estate planning Archives - Page 4 of 9 - Lonich Patton Ehrlich Policastri

What to Prepare Before Meeting Your Estate Planning Attorney

January 30, 2014/0 Comments/in Estate Planning /by Lonich Patton Ehrlich Policastri

So you’ve decided to set up an appointment with a trusted estate planning attorney – now what? There are a few things you should consider before visiting your estate planning attorney in order to make best use of your initial consultation. They include:

Know your family members.
- Though it sounds rather obvious, really know your family: your spouse’s Social Security number, your children from your previous marriages’ birthdays, when your former marriage ended, your ex-spouse’s children, and so on.
- Do you have a prenuptial or post nuptial agreement? If so, you’ll want to bring a copy with you to your appointment.
Know your assets and debts.
- Real property, stocks, bonds, and savings accounts.
- Do you own a business? Know what type of business you own (sole proprietorship, limited partnership, limited liability company, or corporation) and any agreements or licenses associated with the business.
- Have an idea of the value of your personal property: automobiles, boats, planes, artwork, jewelry, coins, and other valuable items.
- Assets include retirement benefits and life insurance.
Know who you intend to be your beneficiaries.
- This is arguably the main purpose for meeting with your estate planning attorney – so the attorney can help you put in writing who you’d like to have your property when you pass. Know who you want to take your real property, your personal property, your cash, your stock options, and so on.
- Conversely, know who you don’t want to take your property. When your will is probated, you want no room for question as to whether a beneficiary was not included because you forgot about them (and you actually meant for them to inherit certain property) or rather, the beneficiary was rightfully not included because you intended to leave that individual out.
Know who you want your trustee, child guardians, property agent, and healthcare agents to be.
- This is one of the most important components of estate planning. These individuals will help execute your will or help make end-of-life decisions for you should you become unable to do so. Take good care in who you choose to appoint to these positions, and be sure to advise them of their role so they can best prepare themselves and know what choices to make if and when they need to make them for you.

Estate planning is a highly complex area of law. If you are interested in creating an estate plan or have any questions regarding your current estate plan, please contact the experienced estate planning attorneys at Lonich Patton Ehrlich Policastri for further information. The attorneys at Lonich Patton Ehrlich Policastri have decades of experience handling complex estate planning matters, including living wills and trusts, and we are happy to offer you a free consultation.

Please remember that each individual situation is unique and results discussed in this post are not a guarantee of future results. While this post may detail general legal issues, it is not legal advice. Use of this site does not create an attorney-client relationship.

Creating a Will: Say What You Mean

November 4, 2013/0 Comments/in Estate Planning /by Lonich Patton Ehrlich Policastri

Writing a will has got to be easy. You just list your property and decide who receives what, right? Not necessarily. In reality, the process of writing a will is not that simple. Generally, a will is only interpreted once the author is no longer with us; if the language of your will is unclear, or your loved ones believe that you didn’t really mean what you said, chaos can ensue.

For example, in one California case,* a woman created a handwritten will that left a ten dollar gold piece and her diamonds to her niece. Everything else that she owned, all real and personal property, was left to a close family friend—and Roxy, her Airedale Terrier. Since property cannot be left to an animal, the author’s loved ones took the will to Court. The family friend argued that the deceased intended to leave all of her real and personal property to him, while the niece argued that she should get Roxy the terrier’s half as the deceased’s sole heir. Since the document itself was silent as to what she wanted to happen in this situation, the Court had to determine what the author meant to say.

If the Court determines that, after looking at the facts of your case, the language of the will is susceptible to two or more meanings, outside parties are allowed to present evidence to prove what the author meant to say. This means that the author of the will loses control over the document. In the case mentioned above, the family friend received half of the property and the niece received the other half. It is anyone’s guess as to whether the deceased would be happy with that result.

If you want to avoid that type of loss of control, it is best to speak to an attorney. An experienced estate planning attorney can help you develop a will that is clear and unambiguous. Also, an attorney can help you determine what will happen if your chosen beneficiary passes away before he or she can receive the property. There are many situations that can complicate the way your will is interpreted, and it is best to think ahead and be prepared.

Wills can have a lot of moving parts; make sure you get the best advice possible. The attorneys at Lonich Patton Ehrlich Policastri have decades of experience handling complex estate planning matters including wills and living trusts. If you are interested in developing an estate plan or reviewing your current estate plan, contact the experienced estate planning attorneys at Lonich Patton Ehrlich Policastri for further information.

Please remember that each individual situation is unique and results discussed in this post are not a guarantee of future results. While this post may detail general legal issues, it is not legal advice. Use of this site does not create an attorney-client relationship.

*In re Estate of Thelma L. Russell, 69 Cal.2d 200 (1968).

You Only Die Once: How To Avoid Gandolfini’s Estate Planning Errors

August 8, 2013/8 Comments/in Estate Planning /by Lonich Patton Ehrlich Policastri

Poor James Gandolfini. Actually, poor everyone involved in the Gandolfini case. That is, except for the IRS. Due to the fact that Gandolfini (of The Sopranos’ fame) had some major missteps in creating his estate plan, the IRS could easily be the lucky recipient of up to 55% of his $70 million estate, leaving little left for his wife and daughter.

We can’t fault the guy too much—at least he had a will to speak of. However, he is probably the victim of bad advice because his will really is what everyone says—a tax nightmare. His will left 80% of his estate to his sisters and infant daughter, which doesn’t sound terrible, but it actually is. Gandolfini could have left 100% of his estate to his wife tax-free by taking advantage of the marital deduction. Instead, the widowed Mrs. Gandolfini will only be left with something in the neighborhood of $10-14 million. Sadder still is that the federal government will walk away with $30 million of what Gandolfini’s daughter and sisters were promised. The worst is that this could have been easily avoided by putting the proper documents in place.

How exactly, then, does one go about creating an iron-clad estate plan? Foresight is first and foremost, obviously. Beyond that, however, here are some great steps Gandolfini could have taken* that would have saved his family millions:

Use trusts to protect your family and your privacy. Trusts don’t have to be complicated (they can be as simple as a common will), but they can really pay off since trusts are private. By having a will, your family will be forced into Probate Court and your will is going to become a part of the public record. Even if you are not in the public eye, your family will appreciate the simplicity that trusts can offer as they grieve.
Remember that tax implications will make a difference. Even if you are not a Sopranos star, you should have taxes in mind. Otherwise, you may be giving your hard earned money away to the government when you’d really like your family to enjoy it. By setting up various trusts or by leaving the lion’s share of his estate to his wife tax-free, Gandolfini could have instructed either the trustees of his trust or his wife to make small cash gifts to various named individuals over time (the government allows each person to give $14,000 per year per person untaxed). By giving large lump sums of cash to individuals that were not his spouse, Gandolfini opened the door for the devastating 55% death tax.
But Remember, Taxes Aren’t Everything. Like Gandolfini, if you want to give a large sum of money to a non-spouse, taxes might be inevitable. However, by working with a knowledgeable estate planning professional, there are ways to make sure your family will get the best bang for your buck perhaps by moving funds through a trust which will disperse money as necessary for living expenses, education, and travel without the pain of estate taxes.
Take The Age of Your Child Into Consideration. Does your eight-year-old know what to do with $10 million dollars? Of course not, and she probably won’t know how to invest her money or protect her wealth at age 16 or 21, like Gandolfini’s daughter, either. There are ways to set conditions on how and when your beneficiaries can receive their wealth. Perhaps you can add a clause to your will or trust which states your child can receive part of their inheritance for college expenses but will receive the remainder after graduation. With a trust, you can leave the tough decisions and investment strategy up to an experienced trustee who may be able to stretch your child’s inheritance further than you ever imagined.
Foreign Property Can Be Complicated. Gandolfini’s wish was to leave a fifty percent interest in his Italian property to each of his two children. However, Italian inheritance laws may trump American laws in this situation, forcing a share of the property onto his wife. Of course, this outcome could be worse, but it is imperative to get sound local advice so that you cover your bases incase foreign law comes into play.

This abbreviated list highlights the sticky issues that can come about if your estate plan is incomplete. You’ve spent your life working hard for your money; do what you can now to make sure your money is available to provide for your loved when you no longer can.

Estate plans can have a lot of moving parts; make sure you get the best advice possible. The attorneys at Lonich Patton Ehrlich Policastri have decades of experience handling complex estate planning matters including wills and living trusts. If you are interested in developing an estate plan or reviewing your current estate plan, contact the experienced estate planning attorneys at Lonich Patton Ehrlich Policastri for further information.

Please remember that each individual situation is unique and results discussed in this post are not a guarantee of future results. While this post may detail general legal issues, it is not legal advice. Use of this site does not create an attorney-client relationship.

*Originally found on Forbes.com, “6 Estate Planning Lessons From James Gandolfini’s Will,” used with permission by author Robert W. Wood found at: http://www.forbes.com/sites/robertwood/2013/07/20/key-lessons-from-james-gandolfinis-will/

What Happens to Your Facebook Page When You Die?

August 2, 2013/0 Comments/in Estate Planning /by Lonich Patton Ehrlich Policastri

Have you ever wondered what will happen to your Facebook page after you die? Or any of your other social media outlets, for that matter? Who can “retweet” from your Twitter account when you pass away? Who can access your Flickr photo albums? Who can look through all those old emails you saved? What about those photos you set on private – can that content still be downloaded?

Facebook has over 650 million users, Flickr hosts over 6 billion images, and Twitter users collectively “tweet” over 95 million times per day.* Although the executors of wills and estates have been around for centuries, digital will executors are also becoming more popular, as our lives now heavily involve (and often, revolve around) social media and technology. With an ever-increasing internet presence during our lifetimes, a new concern arises: our internet presence after our lifetimes. Just as a traditional will dictates where our property is dispersed following death, a social media will is a useful tool to help our loved ones determine how to dispose of our digital assets after we pass.

The United States government’s blog** suggests the following steps to consider when creating your social media will:

First, compile a list of all your digital accounts. Your digital accounts include email accounts, social networking accounts, photo accounts, bank accounts, and video accounts. You will need to provide enough information for an executor to access these accounts – this includes sensitive information including usernames, passwords, and pin numbers.
Second, write a clear statement of how you want your online identity to be handled. Your social media will operates much like a traditional will by allowing an executor access and power to handle your digital assets in the way you choose. For example, perhaps you want a certain account closed entirely, another account partially accessible, and another placed on private settings.
Third, appoint your digital executor. Find a trustworthy individual to be responsible for closing or maintaining your accounts. This individual also needs to have access to a copy of your death certificate because many websites will need to verify the executor’s power to act on your behalf.

Unfortunately, (or perhaps fortunately), nobody knows when they will need their digital assets managed for them. Therefore, much like a traditional will, the best time to put things in order is now – so that when the time comes, your executor will be able to carry out your “digital after-life” in precisely the way you want. If you are interested in managing your digital assets or appointing a digital will executor, please contact our experienced estate planning attorneys at Lonich Patton Ehrlich Policastri. Our attorneys have decades of experience handling complex estate planning matters, including wills and living trusts, and we are more than happy to offer you a free consultation.

Please remember that each individual situation is unique and results discussed in this post are not a guarantee of future results. While this post may include legal issues, it is not legal advice. Use of this site does not create an attorney-client relationship.

* http://www.searchenginejournal.com/the-growth-of-social-media-an-infographic/32788/

** http://blog.usa.gov/post/22261234875/social-media-will

Can A Will Written on a Tablet Be Valid?

July 30, 2013/0 Comments/in Estate Planning, Probate /by Lonich Patton Ehrlich Policastri

Apparently so, according to Ohio Probate Judge James Walther. Last year, Javier Castro needed a blood transfusion but chose to refuse the health care because of his religious beliefs. Unable to find a piece of paper and pen, Castro wrote and signed his will with a stylus on his Samsung Galaxy tablet while his brothers watched – and it’s valid. Judge Walther explained that Ohio law requires wills to be written, signed, and witnessed (much like in California) and technically, Javier’s electronic will met each of those requirements. Does this mean you should consider drafting up a will on your tablet right now and forego that visit to your estate planning attorney? Probably not.

The requirements for a valid will in California are quite similar to those in Ohio. In California, a will must be in writing, signed, and witnessed by two individuals in the presence of the testator.* However, unlike in Ohio now, there is limited case law regarding the validity of electronic wills. In fact, very few states have addressed the issue.**

You might be wondering: so many aspects of our lives nowadays are electronic – from bills to communication devices – so why shouldn’t my will be electronic as well? Why are there so many guidelines to creating a proper will? Having an appropriately designed and executed will ensures your wishes are carried out in the manner you intended them to and decreases the possibility of fraud. With little to no law to rely upon, until the California legislature develops a statute addressing what is required of an electronic will, it would be anybody’s guess whether your Samsung tablet will would be considered valid and probated in this state. Therefore, until that happens, it would be prudent to continue creating your will the traditional way – with your estate planning attorney.

If you are interested in creating an estate plan or have any questions regarding your current estate plan, please contact the experienced estate planning attorneys at Lonich Patton Ehrlich Policastri for further information. The attorneys at Lonich Patton Ehrlich Policastri have decades of experience handling complex estate planning matters, including living wills and trusts, and we are happy to offer you a free consultation.

Please remember that each individual situation is unique and results discussed in this post are not a guarantee of future results. While this post may detail general legal issues, it is not legal advice. Use of this site does not create an attorney-client relationship.

*Cal. Prob. Code §§ 6110 – 6113.

**Nevada is one of the few states that have statutes concerning electronic wills (http://statutes.laws.com/nevada/title-12/chapter-133/execution/133-085).

Advanced Health Care Directive: Are You Prepared for the Unthinkable?

July 2, 2013/0 Comments/in Estate Planning /by Lonich Patton Ehrlich Policastri

No one likes to be powerless, but isn’t it inevitable? Unfortunately, old age, illness, or tragedy will surely reveal itself in each of our futures in some way or another. Instead of waiting helplessly, hoping that you will never live a day in your life incapacitated, you can create a legal document that will ensure that your rights, dignity, and wishes will be protected if you ever become incapable of making or communicating decisions regarding medical care.

An advanced health care directive is a durable power of attorney and performs much like a living will. A power of attorney is a legal document used to appoint another person to make property and/or health care decisions on your behalf. It allows you (the principal) to grant authority to your appointed agent (also called your attorney in fact) to manage your financial matters or health care needs. This durable power of attorney for health care appoints an attorney-in-fact to make health care decisions based upon your specific and spelled-out wishes in the event that you become incapacitated. For example, a health care power of attorney allows you to express your wishes regarding life-sustaining treatment should the need for such treatment arise. It is important to provide detailed guidance for your health care agent in the power of attorney. Perhaps you want to donate your body to science or donate your organs to needy patients? If something like this, or any other particular request, speaks to you, it should be in writing.

So, what are you waiting for? Tragic accidents and heart attacks don’t come with warnings. In the end, having a plan in place is a compassionate step—no one should want their family to agonize over whether to let you live in a vegetative state or pull the plug. By carefully outlining your wishes, you can take some of the weight off of your loved ones’ shoulders during such a trying time. Furthermore, you can even save your family money on hospital fees, ensuring that your spouse will not get saddled with astronomical medical bills on top of funeral expenses.

Talking about death is never easy, but if you are ready to discuss pulling together an advanced health care directive, please contact the experienced estate planning attorneys at Lonich Patton Ehrlich Policastri for further information. The attorneys at Lonich Patton Ehrlich Policastri have years of experience handling complex estate planning matters, including wills and living trusts, and we are happy to offer you a free consultation.

Please remember that each individual situation is unique and results discussed in this post are not a guarantee of future results. While this post may detail general legal issues, it is not legal advice. Use of this site does not create an attorney-client relationship.

Estate and Tax Planning for Same-Sex Couples

June 27, 2013/0 Comments/in Estate Planning /by Lonich Patton Ehrlich Policastri

Yesterday morning, the U.S. Supreme Court delivered a landmark decision: the Defense of Marriage Act (DOMA), a federal law that offered federal marriage benefits to only opposite-sex marriages in the United States, was struck down. With the overturning of the statute, same-sex couples challenging DOMA have achieved a clear victory: DOMA had impacted over 1,100 federal laws – from veterans’ benefits and family medical leave to Social Security and tax benefits – all of which are now available to married same-sex couples just as they are to married opposite-sex couples.

Yesterday’s ruling will have widespread estate and tax planning implications for the nearly 130,000 married same-sex couples in the United States because they will now have access to, amongst a host of other benefits, the following*:

Immigration rights, including eligibility for benefits;
Social Security retirement and disability benefits;
Veterans’ benefits, including pensions, nursing home care, educational assistance, and housing;
Equal income and estate and gift taxes as opposite-sex couples; and
Employment benefits, including employer-sponsored health benefits and the right to unpaid leave to care for a seriously-ill spouse.

Additionally, as a result of yesterday’s decision, California will likely become the 13th state to legalize same-sex marriage – boosting the incentive to properly create and execute an estate plan consistent with updated laws. Also, for legally married same-sex couples who have moved or now live in a state that does not yet recognize same-sex marriage, there are still obstacles towards accessing federal marital protection.

If you have any questions regarding your estate plan and the legal consequences that current changing laws have on your rights and your partner’s rights, please contact the experienced estate planning attorneys at Lonich Patton Ehrlich Policastri for further information. The attorneys at Lonich Patton Ehrlich Policastri have decades of experience handling complex estate planning matters, including same-sex estate plans, and we are happy to offer you a free consultation.

Please remember that each individual situation is unique and results discussed in this post are not a guarantee of future results. While this post may detail general legal issues, it is not legal advice. Use of this site does not create an attorney-client relationship.

*U.S General Accounting Office, Defense of Marriage Act, GAO-04-353R (Washington, D.C.: January 23, 2004) (listing federal statutory provisions involving marital status).

Estate Planning is Important for Women Too

June 10, 2013/0 Comments/in Estate Planning /by Lonich Patton Ehrlich Policastri

In fact, it’s arguably more important for women than men. Though a 2011 survey shows that women are more concerned with maintaining their weight than protecting their financial assets, there are several reasons why it would be wise to reconsider and rearrange those two priorities. For example:

Women live longer on average
- By age 65, women are nearly 3 times as likely as men to be widowed, and as the surviving spouse, they will decide where the couple’s wealth goes after her death.
Women tend to survive their spouses
- Retirement planning is a major issue – to ensure that their standard of living during later years does not decline, women need to make informed decisions about where to allocate their assets in order to protect their future.
Women often have custody of their children
- In 2009, approximately 82% of custodial parents were women, making estate planning crucial to ensure that their children are cared for if unexpected circumstances arise.
Women are often the caregivers
- Advanced estate planning will protect dependent grandchildren and aging parents – and even beloved pets – in the event of incapacity.
Women are often professionals
- Although prior to 1975, men had the sole legal authority to control and manage community property*, that simply is not the case anymore – today, women are often professionals with significant businesses, careers, and assets to protect.
Women today often choose to remain unmarried
- Without a proper estate plan in place, the state will determine who receives an unmarried woman’s assets and property – rather than her particularly close friend or a long-time partner.

At the very least, women should be as equally active in seeking estate planning tools as men – if not more. Whether you are single, married, divorced, or widowed, you will benefit from seeking out the various options you have to protect yourself. Estate planning can be overwhelming, but being educated and prepared will allow you to provide the best possible future for yourself, your family, and your loved ones.

If you have any questions regarding your estate or are interested in creating a new estate plan, please contact the experienced estate planning attorneys at Lonich Patton Ehrlich Policastri for further information. The attorneys at Lonich Patton Ehrlich Policastri have decades of experience handling complex estate planning matters, including wills and living trusts, and we are happy to offer you a free consultation.

Please remember that each individual situation is unique and results discussed in this post are not a guarantee of future results. While this post may detail general legal issues, it is not legal advice. Use of this site does not create an attorney-client relationship.

*Married Woman’s Special Presumption, Cal. Fam. Code Section 803.

Cheaters Never Prosper: Tortious Interference with Inheritance in California

May 28, 2013/2 Comments/in Estate Planning /by Lonich Patton Ehrlich Policastri

Personal injury, otherwise known as “tort,” claims are typically successful only if the complaining individual has suffered an injury-in-fact. Essentially this means that courts will only award damages to persons who have truly been injured—be it physically, financially or, in rare cases, psychologically. In tort law, if you think you will suffer an injury next week an attorney will tell you to call them after you suffer your misfortune, but not before. In many ways this can be unfair, but this policy keeps the courts from being overrun with people suing for injuries that could/might/maybe/we think will happen and never do.

California’s policy against litigating future harm may be shifting, however. In Beckwith v. Dahl, an Orange County Court of Appeal recently determined that California courts can and will recognize the claim of Intentional Interference with an Expected Inheritance (IIEI). In order to recover damages, the claiming party has to prove five specific things:

That there was an expectancy of an inheritance,
There was reasonably certain proof that the will or trust that would benefit the claimant would have been in effect when the giver died if there had not been an interference,
That the inter-meddling third party knew that the claimant expected the inheritance and deliberately interfered,
That the third party’s interference was “independently tortious” (fraud is a good example), and
Finally, that the claimant was damaged by the third party’s interference.

Although the elements look simple enough, the damaged party will recover if, and only if, each and every element is satisfied. Additionally, the jury has to be convinced that these elements exist and the jury must find that the deceased property owner didn’t change his mind at the last minute. Parties who have suffered or feel cheated out of their inheritance should rejoice that they have a new avenue to get what they rightfully deserve.

However, it should be noted that a party cannot successfully file a claim for IIEI in civil court if their issue could be remedied at probate court. This issue, like most estate planning issues, can be complicated and difficult to address without the aid of an attorney. If you have questions about your rights in an estate planning matter, the attorneys at Lonich Patton Ehrlich Policastri have years of experience handling complex estate planning matters including wills and living trusts. Or, if you are interested in developing your own estate plan or reviewing a currently-existing estate plan, contact the attorneys at Lonich Patton Ehrlich Policastri for further information or to set up a free consultation.

Please remember that each individual situation is unique and results discussed in this post are not a guarantee of future results. While this post may detail general legal issues, it is not legal advice. Use of this site does not create an attorney-client relationship.

*See Beckwith v. Dahl (2012) 205 Cal.App.4th 1039.

Covering the Bases: How to Plan for Unplanned Death

May 22, 2013/0 Comments/in Estate Planning /by Lonich Patton Ehrlich Policastri

The wonderful world of estate planning can be strange and morbid at times. For example, when making a will or creating a trust, you might pose questions to yourself such as, “what if our plane goes down on our next family trip to Hawaii and there are no survivors – who should get our home and my stock options, then?” Considering such possibilities does not make you sick or twisted, it actually means you are prudent with your property. It is hard to discuss the unfathomable, but it is definitely smart to have a plan.

Creating a will or trust isn’t necessarily difficult, but potential complications arise when you start to consider what would happen if the person you intended to leave your wealth to dies before, or at the same time as, you. Having a will or a detailed trust is a great first step when it comes to protecting your life’s work and resulting assets. Nonetheless, it is important that the language of your trust or will accommodates a wide array of possible outcomes in regard to your estate.

Without question, you should select a secondary beneficiary for your will or any trusts you create. Additionally, you may want to discuss the inclusion of a ‘simultaneous death’ provision or determine what is to come of your estate if your primary beneficiary dies within thirty days after you – do you still want that individual’s estate to receive his share? Maybe you’d prefer to donate your property to charity if the beneficiary of your choice is unable to accept your estate. There are numerous contingencies that should be addressed in your estate planning documents.

It can be difficult to address complicated issues if you create a will or trust without the aid of an attorney. An experienced estate planning attorney can help you cover your bases, prepare for the unthinkable, and insulate your family from conflict by making your estate easy to settle. The attorneys at Lonich Patton Ehrlich Policastri have years of experience handling complex estate planning matters including wills and living trusts. If you are interested in developing an estate plan or reviewing your current estate plan, contact the estate planning attorneys at Lonich Patton Ehrlich Policastri for further information or to set up a free consultation.

Please remember that each individual situation is unique and results discussed in this post are not a guarantee of future results. While this post may detail general legal issues, it is not legal advice. Use of this site does not create an attorney-client relationship.

Posts

What to Prepare Before Meeting Your Estate Planning Attorney

Creating a Will: Say What You Mean

You Only Die Once: How To Avoid Gandolfini’s Estate Planning Errors

What Happens to Your Facebook Page When You Die?

Can A Will Written on a Tablet Be Valid?

Advanced Health Care Directive: Are You Prepared for the Unthinkable?

Estate and Tax Planning for Same-Sex Couples

Estate Planning is Important for Women Too

Cheaters Never Prosper: Tortious Interference with Inheritance in California

Covering the Bases: How to Plan for Unplanned Death

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