If you are thinking about planning your estate, you may already know the benefits of having a will. However, it is important to know the tools you have available to you for estate planning beyond executing a simple last will and testament. One such tool is known as the testamentary trust, and depending on your needs, it can be an essential part of your estate plan. Continue reading “What is a Testamentary Trust?”
While college education has been seen as not only a rite of passage but also necessary in order to enter into many areas of workforce, the costs associated with it can be overwhelming. In recent years, the costs associated with higher education have come with a hefty price tag and are projected to continue to rise over the next few decades. According to The College Board, in 2017, the average cost for tuition, fees, and room and board for a four-year private college is a whopping $118,000. If the college-cost inflation rate is 3 percent, today’s 8-year-old can expect to pay $265,000 for four years of higher education at a private college in 2028. With the costs of college looming for current and future generations, more grandparents are looking to support their grandchild’s higher education expenses in their estate plans. Continue reading “Including a Grandchild’s College Tuition in Your Estate Plan”
Whether you are looking to create an estate plan for the first time or want to update an existing plan, Spring is an ideal time to meet with an estate planning lawyer to address your current legal needs and protect your legacy for the future. In this article, we have listed a few important areas of your estate plan to review and update as necessary this Spring. Continue reading “Spring Is Here So Update Your Estate Plan to Reflect Life Changes”
Creating and maintaining a comprehensive estate plan is essential to preserving assets and ensuring that a beneficiary’s financial needs are met in the event that a person should die. A thorough estate plan can be created at any age and should include a Last Will & Testament and advanced directives such as a Health Care Proxy, Living Will, and Power of Attorney. Some estate plans may also include a Trust in order to protect certain assets. Continue reading “Storing and Maintaining Original Estate Planning Documents”
The main purpose of every trust is to preserve assets that will eventually pass or transfer to beneficiaries. In order for the trust to be valid, the terms must clearly recognize that the assets will be transferred to beneficiaries. In addition, trusts are also used to: Continue reading “Purpose of a Trust”
Estate planning is a complex process. Estate planning often includes a Last Will and Testament and may also include utilizing a trust as well as advance directives such as a power of attorney, health care proxy, living will, and HIPPA release form, among others. While these concepts may be foreign, these estate-planning tools assist with creating a comprehensive estate plan. One of the most important tools in every estate plan is a trust. A trust is created to protect property and assets. In order for a trust to be valid it must: Continue reading “Trust Basics”
Oftentimes, individuals will put the proceeds from the sale of a house into an irrevocable trust. When the time comes, an elderly person may move into an assisted living facility, which can be expensive. A trustee of an irrevocable trust may look to use the funds in an irrevocable trust to cover the cost of the assisted living facility. However, the money in an irrevocable trust should not be used to pay for care in an assisted living facility. The reason being is that an irrevocable trust is only exempt for Medicaid purposes when there are no principal distributions being made to a grantor or in this case to an assisted living facility on an individual’s behalf because doing so would violate the terms of a trust.
Regardless of how many assets you own, estate planning is an important component of your overall financial plan. A properly expected estate plan can help to secure a financial legacy for loved ones and express medical decisions if you are unable to do so. Estate planning can be complex, so it is important to consult the guidance of an experienced estate planning lawyer.