In the field of estate planning the acronym ILIT stands for an irrevocable life insurance trust. This type of trust can be useful for those who are exposed to estate taxes. There is a federal estate tax that is applicable in all 50 states, and some states have state-level estate taxes. We have offices in Kentucky and North Carolina. These states do not impose state-level estate taxes. Federal Estate Tax Parameters Before we examine the value of an ILIT, we should provide some background … [Read more...] about What Is an ILIT?
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Does a Young Adult Need an Estate Plan?
Studies are done periodically that are intended to evaluate the estate planning preparedness of people in the United States. They consistently find that an alarming percentage of people are going through life without all of the appropriate estate planning documents. While some older people are remiss, the majority of younger adults are unprepared. This is unfortunate, because estate planning is important for responsible adults of all ages. This is especially true for parents of young … [Read more...] about Does a Young Adult Need an Estate Plan?
Will Medicaid Pay for In-Home Care?
Long-term care is a very pressing issue for people who are planning ahead for the future. It can be hard to envision a time when you will no longer be able to take care of your own activities of daily living. However, statistics indicate that most senior citizens will eventually need living assistance. The majority of Americans are eligible for Medicare when they reach the age of 65. Medicare will pay for convalescent care after surgery, but it won't pay for long-term custodial care. This is … [Read more...] about Will Medicaid Pay for In-Home Care?
What Happens to a Living Trust When One Spouse Dies?
There are different types of trusts that are used in the field of estate planning. The correct choice will depend on the circumstances. People who would like to maintain control of their assets while facilitating efficient postmortem transfers often choose revocable living trusts. When you create a revocable living trust, you can initially act as the trustee and the beneficiary, so you don't lose control of the assets. You can even revoke the trust if you choose to do so, and it would no longer … [Read more...] about What Happens to a Living Trust When One Spouse Dies?
What Is the Difference Between a Guardianship and a Power of Attorney?
Before we discuss guardianship and powers of attorney, we should explain a bit about incapacity. Many seniors become incapacitated and unable to handle all of their own affairs late in their lives. There are a number of different causes of incapacity, but Alzheimer's disease is a major threat. Alzheimer's Is Widespread Alzheimer's disease strikes a very significant percentage of elder Americans. The Alzheimer's Association tells us that up to 45 percent of those over 85 are suffering from the … [Read more...] about What Is the Difference Between a Guardianship and a Power of Attorney?
Veterans Benefit Can Assist With Long-Term Care Costs
Veterans of the United States military make many sacrifices for our country, but they do receive certain rewards for their service. There are a number of different benefits, and some of them are overlooked. One of the benefits that many people are not aware of is the Veterans Aid and Attendance Special Pension. Long-Term Care Costs Long-term care is very expensive, and Medicare will not pay for this type of care. If you need assistance with your activities of daily living, the assistance … [Read more...] about Veterans Benefit Can Assist With Long-Term Care Costs
What Is Estate Tax Exclusion Portability?
People who have been very successful financially must consider the impact of the federal estate tax. This tax carries a 40 percent maximum rate that can significantly erode the legacy that you are passing on to your loved ones. There is an estate tax credit or exclusion that separates those who must pay the tax from those who are exempt. In 2014, the exact amount of the federal estate tax exclusion is $5.34 million. Under current laws there can be annual adjustments to account for inflation. … [Read more...] about What Is Estate Tax Exclusion Portability?
How Do You Find an Elder Law Attorney?
People often tend to live in the moment when they are younger, and senior citizen status can seem like it is a world away. For this reason a lot of procrastination takes place, but at some point, responsible individuals recognize the need to plan ahead for retirement. Your active retirement years can be full of good times as you cross things off your bucket list. However, you should also consider the twilight years that will follow. When you consult with an elder law attorney, you can learn a … [Read more...] about How Do You Find an Elder Law Attorney?
What Is the Nomination of a Guardian?
Estate planning is essential for responsible adults of all ages. But surveys consistently indicate a lack of preparation. Most American adults have not executed all of the appropriate estate planning documents, and younger people are especially remiss. Clearly, you are probably not contemplating death when you are in your 20s, 30s, or 40s. At the same time, people of all ages do pass away each and every day due to catastrophic illnesses and accidents. Some lose their lives serving their … [Read more...] about What Is the Nomination of a Guardian?
Am I Responsible for My Parents’ Nursing Home Bills?
Nursing home expenses are a very big consideration when you are looking toward the future. When you are perfectly capable of handling your own activities of daily living, these costs can seem irrelevant, but the statistics tell a different tale. In fact, most senior citizens will eventually need living assistance. According to the United States Department of Health and Human Services, seven out of ten people who are turning 65 will eventually need long-term care. When you digest this statistic … [Read more...] about Am I Responsible for My Parents’ Nursing Home Bills?
