Estate Planning addresses many concerns, not just taxes. It can protect beneficiaries from their own creditors, provide divorce and remarriage protection, and protect the benefits of children with special needs.The new tax law doubled the amount that can be passed free of federal estate taxation, at least through 2025. In 2018, an individual can pass $11.18 million free from federal estate taxation. But estate planning was never just about estate taxation. The core of estate planning has … [Read more...]
Aretha Franklin Died Intestate: What Does It Mean for Her Family?
Aretha Franklin was known as the “Queen of Soul.” She was a singer, songwriter, civil rights activist, and so much more. Aretha was a great recording artist, with a career spanning many decades. She received honorary degrees from many prestigious universities, like NYU, Princeton, and Yale. She received the Presidential Medal of Freedom in 2005. In fact, we all owe her much “R-E-S-P-E-C-T,” just like the song for which she’s most famous.Aretha died on August 13, 2018, at age 76, without any … [Read more...]
Special Accounts for People with Special Needs
Those with special needs have unique challenges in life. But, there are special accounts available to individuals who were disabled before age 26. The Achieving a Better Life Experience or “ABLE” Act created ABLE accounts under section 529A.As discussed in a previous blog, 529 accounts give preferential tax treatment when the accounts are used for educational expenses. ABLE accounts are similar in structure to the 529 educational accounts. The income earned on the assets in ABLE accounts is … [Read more...]
Estate Planning is for You, Not Just Your Parents or Grandparents
Often, people think estate planning is just for those who are elderly. While the elderly certainly need estate planning, estate planning is for people who care what happens to them, their stuff, or their family.For someone who is young and healthy, estate planning may be the furthest thing from your mind. You may be thinking about how to enjoy autumn by playing in the leaves or about an upcoming ski vacation. How could you need estate planning when you have such an active lifestyle? … [Read more...]
How is a Testamentary Trust Different from a Living Trust?
Most people are aware that there are many different types of trusts available in estate planning. A testamentary trust is a specific type of trust that does not become effective until after your death. This is quite different from a living trust, which goes into effect when you create it and remains in effect during your lifetime. If you are trying to determine whether a testamentary trust is what you need to include in your estate plan, let our Overland Park trust lawyers help you decide.How … [Read more...]
Estate Planning vs Will: Which Do I Need?
You may be wondering the difference between estate planning vs a will? But the truth is, the last will and testament is simply one of several tools used in the estate planning process. The purpose of estate planning is to provide the opportunity to prepare yourself and your family for death and the possibility of incapacity during your lifetime. There are several different options when it comes to estate planning. Choosing the right one will depend on your individual goals for the future. Your … [Read more...]
Addressing Capacity Issues in Your Estate Plan
Clients who are concerned about an elderly loved one whose behavior has changed or whose ability to accomplish everyday tasks has become more limited often have questions about capacity. Some common signs that your loved one may need formal assistance include trouble remembering to take medication or pay bills and disorientation. If you have any of these concerns, contact one of our Kansas City estate planning attorneys.What is capacity?The term “capacity” can be difficult to define as there … [Read more...]
How to Handle Estate Disputes Between Siblings
Estate planning involves more than just deciding who will receive your cash and personal property after your death. A mistake that some clients make is overlooking the potential for family disputes, particularly over heirlooms. Heirlooms often have more sentimental value than monetary value. Part of determining how to distribute your assets after death includes distributing heirlooms that need to be kept in the family and passed on through the generations. More importantly, it is important to … [Read more...]
Estate Planning: It’s Not Just About the Estate Taxes
When we plan our lives and our estates, it’s not all about the estate taxes. Of course, estate taxes should be taken into consideration, but there are many more important factors. That’s why the temporary doubling (until the end of 2025) of the amount which can be passed free of estate tax (to $11.18 million in 2018) does not remove the need for estate planning. Whether the exclusion amount is $5.59 million or $11.18 million is irrelevant to the vast majority of people.Here are some … [Read more...]
Incapacity Planning
People plan to die. We know it’s going to happen. Perhaps we have life insurance to cover our financial responsibilities and care for our loved ones. We may have a Will to divvy up our assets at death. It’s usually not something we look forward to. But, we know it’s going to happen.But, we don’t expect to become incapacitated. Nobody wants to be unable to manage their affairs. But, each year countless people become unable to manage them. For some, it’s a temporary illness or injury which … [Read more...]
