Kudu - Your Legacy Revealed

What a regal creature the Kudu is as it seems to pose for just the right shot.  Though my shot is not perfect, in my minds eye, I can see the gracefulness of this handsome beast.  When was the last time your picutre captured the essence of what you have seen?  Does it still remain in your camera, on your phone or locked away on your computer?  Take the time to share it, post it or frame it for your wall and all to see. 

Memories are meant to be documented and shared for prosperity.  Contact us at http://www.ythlaw.com/ to handle, for the those you love, the documentation of your legacy which has been formed from all your cherished moments and events.

Plannning for Life's Unexpected Challenges

Until the Lion King, I never heard of or knew what a Warthog was.  Though a bit romanticized in the Lion King, the Warthog is not one of the loveliest creatures in the wild.  It is like a pig, hog or boar but least attractive.  It can move rather quickly when approached, not that you want to get near.

Not everything in life is attractive, lovely or even romantic.  The unexpected situation could cause difficulty in your life.  But there are ways to make those difficult situations less challenging for those you love.  Advance planniing!!!  This would include getting a healthcare power of attorney, general power of attorney, living will and a will. 

Don't wait until itis too latte.  Plan now by contacting us at http://www.ythlaw.com/

Asset Protection and the Zebra's Stripes, what is that about?

I am always learning somethin new.  Did you know that the Zebra's stripes serve to warm as well as to cool the Zebra?  When the season is cooler or the Zebra seeks warmth, the black stripes become wider.  While the white stripes are wider in warm weather or when the Zebra seeks cooler body temperature.  I never even knew that the stripe's width changes. 

Life is about always learning something new.  It is also about self-preservation, whether in the animal kingdom or with mankind. 

Check out our next informational seminar, book signing or event at http://www.ythlaw.com/.  Learn more about estate planning and protecting your assets and the ones you love. 

Tower of Giraffes

As I walked the path of our hotel complex, I came face to face with a giraffe.  It was surreal..  We both stared at each other with initial surprise then wonderment, for me.

When we encounter something strange or out of context, we pause to take it in, at least after the danger dissipates.  But what if that encounter results in danger.  We really never know when incapacity or death might happen.  In a nanosecond, we could be faced with that possibility. 

Are you prepared for the unexpected??

Contact us at http://www.ythlaw.com/ for your Powers of Attorney, Trusts, Wills, Living Wills and other advise and guidance on your estate planning needs.

Lessons of the Elephants

As the elephants emerged from the water, their huge ivory tusks fasinated me the most.  These gigantic but gentle creatures share the earth with us and fortunately we now protect them from being hunted for their tusks.  I can therefore sit on our boat with my 10 year old daughter and marvel with her on the graceful way the white tusks elephants emerge from the River. 

Without the interference of man, animals instinctively protect and preserve themselves as well as the longivity of their offspring.  They want their young to learn and benefit from them.  It is a natural fact, a given.  For us, we have a choice to protect and preserve ourselves and our assets as well as the future of the next generation.  It is our choice to plan or not to plan. 

If the wisdom of the animal kingdom provides any answers, planning would be our best choice. Contact us at http://www.ythlaw.com/ for your estate planning needs.  

Vacation - Remember to Update or Get Your Estate Planninig Done

I was on vacation last week.  As I was preparing for what turned out to be a vacation of a lifetime, I thought about how many of my clients come to me for the first time when they are leaving for a big vacation.  Generally, they are leaving the country.  In some cases, they may be traveling without their children for the first time. 

In my case, we were traveling with our youngest daughter to Africa and taking in 2 national wild game parks,  Mosi Oa Tunya National Park in Zambia, and Chobe National Game park in Botswana as well as taking a sunset cruise on the Zambesi River to take in the Hippos and birdlife.  Though my documents are up to date (but of course), it was interesting that I better understood the anxiety that would exist if that were not the case.  Though I did not intend to be eaten by the crocodiles or trampled by a herd of elephants, you still want to cover your basis. 

We had a great time with lots of memories, photos, videos which I hope to share over the next few days blog posts.  So, are you up to date on all your estate planning needs?  Contact us at http://www.ythlaw.com/ before your next vacation for peace of mind. 
 

The 5 Year Look Back Period

I have discussed the fact that nursing home costs are very high and can deplete a person's resources.  Further, assets can not be transferred in order to qualify for medicaid which covers the cost of medicaid. 

The look back period applies to gifts made.  It also applies to assets placed in a Trust.  This would include trusts which have been set up for those with special needs if the trust was only addressing protecting public benefits of the special needs child. 

There are trust that serve as a protected Trust for Medicaid purposes.  If it were determined that a parent of a special needs child would have to be in a nursing home then monies can be placed in a Trust which is for the "sole benefit" of a disabled child. The Trust would name special needs child's estate, not other individuals, as remainder beneficiary in order to meet the "sole benefit" requirement.

Contact us at http://www.ythlaw.com/ for your estate planning and probate and elder law needs.

Asset Preservation

As our society ages, there are many issues that must be addressed.  In the area of preserving and protecting assets, we have to address the significant expense of nursing home care.  Can assets be protected from the cost of nursing home care?

There is now a 5 year look back period that pertains to transferring assets to other family members.  The look back period would apply to gifts. When applying for medicaid to cover nursing home costs, the question one has to respond to is whether any gifts have been made in the last 5 years. If so, it would extend the period of ineligibility for medicaid. The person would be treated as though they still have the money and therefore not qualify for medicaid for a period of time.

Let us help you plan for your future now and not wait until the need is upon you.  Contact us at http://www.ythlaw.com/

An Irrevocable Trust Can Terminate

I often have clients that want an irrevocable trust.  I always advised them that, except in very specific situations that could involve the court, the trust can not be revoked, changed or revised.  Here is a common example of how a Irrevocable Trust might be used. 

The parents want to place their home in Trust for the benefit of their special needs child.  Upon his death, the home would go to the other surviving children.  We would start with a Revocable Trust for the parents.  The home would be placed in the Trust and the parents would go about their life as usual.  The terms of the Trust would specify that upon their death, the Trust will become Irrevocable.  The Trustees therefore could not revoke, change or revise.  However, there could be terms in the Trust that would provide for a termination of the Trust.  In this example, the Trust would in fact terminate upon the death of the special needs child.  The home would then transfer to the surviving children FREE of any trust terms. 

Let us protect and preserve your assets.  Contact us at http://www.ythlaw.com/.

Insurance - Is your estate Solvent?

I have seen families experience real financial hardship upon a loved ones death. This does not have to be the case if advance planning is done. One way to address an estate's solvency is through insurance.

It is important to make sure the estate has liquid assets (cash) to cover the debts and taxes of the estate. One of the best ways to handle the liquidity is with insurance. Insurance can provide that protection for many people.

Contact our offices at www.ythlaw.com for help with your estate planning, probate and elder law needs, www.ythlaw.com

How does property pass upon death?

There are always questions about the best way to distribute property to your heirs or charitable interest. I remind my clients that property passes four (4) ways upon a person's death. It is passed on by Will (or intestate if there is no Will), Joint Ownership, Beneficiary Designation and Trust (assets have to have been placed into - or retitled into - the name of the Trust).

It is important to determine which way might best serve your needs. An estate planning professional can help with that decision. Contact us at www.ythlaw.com to help with all your estate planning, probate and elder law decisions.

Executors - What you need to know.

I had a question about the role of the Executor. My client wanted to make the right selection among their children. I did advise them that anyone could be selected for the role. You are not limited to family members, professionals or an institution.

Under the law, the Executor has all the necessary powers to administer the estate upon ones death. This would involve gathering up the assets (opening up an estate account) and making the distributions in accordance with the Will provisions. The Executor makes sure the debts and inheritance taxes and final taxes are paid before beneficiaries receive any assets. The Executor's role ends at the completion of administration of the estate.

If there is no Will, the court then appoints an Administrator who has the same role and responsibility as the Executor.

Contact us at www.ythlaw.com for your estate planning, probate and elder law needs.

Tenancy By The Entirety

For married individuals, the home is generally owned as Tenancy by the Entirety which means that both, husband and wife, own the whole. When one spoues passes the entire property will belong to the surviving spouse.

The real estate therefore passes via the joint ownership known as Tenancy by the Entirety. It does not pass via provisions provided in ones Will. Only upon the death of the second spouse, if the home is still owned and the deed has not been changed, does the real estate pass under the terms of the Will.

Contact us at www.ythlaw.com should you have any questions on Estate Planning, Elder Law and Probate.

Tangible Personal Property

I draft Wills all day long. I therefore take for granted certain terms that lawyers use all the time in their Wills. However, I realize that many of those terms which are standard to me are totally new and sometimes confusing to clients. Therefore, I always find questions posed by clients of value in making sure terms are understandable.

Here is one that often baffles people, tangible personal property. There are 2 types of property, real and personal. Real property is easy to explain. It is real estate, the home and land.

Tangible personal property is everything else, unless something is specifically excluded. It represents your personal possessions which includes household furnishings (not including fixtures) jewelry, cars, china, books, artwork and other tangible belongings. It even includes "money" in any form (cash, bonds, annuities, etc.) unless it is excluded from the definition of tangible personal property.

It is your Will and if there are words that you do not understand or do not make sense have your lawyer explain or change it to be understandable to you. Contact us for your estate planning and probate needs at www.ythlaw.com

Legacy Lost??

I was saddened to read about the status of Rosa Parks' Estate. Apparently, there has been litigation over her estate since her death in October,2005 at the age of 92.0 The cash value paled the "value" of her memorabilia. Often referred to as the Mother of the Civil Rights Moment" her medals, paper and even clothing carries such significant historical importance which can equate to an invaluable collection. However, this all can be clearly distorted in any protracted litigation or dispute.
What does this do to a legacy of strength, perserverance, faith in the face of adversity? It is not only for me and those who lived during her lifetime; but, for the younger generations and those not yet born that the physical representation of her legacy must be protected. It serves to educate and inspire those exposed to the memory of an historical ICON.

Contact our offices for your probate, estate planning and elder law needs at www.ythlaw.com

Legacy - Take Time to Reflect and Create

Until you die, you are creating your legacy that will last well after you die. How long depends on you and the legacy you create and preserve.

You can make a monetary bequest/gift to your family or you can give to charities that reflect your values and beliefs. What you leave can be tangible (cash, house, car) or intangible (wisdom, ideals, philosophies, principles). However, you can only be impactful in the way that you desire if you plan ahead. Otherwise, your legacy will be left to the whims and fantasies of others.

What we do is work with you to make sure your wishes and desires are documented. Contact us at www.ythlaw.com for all your estate planning needs.

Capture Your Legacy

As you prepare for your weekend, think about all that you have accomplished in your life. If you are so inclined, write those things down on a piece of paper and read through them again. Take the time to celebrate this list during your weekend. Feel free to share this list with family or friends or just keep it to yourself, if you prefer.

It is my wish for you that all that you have accomplished to date is just a reminder to you of what can be done in one's lifetime and to just imagine how much more can be added to that list during the rest of your life.

We celebrate life and living in our estate planning practice. Let us preserve your legacy. Contact us at www.ythlaw.com

A Little Help

I just watched this clip and thought it would be an interesting movie to see. You never know when something may happen to you or the one you love (or not). Planning now can save a lot of anguish later. Let me have your thoughts once you see the movie. I will comment further as well when I see it.

Divorce and Death - What you need to know.

You probably do not even think about all the details of a divorce until you are in the middle of one. That may not be the most appropriate time for you to make rational decisions affecting the rest of your life. But, be that as it may.


What you need to remember, whether you are getting a divorce or not, is that upon death money is distributed 4 ways: by Will, Trust, Joint Ownership or Beneficiary Designation. You need to make whatever changes are necessitated by the divorce in all 4 of these areas.


Contact us at www.ythlaw.com for all your estate planning, probate and elder law needs.

Divorce and the Special Needs Child

A divorce is multifaceted. Therefore, if you are able to move towards a collaborative divorce, it could provide the best alternative to look at all aspects of your life and divorce. Specifically, in addition to divorce attorneys, financial advisors, mental health professionals, you want to make sure an estate planning attorney is involved.

A Special Needs Child will still require the emotional and financial support of both parents, even more so after the divorce. You can handle the emotional side with the help of mental health professionals. A Special Needs Trust could serve to address handling financial needs. You do not want the divorce to affect any public benefits currently available to your child. A neutral party could serve as the trustee and make sure those supplemental needs that you might want for your child are addressed.

We can help you. Contact us a www.ythlaw.com for your estate planning, probate and elder law needs.

Is Your Ex-spouse still a Named Beneficiary Under Your Insurance Policy?

A client called to ask me a question for one of her customers. The customer's ex-wife died. They had been divorced for several years and, as of the date of her death, the children were still minors. The ex-husband "alleged" that it was his ex-wife's intent not to change her life insurance policy. However, the insurance company refused to issue the $250,000 death benefits to the ex-husband.

The question asked was whether the insurance company was correct in not releasing the check to the ex-husband. Well, I pondered the question. The policy is a contract between the insurance company and the insured, now deceased. She named her beneficiary and never changed it even well after the divorce. However, you have to also consider case law and any statutes that might change the basic contract analysis.

ANSWER: The Ex does NOT get the $250,000.
STATUTE: A statute in PA provides that if an ex-spouse is still named as a beneficiary under a life insurance policy upon the death of the other ex-spouse then such ex-spouse will not be entitled to the death benefits. There would have to be CLEAR intent (ie. provided in the divorce decree) that the deceased person intended for the ex-spouse to receive such death benefits.

Call us at www.ythlaw.com for all your probate, estate planning and elder law needs.

Divorce - When Should I update My Powers of Attorney

Another estate planning matter that must be addressed at the time of divorce is your powers of attorney.

(1) If you have powers of attorney naming each other as agents, then 9 times out of 10 you do not want your ex-spouse to handle your affairs when you are incapacitated.

(2) If you do not have any powers of attorney, it is even more important to get them done.

You need to appoint someone to handle your financial affairs (paying bills, dealing with the bank, etc.) when you are unable to do these things yourself. You also want someone to be able to talk with doctors or review your medical information when you are unable to address medical situations yourself.

Don't let a divorce just happen to you. Take a collaborative approach that helps you address the financial, emotional and more importantly those estate planning issues that could get overlooked and lead to real complications. Contact us at www.ythlaw.com for estate planning, probate and elder law needs.

Collaborative Divorce - Can We Change our Irrevocable Trust

At the time of divorce, an additional estate planning matter to consider would be modifying or terminating any trusts that you may have in place. At this time, I am addressing the Irrevocable Life Insurance Trust. Sometimes referred as the ILIT.

One would think that you can not change an Irrevocable Trust. However, there are opportunities to not only change the trust but also to terminate it. When I draft my ILITs for clients, I do provide for a divorce contingency so that by the terms of the trust changes are made as a result of a divorce. However, if your trust does not provide a divorce contingency, there are options available under the law. Under defined circumstances, the irrevocable trust can be terminated. At the time of divorce is the opportune time to address these legal issues. It will save time and expense.

Contact us at www.ythlaw.com for your probate, estate plannind and elder law matters.

Collaborative Divorce and Estate Planning

There are so many issues that you must consider if or when you are going through a divorce. What about the children? Where will I live? How will the assets be allocated? In a collaborative divorce, couples seek divorce without going through litigation. Collaborative divorce is more comprehensive then the mediation alternative to litigation. It can serve to help you look at the financial and emotional aspects of divorce. In addition, from my perspective, it is an opportunity to consider the many estate planning issues. Over the next few days, I will discuss those issues and how they can best be addressed for your situation.

Who will be the guardain of my minor children? This is a difficult enough question when couples are together. It becomes even more problematic during a divorce. Either parent would have full custody of minor children when the other parent dies unless parental rights have been terminated or modified as part of the divorce settlement. It would be wise to revisit guardians that you may have appointed under your prior Wills and determine whether there is still agreement. During the collabrative process, you want to make sure you address matters relevant to the guardian of your minor children.

Contact our offices at www.ythlaw.com for more information on probate, estate planning and elder law.

Have you moved to another state recently?

Peopele often ask me when should they update their estate planning documents. First, I do congratulate them for having done a Will and other estate planning. Just as important as making a Will, is to make sure to keep that Will up to date.

So, one trigger to remind you to update your documents is when you move to another state. Your Will is governed by the state where you live. Each state will recognize a Will made in another state,. However, it is important that it is reviewed by a lawyer when you move. You want to make sure there are no ambiguities that could be problematic upon death. There may be other important documents to consider in your new state. Should you have a Trust, Powers of Attorney or iving Will. What may not have been important in one state, like the need to have a Trust, may be very important in your new state.

Contact us at http://www.ythlaw.com/ for your probate, estate planning and elder law needs.

Tax Tip Mid-Year

It's summertime, the beach, vacations, sun and fun. So, have you thought about how to save on your taxes. I guess not!! But someone else has. Therefore, I thought I would share this recent article I read with you. It has some essential tips for you to consider for your 2011 taxes.

10 Midyear Tax Moves To Make Now
By Kay Bell • Bankrate.com


Contact us at http://www.ythlaw.com/ for all your probate and estate planning needs.

Divorce American Style

I received a newsletter from Marianna Goldenberg, a financial advisor who specializes in working with women experiencing a divorce. There are unique financial and estate planning matters that must be addressed during such a transition.

Here is a particular scenerio she presented with some slight modifications. Amy and Ted have been married for 12 years. They have no children and are each currently in the 25% federal tax bracket. They are trying to decide how to equally divide their remaining three assets. Those assets are a shore house in New Jersey worth $300,000, an IRA worth $200,000, and a savings account worth $250,000. The $250,000 in the savings account represents a loan taken against their shore house.

Ted has proposed that Amy take the shore house and sell it netting $50,000 after repayment of the outstanding loan. He suggests she should also keep the IRA worth $200,000. He would keep the savings account and they would both end up with $250,000.

Amy thinks this sounded fair since each would be getting half of the $500,000 total asset value. However the one question that she overlooked asking was “what is the cost basis?”

If this question had been asked of Ted it would have revealed that he only paid $110,000 for the shore house 8 years earlier. This asset has a capital gain of $190,000 which creates a capital gain of $28,500 (15% capital gain) plus $5,700 state tax due (3% state tax rate). Amy received $50,000 from the beach house but had to pay out $34,200 in taxes, so she only had $15,800 remaining.

Her after-tax value of the IRA is approximately $150,000 (25% tax bracket, not counting the 10% early withdrawal penalty since she is not planning to liquidate the account prior to age 59 ½).

The after-tax results show Amy ending up with only $165,800 while Ted keeps $250,000 tax-free and clear. This would hardly be considered an equal split.

To avoid potentially nasty surprises it is best to thoroughly investigate the basis in all assets prior to agreeing to accept transfer in order to have a clear picture of the financial outcome. Once the marital settlement has been signed and the divorce is final there is little to no opportunity to renegotiate an unfavorable deal.

AND do not forget those other documents that need to be updated after a divorce including your Will, Power of Attorney and Living Will. Contact us at

Challenges Create Legacies

In our lives we face challenges. Whether those challenges are personal or business, financial or health, ongoing or one offs, they are forming our experiences and therefore our legacies. Now, we can choose not to view our challenges as building blocks of our personal destiny. When we do, we fail to take control of the challenges and therefore allow the challenges to take control of us. When we take control of the challenge, we are facing our reality and molding it to our best advantage.

You would not sit back and allow the failure of your car brakes while driving on the speedway to take you in any direction. Instead you would take control of the steering wheel and direct the vehicle to the safest stop you could maneuver, averting a life or death situation. So when presented with a situation that is a challenge, take the steering wheel of that challenge and maneuver it to your best advantage.

Nothing is happenstance and everything is for a reason. Those who have learned the most from their challenges have been creators of amazing destinies for us to learn from and grow. What is your legacy? How are you preserving that legacy for generational prosperity?

Contact us at http://www.ythlaw.com/ . It is the legacy you have created that we seek to protect and preserve.

Wills, Wills, and more Wills - Do You Have One?

Your Will is your opportunity to say what you want to say, give what you want to give, honor those you want to honor as the beneficiary of your stuff (whatever your stuff might be). There have been many strange, wonderful, provocative, even crazy (of course crazy is in the eye of the beholder!!!) Will mandates.

Here are an interesting few!!!

Now consider your own situation and contact us today!

Medicare

Third, as we continue from July 3rd the discussion of the Patient Protection and Affordable Care Act (“Act”), another area of focus under the Act is Medicare. The Act includes provisions that impact cost-sharing for Medicare Part D prescription medications, add to and change cost-sharing obligations for Medicare Part B preventive benefits, impact cost sharing for participation in Medicare Part B and D, change payment to Medicare Advantage plans and change enrollment periods for Medicare Parts C and D.

Specifically, the "donut hole" is to be eliminated by 2020. Elimination of this coverage gap is significant for seniors. Medicare is moving away from just be about sick care and to be more inclusive of well care including annual check-ups. Enrollment period changes and premium adjustments are additional changes which serve as enhancements to Medicare and therefore to the senior population.

Contact us at

Happy 4th of July

We all know that Freedom is a beautiful and precious thing. It should never be taken for granted. As we celebrate the 4th of July, reflect on all that Freedom means to you and the country in which you live.

Happy 4th !!!!

Elder Justice Act

Second, as discussed July 2nd, the Patient Protection and Affordable Care Act (“Act”) has many aspects of importance to the elderly population. Anyone who has a practice focusing on or working with the elderly realizes the importance of advocacy on behalf of that population. There are many with designing schemes to exploit those most vulnerable in the community. In my practice, I have seen direct mail and call campaigns targeted at seniors with offerings that were in no way needed, beneficial, practical or affordable for an elderly person. I have seen solicitations that look like monthly bills which the elderly person pays. There have been nursing home facility closing leaving elderly individuals with little options. Besides exploitation, the 2 entities established by the Elder Justice Act also address abuse and neglect. Those newly established entities are the Elder Justice Coordinating Council and Elder Abuse, Neglect and Exploitation Forensic Centers.

The Elder Justice Act provides for the first time coordinates efforts to prevent elder abuse on a federal level. The Elder Justice Coordinating Council will make recommendations to the Secretary of Health and Human Services on the coordination of activities of federal, state, local and private agencies and entities relating to elder abuse, neglect and exploitation. The Elder Abuse, Neglect and Exploitation Forensic Centers develops forensic expertise regarding and provide services relating to, elder abuse, neglect and exploitation. In addition the Elder Justice Act will make available funds for adult protective services.

As we care for our aging parents and ourselves as we age, it is important to know about these services and continue to advocate on behalf of elderly. Contact us at http://www.ythlaw.com/ for more information.

Affordable Care Act and the Elderly

Over the next few days, I will focus on an important part of our population, the elderly, and a law impacting health matters pertaining to them. In March, 2010, a comprehensive federal health care act was enacted, the Patient Protection and Affordable Care Act (“Act”). Among its numerous provisions, some highly publicized, there are many provisions that are specific to the elderly but have not been given as much public scrutiny.

First, we have the Community Living Assistance Services and Supports (CLASS) program which was created by the federal Act. . It will be funded through voluntary payroll deductions made by eligible full-time, part-time and self-employed workers regardless of health conditions. Payments will be made under the program to vested participants when they have a qualifying disability. It will take 5 years to vest in the program and there will be no limits on the number of years pay outs to an individual will be made. It would not prohibit access to other long term care coverage. This program may not be helpful to those with long term care needs now but it does address the serious situation of lack of long term care coverage for over 90% of the population.

The program is anticipated to begin in the latter part of 2012. Under the Act, the Secretary of Health and Human Services has to announce the details of the program by October 1, 2012. That announcement will also include details on the benefit and premiums, and when enrollment will start.

For more information contact us at http://www.ythlaw.com/

Continuing Care Retirement Communities, Here to Stay?

The Continuing Care Retirement Communities (“CCRC”) offer a blend of housing complex, activity center and health care system. They consist of independent living, assisted living, and nursing care as well as other programs and activities. Some offer specialized Alzheimer’s memory care units and programs.

However, in recent times, some CCRCs have begun to experience financial instability and therefore have attracted public concern and national attention. In Pennsylvania, at least 3 CCRCs have been impacted by bankruptcy filings. Even though there have been no complete closures to date, there have been significant changes impacting residents. Such changes include increases in service fees, elimination of some services, reduction of staff and changes in personnel management. These concerns generally result from change in ownership and persistent financial problems.

What is the answer to this growing concern? Residents have sought legal guidance, regulatory oversight and investigative reporting. It would appear that if CCRCs are to continue to be a viable option for the elderly all of these avenues most be adequately utilized. In addition, those on the front line of the issues, the residents, must continue to be vigilant in their own advocacy for self-representation. If governing boards of CCRCs do not have resident membership, then such should be sought after by the residents for better knowledge of and control over the financial viability of what has become their home.

Contact us at http://www.ythlaw.com/

Pooled Trusts

A third type of trust that might be used for a disabled family member is a Pooled Trust. In a Pooled Trust many different disabled individuals place assets in the trust. Each in separate individual accounts, in order to achieve efficiency. A Pooled Trust is like a bank that holds the assets of individual account holder for the individual's benefit.

The trust must be established and maintained by a non-profit association. Upon the death of the disabled individual any excess funds cannot be left to heirs of the disabled person but remains in the Pooled Trust for the benefit of other disabled individuals in the Pooled Trust.

If you have questions regarding estate planning, probate or elder law matters contact us at http://www.ythlaw.com/

Payback Trust

The Payback Trust is a second type of trust that can be established for a disabled family member. This type of trust is different from the Third-party funded trust discussed in the prior post.

The Payback Trust as the name implies is a trust created from the funds of a disabled beneficiary and requires payback, at death, to the state for medical assistance benefits. However, during ones lifetime, funds may be accessed within designated limitations. Generally, these trusts are created to hold the proceeds from personal injury or medical malpractice settlements to allow the disabled beneficiary to continue to receive medical assistance. The trust must be created as an irrevocable trust for the sole benefit of the disabled individual under the age of 65. Such trust can be created by the disabled individual, his/her parent, guardian or order of the court.

Tomorrow we will discuss a thrid type of trust used for those with disabilities. Contact us at http://www.ythlaw.com/ for expert estate planning advice.

Happy Birthday to us All!!!

I had mentioned before that I alway use my birthday as a time to review and reflect on important health, financial and personal matters. Making sure my estate plan is up to date is a part of this annual reflection. Well, today is my Birthday!!

I am fortunate to have my health. I also realize how important good health is and so I do what is necessary to maintain good health. It is just as important to do what is necessary to make sure my Will and other important estate planning documents exist and are up to date, when I am healthy and can make sound and rational decisions.

It is also important that I address issues of healthcare and long-term care when I am healthy and can make sound and rational decisions. This would include the social security areas of retirement, disability, medicare and medicaid; long term care insurance; assisted living; and, guardianship. All of these areas may be of importance to you and your family.

Feel free to contact us soon at http://www.ythlaw.com/.

Third-Party Funded Trust

I will discuss 3 types of trusts over the next 3 days that would be considered for a disabled family member. The first trust to discuss is the third-party funded trust. This is a trust in which funds of one person are placed in a trust for the benefit of another person. In this case, the benefitted person would be the disabled family member.

A third-party trust, if properly established, will not affect the public benefits of the disabled family member nor will it be necessary to reimburse the state for medical assistance provided to a disabled family member. Such trust must allow the Trustee full discretion in the distribution of the funds available in the trust.

Contact our offices at http://www.ythlaw.com/ expert advice and document preparation to meet your estate planning needs of a disabled loved one.

Medicaid Eligibility

As we continue to discuss the needs of families with loved ones who are disabled, let's take a look at the Medicaid law. Medicaid provides funding for longterm care nursing facilities, inpatient hospital care, clinical services, psychiatric care, prescription drugs and medical devices. Disabled persons are a category covered by medicaid if they meet the financial criteria.

The financial requirement for Medicaid requires that an applicant have assets, including income and resources, below a certain threshold. This is generally $2,000 in states like Pennsylvania. This criteria is also applicable to SSI.

Money or other assets of a disabled family member CAN NOT be transferred into a Trust to qualify for Medicaid benefits. There are special exceptions to this rule with very specific guidelines that MUST be followed. Such Trusts that can be used are payback trust; pooled trust; and, discretionary trust (this trust DOES NOT contain the money of the disabled family member). More on each of these trusts will follow over the next few days.

Contact us at http://www.ythlaw.com/ for more information on probate, estate planning and elder law.

Understanding Trusts

As pertains to disability, understanding what a trust is and how it operates are important to not only families with disabled loved ones but all families.

Trusts use a form of bifurcated (2 part) ownership. An individual referred to as the Settlor transfers his/her property (real estate and/or money) to an individual (or institution) referred to as the Trustee. The Trustee manages the property for the benefit of the beneficiary (another person). The two-part ownership would be the Legal and Equitable. Legal Ownership is with the Trustee, while the Equitable Interest (having a right to the enjoyment of the property) is with the beneficiary.

The most common types of trusts are mandatory, support, discretionary and spendthrift. The mandatory, support and spendthrift trusts would not be the type to establish for those with disabilities if maintaining public benefits such as medicaid and SSI are important. It would be the discretionary trust that is of importance to families with disabled loved ones.

The discretionary trust will be discussed tomorrow. Contact us at http://www.ythlaw.com/ if you have questions or would like to schedule an appointment to discuss your estate planning, probate and elder law needs.

Should A Person on Disability Inherit?

Medicaid and SSI both have very stringent resource (and income) thresholds that could be implicated by a bequest or gift. The result is that the disabled individual could loose their SSI and Medicaid benefits. Therefore, they could be forced to pay for or even forego nursing care or other healthcare benefits.

What exactly is meant by "resource"? A resource is defined as cash or other liquid assets or any real or personal property that an individual owns and could convert to cash to be used for support and maintenance. So even if one who is disabled inherits a small interest is a house (real estate), it is considered a resource because everyone with an interest in the property has the right to seek their financial (share) interest in the real estate. That means they can force a sale or be brought out by the other owners.

So, how can a disabled person obtain and inheritance and still maintain their Medicaid and/or SSI benefits? The legislature and courts in Pennsylvania have recognized special needs trusts or supplemental needs trusts that when properly executed can reduce the costs to famiies and provide additional resources for the disabled person on Medicaid or receiving SSI.

We will continue this week to discuss the different types of special needs trusts. Contact our offices at http://www.ythlaw.com/ for expert estate planning advice.

Estate Planning for Family Members with Disabilities

Over the next few days, I will discuss the issues pertaining to estate planning for families with disabled family members. Generally, family members desire to leave money to a disabled loved one in order to maintain or improve the quality of life. However, if this is done with a bequeath in a Will or an outright gift, more harm than good could result.

Medicaid and SSI both have very stringent resource (and income) thresholds that could be implicated by any significant bequest or gift. The result is that the disabled individual could loose their SSI and Medicaid benefits. Therefore, they could be forced to pay for or even forego nursing care or other healthcare benefits.

Let's discuss what can be done over the next few days. Feel free to contact us at http://www.ythlaw.com/ to discuss all your estate planning needs.

Last Will and Testament

I received a birthday card today from a life long friend. It reminded of the importance of our "intangible" legacy. During our lifetime, we acquire assets that we want to pass on to our family, friends and/or charitable organizations. Those assets are not just MONEY, REAL ESTATE or other TANGIBLE property (cars, jewelry, furniture, artwork, collectibles, etc.). Our gifts are intangible as well.


Through estate planning we can document our INTANGIBLE assets. My friend reminded me that I make others happy, I know just the right thing to say, I appreciate time spent with family and friends and I enjoy giving to others. What are the intangible things of your life and how might it be documented in your estate plan?

Your Last Will and Testament can provide guidance and advice to others; it can give to a charity that makes a difference in ways that reflect your life; it can have an educational fund started for your family; and, it can even forgive. Let an estate plannning professional work to personalize your Will. Your legacy is our interest. Contact us at http://www.ythlaw.com/

President Annouces Death of Osama Bin Laden

For the families who lost loved ones in the 911 attack on our Nation and for all of us who cherish peace and freedom, a victory has been obtained with the death of Osama Bin Laden. We do not often cheer death for life is a precious gift. But, when you look throughout history, there are those, like Hitler, Stalin, Ivan the Terrible, Pol Pot, Idi Amin Dada, who promoted such horrendous and vicious acts against mankind that only death could end their terror.

The death of Osama Bin Laden addresses some closure on the worst attack on the American people in our History and for others throughout the rest of the world. Though the cost of war is great, it is the true pursuit of justice that brings the achievements we seek.

It is times like this that we give pause to address the lessons learned and make sure that our history is well documented for the next generation. Contact us for your estate planning and other legacy needs at http://www.ythlaw.com/

A Royal Legacy

The royal Wedding is very symbolic. It represents tradition with a touch of modern flare that must be timeless. As William and Kate begin their royal life together as husband and wife, they will be creating a legacy that will be documented in many ways for generations well beyond their lifetime.

With royalty, many things are already addressed for them as pertains to inheritance, incapacity and other life and death planning.

You can take responsibility of your lifetime planning. We are here to provide the advice and guidance that you will need. Contact us at www.ythlaw.com for your Wills, Powers of Attorney, Living Wills and other probate and elder law needs.

Legacy of Immortality - The Story of Henrietta Lacks

While vacationing with my family in Jamaica, the Island of sunny skies and warm people, I was able to leave behind our hectic work and home life. So between eating the speciality dishes, climbing the falls of Dunn River; swimming with Dolphins, Sharks and Stingrays at Dolphin Cove and Bobsledding in Mystic Mountain, I read. The Immortal Life of Henrietta Lacks.

The story of Henrietta Lacks is both disturbing and comforting. Disturbing in the unsettled nature of the acquisition of her cells and comforting in the contribution her cells have made and continue to make to advances in science. "HeLa" the name of Henreitta Lacks' cells which continue to live and multiply well after her death in 1951 were vital in the development of the polio vaccine, gene mapping and helped in developing drugs for influenza, Parkinson's disease and continues to aid cancer research and all other medical research.

Henreitta Lack's stories raises for me yet another question regarding our assets and the extent to which we can control the distribution of them during and after our lifetime. Contact us at http://www.ythlaw.com/ with your estate planning, elder law and probate questions.

The Legacy of a Nation

This was shared with me so I pass it along to my blog colleagues, friends and family!

Go to this website and enter the amount you paid in Federal Taxes in 2010. See your “tax receipt” for how your tax dollars were spent. Be sure to “expand all” to see the detail in each category. Don’t forget to scroll to the bottom of the receipt to see your share of the federal debt.

For many Americans, the amount they pay in taxes is larger than any purchase they make during the year, but studies show they know almost nothing about where that money goes to. An electorate unschooled in basic budget facts is a major obstacle to controlling the nation’s deficit, not to mention addressing a host of economic and social problems. This website suggests that everyone who files a tax return receive a “taxpayer receipt.” This receipt would tell them to the penny what their taxes paid for based on the amount they paid in federal income taxes and FICA. It’s truly enlightening.

Contact us for your estate planning, probate and elder law needs at http://www.ythlaw.com/

Who's Gonna Take Care of Fido?

Many people make plans with a friend or relative regarding the care of their pet after they die. However, a sure way to make sure your pet is covered is to make the pet's care a part of your Will. Even though a pet is legally considered property, you can leave money for your pet in a trust. You bequeath money into a trust with your pet as the beneficiary and a trustee named. A caregiver for your pet is also named. The trustee could be a friend or a relative or an institution willing to serve. Make sure all your loved ones are covered in the event of your death. Contact us at http://www.ythlaw.com/ for elder law, probate and estate planning needs.

To Be or Not To Be, That is Your Decision!!

You can dictate whether you want to be on life support. If your condition is terminal without any hope of recovery because you are in a permenant state of unconsciousness or in a vegetative state, your Living Will can speak for you. The Living Will is the fourth important document of your estate plan. It is also referred to has your Advance Healthcare Directive. You can let your family as well as medical professionals know your preference for life-sustaining treatment. Plan for those important decisions in your life. Contact our offices at http://www.ythlaw.com/ We can help you with Probate, Estate Planning and Elder Law.

For the Love of a Friend

"HEARTS FOR JAYLA" continues to garner lots of support but can always use more. Since her eye inquiry in 2009, Jayla has endured numerous surgury with the most recent one, April 13th. She is a phenomenal child with the spirit of a winner no matter what. You got to love her!!

There are a lot of people in her corner as demonstated by this most recent article. Her friend, Brett Hoffman (11 years old), is making a difference with his jewelry design for Jayla (10 years old). My marathon run could only have happened with the energy obtained from the charities I represented.

Contact us for your continued support of our charitable endeavors.

Business Succession Planning

Whether you are a mega corporation or a Mom and Pop operation, business succession planning is critical. Do not let your business go down the tubes because you fail to anticipate the next generation of business ownership. There are many scenarios a business owner may want to consider. The primary ones are: (1) Your children will inherit AND run the business. Have you talked to your children about their interest? Are they currently involved? Do they care about the business? Are some children more involved or interested than others? Take the time to answer these questions and plan accordingly. (2) Your children will inherit BUT others will run the business. Do you have an agreement in place with current or potential partners of your business? What are the expectations upon your death or your disability? How would your family be compensated for their interest in the business should you die? Take the time to answer these questions and plan accordingly. (3) You have a Key Employee or potential third party purchaser. Do you want to retire from the business and reap the benefits of your labor. Take the time to answer these questions and plan accordingly. Contact us at http://www.ythlaw.com/ for expert assistance with businses succession planning and other estate planning, probate and elder law needs.

Death of a Salesman

A young man was standing at the Pearly Gates wondering whether he would be allowed in. Just as he was about to turn away, the gate slowly opened and he cautiously stepped in. Before he could go further, a voice spoke clearly and loudly to him. "Are your affairs in order?" The voice asked. "I have no affairs to get in order" was the young man's reply. "Think again" said the voice. So the young man sat and pondered. "Ah ha", he exclaimed. "I hope my wife knows where the insurance policies are. I want to make sure the kids use the money I left for their college education. Who will take care of those payments I have been making for my mother's home care? What did I do with that special collection of baseball cards? They have really increased in value." "Young man you have some unfinished business. Now go back and get it done!" Right at that moment, the young man woke up. What a dream he thought. That day, he got his affairs in order. Unlike a dream, there is no second chance in death. Do not let it be too late for you to get your affairs in order. Contact us today at http://www.ythlaw.com/

Why You Need A Will

There is a pervasive belief that estate planning is only for those with wealth. This, however, could not be further from the truth. Most people own some type of property, whether it is a family home or bank account and most people have loved ones, children and spouse, that they want to take care of. Without a will, the state gets to decide how to distribute this property at death according to the state's intestacy laws. These laws generally leave the property to the surviving spouse and/or children. The problem with state intestacy laws, however, is that they are based on blood relation. They do not take into account the fact that many Americans have non-traditional families. For example, if a person has been married more than once with children and step-children from each marriage, has a civil union, domestic partnership or wishes to leave property to an unrelated person, then the intestacy laws will not carry out their final wishes. By preparing a basic will, an individual gets to control how their property is distributed. If they want to leave money to charity or create a trust to take care of a pet, they can do that. If they own a family business they want to see carried on rather than broken up, they can do that too with the right estate planning tools. There are many other things that can be done through estate planning. Contact us at www.ythlaw.com

Selling The Family Home, Oh My!!

We have a combination of rain and snow this morning, the first day of April. April showers bring May flowers. What does April snow bring? Well, let's wait and see. There are some things we have no control over. There are many that we do but we fail to act on them. I am in the middle of an estate matter with lots of family disharmony. We have a home that clearly needs to be sold but there was no Will providing those instructions. Since the 5 beneficiaries can not agree on selling the home, the court appointed Administrator will have to Petition the court to sell the property. More money coming out of the estate to pay the expense of filing the petition. In addition, since there was no Will and the beneficiaries did not agree on which one of them should be the Administrator, the court interceded and appointed its own Administrator, more money coming out of the estate. AND the only money that the estate has will be what comes from the sale of the house. SO, it appears that not only will the home no longer be in the family. The beneficiaries will get much less than they anticipated. We do have control in managing some things but only if we act while we can. Got a Will, if not contact us at http://www.ythlaw.com/ for estate planning, probate and elder laws matters.