Perna and Abracht is a full service law firm helping clients in the areas of Business law, Family law, Divorce, Personal Injury, Estate Planning and Administration, Workman's Compensation and Real Estate.

Perna and Abracht is a full service law firm helping clients in the areas of Business law, Family law, Divorce, Personal Injury, Estate Planning and Administration, Workman's Compensation and Real Estate.

Perna and Abracht is a full service law firm helping clients in the areas of Business law, Family law, Divorce, Personal Injury, Estate Planning and Administration, Workman's Compensation and Real Estate.

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Showing posts with label estate planning attorney. Show all posts
Showing posts with label estate planning attorney. Show all posts

Monday, December 25, 2023

The Impact of Creditor Claims on Estate Settlement

Estate planning lawyers

When undergoing the process of settling an estate, understanding the role of creditor claims is important. These claims can significantly affect the distribution of assets, the overall timeline of the settlement, and the amount that beneficiaries ultimately receive. Here we will guide you through the impact of creditor claims on estate settlement and highlight the importance of consulting with an experienced estate planning attorney or probate lawyer.

Understanding Creditor Claims

Creditor claims in estate settlement are demands for payment that creditors make against the deceased's estate. These can arise from various sources, including credit card debts, loans, medical bills, and other outstanding obligations.

Key Steps in Handling Creditor Claims

1.   Notification of Creditors: The estate's executor is responsible for notifying potential creditors about the decedent's passing and the initiation of the probate process, allowing them to submit their claims.

2.   Claim Submission Period: Creditors have a specific timeframe, determined by state law, to file their claims against the estate.

3.   Evaluation and Payment: The executor must evaluate each claim to determine its validity and pay valid debts from the estate's assets.

Impact on Estate Settlement

     Priority of Claims: Creditor claims generally take precedence over the distribution of assets to heirs, meaning debts must be settled before any distributions are made.

     Reduction in Beneficiary Inheritance: Significant creditor debts can deplete the estate's assets, potentially reducing the amount available for distribution to heirs and beneficiaries.

     Extended Probate Process: The need to address creditor claims can prolong the probate process, delaying the closure of the estate and the distribution of assets.

Strategies to Mitigate the Impact

     Estate Planning: Engaging with an estate planning attorney can help in setting up trusts and other mechanisms that can protect assets from creditor claims.

     Accurate Debt Assessment: An experienced probate lawyer can help in accurately assessing and validating creditor claims, ensuring that only legitimate debts are paid.

     Insurance and Designated Beneficiaries: Certain assets, like life insurance policies with designated beneficiaries, may bypass the probate process and are not subject to creditor claims, thus protecting the intended inheritance for beneficiaries.

Consulting with Professionals

Given the complexities involved in settling creditor claims during the estate settlement process, consulting with professionals is imperative. Estate planning lawyers in Chester County, PA, can provide tailored advice and strategies to protect your estate's assets and ensure a smooth transition for your heirs.

Mitigating the Risks

Creditor claims can have a profound impact on the estate settlement process, affecting everything from the distribution of assets to the duration of the probate process. By understanding these impacts and taking proactive steps in estate planning, you can mitigate the risks associated with creditor claims. Consulting with a skilled estate planning attorney or probate lawyer is crucial to navigating these complexities effectively and protecting your estate for the benefit of your heirs.

This blog was originally posted on https://pa4law.com/the-impact-of-creditor-claims-on-estate-settlement/

Monday, September 18, 2023

Estate Planning for Special Needs Individuals

estate planning attorney 

Estate planning is a crucial step for everyone, but when it comes to special needs individuals, it requires extra care and consideration. Ensuring the well-being and financial security of a loved one with special needs after you are gone involves thoughtful planning.

Understanding the Basics of Estate Planning for Special Needs Individuals

When it comes to estate planning for special needs individuals, it is essential to grasp the foundational concepts. Here are some key points to consider:

Special Needs Trusts: One of the most critical tools in estate planning for individuals with special needs is a special needs trust. This legal arrangement ensures that assets set aside for the benefit of a person with disabilities will not jeopardize their eligibility for government assistance programs. Consult with an estate planning attorney to establish a special needs trust tailored to your loved one's unique situation.

Guardianship Designations: Clearly designating a guardian for your loved one with special needs is crucial. This ensures that someone you trust will be responsible for making decisions about their well-being when you are no longer able to do so. Discuss potential guardians with family members and consult an attorney for Will preparation to formally document your choice.

Letter of Intent: Drafting a Letter of Intent is a valuable step in estate planning for special needs individuals. This document provides detailed instructions and insights into your loved one's preferences, routines, and necessary care. While not a legally-binding document, it can offer guidance to future caregivers and ensure a smoother transition.

Financial Considerations in Estate Planning for Special Needs Individuals

Navigating the financial aspects of estate planning for special needs individuals requires careful attention. Here are some important considerations:

Life Insurance: Consider acquiring life insurance to provide financial support for your loved one with special needs. The proceeds can be designated to fund the special needs trust, ensuring a continued stream of financial support. Consult with estate planning lawyers in Chester County PA to understand the best strategies for integrating life insurance into your plan.

Regular Reviews: Life is dynamic, and circumstances change. Regularly review and update your estate plan to account for changes in your financial situation, family dynamics, or the legal landscape. An attorney specializing in estate planning can guide you through these updates, ensuring your plan remains effective and relevant.

Legal Expertise in Estate Planning for Special Needs Individuals

Seeking legal expertise is paramount in estate planning for special needs individuals. Here is how a qualified attorney can assist you:

Customized Solutions: An estate planning attorney brings a wealth of knowledge to tailor solutions to your specific needs. They can assist in creating a comprehensive plan that addresses the unique challenges and opportunities associated with your loved one's situation.

Coordination with Other Professionals: Estate planning often involves collaboration with other professionals, such as accountants and financial advisors. An attorney with experience in this field can coordinate efforts to ensure a cohesive and effective plan.

Probate Avoidance: A probate lawyer can help structure your plan to minimize the impact of probate, which is the legal process of validating a Will. This can expedite the distribution of assets, providing quicker support for your loved one.

Connect with an Estate Planning Lawyer Today

Ready to make sure your loved one is taken care of? Talk to a lawyer who knows about special needs estate planning – they are here to help you make the right choices for the future.

This blog was originally posted on https://pa4law.com/estate-planning-for-special-needs-individuals/

Monday, August 21, 2023

Understanding Property Division in Divorce: Equitable Distribution and Complex Asset Division

estate planning attorney

Divorce is a challenging and emotional process, and one of the most complex aspects is property division. That is why it is crucial to understand the concept of equitable distribution and how it affects the division of assets.

Equitable Distribution in Pennsylvania

Pennsylvania follows the principle of equitable distribution when distributing assets during a divorce. Equitable distribution does not always mean an equal 50/50 split of assets but rather, a fair and just division based on various factors. These factors include the length of the marriage, each spouse's financial situation and contributions to the marriage, and more.

Understanding this concept is vital because it sets the framework for how your marital assets will be divided. Although some states adhere to community property laws, Pennsylvania takes a more flexible approach to ensure that both spouses receive a fair share of the assets acquired during the marriage.

Complex Asset Division

In many divorces, property division goes beyond the straightforward division of bank accounts and real estate. Complex assets, such as investments, retirement accounts, business interests, and valuable personal property, often require special attention. Dividing these assets can be intricate, and it is essential to work with experienced lawyers in West Chester PA who are well-versed in complex asset division.

When it comes to complex asset division, it is crucial to conduct a thorough valuation of these assets to determine their true worth. This may involve hiring experts such as appraisers, financial analysts, and forensic accountants to ensure an accurate assessment. Your divorce attorney will play a key role in coordinating this process and advocating for your interests.

Protecting Your Rights and Interests

During a divorce, emotions can run high, and it is easy to become overwhelmed by the complexities of property division. This is when you especially need the best divorce lawyers in your area. They can help you navigate the legal process, advocate for your rights, and ensure that your interests are protected.

Your attorney will work closely with you to identify your priorities and goals in the property-division process. Whether it is retaining ownership of the family home, securing your fair share of retirement accounts, and/or safeguarding your business interests, your lawyer will develop a strategy tailored to your specific needs.

Estate Planning Considerations

Divorce can also have a significant impact on your estate planning. It is essential to revisit your estate plan to update Wills, Trusts, and Powers of Attorney to reflect your new circumstances. This is where the expertise of an estate planning attorney comes into play.

An estate planning attorney can help you make informed decisions about how to protect your assets and provide for your loved ones after divorce. They can guide you through the process of revising your estate plan to ensure that your wishes are upheld and your financial future is secure.

You Do Not Need to Go Through it Alone

Property division in divorce is a complex and often emotionally-charged process. Understanding equitable distribution and the intricacies of complex asset division is essential to achieving a fair outcome. If you are facing divorce in Delaware County, Chester County, or Lancaster County, Pennsylvania, do not navigate this challenging journey alone.

Seek the assistance of the best divorce lawyers who can guide you through the legal complexities, protect your rights, and advocate for your interests. Additionally, consult with an estate planning attorney to ensure that your financial future is secure after divorce.

Contact us today to schedule a consultation and take the first step toward a more secure future.

This blog was originally posted on https://pa4law.com/understanding-property-division-in-divorce-equitable-distribution-and-complex-asset-division/

Sunday, July 23, 2023

Understanding The Difference Between Probate And Non-Probate Assets

top probate lawyers
 

When a person passes away, a question arises as to what happens to the assets that were owned by the decedent?  Ideally, an estate plan has been put in place before death, so that the decedent’s wishes will be honored regarding the future of those assets.  An effective estate plan recognizes the difference between probate and non-probate assets, which will streamline the process and reduce potential complications.

Probate Assets

Probate assets are those that must go through the probate process in order to be distributed to heirs or beneficiaries. This legal process involves proving the validity of a Will, settling outstanding debts, and distributing assets according to the deceased person's wishes or, in the absence of a will, according to Pennsylvania's intestate succession laws.

Any assets solely owned by the deceased person typically go through probate. This includes real estate, bank accounts, vehicles, and personal property that were not held jointly with another person or designated with a beneficiary.

Simply put, in probate, the deceased person’s assets are collected and accounted-for, debts and taxes are paid, property is distributed to beneficiaries, and the estate is settled. Our top probate lawyers begin the process by filing a petition with the Register of Wills in the Pennsylvania county where the deceased person resided at the time of death.

Non-probate Assets

Non-probate assets are things that do not need to go through a special legal process when someone passes away. These are assets that are set-up in a way that they automatically go to the people who are supposed to get them, without going through the probate process. Here are some common examples:

Jointly Owned Property: If someone owns something like a bank account or a house with someone else, and they both have rights to it when one of them passes away, the other person automatically gets the whole thing.

Retirement Accounts: Money saved in retirement accounts, like 401(k)s and IRAs, usually has a specific person named to get it when the owner dies. It goes directly to that person without needing probate.

Life Insurance Policies: When someone has a life insurance policy, they choose who should get the money when they die. That money goes directly to the chosen person without going through probate.

Payable-on-Death (POD) Accounts: Some bank accounts or investments let you name someone who will get the money when you pass away. It goes straight to that person without probate.

Trust Assets: If someone puts their things in a special legal arrangement called a trust, those things do not have to go through probate. They are managed and given out according to the rules of the trust, which can keep things private and might have tax benefits.

These non-probate assets help make sure that the right people get what they are supposed to have when someone passes away, and they can avoid the sometimes slow and expensive probate process.

Remember, Non-probate does not mean non-taxable. There is a false belief that all non-probate property is non-taxable. This is not true. Even if the property is received due to joint titling or as a trust beneficiary, it still may be subject to Pennsylvania Inheritance Tax. One way to help your loved ones avoid a lot of these problems is to work with a knowledgeable estate planning attorney when creating a will and estate plan.

This blog was originally posted on https://pa4law.com/understanding-the-difference-between-probate-and-non-probate-assets/

Thursday, June 15, 2023

Common Estate Administration Challenges and How to Overcome Them

estate planning attorney

Although administering an estate can be fairly straightforward in some cases, it is not unusual for challenges to arise. The best way to avoid potential problems is to have an estate planning attorney help you draft a will and create a solid plan long before it is needed. If a loved one has passed away and you are having trouble with estate administration, a probate litigation attorney can help you resolve disputes and make the process run more smoothly.

There is No Will

When someone dies without a will, typically the laws of intestacy are applied when administering an estate. In Pennsylvania, this means that your assets may be distributed to your spouse, children, parents, and/or siblings in a way that may not align with your wishes. This can add to the turmoil your family may be going through at this difficult time. Having a will in place helps to ensure that your assets are distributed to the beneficiaries you choose and allows you to address other issues like guardianship of minor children.

It is also important to note that if you do not have a valid will, a personal representative will be appointed by the court, and may not be someone you would choose as the executor of your estate. If you have been appointed as a personal representative, it is a good idea to seek the advice of local attorneys, such as estate planning lawyers in Chester County, PA.

The Executor or Personal Representative Fails to Perform Their Duties

The personal representative of an estate is responsible for performing many important tasks. Like a trustee, a personal representative is considered a fiduciary, which means that the best interests of the estate must be put before his/her own interets. In addition to initiating probate and administering an estate in a timely manner, a personal representative must put creditors on notice, take a full accounting of assets, and distribute them according to the will, trust, or laws of intestacy. The personal representative must also file and pay taxes for the estate.

In some cases, a personal representative of an estate may fail to follow a decedent’s instructions or mismanage funds and property. When this happens, it is possible to have him/her removed as the personal representative. Top estate planning law firms recommend that families consult a probate litigation attorney who can help them understand their rights and assist with any legal issues.

Will or Trust Contests

The validity of wills and trusts can be contested by interested parties such as the spouse or children of the decedent. Some common grounds for contesting a will include undue influence, incapacity, forgery, or fraud. Multiple versions of a will or conflicting documents can also lead to problems.

Trusts can be challenged as well. To help avoid these issues, it is critical to have an experienced estate planning lawyer help you draft a will and advise you on which types of trusts will best suit your specific circumstances.

Other Common Estate Administration Issues

Some other matters that commonly arise when administering an estate include:

  •       . Dealing with a will created in a different state
  •         Property owned in other states or countries
  •         Creditor claims
  •         Tax issues
  •           Failing to update a will or estate plan after a divorce, marriage, or birth of a child

If you are facing estate administration challenges or need to bring your estate plan up to date, our attorneys can help.

This blog was originally posted on https://pa4law.com/common-estate-administration-challenges-and-how-to-overcome-them/

Wednesday, September 21, 2022

What is a Probate Litigation Attorney and Why Would You Need One?

probate litigation attorney

Probate is the process by which a will is validated and an estate is administered after someone dies. Although many probate proceedings go off without a hitch, if a will is contested or other disputes arise, probate litigation may be necessary. Whether you are an executor of a will or need to address problems with the administration of an estate, an experienced probate litigation attorney can help you understand the law and protect your interests.

Types of Probate Litigation

Will or Trust Contests

To challenge the validity of a will or trust, you must show that there is a legitimate reason and that you have the standing to do so as an heir or potential beneficiary.

Common reasons for contesting a will include:

Diminished or lack of testamentary capacity – For a will to be valid, the testator (person who signed the will) must be 18 years of age and be of sound mind. This means that they have sufficient mental capacity to understand what property they own and how they want their possessions to be distributed, even if their memory has been impaired by age or disease.

Undue influence –If someone inappropriately influences a testator to draft or amend their will in a way that benefits that person, there may be cause to contest a will for undue influence.

Fraud – When a will or trust is signed by someone who believed they were signing another document with different provisions, it may be considered fraud.

Forgery – Tampering with or the unauthorized signing of a will or trust is a forgery, which is grounds to contest the document.

Errors – Each state has laws dictating how a will or trust must be drafted and signed to be legally valid. For example, if a will is signed without witnesses, signatures are missing, or important text is omitted, it could be considered invalid.

Other Probate and Estate Administration Issues

Some other matters that can lead to probate litigation include estate administrator appointments, executor fee disputes, trustee removals, guardianship disputes, spousal share claims, and requesting a formal accounting of an estate. One way to help your loved ones avoid a lot of these problems is to work with a knowledgeable estate planning attorney when creating a will and estate plan.

How a Probate Litigation Attorney Can Help

Unfortunately, sometimes issues with an estate cannot be avoided. Family disputes can escalate quickly, which is an added stress when you are already grieving the loss of a loved one. A probate litigation attorney can help you keep a cool head, navigate the probate court system, and ensure that all procedural requirements and deadlines are met.

Having a knowledgeable lawyer who understands both beneficiaries’ and estate administrators’ viewpoints is critical. Your probate litigation attorney can help you negotiate disputes and hopefully come to an agreement without going to trial. However, if a reasonable agreement cannot be reached, probate litigation attorneys are experienced trial lawyers who can represent your interests in the courtroom and provide the compassionate legal support you need to get through tough times.

Whether you need to draft a will or are facing probate litigation, our experienced Chester County estate planning attorneys and probate lawyers can help.

Sunday, November 14, 2021

Thinking About Divorce? This Divorce Preparation Checklist Can Help

estate planning attorney

Ending a marriage isn’t usually a pleasant thing to contemplate, but it’s critical to be properly prepared. Top divorce lawyers in Chester County, PA advise clients to collect certain information and important documents to help make the process more expedient and less stressful. 

Divorce Checklist
Being methodical and organized when gathering information is vital. There are many different issues to consider, and following this checklist can help you make quick work of them. The more information you have in writing, the better.

Marriage Documents
The first items you’ll want to gather are marriage documents such as:

Marriage license – Find your marriage license and put it in a safe place. If you’re unable to locate it, request an official copy from the jurisdiction in which you were married.  

Agreements – Collect any pre-or post-nuptial agreements and estate planning documents such as wills, trusts, powers of attorney, and advance directives. If you can’t find these documents, contact your estate planning attorney to request copies.

Life insurance policies – If you and/or your spouse have any life insurance policies, gather them and put them in your file.  

Financial Documents
Money is often a point of contention, so it’s important to gather as much financial documentation as possible before you file for divorce. Some important items include:

Income-related documents such as both spouses’ paystubs from the past year, W-2s, and several years of individual and joint tax returns. If you or your spouse is self-employed, include bank statements, paid invoices, canceled checks, financial statements, profit and loss statements, and any other relevant documentation regarding income. 

Financial account information should include checking and savings accounts, investment accounts, retirement accounts, bank statements, savings certificates, CDs, security deposit boxes, and any other financial documentation. To ensure marital property is properly divided, all accounts and assets must be disclosed, whether they are held jointly or separately. 

Real estate documents like mortgage statements, proof of mortgage payments, refinancing documents, home equity loan information, deeds, real estate purchase documents, and property tax assessments and payments can be useful when it comes to the division of marital property. 

Documentation of other property you and your spouse own individually and jointly is also critical. Gather vehicle titles, registration, and proof of any outstanding debt on the vehicles. Make a list of other assets such as jewelry, household items, furniture, intellectual property, collectibles, and any other valuable items. Include their valuation if possible. If you received any inheritance individually, make sure to include evidence of that as well.

Proof of individual and marital debt such as credit cards, loans, and medical bills can help to ensure, that division of property and debt is fair. Download a copy of your credit report and put it in your file 

Think About Custody Arrangements
If you have children, it’s important to consider how your divorce will affect them and to come up with a plan that keeps their best interests in mind. Talk to a family custody attorney about creating a proposed custody plan that includes information about regular custody schedules, vacations, holidays, and important issues such as education, religion and health care. Your lawyer can also help you understand how child support works in your state. 

Being prepared for divorce can be daunting, but you don’t have to go it alone. Our affordable divorce attorneys have your back every step of the way. If you need assistance with creating a new will, our top probate lawyers can assist you with an estate plan as well. 

Tuesday, September 28, 2021

How Much is Pain and Suffering Worth in a Personal Injury Claim?

personal injury lawyer

The calculation of economic damages such as medical expenses, lost wages, and property damage is fairly straightforward when determining the value of a personal injury claim. However, putting an accurate number on damages like pain and suffering requires the experience and knowledge of seasoned accident injury lawyers. There are several different factors to consider when determining these damages, and understanding how they are calculated can give you a better idea of what your case may be worth. 

What is Pain and Suffering?
Pain and suffering damages are compensation for the physical and emotional stress caused by an injury. Although the legal terminology for pain and suffering varies from state to state, generally it may include:
Physical pain 
Emotional distress
Mental anguish
Disfigurement 
Embarrassment
Loss of enjoyment
Loss of consortium

Dealing with the aftermath of an accident can have a serious impact on a victim’s quality of life. That’s why it is critical to have a skilled personal injury lawyer who knows the importance of putting an accurate value on pain and suffering damages. 

Important Factors to Consider
There is no set formula for the calculation of damages for pain and suffering, as each case is unique and every injured victim copes with their physical and emotional hardships in their own way. However, accident attorneys take a number of factors into account, including:

The type and severity of a victim’s injuries
Whether they have suffered disfigurement or permanent disability
The impact a victim’s injuries have had on their daily activities 
Whether they will be able to work or do the things they used to enjoy
The duration of their recovery 
Whether it is possible for a victim to fully recover from their injuries
The physical pain associated with their injuries
Any stress, fear, depression, and anxiety caused by their injuries
The impact a victim’s injuries have had on their personal relationships

A good attorney will know what type of evidence is required to show the extent of pain and suffering. Evidence such as personal journals, medical records, and expert witness testimony can all play a role in building a solid claim for pain and suffering damages. 

Methods for Calculating Pain and Suffering Damages
In some cases, pain and suffering damages may be calculated using the multiplier or per diem methods. 

When using the multiplier method, your lawyer will take the total amount of your medical bills and multiply it by 1.5 to 5 times to calculate pain and suffering damages. Usually, the more severe your injuries are and the longer it takes to recover, the higher the multiplier will be. 

With the per diem method, the number of days from the date of your injury to the date your doctor releases you is multiplied by a daily rate (per diem). For example, if your per diem is $300 and it took you 500 days to recover, you would claim $150,000 in pain and suffering damages. 

Your attorney will assess your specific circumstances and consider the facts of your claim and the impact of your injuries to determine a reasonable amount for pain and suffering damages. Before accepting a settlement, it is also a good idea to speak to an estate planning attorney to ensure that any compensation you receive is distributed as you wish in the event of your passing. 

Understanding the multifaceted aspects of pain and suffering damages can be challenging. Contact a Pennsylvania personal injury lawyer to find out more about how they can help protect your rights and interests.   

Thursday, April 30, 2020

The Importance Of Your Estate Plan During A Pandemic


Estate Planning

The COVID-19 pandemic seems to be changing everything, including one’s priorities. With tens of thousands of Americans already dead from the disease, one priority that should move up for many individuals is estate planning. Top estate planning law firms say it is important to have your affairs in order if the worst happens, and it is also important to know that several elements of an estate plan will help should you become ill.

Here are the parts of your plan that will help in the event you become sick with COVID-19:


Sometimes this is called a “Living Will” or “Health Care Directive.” This document names one or more persons to make health care decisions on your behalf if you should become incapacitated. Be sure to think carefully about who you will appoint.

Often, the spouse is selected to be the decision maker in a Health Care POA. This seems only natural, but you should think about what would happen if both you and your spouse become ill due to COVID-19 – and there is fair probability this could happen.

Another potential problem with naming your spouse is there is always the possibility of divorce. If you do not keep your documents up-to-date, your ex-spouse could be named as your health care POA. Any divorce lawyer will note there are several downsides to this!

You might select an adult child as co-agent. This also seems natural, but if your child does not live nearby, it could present a problem in an emergency. The Wills lawyers recommend that you  choose someone who could appear at your nearest hospital without much delay. In light of the pandemic, you should consider whether your agent is in a high-risk group for COVID-19 morbidity: age 60 or older or a person of any age with diabetes, heart disease, respiratory disease, or any chronic medical condition.

Whomever you select, naming more than one agent is advisable at a time like this when travel is restricted and more people are likely to be sick at the same time.

Financial Power of Attorney (POA) or attorney-in-fact. This is an agent who will make financial decisions for you in the event you are too sick to do so yourself. If you do not name a financial POA, your bills (including court-ordered child support) may not get paid and other important decisions will not be made until a court can name an agent for you. Costs and complications can escalate if several people think they should be named and others should be excluded.

It is best to select this person or persons yourself. In this time of uncertainty, it makes sense to choose two agents. This allows them to talk over any tough decisions, and it minimizes the possibility your funds would be misspent. However all the same considerations apply as with the health care POA: your spouse might become ill at the same time you do, and other individuals may not be the best choice if they are in the COVID-19 high risk category.

You might think of this as your financial welfare team who may be needed in the short-term to manage your affairs and make decisions until you recover. It is possible to become incapacitated for the long term, and then your affairs will require a different type of management. You may name one agent for short-term financial management and another individual for long-term incapacity.

A complicating factor in this age of social distancing is that states require witnesses to finalize documents, as well as notarization of signatures. Your estate planning attorney is likely to have a solution that will enable your plan to be finalized during the pandemic.

Wednesday, March 18, 2020

Six Ways In Which A Lawyer Can Help You Avoid Estate Planning Mistakes


Estate Planning Attorney

Every estate plan is unique in some ways, but they are similar in others. Unfortunately, the similarities sometimes are the mistakes that seem to get repeated over and over. A powerful reason to hire an estate planning attorney is to obtain the expertise that will help you avoid errors in estate planning.

1.    Comprehension

Pure and simple, it is often a matter of comprehension. Even very smart people may not understand their estate plan. Often, people feel embarrassed to ask questions that may reveal their lack of knowledge, or they feel the language in the documents is “over their head.” Attorneys who specialize in wills know how to walk you through your plan and make sure you understand:

●    how the plan works;

●    what steps you need to take to maintain the plan;

●    how it works for your heirs.

As your attorney walks you through the plan, take notes that you can refer to later. It may all seem clear now, but over time, the details may escape you.

2.    Beneficiaries

Top probate lawyers tell horror stories in which an ex-spouse inherits and the current spouse doesn’t, or a child or stepchild is excluded from a will because he or she became part of the family long after the documents were created. All of this can happen if your estate planning documents are not worded properly and reviewed periodically to reflect your current wishes and family configuration. Your estate planning attorney will schedule these meetings to ensure there are no unintended and unpleasant surprises for your heirs.

3.    Asset ownership

This is an area that also needs review over the years and as your life changes. You may own assets jointly with someone else, or the assets are in entities like limited partnerships or trusts.  Your estate planning attorney will review with you the assets named in your plan to determine if the structure still reflects your wishes and purposes. You may have long ago liquidated an asset, and its inclusion in your plan just adds unneeded complexity.

4.    Revocable or living trusts

This type of trust is often created for some specific purpose. The estate attorney prepares the agreement and all parties sign it. Then, titles to the assets must be transferred to the trust. This is not necessarily complex, but it must be completed for the trust to serve its purpose. You can count on an experienced estate attorney to follow up with you and make sure these details are taken care of.

5.    Coordination of trusts and retirement plans

Sometimes people name their living trusts as beneficiaries of their retirement plans. However, if it is not handled correctly, IRS rules that apply may result in increased taxes. Your attorney will make sure the correct language is used to qualify the trust as a see-through trust that retains tax deferral.

6.    Powers of attorney

Everyone should name at least two powers of attorney (one for finances, and one for medical decisions) because many of us will need this before the will and estate plan are called into play. Your estate attorney will make sure you have named powers of attorney and will review them with you periodically to make sure they reflect your current wishes.

There is no substitute for the guidance of an experienced estate planning attorney. Be sure to schedule your estate planning consultation with Perna&Abracht, LLC.

Thursday, January 30, 2020

The Benefits of Hiring an Estate Planning Attorney


Estate Planning Attorney

It is easy to put off creating a will and other estate planning tools such as health care directives, powers of attorney and trusts. Also, it is easy to select an online provider to create the documents – but neither of these is your best option.  There are five outstanding reasons to hire an estate planning attorney now to create your estate plan and the related documents.

1.    Your will and other important documents will be created by an experienced professional. Think about those fill-in-the-blank documents that you find online. They are not much more than a type of form letter. When you hire an attorney, you can rest assured that the documents are customized to your specific goals and wishes. Your attorney will help you with any important steps that many people struggle with, such as selecting an executor or arranging guardianship for minor children. To be official, your documents must be witnessed and notarized, and your attorney will arrange this for you.

2.    Your estate plan will comply with laws in your state. Laws regarding probate and trust differ from state to state, and they do change over time. Your experienced estate planning attorney knows your state laws and stays current with changes. This offers you peace of mind that your documents are in compliance with your state.

3.    Your documents will express your exact wishes in the correct legal language. It should be no surprise that the correct legal language for estate documents can be confusing. Those who take a DIY approach to wills and other documents do not know for sure if their documents truly state what they intend them to state. And when will any errors be discovered? After your death, most likely, when the documents cannot be corrected. On the other hand, your attorney will thoroughly discuss your goals and wishes to clarify them. Your estate planning attorney already knows the correct legal language to express your wishes and ensure the documents accurately reflect those wishes.

4.    Keep your estate plan up-to-date. A proper estate plan looks years ahead to the end of your life, and it cannot predict every change or change-of-heart that might occur. These should be living documents that are revisited at appropriate times and altered as your goals and wishes might change. Your attorney will provide a thorough review and can advise you about what changes would be best and in what form the changes should be made. This presents the possibility of a codicil or amendment versus a new estate plan. Your attorney will guide you in a way that no DIY provider can do.

5.    Someone you and your family can trust. When you have a relationship with an estate attorney, you have a trusted resource who can answer your questions. Most importantly, your attorney is someone your family can turn to, should you become incapacitated, or after you have passed away. While your loved ones might be upset and grieving, your estate planning attorney is someone to guide them through estate settlement.

An estate planning attorney is far more than a provider of services. He or she is a professional who is prepared to “go the distance” at your side. Don’t delay the important task of creating your estate plan. Schedule a consultation with an estate planning attorney who will give you peace of mind.

Friday, December 20, 2019

Estate Planning: Here is How to Get Started!


Estate Planning Attorney

It is easy to put off estate planning for another day (or month or year). Perhaps you aren’t sure how to get started. The following are five simple steps that will move you in the right direction.

1.    Create a deadline. Everyone responds more quickly when there is a deadline. Set a deadline for when you will have your estate planning in place. Choose a date not too far out, but also allow for time to gather the information you will need to create a will, confer with your attorney, and have the plan completed. Three months from now would be reasonable.

2.    Collect financial information. This is a task that begs for a spreadsheet. List all your assets and investments, showing their current market values, debts against them, and net values. Show how they are titled (you alone, jointly with your spouse?). Start a physical file where you place deeds and current statements, so you can show them to your attorney.

Here’s a checklist of what to include:

•    Your home

•    Any other real estate

•    Autos, boat, other titled property

•    Bank accounts

•    Retirement savings 

•    Business and partnership interests

•    Life insurance policies and annuities

•    Items of special value

•    Other debts (credit cards, personal loans, unsecured lines of credit)

3.    Who will inherit from you? Decide who will be your heirs – and this often is not as simple as you might think. Yes, there is your spouse and your children. What about siblings, a life partner to whom you aren’t married, stepchildren, nieces and nephews, grandchildren, special friends, a pet? Then there are institutions (schools, churches) and charitable organizations. Create this master list, and gather the information your executor will need, such as full legal names, dates of birth, current addresses, how they are related to you. Then decide how much they will inherit, and how it will be distributed. For instance, you may not want a young person to receive a large lump sum, but installment payments over time. If you have minor children, you may need to create a child’s trust in your will. These are matters to discuss with your estate planning attorney.

4.    Your executor. Choosing an executor deserves some thought, according to lawyers that handle wills.  Let’s say you decide to appoint your eldest child – but your children have a history of disagreeing with one another. This will only add fuel to the fire. Sometimes it’s best to choose someone outside of the family, such as a professional (lawyer, accountant). The executor should be someone you trust, whose judgment you respect, and who will carry out your wishes.

5.    Select your attorney. Estate planning is too important to “go it alone.” It’s best to find an estate attorney who will counsel you through a number of additional issues, such as a health care directive (also called a living will). Your attorney will also make sure documents are drafted properly according to your state laws. He or she will also make sure language is structured in a way that makes your wishes clear to your executor and heirs.

Don’t hesitate to contact an experienced estate planning attorney at Perna & Abracht, LLC, who will ensure that you start and complete the estate planning process with ease.

Considering a Will? 5 Things You Should Know


Estate Planning Attorney

If you don’t have a will, you are not alone. It is estimated that one-half to two-thirds of U.S. adults don’t have a will. Yet in this case, it is not good to be in the majority. A will is an important legal document that every adult can and should put in place. Fortunately, for an estate planning attorney, it is a straightforward process to create a will.

1.    Not just for the wealthy. A will is not just for wealthy people with complex personal and business holdings. Even if you are a person of average means, you have personal property and assets (money, real estate, etc.). A will determines what happens to those after you die. Ask yourself the following:

Does it matter to you who receives your property after you die?

Does it matter to you who receives your money after you die?

Does it matter to you who will take care of your children if you die before the children become adults?

Nearly everyone will answer “yes” to one or more of these questions. A will is a legal directive that resolves these concerns. Another benefit is that in your will, you name an executor. This is an individual who will ensure that your wishes are carried out as you have directed. 

2.    If you won’t, a court will. What happens if you die without a will? A court will make decisions regarding your property and money. There is a process called probate, which is lengthy and likely stressful for your loved ones, according to top probate lawyers. A will is the best way to protect your loved ones from these problems, especially if you die unexpectedly in an accident or sudden illness.

3.    How to get started. The first two steps are to designate a guardian of your minor children and appoint an executor of your will. Next, for anyone you intend to mention in your will, gather basic information such as names, addresses, and birth dates.

Your executor will need information about your debts and assets. Gather records of mortgages, loans (auto, school, business) and credit card accounts. Your executor also needs details about real estate, bank accounts, investments, retirement accounts, and insurance policies and annuities.

4.    Why you need a lawyer. It’s possible to go online and create your own will, but there is a simple question to ask yourself: “How do I know it is done right, for the state I live in?” Truthfully, you can’t know this unless you are a lawyer yourself. This is an important legal document that must stand on its own as your wishes after you are gone. It may name beneficiaries that are not immediate heirs, such as stepchildren, godchildren, friends, and charities. An experienced attorney will make sure you address all the issues that may concern your loved ones, and ensure this important document is properly drafted so all questions are answered. Hiring an experienced attorney to ensure your wishes are fulfilled after you are gone is both a wise and sound investment.

5.    A living document. One thing is for certain, that is your life will change. Over time it is advisable to review your will with your attorney and make sure it reflects your wishes at the present time. Be sure to inform your executor where your will is kept so he or she can locate it, register it at the appropriate time, and execute it.

Wondering whether you need a Will? Now is the time to schedule a consultation with attorneys who specialize in wills. Your loved ones will thank you for it.

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