Arizona Estate Planning

Preparing Your Finances For Death

US News & World Report: Preparing your finances for your death is a topic many don't want to talk about. Death is inevitable, however, and if you don't take the time to plan, your wishes (and your family's financial security) could be at risk.

Everyone should make a few preparations to ensure that decisions are made with the right frame of mind and not out of emotion or grief. Creating a will, naming an executor, and considering your estate are all extremely important. In addition, talk to your family about the following four topics:

On the Net2017-10-07T11:14:45-07:00September 23rd, 2011|Beneficiaries, Estate Planning|

Proper Planning Can Eliminate Estate Conflicts

Reading Eagle.com: A nephew of an elderly Berks County woman who died and left a $200,000 estate accused his aunt's caretakers of forcing the woman to change her will to give the couple her money.

Register of Wills Lawrence J. Medaglia Jr. said the nephew, who had no close ties to his aunt, saw a quick way to get cash.

“The nephew then asked his aunt to sign another will, as she was dying, to change her will, taking the couple out,” said Medaglia, who has held his office for 16 years. “The nephew saw dollar signs from an aunt who had no kids.”

Medaglia, who held a hearing on the matter, ruled in favor of the caretaker couple.

A Berks County judge upheld his decision.

Medaglia recommends hiring an attorney who specializes in writing wills. He said that of the 700 lawyers practicing in Berks about 150 write wills as part of their practice.

This is an example of the 35 to 40 contested wills he handles in a typical year. The hearing lasted three days.

On the Net2011-09-20T10:07:41-07:00September 20th, 2011|Estate Planning|

Online Gravesites?

The Star.com: A California startup is extending social media to the dead.

I-Postmortem Ltd., based in Palo Alto, allows clients — while still alive — to create an interactive memorial to themselves through photos, letters, poems, and audio and video files.

After death, a client can also send timed messages — to a son on his 21st birthday, say, or a daughter on her wedding day.

“Imagine if we had a service like this in the 1920s or 1930s,” company founder Jacques Mechelany said by phone Tuesday of the legacy side to the technology.

“We would be able to see what people were saying about their own life, their choices, the problems they confronted,” he said. “We would have a wealth of information.”

On the Net2016-12-13T20:33:40-08:00September 16th, 2011|Estate Planning|

Who Is Your IRA Beneficiary?

Examiner.com: Deciding whom to designate as a beneficiary for your IRA might seem like an easy decision—you probably want your money to go to someone near and dear to you. But is the person (or people) you’re thinking of actually named as the beneficiary on the particular IRA you opened all those years ago?

To be certain, it’s wise to review your beneficiary designation form every few years, or whenever you’ve had a change in circumstances, such as a birth of a child or grandchild or change in marital status. Changing your beneficiary is easy—you simply complete a new beneficiary designation form. Keep in mind that a will or trust does not override this form, or the IRA document itself (which may have “default” beneficiary designations that control even if no beneficiary designation is on file), unless you name your estate or trust as your beneficiary. Because beneficiary designations are important estate-planning documents, you may want to review them with your attorney.

On the Net2016-12-13T20:33:40-08:00September 14th, 2011|Beneficiaries, Estate Planning|

Problems With Joint Ownership Between Generations

Forbes: Celebrities are not the only ones to make mistakes with their estate planning. It happens to people all across the country on a regular basis. The end result — just like with the rich and famous — often is an ugly and expensive family fight in court. One of the most common estate planning mistakes that people make is joint ownership.

For the most part, we’re not talking about when a husband and wife have joint bank accounts or the title to their home is held in both of their names. While not ideal for estate planning, this is quite common and can often be used without problems, except in many second-marriage situations or large estates that may suffer adverse tax consequences.

The area where we see significant problems, however, is when a parent adds a child’s name to an asset, such as a bank account, investment, or real estate. This is often done to help with bill paying, as a will-substitute to avoid probate court (often called a “poor-man’s will”), or simply to help an elderly loved one who needs assistance managing his or her assets. This is a big no-no!

On the Net2016-12-13T20:33:40-08:00September 14th, 2011|Estate Planning, Trusts|

Caring For Disabled Heirs

Wills, Trusts & Estates Prof Blog: Twelve percent of the U.S. population has a severe mental or physical disability, according to United State Census data. Additionally, two-thirds of caregivers do not have a plan for the future support of the disabled individual they care for. Three tips for planning for the future support of disabled heirs

On the Net2011-10-08T18:27:22-07:00September 12th, 2011|Estate Planning, Special Needs Trusts|

Before Speaking With An Estate Planning Attorney…

24-7 Press Release: If you have the vague, nagging sense you should do something about your estate plan (or lack thereof), here's a few suggestions of things to consider as you prepare to meet with an estate planning attorney.

Will most of your assets pass through the probate system? Probate is the process of verifying a will, or if there isn't a will, following the statutory intestate scheme to distribute the assets of a deceased person's estate.

In a will, you name a personal representative who distributes your assets and pays your debts. While virtually anyone can serve as personal representative, you may want to consider both the complexity of your estate and the qualifications of the person.

On the Net2017-10-07T11:14:45-07:00September 12th, 2011|Estate Planning, Guardianship|

Will Baby Boomers Leave Inheritances?

Estate of Denial: Two recent articles discuss changing attitudes and how decreasing numbers of Baby Boomers will leave significant inheritances for their kids. In Many boomers plan to leave no inheritance, the UPI discusses a Los Angeles Times report that says a survey of millionaire baby boomers by investment firm U.S. Trust found only 49 percent deemed it important to leave money to their children when they die.

On the Net2011-10-08T18:29:52-07:00September 9th, 2011|Estate Planning|

Estate Planning Tips If You Plan To Be Frozen

Wills, Trusts & Estates Prof Blog: Former “American Idol” judge, Simon Cowell, recently told GQ magazine that he wants to be frozen when dies, with the hope that science will advance enough to where he can be unfrozen and live again. Cowell is not the only person considering cryogenic freezing after death. The ALCOR Life Extension Foundation in Phoenix, Arizona already has 100 frozen patients, with almost another 1,000 on the waiting list. But with the possibility of “coming back from the dead” comes issues of paying for the body’s upkeep and preserving assets for if or when the patient is unfrozen.

ALCOR currenlty charges $90,000 for freezing the entire body and requires another $110,000 in a trust for maintenance and storage. As far as providing financially for the patient after he or she is unfrozen, some attorneys point to dynasty trusts. Peggy Hoyt, and estate planner in Florida, drafts “personal revival trusts” specifically designed for cryogenically preserved clients. The trust allows intermediate beneficiaries like family and charities to inherit if something goes wrong and allows for payments to the cryogenic facility.

On the Net2016-12-13T20:33:40-08:00September 8th, 2011|Estate Planning, Odd Requests|

What You Should Expect When Estate Planning

Nevada Appeal: Clients often admit that they procrastinated before engaging me, largely because they didn't know what estate planning entailed. Though the process involves some work, a law office that focuses on estate planning matters can walk you through it so that you develop a comfortable understanding of what you are getting and why.

When developing an estate plan, you're planning for the management of your finances during life, and for the eventual transfer of all that you own. When considering a trust-based plan, you and your attorney need to look at all of your assets to determine how they fit into the plan. More importantly, you'll need to look at loved ones and professional contacts to determine who warrants your trust in managing the biggest transaction of your life. Then, you need to talk about your beneficiaries. Whether it's your kids or your favorite charities, how they should receive your assets is all part of the discussion.

If your estate is more complicated, your attorney may want to work directly with your financial adviser or your accountant, and he or she may become one of your long-term advisers. The good news is that the more issues or complications you have without a plan, the more value you'll receive from obtaining one.

On the Net2017-10-07T11:14:45-07:00September 7th, 2011|Estate Planning, Powers of Attorney, Trusts, Wills|

Caring For Disabled Heirs

Estate of Denial: Deciding how to leave your assets to your kids is tricky enough. If your adult child has a chronic disability, the task is much more complicated.

The issue affects many families: According to U.S. Census data, 12% of the population has a severe mental or physical disability.

Strapped state and local governments are tightening income restrictions for medical benefits and supportive services, which are typically paid for by Social Security and Medicaid. Those services are tough to find—or afford—in the private sector for many adults with disabilities so severe that they can’t live alone, parents and advocates say.

As a result, it’s increasingly important to structure an inheritance in a way that won’t disqualify a child for such benefits down the road.

On the Net2011-09-07T09:08:34-07:00September 7th, 2011|Estate Planning, Special Needs Trusts, Wills|

Surviving Spouse’s To-Do List

Yahoo! Finance: The death of a spouse is one of the most devastating events of a person's life. To make matters worse, at a time when you feel incapable of dealing with life's routines, you're slammed with an avalanche of financial tasks that require immediate attention. This can be particularly stressful if the surviving spouse, usually the wife, did not play an active role in the household finances.

But despite the pressure to do so, this is precisely the wrong time to make major financial decisions. If you act precipitously, you may make costly mistakes that will be tough to unwind later. “I tell my clients that they should be in a decision-free zone for six months to a year,” says Karen Folk, a certified financial planner in Urbana, Ill.

Don't put your house on the market. Don't give away money to your children or charity. Don't sell stocks or bonds. And don't agree to move in with an adult child, says Folk. Eventually, any of these steps may make perfect sense. But take a breather in the overwhelming weeks and months after a spouse dies

On the Net2017-10-07T11:14:45-07:00September 1st, 2011|Estate Planning|

Annuities And Estate Planning

Wealth Strategies Journal: The Law of Unintended Consequences generally holds that human conduct will produce at least one unintended consequence over a course of time and during a series of activities or transactions.

Disclaimer: Material is presented here for general information purposes and does not constitute legal or tax advice. The intent of the material is to provide some insights into the issues which can arise when proper due diligence and qualified counsel may be somewhat absent during the annuity sales process.

The law of unintended consequences is an adage or idiomatic warning that an intervention in a complex system always creates unexpected and often undesirable outcomes. [wikipedia.org] In the financial world there are few better examples of a “complexity” than annuity contracts.

When annuities intersect with trust drafting by estate planning attorneys, expect the unexpected. A few case histories from the file will illustrate the point and serve as harbinger of advisory challenges.

On the Net2017-10-07T11:14:45-07:00September 1st, 2011|Estate Planning, Estate Tax, Trusts|

Country Music Takes On Probate Abuse

Estate of Denial: On their Hell on Heels debut album, a new group called the Pistol Annies (Miranda Lambert, Ashley Monroe and Angaleena Pressley) has a song entitled Family Feud.

Heads up legal industry! Country music has a long legacy of capturing American life stories. When mainstream music picks up grave robbing and estate looting as one of those life stories – just a thought – but maybe the estate abuse issue has “arrived.”

“Shining light on the dark side of estate management” was our mission upon starting Estate of Denial® five years ago. While real reform of the culture surrounding probate systems will take time, any short-term opportunity to help more people more easily identify property poaching via probate (wills, trusts, guardianships and powers of attorney) is welcomed. Family Feud delivers just that message

On the Net2016-12-13T20:33:40-08:00September 1st, 2011|Estate Fights, Estate Planning, Probate|

Contrived Probate Disputes Hard To Avoid

Estate of Denial: Call us jaded, but suggestions of how to avoid “unforeseen” estate issues never seem to take into account the real ugliness at work in today’s world whereby individuals – both inside and outside the legal profession – often contrive probate disputes. All the “proper estate planning” in the world can’t stop an estate from being targeted by any combination of determined disgruntled family members, wannabe heirs and unscrupulous legal professionals.

Here at Estate of Denial®, we term such acts an Involuntary Redistribution of Assets (IRA) defined simply as the use of probate venues and/or probate instruments (wills, trusts, guardianships and powers of attorney) to divert assets from intended heirs or beneficiaries. IRA cases certainly involve a looting of assets – often of the dead, disabled, incapacitated and/or their heirs or beneficiaries, but with guardianships, it can also involve a hijacking of basic civil liberties.

And a fight within any of these scenarios often becomes an eye-opening experience that exposes the self-interested, protectionist nature of the legal industry which comprises lawyers, judges, court-related personnel and other officials (elected officials, law enforcement, etc.) or professionals utilizing our legal system to pursue goals counterproductive to the general public’s interests in their individual or collective capacities or both. Rarely does one walk away from these experiences with increased respect for the law or confidence in the “rights” alleged to protect Americans from an assortment of harms.

On the Net2016-12-13T20:33:40-08:00August 30th, 2011|Estate Fights, Estate Planning, Probate|

Naming Beneficiaries

24-7 Press Release: Assets with beneficiary forms seem appealing to people trying to set up estate plans. Such assets have the benefit of going directly to the heirs and avoiding the lengthy and sometimes costly probate process. However, people need to make sure that they coordinate their named beneficiary assets with the rest of their estate planning documents such as wills and trusts. Otherwise people may inadvertently sabotage their own plans for their possessions after they die because such forms override wills — wills do not override beneficiary designations. Those making estate plans need to know common errors to avoid when executing named beneficiary forms on assets.

Types of Named Beneficiary Assets

There are a variety of assets that can have named beneficiary forms. Some of the most common examples include life insurance policies, retirement accounts, payable or transferable on death bank accounts, U.S. savings bonds and securities such as stocks, bonds and mutual funds.

People may designate a variety of different types of beneficiaries. Some may opt to name an individual outright, while others may choose to name a group of people such as “all of my grandchildren who survive me.” A person may also name a trust or his or her estate as the beneficiary of such an asset. Finally, a person may choose to make a charity or other organization a beneficiary.

On the Net2016-12-13T20:33:40-08:00August 29th, 2011|Beneficiaries, Estate Planning, Wills|

The Importance Of Keeping Estate Plans Current

24-7 Press Release: No one really likes to contemplate his or her own mortality, but traditional wisdom teaches that a little planning during life makes things a lot easier on surviving loved ones after death — which is why it is prudent to make a will. However, many believe that once they have accomplished that task they need never think about it again. The truth is that a person needs to revisit his or her estate plan periodically to ensure that it remains current and accurately expresses his or her wishes, especially after major life events such as marriage, divorce, births, deaths, moves, changes in wealth or possessions, or changes in the law.

Reasons to Have a Will

Creating a will is crucial for each person. Some people believe that if they do not have substantial assets they have no need for a will. However, there are numerous reasons why people should draft wills. Primarily, drafting estate planning documents such as wills and trusts is an act of love for surviving family members. By planning during life, a person saves surviving loved ones the hassle of trying to figure out the deceased's affairs while they are mourning. A will also can help prevent family members from fighting with one another over who gets which possessions because the will distributes the assets.

On the Net2016-12-13T20:33:40-08:00August 29th, 2011|Estate Planning, Wills|

Estate Planning With A Second Marriage

NJ.com: Today Your Legal Corner provides information on second marriages and estate planning.

Losing a parent is devastating. It is said this experience begins the next chapter in our life and that of the surviving parent.

When the surviving parent finds a new special someone, it can create mixed emotions for the family. On the one hand, you are happy to see dad or mom finally getting on with life, experiencing a second bite of the apple, with a fresh taste for life.

At the same time, you're suspicious of this new friend. Acceptance of the relationship brings a feeling of disloyalty to the deceased parent. All of these emotions are common and normal.

With second marriages and estate planning, staying actively engaged with your parent will minimize incidents of fraud or undue influence by third parties.

Everyone has the ability to protect their own assets through proper estate planning.

On the Net2011-08-29T08:25:11-07:00August 29th, 2011|Estate Planning, Prenuptial Agreements, Trusts, Wills|

Most British Won’t Discuss Wills

Estate of Denial: The vast majority of Brits will not talk openly about inheritance, despite the fact that 40 per cent of people expect to receive one.

According to new research from Aviva, two-thirds of those surveyed would not discuss inheritance openly with their parents.

However, 76 per cent of those questioned said that they would be happy for their parents to use equity from their property to fund their retirement – even if it meant reducing their inheritance.

Retirement director at Aviva Clive Bolton said: “Despite the British taboo of discussing inheritance, it seems that three-quarters of Britons are happy for their parents to use the cash in their property to enjoy a better lifestyle in retirement.”

On the Net2016-12-13T20:33:44-08:00August 29th, 2011|Estate Planning, Wills|