Hooper Law Office Estate Planning Blog

What Happens If I Do Not Plan My Estate?

Tue, 08 May 2012 00:00:00 GMT

You will leave what is legally known as an “intestate estate”, one in which the deceased has left no instructions. The families of those who fail to plan their estates have a rude surprise awaiting for them – the government will fill in the blanks with its own plan. After debts, probate costs, and taxes are paid, the courts will divide the estate according to the laws of intestate succession.

If you do not plan your estate, you may not know who your beneficiaries are.

If you do not plan your estate and a minor child is entitled to receive an inheritance by law, the court will place the inheritance into a custodial trust.

If you do not plan your estate and you have no spouse or children, most states provide that distributions will be made to your parents. If your parents are in a nursing home or receiving government assistance, who do you think gets the inheritance?

If you do not plan your estate and fail to appoint the personal representative you want to administer it, the court will appoint a personal representative of its own choice for you.

If you do not plan your estate, the personal representative may be forced to pay for an expensive bond to insure the estate.

If you do not plan your estate and you and your spouse both die prematurely, the probate court will appoint the guardian it chooses for your minor children instead of the ones you could have, but failed to name yourselves. In other words, a stranger to the family will get to decide who tucks in your children at night and takes care of all of their other needs.

If you do not plan your estate, the courts will maintain continuing jurisdiction over any inheritance left for your children.

What Is A Will?

Thu, 29 Mar 2012 00:00:00 GMT

A will is a written document that tells the court how to divide your property at the time of your death. It also tells the court who should be the guardian for your minor children and your personal representative. Wills are filed with the court at time of death and the court oversees the administration of the will through a process known as probate.

What Is Meant by “Estate Planning”

Wed, 14 Mar 2012 00:00:00 GMT

The process of developing a sound estate plan is to achieve the following objectives: controlling your property while you are alive; take care of loved ones and yourself if you become disabled; you want to give what you have to whom you want, when you want and they way you want; whenever possible you want to save tax dollars, professional fees and court costs.

Without a good estate plan, you and your family will probably lose control over your property, suffer through unnecessary court proceedings and pay unnecessary taxes and expenses. The lack of an estate plan may also deprive your family of many other legal protections otherwise available and also deprive them of the opportunity to receive from you a lasting legacy designed to bring your family closer together. Fortunately, all of these ills can be easily avoided by implementing a sound estate plan that passes your property to your loved ones in the way you want.

All good estate planning starts with making sure that your property is legally owned in an appropriate way.

Basic Concepts of Estate Planning

Wed, 07 Mar 2012 00:00:00 GMT

Estate planning, when done correctly, should above all else provide you with the peace of mind that comes from knowing you have done everything possible to protect yourself and your family. It does this by helping you achieve your hopes and accomplish your personal planning goals. Once these individual needs are addressed, good estate planning benefits your family by eliminating unnecessary probate costs, guardianship hearings and death taxes.

When Should I Start Planning For Long Term Care?

Wed, 29 Feb 2012 00:00:00 GMT

The first steps should be taken right now. The best approach is to have your care paid by insurance and the sooner you investigate what is offered, the more options you will have and the less it will cost. Long term care insurance is designed to pay some or all of a policy holder’s long term care needs.

Planning For Long Term Care

Fri, 10 Feb 2012 00:00:00 GMT

The phrase long term care describes the shelter and health care options available for individuals who are no longer able to live without assistance. There are three options: The first is to remain in your own home with some type of in-home care. The second is assisted living and the third is a skilled nursing facility.

Check Your 1099's

Wed, 01 Feb 2012 00:00:00 GMT

Tax season is just around the corner. If you have a trust plan with our office, please check all your 1099s that you are getting in the mail. They should all state the name of your trust. Some exceptions are IRAs and some annuities which should have your trust as the beneficiary. As always, if you have any questions, please contact our office. If necessary, a complimentary funding review meeting may be scheduled with Lisah. Please call the number below to make an appointment.

We have some new client education topics for this coming year. Details on these seminars will be mailed throughout the year.

Charitable Remainder Trust

Wed, 18 Jan 2012 00:00:00 GMT

Is a special type of irrevocable trust in which the assets donated to it are shared between the Trustmakers and charitable beneficiaries. Typically, a CRT pays income to the Trustmakers for a number of years (or entire lives), after which any remaining principal is paid to qualified charities.

How Can I Remove Property From My Taxable Estate and Still Benefit?

Thu, 12 Jan 2012 00:00:00 GMT

To save estate taxes, these appreciating assets must be eliminated from the gross taxable estate. The solution is to convey such appreciating assets to an irrevocable trust that contains special instructions. Those instruction state that at your death the trust’s assets will belong to your designated beneficiaries; therefore, the assets will not be a part of your taxable estate when you die.

What is a Living Will?

Wed, 04 Jan 2012 00:00:00 GMT

Living Wills, in essence, are intended to provide you with a way to express in advance your desires concerning your health care treatment. They are mainly used by those who desire to authorize the withdrawal of life sustaining care. Living Wills can also be used to provide instructions about the types of medical treatment the patient does not want withheld or withdrawn.