In recent years, strides toward equality have significantly improved the legal rights and recognition of LGBTQ+ couples. However, despite these advancements, there are still unique challenges and considerations that LGBTQ+ couples face when it comes to estate planning. 

In California, a state known for its progressive laws, it’s crucial for LGBTQ+ couples to navigate the complexities of estate planning to ensure their wishes are honored and their loved ones are protected.

Key Considerations for LGBTQ+ Couples’ Estate Planning

While same-sex marriage has been legalized nationwide in the United States since 2015, not all LGBTQ+ couples choose to marry or are legally able to do so. Additionally, some couples may have concerns about their rights being respected in states where their marriage may not be recognized. This makes estate planning essential for protecting assets, making healthcare decisions, and ensuring inheritance rights.

Documentation and Legal Recognition

For LGBTQ+ couples, it’s essential to have thorough documentation of their relationship and legal agreements in place. This may include wills, trusts, powers of attorney, healthcare directives, and domestic partnership agreements. 

These documents can help ensure that their wishes are followed in the event of incapacity or death, especially in situations where legal recognition of their relationship may be questioned.

Guardianship for Children in Estate Planning for LGBTQ+ Couples

Many LGBTQ+ couples have children, and estate planning allows couples to designate guardians for their children in the event that both parents are unable to care for them. This is especially important for non-biological parents who may face challenges in asserting their parental rights without proper legal documentation.

Protection from Discrimination

During the process of estate planning, LGBTQ+ couples may encounter bias from family members, healthcare providers, or even legal professionals. Working with an estate planner who is knowledgeable and supportive of LGBTQ+ rights can help ensure that couples receive fair and equitable treatment in the planning process.

Tax Planning in Estate Planning for LGBTQ+ Couples

Married LGBTQ+ couples are entitled to the same federal tax benefits as heterosexual married couples. However, state tax laws and regulations may vary, and unmarried couples may face additional tax implications. Strategic tax planning can help minimize tax burdens and maximize the value of assets passed on to loved ones.

The Importance of Legal Guidance

Given the unique challenges that LGBTQ+ couples face, seeking guidance from a knowledgeable estate planner is crucial. An experienced professional can help navigate the complexities of estate planning laws and ensure that couples’ wishes are legally documented and protected.

At Lonich Patton Ehrlich Policastri, our Estate Planning Practice Group offers comprehensive legal support across various areas, including estate planning, estate and trust administration, litigation, and probate. Our attorneys have expertise in the specific concerns of estate planning for LGBTQ+ couples, and will help you make the right decisions for you and your family. 

Contact LPEP today to schedule your free consultation. 

Disclaimer: This article does not constitute a guarantee, warranty, or prediction regarding the outcome of your legal matter.

Thanks to advances in technology and medicine, people are living longer, fuller lives. As a result, more people are caring for aging parents than ever before. One of the most important aspects of senior caregiving is financial planning to make sure your parents’ needs and long-term care are provided for. 

A great tool that you can use in financial planning is an estate plan. Many people think of estate planning as just writing a will to explain how you want your assets distributed after your death, but it’s so much more. 

The following article discusses what you need to know about estate planning and how it can help provide for the long-term needs of aging parents, including elder care.

What is Estate Planning?

Estate planning is the process of organizing your estate, which includes assets like your home, jewelry, cars, land, investments, retirement and savings accounts, as well as debts. A good estate planning professional can help you make important decisions about your finances, taxes, medical issues, and debts both for the present and the future. 

Working with your aging parents to get their estate in order helps ensure you know their wishes with regard to a range of issues if they become incapacitated in the future. They may want to set up a living will as part of their estate plan to outline their decisions in detail. Some questions to consider include:

• What types of medical procedures, healthcare interventions, or medications are acceptable?
• Who should have power of attorney to make legal and medical decisions on their behalf?
• What types of elder care and living arrangements do they prefer?

How Does Estate Planning Help with Elder Care?

Generally speaking, elder care is a term that encompasses a wide range of services and institutions that help seniors live comfortably and maintain as much independence as possible as they age. For instance, assisted living communities, in-home care, skilled nursing facilities, transportation services, meal delivery, hospice care, and adult daycare all meet the different healthcare, social, and other needs of senior adults. 

Once your parents have determined the best fit for them based on their health, needs, and preferences, estate planning can then help you explore options to make sure potential costs are covered, such as:

• Establishing a budget that takes into account present and future needs 
• Looking into long-term care insurance 
• Setting up a revocable living trust to enable a trusted individual to administer their estate and distribute assets on their behalf to cover care, if they become incapacitated

Talk to an Estate Planning Professional Today

The Estate Planning Group at Lonich Patton Ehrlich Policastri (LPEP Law) has a broad range of expertise in preparing estate planning documents, including living wills and trusts. LPEP also works with clients to maximize their current estate and minimize taxes, so they can thoughtfully enjoy the funds now while still preparing for the future. Whether you want to discuss your own estate planning needs or talk with us about your aging parents’ estate, you can call us today at (408) 553-0801 to schedule a free consultation. Let us help you protect your family’s future.

Disclaimer: This article does not constitute a guarantee, warranty, or prediction regarding the outcome of your legal matter.

There is no escaping death. We understand that, so we make sure to prepare a will and name beneficiaries to ensure our assets are distributed according to our wishes and that our loved ones will be taken care of financially. But what many people don’t plan for is the possibility that something will occur that will leave them incapacitated. Incapacity can result from a variety of situations, such as severe illness, injury, or cognitive decline. When a person becomes incapacitated, they may not be able to make important financial or health care decisions.

Therefore, it’s crucial that you name a power of attorney and a health care proxy to make decisions on your behalf when you cannot do so. And while they both have decision-making authority, they each serve very different functions.

Power of Attorney

A power of attorney (POA) is a legal document that authorizes another person (agent) to handle certain matters on your behalf (principal). In California, there are different types of POAs.

• A durable power of attorney can be general or limited but remains in effect if you become incapacitated.
• A general power of attorney gives the agent broad powers to act on your behalf. It allows the agent to take a wide range of actions, such as managing financial and business transactions and handling legal affairs. However, without the durability clause, the agent’s power ends if you become incapacitated.
• A limited power of attorney is used when you want to give only specific powers to the agent.

Considering the responsibility placed upon the POA, you should consider the following factors when making a selection:

• Choose someone you trust implicitly to act in your best interests
• Ensure the person is capable of handling complex financial matters and understands your assets and obligations.
• You will want someone who communicates effectively and can make your preferences known regarding financial decisions.

Health Care Proxy

A health care proxy is a legal document that designates an individual to make medical decisions for you if you cannot do so. Here are some things to consider when making your choice:

• Select someone who understands your values and preferences regarding medical treatment to ensure they will make decisions that align with your beliefs.
• The person you choose should be geographically accessible
• Your health care proxy will need to be able to communicate with medical professionals and should be capable of explaining your wishes and making informed decisions.

After you appoint your agents, it’s crucial to communicate your wishes clearly. Provide your POA with information about your assets, liabilities, income, and expenses. Discuss your values, beliefs, and preferences regarding medical treatments and interventions with your healthcare proxy.

It’s essential to seek legal advice when creating your documents to ensure their validity. Our lawyers at Lonich Patton Ehrlich Policastri can guide you through the process. We are experienced in all estate planning matters and can help you tailor your documents to meet your specific needs.

Contact us for a free consultation by calling 408-553-0801.

Disclaimer: this article does not constitute a guarantee, warranty, or prediction regarding the outcome of your legal matter.

Creating an estate plan is vital to providing financial security to your loved ones, establishing generational wealth, and ensuring your final wishes are carried out. When we consider our estate plan, we tend to think in terms of physical assets, such as real estate and personal property. 

However, as technology evolves, many of our assets only exist in a virtual world. Therefore, it only makes sense to establish an estate plan that covers our digital assets in addition to our physical ones.

What Are Virtual Assets?

Virtual assets are non-physical assets that can be traded or transferred digitally. They can be used for payment or investments. Examples of virtual assets include cryptocurrencies, such as Bitcoin or Ethereum, virtual goods in online games, digital arts, and other forms of digital property that are representations of real-world assets.

The value of virtual assets can fluctuate significantly and is often determined by factors such as demand, scarcity, and utility within their respective digital ecosystems.

Why Should You Include Virtual Assets in Your Estate Plan?

Virtual assets can hold both sentimental and monetary value. Including them in your estate plan ensures a comprehensive valuation of your wealth after you pass away. If they have significant value, such as cryptocurrency or frequent flyer miles (depending on the airline’s policy), they can help ensure your beneficiaries benefit from them.

You can also help preserve your legacy by having a plan to distribute NFTs, digital art, and other online content.

Some digital assets, such as social media, email, and online banking or payment accounts, are often tied to personal information and can hold financial benefits. If they are not included in your estate plan, there is the risk that they will be inaccessible after your death and lose any value.

Last, unmanaged digital assets can increase the risk of identity theft and fraud. Cybercriminals can exploit inactive user accounts, leading to potential financial and reputational damage.

Creating a Digital Estate Plan

Here are some steps you can take to ensure your digital assets are properly included in your estate plan:

1. Make a comprehensive list of all your digital assets. This includes online financial accounts, email accounts, social media profiles, digital collections (music, e-books, photographs), blogs, and cryptocurrencies.
2. For each digital asset, list the necessary access information. This might include usernames, passwords, security questions, and other required details for login.
3. Specify what you want done with each virtual asset. Do you want them transferred to another person, closed, or maintained? Would you like your digital collections downloaded and given to a specific person?
4. Your virtual assets will likely change and grow over time. Regularly review your inventory and update your estate plan to ensure nothing is left out.

Creating a digital estate plan to safeguard your virtual assets can be challenging. California’s Revised Uniform Fiduciary Access to Digital Assets (RUFADAA) allows for the management and disposition of your virtual estate. However, the laws are complex, so it’s best to discuss your estate plan with one of our attorneys at Lonich Patton Ehrlich Policastri. We have the expertise you need to create an estate plan that covers your physical and virtual assets. 

Contact us for a free consultation by calling (408) 553-0801. We will work with you to create a complete estate plan that ensures the fulfillment of your wishes.

Disclaimer: this article does not constitute a guarantee, warranty, or prediction regarding the outcome of your legal matter.

Estate planning ensures that your wishes, with regard to all your assets, are carried out after your death or if you become incapacitated. When most people think about estate planning, their minds immediately go to their tangible assets – house, car, jewelry, business, savings account, etc. For artists and other creators and innovators, though, estate planning should also extend to intangible assets like intellectual property and protecting the legacy of your artwork. 

Your intellectual property and artwork are unique assets that deserve special consideration. The following are some things to consider and some steps you can take to help make the process easier for your beneficiaries, minimize future legal issues, and preserve your legacy as you see fit. 

Choose A Reliable Executor

One of the most important decisions you need to make is who will be responsible for administering your estate on your behalf. When your estate includes artwork, it can be helpful to choose someone with expertise in this area. Certain intellectual property, especially patented ideas or products, require some maintenance like paying fees or re-filing with the U.S. Patent and Trademark Office after expiration. Your spouse, children, or other beneficiaries might not be equipped to keep up with the necessary paperwork and maintenance. 

Prepare Your Portfolio

To properly account for all of your creative assets, create a detailed inventory of your work. Be sure to include digital art, music, written works, photography, ceramics, paintings, etc. Make a note about where all of your art is located, including if it is publicly displayed, and how to access it and all related documentation (i.e., contact information of curators, passwords, keys, codes, files, etc.).  

If you have not already done so, have a professional appraise the value of your artwork. Once you know the monetary value, insure your artistic assets as well. Don’t forget to make a special note about any artwork that generates royalties for your estate.

Make sure that your chosen executor, as well as your spouse, your attorney, or anyone else you choose, has access to the catalog of your work, the appraisal, relevant documentation, and information about how to access your assets.

Consider Your Legacy

Some questions to think about as you consider your legacy include: 

• How do you want to be remembered? 
• What type of legacy and impact do you hope your art will have on the world at large and in the arts community? 
• Do you want to donate your works to charity or use them to set up a charitable fund for aspiring artists? 
• Should any income generated be used solely to support your family? 
• Who should control how your work is distributed in the future? Should it stay in the family?  
• Would you want any of your unfinished work to be completed by another artist? If so, who?

While it’s never easy to think about the end of our lives, having a plan in place can give you much-needed peace of mind that your legacy and your family will be protected in your absence.

Consult With An Estate Planning Expert

The attorneys at Lonich Patton Ehrlich Policastri (LPEP Law) have a wealth of experience in estate planning, estate and trust administration, litigation, and probate. They can guide you through this complicated process and go over all your options to determine what’s best for your unique situation, including minimizing the taxes on your estate and maximizing charitable benefits, especially if you choose to donate your art. Get started today. Schedule your free, 30-minute consultation with the experts at LPEP Law by calling (408) 553-0801. 

Disclaimer: this article does not constitute a guarantee, warranty, or prediction regarding the outcome of your legal matter.