Blog

14 Jan CHANGE IN RETIREMENT ACCOUNT LAWS AND INCREASED TAXES (SECURE ACT) LEAVES MANY BENEFICIARIES INSECURE

Posted at 19:45h in 401(k), 529 plan, Beneficiary, Disability Benefits, Divorce, End of Life Care Planning, Estate Planning, Long Term Care, Retirement, Special Needs, Special Needs Trust, Taxes, Trusts

Although the SECURE Act passage last month (which became effective January 1, 2020) covered 29 new provisions, the one provision likely to cause the most impact is the removal of “stretch” inherited IRA provisions to 10 years unless the beneficiary is an eligible designated beneficiary....

10 Jan SIX REASONS TO USE A TRUST PROTECTOR – AN EXTRA LAYER OF INSURANCE FOR YOUR TRUST

Posted at 19:44h in Beneficiary, Divorce, End of Life Care Planning, Estate Planning, Trusts

A trust protector is a person or entity appointed by the one who establishes the trust (the “trustor”) to protect the trust assets and beneficiaries in the event the law changes or circumstances change and the trustor is unable to make such changes. Here are...

24 Dec LADYBIRD DEEDS – WILL TITLE COMPANIES FOLLOW COURT RULES?

Posted at 15:56h in Assisted Living, Beneficiary, End of Life Care Planning, Estate Planning, Lady Bird Deed, Long Term Care, Medicaid Application, Medicaid Planning, Mortgage, Nursing Home, Power of Attorney, Probate Administration, Taxes, Transfer of Death

Ladybird Deeds are often used to protect a homestead from a Medicaid estate recovery claim as it avoids probate and are supposed to permit the grantor (the one who signs the deed) to reserve for the grantor’s life, the full possession, benefit and use of...

10 Dec “KNIVES OUT” CUTS TO CORE OF CERTAIN ESTATE PLANNING BASICS

Posted at 15:51h in Beneficiary, Dementia, Estate Planning, Long Term Care, Short Term Care, Transfer of Death

The recent popular murder mystery movie “Knives Out” delves into several key estate planning topics (such as Will contests and undue influence) during this whodunnit thriller. In the movie, a wealthy man changes his Will shortly before he was murdered. Since his family members feel jilted,...

30 Nov 2020 FINAL MAXIMUM RESOURCE LIMITS FOR SPOUSAL MEDICAID (HOW TO KEEP MORE FOR SPOUSE IF ILL SPOUSE NEEDS TO GO INTO NURSING HOME OR NEEDS CARE AT HOME)

Posted at 16:52h in Disability Benefits, Divorce, Estate Planning, Home Equity, Long Term Care, Medicaid Application, Medicaid Planning, Nursing Home, Social Security

The Texas Health and Human Resources has announced its final numbers in connection with long-term care Medicaid eligibility for year 2020. The final numbers are slightly different than projected as set forth in our November newsletter. As a result, we have edited that article with...

27 Nov BIG BAD WOLF (LONG-TERM CARE COSTS) CAN’T BLOW DOWN HOUSE MADE OF IRREVOCABLE TRUSTS

Posted at 16:47h in Asset Protection, Beneficiary, Estate Planning, Long Term Care, Medicaid Planning, Medicare, Power of Attorney, Probate Administration, Trusts

Irrevocable trusts are a tool commonly used by many who plan in advance to preserve resources if they desire governmental assistance to pay for long-term care costs. Although Americans are living longer resulting in increased need for long-term care, sales of long-term care insurance have...

26 Nov SUCCESS STORY OF THE MONTH – SAVING THE FAMILY MINERAL INTERESTS, COSTS OF CARE AND MORE

Posted at 16:33h in Asset Protection, Estate Planning, Home Equity, Lady Bird Deed, Long Term Care, Medicaid Planning, Nursing Home, Probate Administration, Success Story of the Month, Transfer of Death, Veterans

Elderly client, whose health is declining, owns a trailer and 11 acres that is treated as his homestead presently valued at around $55,000. He also owns 60 acres of undeveloped property where he would prefer to live which is much more valuable. The only other...

25 Nov HOME SWEET HOME – MEDICAID HOMESTEAD EQUITY (MAXIMUM VALUE) LIMIT INCREASED TO $595,000 FOR 2020

Posted at 16:27h in End of Life Care Planning, Estate Planning, Home Equity, Lady Bird Deed, Medicaid Application, Medicaid Planning, Mortgage, Nursing Home, Transfer of Death

As of January 1, 2020, the equity limit for a homestead applicant (who is single) for either the nursing home Medicaid program or “waiver” home care Medicaid program has increased to $595,000. Thus, if the home equity (the difference between the appraised value and any...

24 Nov JOINT BANK ACCOUNTS – A BLESSING OR A CURSE? NINE REASONS TO NOT USE A JOINT ACCOUNT

Posted at 16:09h in Asset Protection, Beneficiary, Estate Planning, Financial Powers of Attorney, Guardianship, Long Term Care, Medicaid Planning, Nursing Home, Power of Attorney, Probate Administration, Trusts, Wills

Joint bank accounts can be helpful in several ways, but such accounts can also be a trap for the unwary. A couple of the major benefits are as follows: Trusted joint account owner can pay your bills. Probably the most common reason for opening such accounts,...

23 Nov TRANSFER ON DEATH DEED VOIDED BY COURT

Posted at 10:00h in Beneficiary, End of Life Care Planning, Estate Planning, Lady Bird Deed, Long Term Care, Medicaid Planning, Nursing Home, Probate Administration, Transfer of Death, Wills

TRANSFER ON DEATH DEED VOIDED BY COURT The Fort Worth Court of Appeals has recently set aside a Transfer on Death Deed (an instrument that usually avoids court action for real estate to pass to a beneficiary) since a jury determined the deed was signed as...