brooklyn estate planning

Late-In-Life Divorce Challenges and Your Estate Plan

Published on: March 3, 2018 | by Ettinger Law Firm

Divorce is never an easy experience, no matter what age it occurs at. However, individuals going through a late-in-life divorce may be even more surprised at some of the challenges this experience can present. Many of the difficulties experienced by older individuals that make the choice to get divorced can have a significant impact on their estate plans. A recent article from Marketwatch.com provides some insight as to how a late-in-life divorce can impact your estate plan from those that have experienced it.

Difficult Job Market

While the economy may be on the road to recovery, history has shown us that can change at any moment. Even in the best of economic times, finding a job that can help maintain the standard of living you are accustomed to or want to experience can be very difficult at any age. According to individuals that provided commentary for the article, this is an exceptionally difficult task for older individuals. The problem may be compounded for spouses that have been out of the job market for a longer period of time, or who may not meet the educational requirements that many positions now demand.

Life Insurance and the Estate Tax

Published on: February 26, 2018 | by Ettinger Law Firm

There are a number of important factors to consider when it comes to comprehensive estate planning. Every family has unique needs, and every estate plan is different and designed in a way that best meets those needs. However, many estate plans include life insurance as an important component of ensuring loved ones are taken care of. While life insurance can be an important part of an estate plan, it is important to plan appropriately to make sure you can make the most out of your life insurance policy.

Life Insurance and Estate Tax

The new tax bill has raised the estate tax threshold quite a bit by doubling it to an individual threshold of $10 millions and a married threshold of around $20 million, with the actual number dependent in some part on inflation. The change in the law is not permanent, either. In fact, it will expire in 2025 absent further action by Congress.

Preventing Disagreements from Unraveling Your Estate Plan

Published on: February 23, 2018 | by Ettinger Law Firm

Comprehensive estate planning is challenging, and the process is unique for every couple and individual. Most people put a lot of time and energy into crafting an appropriate estate plan, including working with an experienced estate planning attorney to make sure that the estate planning mechanisms they want to put in place comply with applicable law and will accomplish the person’s goals for his or her assets. We have recently written about some warning signs that your estate plan may be at risk of being challenged, but there are steps you can take to minimize that risk.

Work with an Experienced Estate Planning Attorney

Preparation is key in estate planning. Not only can being prepared help you ensure that the assets you have worked hard for are secure, but it can also help you avoid unwarranted challenges to your estate plan. Working with an experienced estate planning attorney can help you make sure there are no legal loopholes in your estate plan and that it complies with both federal and state law. This in itself can help avoid may challenges to an estate plan. The earlier you start to engage in comprehensive estate planning, the less likely your estate plan will be challenged on technical and legal grounds because you can avoid many claims of undue influence or issues related to your state of mind when creating your estate plan.

The Importance of Digital Assets in Estate Plans

Published on: November 9, 2017 | by Ettinger Law Firm

Laws that address how a person’s estate should be divided after their death were created at a time when no one had anticipated the onset of the electronic era. Today, however, there are many important elements of a person’s life that involve digital files. Some of the most common examples include electronic bills that are not printed in paper form and profiles created through social media accounts that contain personal information.

It is critical that individuals who have important information that exists in digital form take proper steps to prepare their account in case of their unexpected demise. If these preparatory steps are not taken, individuals are at risk of having their assets or estate being divided in a manner that they might not have desires. This article will review some of the most crucial tips that should be followed during estate planning by individuals with digital assets.

Tip #1 – Adequately Record Account Names and Passwords

Tips for Planning End-of-Life Care

Published on: July 2, 2017 | by Ettinger Law Firm

Nobody likes thinking about serious illness, especially a serious illness that could lead to death. Unfortunately, such illnesses can cause massive financial difficulties for friends and loved ones which can in turn significantly deplete the assets you had been planning to leave to your heirs. The moral of the story is that, no matter your age, it is never too early to start planning for the potential need for end-of-life care. The following tips are adapted from a recent article on this topic found in USA Today, and they may provide you with some important concepts to consider when thinking about healthcare issues.

Be Explicit About Your Wishes

Telling people in passing how you hope to be cared for in case of serious illness is important, but it isn’t necessarily always enough. It is important to write down your wishes and be explicit about how you wish your health care to be handled. You should also work with your estate planning attorney to create documents such as health care proxy nominations and/or a living will that express your healthcare wishes in detail.

Estate Planning When You Do Not Have Children

Published on: June 30, 2017 | by Ettinger Law Firm

While comprehensive estate planning can certainly be a difficult process, there are some things that remain rather constant. Most parents will choose to leave the bulk of their estate to their surviving spouse and/or their children, with the surviving spouse typically leaving the remainder of the estate to children. However, it is not uncommon for individuals thinking about retirement and other aspects of estate planning to not have children and/or not be married. When those situations arise, many of those individuals find it challenging to determine how they would like to distribute their estate and to decide whom they should nominate to make important decisions. An experienced estate planning attorney can help you understand the myriad options available to you, and a recent article from CNBC can help you start exploring your options.

Shaping Your Will

According to the article, a 2016 survey indicated that 64 percent of Americans do not have a Will in place. While the survey did not focus on childless adults, it is safe to say that many of those individuals do not have a Will in place, either. When you die without leaving a Will, your state has a statute that determines to whom your estate will be distributed.

Choosing the Right Beneficiaries

Published on: June 28, 2017 | by Ettinger Law Firm

Typically, many people tend to think an estate plan only includes your Will. In today’s day and age, however, most people have a much more diversified estate plan than they realize. Your estate plan is far more than just your Will and includes things like trusts, investments, retirement accounts, and insurance policies. One of the challenges of comprehensive estate planning can be understanding how these assets work and to whom they should go to. Recently, Forbes explored the way several assets within a typical estate plan usually work and understanding this could be an important part of your estate planning decisions.

Wills and Trusts

Those selected to benefit from assets distributed through a Will may have to wait a little longer than if you were to use a trust or other vehicle to distribute such assets. Wills are required to go through the probate process to prove that they are valid and to make sure they comply with the law. Typically, assets within a Will cannot be touched until the probate process is complete. While the probate process in New York is easier than elsewhere, it can still be time-consuming especially for an individual that may need immediate access to the assets in your Will.

Empowering Your Power of Attorney

Published on: June 24, 2017 | by Ettinger Law Firm

Most individuals recognize the importance of comprehensive estate planning, although they may still choose to avoid it. One important part of your estate plan is your power of attorney (“POA”). Basically, a POA is a document that nominates an individual to make legal decisions for you in the event that you are unable to do so for yourself. You can choose the extent of the decision-making power you vest in the individual you have chosen by working together with an experienced estate planning attorney to determine how to best represent your goals. However, it is important to be aware of some of the pitfalls that could weaken your POA. According to a recent article from Forbes, the following tips may help you do just that.

Use an Experienced Estate Planning Attorney

Too many people decide to cut corners by using any number of online forms and legal information available for download. However, these forms are not tailored to a client’s individual needs, nor do they help you understand important aspects about making sure your POA and other estate planning documents meet the needs you have expressed. Designing your POA and other estate planning documents with an experienced estate planning attorney can help you make sure that your estate plan complies with the law. This can save you and your loved ones time, money, and stress down the line. With something as important as estate planning, you want to be sure that you

IRA Trusts as a Protective Measure

Published on: June 22, 2017 | by Ettinger Law Firm

Once an individual decides to engage in comprehensive estate planning, several concerns may arise. One of those concerns often involves leaving a large sum of money to an heir that may be facing financial difficulty or may not yet have the ability to budget in a responsible manner. In such cases, individuals likely still want to make sure that the heir in question is financially provided for, but may have serious concerns over whether or not the heir is able to utilize an inheritance in a reasonable manner. In such cases, CNBC notes that increasingly popular IRA trusts might be the solution to helping you make sure that an heir’s inheritance accomplishes the goal you want it to meet.

Basics of an IRA Trust

An IRA, or individual retirement account, typically comes in one of two forms: a traditional IRA or a Roth IRA. There are different tax structures in place for both types of accounts, but regardless of the type you choose these retirement accounts can often grow to include sizeable amounts of money over time. As these accounts grow, it is increasingly important for you to ensure that your comprehensive estate planning strategy makes the best use of them.

Non-Spouse IRA Inheritance

Published on: June 20, 2017 | by Ettinger Law Firm

We have written several aspects about the role IRAs can play in your comprehensive estate planning strategy, as well as several concerns that accompany them. Here, we will address the two common choices facing non-spousal individuals listed as heirs for an IRA account that is not slated to go to a trust for that individual heir. These two choices are to take a lump sum withdrawal or to keep the account invested. Each of these may have different consequences for an individual heir that are important for everyone to keep in mind.

Lump Sum Withdrawal

Non-spousal IRA heirs have the option to elect to make a lump sum withdrawal of the assets within the IRA. Choosing this option could be beneficial on several levels, such as enabling the heir to make use of a large sum of money for important large purchases like a house or renovations. It could also enable them to pay off otherwise crippling debts. However, inheriting a large sum of money all at once can carry complications, some of which are determined by the amount within the IRA as well as the type of IRA.