If you are contemplating your estate planning choices, you may logically look at a will versus a living trust as an either/or proposition, like paper or plastic. In fact, if you were to use a revocable living trust as your primary vehicle of asset transfer, you should also have a couple of different wills tucked away within your estate planning portfolio. Personal Property When you create a revocable living trust, you convey assets into the vehicle. You can act as the trustee and the … [Read more...] about Why Would I Need a Pour-Over Will?
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Can a Living Trust Be Contested?
A living trust as an estate planning tool that provides numerous different benefits. The first thing you should understand about a living trust is that you do not have to be wealthy to enjoy these benefits. A living trust can be of value to people who are of relatively ordinary means, and this type of trust actually would not satisfy some of the objectives that very high net worth individuals have. When you have a living trust in place, you can go forward with peace of mind, because you still … [Read more...] about Can a Living Trust Be Contested?
How Can I Provide for My Pet in My Estate Plan?
When you devise your estate plan, you take legal steps to protect the interests of your loved ones. Clearly, you are going to take care of all the family members that are close to you, but you may be surprised to hear that many people overlook an important family member. You see, some family members walk on four legs. If you are a pet owner, you may want to consider the well-being of your pet when you are putting your estate plan together. To be purely objective, many younger pet owners are … [Read more...] about How Can I Provide for My Pet in My Estate Plan?
What Is a Qualified Personal Residence Trust?
To understand the value of a qualified personal residence trust, you have to absorb some background information about federal transfer taxes. You may assume that you can give assets to others without incurring any tax responsibilities, but in fact, the tax man does not see it this way. There is a federal gift tax that can be applied when large gifts are given. You can give up to $14,000 per person to any number of gift recipients tax-free within a year, but anything above this would be subject … [Read more...] about What Is a Qualified Personal Residence Trust?
Can Medi-Cal Take My Home?
The Medi-Cal program is widely utilized by seniors who need assistance paying for long-term care, because Medicare does not pay for living assistance. The average annual cost for a room in a nursing home is around $100,000, so Medi-Cal eligibility can allow seniors to leave their hard-earned resources behind to their loved ones. You do not qualify for Medi-Cal automatically if you are a senior who is in need of long-term care. The program is only for people who have financial need. As a result, … [Read more...] about Can Medi-Cal Take My Home?
What Is the Medi-Cal Look-Back?
Before we examine the Medi-Cal look-back, we should explain why Medi-Cal would be relevant to you if you have never been financially needy throughout your life. Most people are aware of the fact that Medi-Cal is a health insurance program that is only available to people who can demonstrate a significant level of financial need. However, many seniors who retired with resources ultimately apply for Medi-Cal coverage, because the program will pay for long-term care. Medicare does not pay for … [Read more...] about What Is the Medi-Cal Look-Back?
What Is a Qualified Domestic Trust?
There are different types of trusts that can be used in the field of estate planning, and a trust can provide a solution to an estate planning challenge. With this in mind, we will look at the value of qualified domestic trusts in this blog post. However, to understand the benefits, you have to digest some information about the federal estate tax. If you are exposed to the estate tax, you have to implement estate tax efficiency strategies, because it can have a very negative impact on your … [Read more...] about What Is a Qualified Domestic Trust?
Who Can Act as a Living Trust Trustee?
Revocable living trusts are widely utilized in the field of estate planning. These trusts are versatile, and you can benefit from a revocable living trust even if you do not consider yourself to be extraordinarily wealthy. The person or entity who administers a living trust is called the trustee. One of the nice things about a revocable living trust is the ongoing control that you can retain as the creator of the trust. You can actually act as the trustee while you are alive and well. As a … [Read more...] about Who Can Act as a Living Trust Trustee?
How Long Does the Probate Process Take in California?
Distribution of your estate is an important facet to understand when you are devising your estate plan. You create documents to state your final wishes, but human action is required to bring your wishes to fruition after you pass away. In many cases, the probate process will enter the picture. Certain types of asset transfers are subject to the probate process, and others are not. Probate property could be described as property that is in your direct, sole personal possession at the time of … [Read more...] about How Long Does the Probate Process Take in California?
What Is the Difference Between Estate Planning and Legacy Planning?
When you are undertaking any type of endeavor, you can cover the bare minimum, or you can go the extra mile and act in a more comprehensive way. This dynamic enters the process of estate planning. You could put a very basic estate plan in place that would be better than nothing, or you could alternately engage in a process called legacy planning. A basic estate plan would typically include a last will, and those who want to cover the basics will also create some essential incapacity planning … [Read more...] about What Is the Difference Between Estate Planning and Legacy Planning?
