- Why the SECURE Act Could Make You Change Your Estate Plan in 2022
Estate planning isn’t fun, but it is necessary if you want to make sure that your family is taken care of and your property is disbursed the way you want it to after you’ve died. Furthermore, estate planning is not a one-and-done thing; you have to stay on top of regulations and developments to make… read more…
- How to Create a Trust for a Child
When people hear that a child has a trust fund, they often assume that the child is incredibly rich. That isn’t always the case. There are many reasons why parents and guardians would want to create a trust fund, even… read more…
- Do Trust Funds Gain Interest?
A trust fund is a legal entity designed for holding assets. Because of this, trust funds can be the owner of a variety of different assets, including cash, investments, real estate and collectibles. So, do trust funds gain interest? It depends. Here’s what you need to know about whether trust funds gain interest on their… read more…
- How Does a Life Estate Pur Autre Vie Work?
The legal term “pur autre vie” means “for the life of another” in French and when used in property law refers to a life estate that a grantor bestows on another person, known as a life tenant, who can hold and use an estate, often a family residence, during the life of third person. Below… read more…
- What Is a Ladybird Deed?
A ladybird deed, also referred to as an enhanced life estate, allows for the transfer of property to someone else while retaining control of the property. This type of deed can be used in situations where someone wants to pass the property on to someone else and avoid probate, while still being allowed the use… read more…
- Do You Have to Pay a Long-Term Care Tax?
Since long-term care insurance is expensive, only 7% to 10% of Americans have a long-term care policy. According to the Department of Health and Human Services, more than 50% of us will need long-term care at some time in our lives. Medicare pays for the first 100 days in a long-term care facility. After that,… read more…
- Estate Account: What It Is, Rules, How to Open
An estate account is a specialized checking account used to manage a deceased person’s financial affairs, allowing an executor or administrator to collect assets, pay debts and distribute funds to beneficiaries. Banks typically require legal documentation, such as a death certificate and court-issued letters of administration, to open one. This type of account helps separate… read more…
- Understanding How Discretionary Trusts Work
A discretionary trust is a type of trust that can be established on behalf of one or more beneficiaries. The trustee who oversees the trust can use their discretion in determining when and how trust assets should be distributed to beneficiaries, hence the name. There are different reasons why you might consider establishing a discretionary… read more…
- Resolving Problems With Siblings Settling Estates
Money brings out the worst in people. One of the most remarkable things you learn when practicing estate law is how quickly families will fight over even a minor inheritance. While new lawyers expect to handle disputes over fortunes, they’re often surprised at how vicious the infighting can get over small sums. Sometimes this is the result… read more…
- Types of Charitable Trusts for Financial Planning
Charitable lead trusts (CLTs) and charitable remainder trusts (CRTs) are two types of charitable trusts that could benefit your financial plans for your estate. They provide tax-advantaged income to you and your beneficiaries during or at the end of the term of the trusts along with allowing you to make donations to your favorite charities.… read more…
- How to Report a Death to Social Security
When a close friend or family member dies, there are a lot of things you have to deal with — funeral planning, dealing with the person’s estate and, of course, managing your own grief. One important task you may not think of right away is to notify the Social Security Administration of their death. One… read more…
- What Is a First-Party Special Needs Trust?
Individuals living with disabilities that impact their day-to-day or long-term medical conditions often depend on external support. For example, they may rely on government assistance programs, like Medicaid, to access necessary care. However, some of these programs have strict asset limit rules that can make or break your eligibility. One way disabled individuals, families and… read more…
- What Is Included in an Estate Inventory?
When someone passes away, it is often necessary for their estate to go through probate. This is a court-supervised process in which someone’s estate is settled, outstanding debts are paid and assets are distributed to the deceased person’s heirs. An executor is charged with being the individual who oversees the probate process. One of the… read more…
- What Is an Estate?
In financial law, an “estate” refers to all of the assets and property owned by someone who has died. However, this definition can have a few different applications depending on where in the estate process the decedent’s estate is. Estate planning is required to ensure your assets are handled exactly as you want after you’re gone.… read more…
- What Are the Legal Rights of a Disinherited Child?
State laws may allow parents to disinherit one or more children when writing a will. There are different reasons why a child may be disinherited. For example, if parents disagree about a child’s lifestyle choices, they may choose to leave them nothing in their will. Children can also be left out of a will if… read more…
- What Happens After Probate Is Closed?
Probate is the legal process of settling a person’s estate after they pass away. Even if a will is in place with detailed instructions, probate still occurs. During this process, several key steps take place, including creating an inventory of the estate, paying off outstanding debts and distributing the remaining assets to heirs. However, once… read more…
- What Is a Family LLC?
Limited liability companies can protect your personal assets if you own a business but they can also be used in estate planning. Specifically, you could establish a family LLC to shield assets from creditors while ensuring a smoother transfer of… read more…
- What Is a Devisee?
According to a recent Gallup poll, less than half of U.S. adults currently have a will that describes how they want their estate and money handled after they die. At just 46%, that leaves the majority of citizens unaware of the estate administration process and unprepared. As a result, you may be unfamiliar with technical terms,… read more…
- Understanding the Estate Administration Process
Very few people know how to manage and take care of an estate when someone passes. There seems to be an endless stream of paperwork to complete and it becomes even more complicated when you have to work with both state and federal laws. While the probate and estate administration process can be overwhelming, it’s… read more…
- Can an Illegitimate Child Claim Inheritance?
The term illegitimate child—historically used to describe a child born to unmarried parents—is largely outdated in modern legal contexts. Today, inheritance rights are typically based on legal parentage, not the marital status of the parents. In most states, a child has the right to inherit from both legally recognized parents, regardless of whether the parents… read more…
- What to Consider About Child Inheritance
When deciding how to pass on assets to your heirs, it’s important to consider where minor children fit in. Child inheritance laws generally prohibit children from inheriting land, real property or other assets if they’re under 18. Depending on probate and inheritance laws in your state, it’s even possible to exclude children from inheriting any… read more…
- What Is Asset Protection Planning?
Asset protection planning is the process of building barriers around your assets, whether those assets are personal or business, to keep them safe from litigation, creditor claims, seizure and burdensome taxes. It’s a vital and completely legal component of both… read more…
- How Can Separate Property Become Marital Property?
Marital property, also known as marital assets, spousal assets or community property, matters when it comes to taxes, estate law and divorce. In most cases, separate property applies to the assets you owned going into a marriage; marital property, on… read more…
- What Is a Private Trust Company?
A private trust company or family trust company is an estate planning tool that can be used to preserve wealth. This type of trust entity is most often used by high-net-worth and ultra-high-net-worth individuals. For example, someone who runs a family-owned business and has $150 million in assets may choose to establish a private trust… read more…
- Understanding Conventional Life Estates
A conventional life estate grants possession and limited ownership of an asset to someone for as long as they live. It can be created using a deed, specified in a will or included as part of a trust. Life estates are often used to provide housing for parents, spouses or offspring. On the death of the… read more…