Generally, pet estate plans consist of more than who will care for the pet when you are no longer able. Expenses such as food, doggie day care, veterinarian bills / medication and needed home repairs, because of the pet, should also be considered. Those expenses can result in substantial costs over time.

Also, one-in-five of all respondents in the survey said they have financially planned for their pets’ future care:

38% said they added the pet’s future caregiver as a beneficiary to a life insurance policy.

35% added more coverage to their life policies.

-13% recently purchased annuities naming the pet’s caregiver as the beneficiary.

Many pet owners consider their pets as members of their family and many go to great lengths to make their pets’ lives enjoyable as possible. So, not surprisingly, many respondents stated that they would forgo other debt payments to ensure their dogs were taken care of properly.

Yet, most pet owners overlook end-of-life planning. Setting up a trust for a pet or a donation money to a local humane society or pet shelter are just a few of the options available.

A question many people consider before adding a new animal to the family is, “Can we afford it?” The price of an animal from a breeder can be high, into the hundreds and even thousands of dollars. A more affordable option is often available at a local humane society or rescue shelter. Here in New York, you can get an animal that has been thoroughly evaluated, spayed or neutered, and vaccinated – all for about $140. Annual costs of food, veterinarian bills, etc. are equally important to consider before making a pet a part of your family. Sadly, pets are often returned to animal shelters because the pet owners were unable to afford things like veterinarian bills.

Finally, inquire about pet insurance the next time you visit your veterinarian. Many clinics offer reasonable plans and staff members will be able to speak with you about the appropriate option based on the type of pet, breed, age and other criteria. Typically, policies cost as little as $15 a month, which is a huge difference compared to a $1,000 emergency bill. The average policy cost closer to $45 per month.

Simple steps, like the aforementioned examples, will ensure your pets are cared for properly and affordably. If you need help or guidance in developing a care plan for your pets after you pass on, please contact us here at the Law Offices of Jeffrey Weinstein 212-693-3737.

There’s nothing wrong with saving some dough by drafting your own estate-planning documents. You can find templates for basic wills and such online or in bookstores. But that should be followed with a review of those documents by an expert to insure everything is in order

Massachusetts estate planner Leanna Hamill, told AARP that, “Ninety percent of the online estate planning documents I see don’t do what the people think they’re going to do. I’ve seen people use online documents, documents out of estate-planning books or documents borrowed from friends. But they screw up their estate plan because they don’t understand the legal and technical aspects of the documents.”

Hamill told AARP that she knows of one client who signed a deed transferring his house to a trust but hadn’t properly created the trust. Thus, the deed had no effect. Another client’s confusion over the term “beneficiary” resulted in the immediate transfer of all his property to his children and required him to pay them an annual income, leaving his wife in the cold.

So even though you can do it yourself, err on the safe side and contact a professional like Jeffrey Weinstein 212-693-3737 for a free consultation.

Most Americans don’t keep track of their online assets like Paypal, Facebook, and merchant loyalty reward programs and chances are will forget to include them in their estate plans. By neglecting these things a it can cause hassles for beneficiaries, powers of attorney and executors.

One group of things that people tend not to think of are reward programs like frequent flyer miles. For example, Anthony Bourdain left his unused frequent flyer miles to his estranged wife and they were substantial. We suggest you write down all your digital assets including logins and passwords and store them when only someone you trust knows where they are.

If you find it all too daunting there are businesses popping up that will do it for you. One business is out of Durham, North Carolina called Back Up Your Life which their site says

We help you organize your life’s documents, details, and contingency plans. If you’re ready to be ready, let’s back up your life.

Then there are digital estate services, such as Everplans, which helps her clients by providing a digital archive of everything your loved ones need if you die or get into an accident and can’t communicate.

Among the things Everplans takes care of:

• Wills, Trusts, and insurance policies
• Important accounts and passwords
• Info about your home: bills, vendors, etc.
• Health and medical information
• Advance Directives and DNRs
• Final wishes and funeral preferences

There are a few instances where it would do you well to consult with an estate planning lawyer, like Jeffrey Weinstein Esq.or a health care professional.

Terms such as “artificial nutrition and hydration,” “persistent vegetative state,” and “incapacity” in the forms may leave you confused. A health care professional or lawyer can explain the terms you don’t understand and can answer any questions about how your documents work. Many hospitals and other health care facilities have representatives who can explain the basics of your state’s health care forms and help you complete them.

You might be worried that family members may not agree with your health care wishes or may even fight about your medical treatment. This is where a good estate planning lawyer can ease your concerns by making sure your wishes are clearly expressed. The lawyer can also double check your forms to be sure they are properly finalized and legally sound.

A qualified lawyer can also help you make health care documents as part of a comprehensive estate plan, including a will, living trust, or other documents you may need. While it’s usually possible to accomplish these tasks on your own, it much easier to put the job into a lawyer’s hands. If it’s a question of hiring a lawyer versus putting off doing it yourself, don’t procrastinate. Take steps to make these essential documents or get the help you need.

The first generation, thirty years after China embarked on a course that allowed individuals to accumulate wealth, is statring to die. This dieoff is creating a spike in inheritance disputes that are clogging up the courts and turning families against each other.

The problem has gotten so bad that even the ruling Communist Party is concerned.

“When people die without a will their children scramble for their property, damaging family ties and having a negative effect on society,”

According to the best estimates, only 1% of China’s 220 million seniors have estate plans, The reason is, in China talking about death and writing a will is the same as putting a curse on yourself.

Even the rich and educated often don’t write them.

Hu Xingdou, an economist at the Beijing Institute of Technology was quoted as saying. “China is entering a crucial period. If we don’t find a way to transfer wealth responsibly it will affect social stability.”

To solve this burgeoning problem, the government has looked to local town and villages to create free legal centers for those over 60. One lawyer, Chen Kai, has stepped up and created a charity called the China Will Registration Center which has processed over 40,000 wills in last year.

An article in the People’s Daily said 70% of inheritance cases in Beijing courts stem from the lack of a will. In the cases where a will is challenged, 60% are found to be invalid.

While the situation in the U.S. isn’t quite as bad, it is pretty serious. Experts say almost 60% of people don’t have wills. A we have written here before, depending on the size of your estate, you need at bare minimum, a will. If you need help planning your estate please call us, The Law Offices of Jeffrey Weinstein (212) 693-3737 for a free consultation regarding your estate needs.

Wherever the truth lies, what is happening to Aldrin is becoming more and more common and not just to the rich and famous. The exploitation of the elderly is growing and is vastly underreported.

Julie Schoen of the National Center on Elder Abuse told AARP, “It’s such a hidden crime. Within families, victims don’t want to prosecute. There’s a huge gap in our system when it comes to recording these crimes. We need better research. Ninety percent of perpetrators are family members or other people the victim knows well, such as caretakers, neighbors or friends.

Schoen suggests some ways to help protect you and your aged loved ones.

• When a person is still mentally sharp, help him or her make a plan that designates power of attorney and health care directives. “We tend to want to keep financial matters private, but if we don’t have those discussions, that’s what blows things apart.”
• Stay connected with older loved ones through regular phone calls, visits or emails.
• Develop a relationship with your parent’s caregiver. “They’ll be less likely to financially exploit Mother because they know you’re paying attention.”
• Become a “trusted contact” to monitor bank account and brokerage activity.
• Sign up for a service such as EverSafe to track financial activity and notify an advocate of unusual withdrawals or spending.
• Set up direct deposit for checks so others don’t have to cash them.
• Do not sign any documents that you don’t understand.

If you need legal help protecting an aging loved one, please call us here at the Law Offices Of Jeffrey Weinstein. (212) 693-3737.

New York doesn’t charge inheritance tax, but the estate tax comes with one big provision. Though December 31st of this year there is a $5.5 million exemption which means if the value of the estate is less than $5.5 million, the estate tax is waived.

That tax is in addition to the federal estate tax that hits individual estates worth more than $11,180,000 between gross assets and prior taxable gifts to pay within nine months of the individual’s death. You can get a six-month extension. But chances are you don’t have an estate worth $11 million. Only a few thousand people do.

New York estate property categories

There are only two categories in New York: personal property and real property, Real property is what you probably think it is; land and houses. Personal property is everything else. New York is not a community property state so the surviving spouse doesn’t automatically inherit the deceased’s property.

It does, however have what they call a spousal right of election when deciding on inheritances for spouses. This law states that should a spouse pass away, his or her spouse will receive an “elective share” of $50,000 or one-third of the decedent’s estate. Should a spouse not receive this elective share, he or she has the right to file for it as long as it’s within a six-month window after an executor for the estate has been named.

Importance of a will

If you die with a will in New York things are normally pretty straight forward, but it will still need to go through probate and people can challenge the will. There are ways to avoid probate and the Law Offices of Jeffrey Weinstein can help you avoid probate.

The State entitles surviving spouses who have disinherited them to a piece of their estate. But this is limited to non-probate assets, such as property held in joint tenancy or a jointly held brokerage account paid on death to beneficiaries.

Dying without a will

An administration proceeding is the most common legal event that occurs in New York if you die without a valid will, but you own property. If when you pass away you don’t have a will, your estate consists of either jointly-owned or no real property, and your personal property is worth less than $30,000, you must file as a small estate.

Without a will, if you only own real property, it goes to your nearest relative.

There are other issues involve in estate planning and the law offices of Jeffrey Weinstein (212) 693-3737 can help you navigate the process to lessen the hassle for you and your heirs.

A health car proxy is also known as a health care power of attorney. A living will allows you to designate some to make medical decisions on you behalf if you can’t do it yourself. A living will expresses your wishes for end of life care. You should have both.

Also, in New York State a healthy care power of attorney or your health care agent is a separate from a power of attorney. Your health care agent ─ or agent, for short ─ will have the authority to make life and death decisions for you according to your wishes. Make sure that the person you pick is willing to be your agent.

When you ask someone to be your health care agent, you should think about several things. For example, usually it is best to name one person as your first choice. Then choose at least one back-up agent, in case the first person is not available when needed. Here are some tips on what not to do:

DO NOT choose your health care providers or the owner or operator of a health or residential care facility that is
currently serving you.
DO NOT choose a spouse, employee, or spouse of an employee of your health care providers.
DO NOT choose anyone who professionally evaluates your capacity to make decisions.
DO NOT choose anyone who works for a government agency that is financially responsible for your care (unless that person is a blood relative).
DO NOT choose anyone that a court has already appointed to be your guardian or conservator.
DO NOT choose anyone who already serves as a health care agent for 10 or more people

Who to choose?

Choose someone who will talk with you now about your wishes, who will understand what you want and your priorities about health care, and who will do as you ask faithfully when the time comes.

Choose someone who lives near you or could travel to be with you, if needed.

Choose someone you trust with your life. Choose someone who can handle conflicting
opinions from family members, friends, and medical personnel.

Choose someone who can be a strong advocate for you if a doctor or institution is unresponsive.

If you need guidance for any of these issues, please contact our law offices at (212) 693-3737.

Today, funerals are becoming the way for the rich to flaunt their wealth. Along with lavish weddings and over-the-top birthday parties, funerals have become a way for the rich to flaunt their wealth one last time.

William Villanova, general manager of Frank E. Campbell Funeral Chapel, New York’s “undertaker to the stars.” told “Accounting Today, “Whatever we can do that is legal, lawful and in keeping with the integrity of our profession, we will do.”

CEO Nigel Lymn Rose of the U.K.-based A.W. Lymn funeral home said, custom-made Rolls-Royce Phantom VII hearses and a fleet of 25 matching Rolls-Royce sedans are sought-after internationally.

He also told Accounting Today, “I get inquiries from people who have always driven Rolls-Royce’s and want their final journey to be in a Rolls-Royce. They “want to make a statement: Ride it in life, ride it in death.”

Accounting Today also told of the recent funeral of a fashion designer they did not name, where they assembled 120 gospel singers who performed as the casket was carried from the hall. A marching band performed at one service, and Lincoln Center’s Alice Tully Hall was covered in blue hydrangeas to mirror the deceased’s Hamptons home.

Businessmen and billionaires are often aggressively competitive in life “and that doesn’t end when they think they’re going to die,” said Ted Klontz, a Nashville, Tennessee-based financial psychologist.

If you follow in her footsteps could mean your loved ones won’t receive the inheritance you intended; disbursements could be long-delayed; ugly family squabbles may ensue; and your estate might owe additional taxes and your financial life will become a public record. If you have a special needs child, he or she may wind up losing some government benefits.

Many Americans don’t have a will or a living trust. A 2017 survey by Caring.com found that only 4 in 10 adults do. The study noted 64 percent of Gen Xers and 42 percent of boomers don’t have a will. The top reason for not taking these easy estate-planning steps, according to survey respondents: they “hadn’t gotten around to it.”

Chances are you don’t have anywhere near Franklin’s reported $80 million. But the actual dollar value isn’t the point. It’s about making sure your loved ones receive what you want the way you want them to.

If you don’t have a will, your estate will wind up in probate court, which means it will become public for anyone to see.

In Franklin’s case, the feds will take a big bite, too. There’s a 40 percent estate tax on an estate’s assets over $11.18 million (the exception to this: money or assets left to charity). If Franklin’s estate truly is worth $80 million, the Internal Revenue Service will snag $27.5 million of that.

Get a will for Pete’s sake. You can do it online but your better off having a real attorney to make sure it is totally legal. If you don’t have a will, your estate will wind up in probate court, which means it will become public for anyone to see and create hassles for your loved ones.

What about New York? In 2017, New York State increased the tax exemption to $5,250,000 which will be in effect until the end of 2018. In 2019 the exemption will increase to over $5.6 million and will increase each year.

A common estate planning trick for married couples is to fund a trust with the maximum amount that can pass free of federal estate tax with the rest of the estate being sheltered by the unlimited marital deduction, resulting in no estate tax due on the death of a spouse. However, New York has decoupled its exemption from the federal exemption, and that forces couples to make a decision. If at death, the he or she wants to put the total amount they are able to pass free of federal estate tax into a trust they will incur a New York estate tax. Or, they can fund the trust with only the amount that can pass free of both New York and federal estate tax in order to not incur any estate tax on the first death. Although decoupling is not new to New York residents, the new laws significantly impact the way New Yorkers decides to structure their estate plan.

With the passage of the new tax law and increased federal estate tax exemption, the cost of decoupling is bigger than ever. An estate plan which directs the full amount that can pass free of federal estate tax into a trust will incur $1,258,800 in New York estate taxes in 2018.

More income can also push you into a higher tax bracket and that can trigger Medicare surcharges.

For more details read this article at Kipplinger.

And what about longevity? Non-smoking 65-year-old women have a 50% chance of reaching the age of 88, while their male counterparts have the same chance of living for 20 more years, says Kipplinger.com

So you should get long-term health care coverage, plan for incapacity and avoid probate and estate plan to lessen your tax burden. Kipplinger suggests, “Estate planning techniques such as credit shelter trusts, giving assets away during your life, or even changing the state in which you live, can help minimize the impact of these taxes.”

Alicia Johnson, 48, argued that the biological father, 53 year-old Marcus Crumble, her first cousin, didn’t deserve a cent because he raped her when she was 15 and never helped financially with the son who was born as a result of that rape.

Circuit Judge David Borowski agreed with her, writing,

“The Court has seen far too many absent fathers in this community. Out of wedlock births, where a ‘father’ both literally and figuratively abandons a child are a scourge.

“Under the tragic facts and circumstances of this case, including the fact that Mr. Crumble committed both statutory rape and incest, this Court will not allow a six-figure windfall to be awarded to Mr. Crumble.”

However, Crumble was awarded the amount he chipped in for the funeral. Crumble rekindled somewhat of a relationship with his son, Brandon Johnson, after he graduated college.

Borowski wrote, that anyone 18 years old could create a will and direct their estate not go to an abandoning parent. But noted that very few unmarried people without children under 30 actually create a will.

He wrote the equitable powers of the probate court allow him to find that allowing Crumble half of the settlement would amount to unjust enrichment.

Borowski ordered the estate’s special administrator to pay Crumble only the amount he spent for Brandon’s funeral, give half of the remaining $837,000 to Alicia Johnson, and keep the balance for 90 days, or longer if Crumble appeals.

With that in mind here ar three ways to avoid probate.

Establish a Living Trust

A living trust is a great way to avoid probate. What you do is transfer ownership of the assets you intend to bequeath into the trust. While there are cots an time involved in setting up a trust, it’s much easier than dealing with probate.

Give Assets Away

If you have a bunch of assets just sitting around waiting for you to die, you might want to consider giving them away to friends, relatives or charities.

Name Beneficiaries in Bank and Investment Accounts

It may seem like a no-brainer, but many people don’t name beneficiaries on their bank or retirement accounts.

All you need to do to get started is to fill out the payable on death forms that your brokerage company or bank can provide. If you are married, some of these accounts may be partially owned by your spouse. By taking the time to fill out the forms, you can make sure the proceeds are immediately dispersed at death without having to pass through probate, saving your heirs a lot of time and hassle.

The cause, according to experts comes from a 30-year shift of a financial risk shift from government and employers to individuals who now burden a greater share of their financial well-being as government help shrinks.

The Times reports the transfer has come in the form of longer waits for social security benefits, the replacement of pensions from companies to personal 401(k)s and more spending on health care.

The paper based their reporting on a study by the Consumer Bankruptcy Project who explain that older people whose finances are precarious have few places to turn.

“When the costs of aging are off-loaded onto a population that simply does not have access to adequate resources, something has to give,” the study says, “and older Americans turn to what little is left of the social safety net — bankruptcy court.”

Deborah Thorne, an associate professor of sociology at the University of Idaho and an author of the study is quoted saying

“You can manage O.K. until there is a little stumble,” said “It doesn’t even take a big thing.”

The study says “bankruptcy can offer a fresh start for people who need one, but for older Americans it “is too little too late.” By the time they file, their wealth has vanished and they simply do not have enough years to get back on their feet.”

Ailsa Chang of NPR has an interview with Thorne, here.

So, no matter what your will says, the payouts from these products will go to the beneficiaries you designated when you filled out the forms, even if that was decades ago. That’s why it is important that you review beneficiaries regularly and choose contingent beneficiaries as backups, just in case. For example, you probably don’t want any of your estate to go to a former spouse so you need to make sure you update any documents that name them as a beneficiary.

For most people this should be enough, but for for those substantial assets it might be be best to set up a trust(s). By doing this you can exercise more control, minimize taxes and avoid potential challenges by heirs.

The best part of a trust is they don’t go through probate and are not public record, making the settling of an estate less complicated and less prone to legal challenges. Of course you will need to contact an attorney to decide what type of trust is best or you.

There are ways to deal with these conflicts to resolve differences without going to court. The best advice is for parents to do estate planning, which includes preparing a Last Will and perhaps a Trust document. Preparing a personal letter(s) to heirs explaining one’s intention prior to death is an excellent idea but rarely followed.

A Will challenge can be based on three things:

1. The will is defective on its face; the will may be missing essential elements.
2. Incapacity, the deceased did not have testamentary capacity to make a will.
3. Undue influence.

A valid Will must be witnessed by two disinterested parties. A challenge of incapacity must be based on medical records and medical conditions at the time the Will was executed. Undue influence is difficult to prove unless a new will was created in favor of a non-family member when the decedent was ill or infirm. When a conflict arises between siblings, a cross petition and or an objection to Probate/Administration may be filed. Extensive discovery proceeding may uncover clues to the decedent’s testamentary intentions.

In many cases, a resolution may be reached in a court supervised settlement conference. Our law office has extensive experience reaching out of court settlements, resolutions of disputes between once “close” family members.

First, a revocable living trust is a written agreement designating someone to be responsible for managing your property, It’s a living trust because it’s established while you’re still alive. It’s “revocable” because, as long as you’re compos mentis, you can change or dissolve the trust at any time for any reason. Usually, a living trust becomes irrevocable when you die.

The way it is usually set up is that you name you and your spouse would name yourselves as trustees so you can have control over your assets. You can do what you want with them.

What are the limits of a living trust?

A living trust can provide you with peace of mind knowing that your money and assets are safe in the scenario where you become unable to handle your own affairs. In certain cases it can eliminate the need or powers of attorney.

What it can’t do is protect itself from a disgruntled heir. Santa Monica attorney Jeff Condon told AARP, “A living trust can resolve some of the most common family conflicts that may arise in the inheritance arena.” However, a dissatisfied heir an still challenge the trust in court just like a will.

Who are the other trustees?

Well, we settled that the first two trustees will be you and your spouse. After th two of you you wlil need to nam sucessor trustees. Most likely, those would be you children. But if you don’t think your kids will do what you want, you can name anyone as a fiduciary professional such as bank department.

How do you fund the trust?

The good news is you don’t have to put any money into the trust when you set it up and pretty much there is no work involved. You can take assets out or a them without consulting you attorney.

Do you need an attorney top set up a trust?

While you don’t need an attorney to manage your trust. You do need one to set one up. We can regale you with horror stories about people who set up their own badly done trusts.

Is a revocable living trust right for me?

It may or may not be you need to weigh the advantages and disadvantages. For simple estates with few assets, it may not be since setting up a trust involves more money than a will. We suggest you consult with a competent financial adviser to help you decide.

In Notice 2018-61, the IRS and Treasury say they plan to release regulations to provide clarification on the effect of section 67(g) of the tax code on the deductibility of certain expenses described in section 67(b) and (e) that are incurred by estates and non-grantor trusts.

One way some wealthy peeople are getting around the new law is by setting up limited liability companies for their residences in high-tax states such as here in New York and then transferring interests in them to separate trusts set up in low-tax states like Alaska, where each trust can claim up to a $10,000 deduction for property taxes.

Four northeastern states have sued the govt over the new law as we wrote about here: 4 Northeastern states sue Trump administration.

Dishonest living trust salespeople prey on seniors’ fears that after their deaths, their life savings and assets will be stolen by the government or by predatory probate attorneys. These salespeople use high-pressure tactics and deceptive claims to coerce vulnerable seniors into buying a product that many of them don’t need.

Seniors may be bombarded with advertisements, phone calls, and pitches from door-todoor salespeople insisting that living trusts are the keys to eliminating problems in estate planning. This may be true for some. For others, buying a living trust is simply a waste of limited resources.

The Center also warns that seniors may be flummoxed by constant phone calls, direct mail ads and door-to-door salesmen insisting that seniors need to buy a living trust. For some people it’s a good idea, for other not so much. For some people a living trust might just be a waste of resources.

Senior citizens might also not be that well-versed in trusts an estate planning issues and may rely on the sales pitches of the scammers. Those folks can fall victim to predators like trust mill operators who use estate planning as a pretext to sell expensive and unsuitable insurance and other financial products to seniors.

Know Your Terms

What is a trust? A trust agreement is a document that spells out the rules that you want followed for property held in trust for your beneficiaries. Common objectives for trusts are to reduce the estate tax liability, to protect property in your estate, and to avoid probate.

Living Trust: A living trust is a legal document created by you (the grantor) during your lifetime. Just like a will, a living trust spells out exactly what your desires are with regard to your assets, your dependents, and your heirs. The big difference is that a will becomes effective only after you die and your will has been entered into probate. A living trust bypasses the costly and time-consuming process of probate, enabling your successor trustee (who fills basically the same role as an executor of a will) to carry out your instructions as documented in your living trust at your death, and also if you’re unable to manage your financial, healthcare, and legal affairs due to incapacity.

Will: Sometimes called a “last will and testament,” a will is a document that states your final wishes. It is read by a county court after your death, and the court makes sure that your final wishes are carried out.

Probate: Probate is a process for determining heirs, paying creditors, and distributing assets. You can’t avoid probate with a will. Any contractual asset (bound by contract) payable to the estate of the owner must go through probate court. Probate only applies to individual or jointly owned property. Learn how to avoid probate by visiting our main site, https://jlwlawoffices.com

What seniors need is expert advice on whether trusts are suitable for their estate and whether they would benefit from one. Our advice is to be wary of anyone who contacts you offering estate services.