the previously ignored subject of elder financial abuse. The groundbreaking research placed an estimate of annual losses at $2.6 … [Read more...] about Elder Financial Abuse Is a Looming Threat
How Can You Protect Your Children’s Inheritances If You Get Remarried?
Though the divorce rates have been getting lower over the last couple of decades, it is still relatively common. If you decide to get remarried after having been divorced, and you have children from your previous marriage, you may have some estate planning concerns. You want to leave suitable inheritances to your children so you are reluctant to leave everything to your spouse. The situation is amplified if you are marrying someone who is significantly younger and you are bringing a good bit … [Read more...] about How Can You Protect Your Children’s Inheritances If You Get Remarried?
Are There Any Probate Shortcuts in North Carolina?
Probate is a legal process that some estates must pass through before the assets are transferred to the heirs. A will is admitted to probate, and the probate court also provides supervision when someone passes away without any estate planning documents at all. Each respective state has its own probate laws, but 18 states utilize the Uniform Probate Code (UPC). It was created by the National Conference of Commissioners on Uniform State Laws, and the first completed version came out in … [Read more...] about Are There Any Probate Shortcuts in North Carolina?
What Is the Purpose of a Life Estate?
There are different ways to arrange for the transfer of property ownership when you are planning your estate. You should be aware of your options, and you should weigh the potential negatives that go along with some courses of action that sound promising on the surface. With this in mind, we will look at the device called a life estate in this post. Estate Administration and Probate Some background information is important to understand why people use life estates, and probate is at the … [Read more...] about What Is the Purpose of a Life Estate?
Life Insurance Can Bolster Your Inheritance Plan
For some, estate planning can be looked upon as an exercise in letting the chips fall as they may. You create a will or a trust and the beneficiaries will receive whatever happens to be left after you are gone. This is one perspective you can take, but there is an alternate approach. You can proactively endeavor to bolster your legacy through the use of life insurance. Whole Life Insurance There are a number of hybrid forms of insurance, but the two most commonly used forms are whole life … [Read more...] about Life Insurance Can Bolster Your Inheritance Plan
Why Do People Avoid Probate?
You will invariably see references to “probate avoidance” if you poke around on the internet looking for information about estate planning. Before you make any decisions, you should have an understanding of the matter, and we will provide an explanation here. Court Supervision When a will is used to transfer assets, the person that creates the document (the testator) names an executor. This is the person who will complete the hands-on estate administration tasks after the testator’s … [Read more...] about Why Do People Avoid Probate?
