Estate Planning | Shah & Associates, P.C. Estate Planning & Business Law Blog
Website Home Contact Us Blog Archives Blog Home

Interesting Image
 
 
 

Would you like more information on:

 
 
 
Schedule a Phone Call
to discuss your planning needs!
Click to Schedule an Appointment







Website Home


Topics



Archives


Contact Information

Forsgate Commons
241 Forsgate Drive
Monroe, NJ 08831
PH: (732)521-WILL (9455)
FX: (732)521-1204
Info@LawEsq.net
www.LawEsq.net






What Did Whitney Houston, Michael Jackson And Prince All Do Wrong?

January 9, 2018

Filed under: Estate Planning — Neel Shah @ 9:15 am

 

The deaths of icons Whitney Houston, Michael Jackson and Prince rocked the world, but unfortunately, left their families burdened and broken-hearted with estate taxes and fees. Despite having professionals to help with practically every aspect of their lives, none of these artists had a total estate plan, which ultimately ended up costing their heirs millions of dollars and what would have otherwise been avoidable taxes and legal fees. avoid these estate planning mistakes

An estate plan is crucial for the peaceful transfer of assets from your generation to the next. However, even if your estate doesn’t include things like private amusement parks or music rights, there are still takeaways from these artists’ situations to avoid the same costly mistakes. Even though Prince, for example, had paid all necessary taxes without audits from the IRS and had appropriately valued assets, he left no will when he died.

This means that more than 45 people ultimately came forward claiming to be heirs, including nieces, half siblings, siblings and supposed children, which cost the estate tremendous amounts in legal fees to investigate this and respond to it. In order to avoid these challenges, schedule a consultation with an experienced estate planning attorney, regardless of the size of your estate. You can get your own peace of mind and ensure that your beneficiaries receive the assets to which they are entitled well in advanced.

Do You Have to Update Estate Planning Documents When You Move?

December 12, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

Most people looking ahead to retirement are at least considering moving to another state, if only to be closer to family, maximize their retirement dollars or enjoy better weather. But you need to remember that when you establish estate planning documents in one state, the rules of another state could influence how they are managed. when you move, meet with an estate planning lawyer

Contracts are usually managed the same way and are usually consider effective in any state. One type of contract that this applies to is a living trust. A living trust is one in which you generate, create and control the trust and enter into an agreement with a trustee, who manages those assets for you on behalf of the beneficiary.

Then the beneficiary would receive those trust assets, how and when you choose. Typically, a trust is portable throughout the entire United States and you can identify which state laws you’d like to govern your trust. You can move to another state and not have to change your trust. However, your other estate planning documents like your will, your health care power of attorney and financial power of attorney may need to be updated when you move to a new state.

The drafting of estate plans can be accomplished by consulting with an experienced estate planning attorney as you move to a new state. Bring a copy of all of your relevant estate planning documents and strategies to discuss whether or not these are portable or whether they will be interpreted differently in your new state of residence.

Your home state documents may not offer all of the options that are available in your new residential state and the only way to figure out what is going to work best for you is to schedule a consultation with an estate planning attorney who can walk you through what is required as well as involved.

Hugh Hefner’s Unique Estate Planning Strategy

December 7, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

Trust arrangements established by the Playboy founder, Hugh Hefner, may enable his third wife to receive income without technically inheriting anything from the estate. He left behind a major estate valued at more than $40 million and that doesn’t even include the $100 million sale of his Playboy mansion that happened last August. His fortune was left behind to his children, charities and the University of California Film School. In the 1970s, the estate was estimated at upwards of $200 million. put together a trust with a NJ lawyer

The 31-year-old third wife of Hugh Hefner won’t inherit anything from the estate due to a prenuptial agreement that was signed in advance of their marriage in 2012. However, news reports indicate that she will be “looked after”.

He may have used a Q-tip trust in order to accomplish this. He may have also used life insurance in an irrevocable trust. Not enough information is yet known about the estate planning tools that Hefner may have used to pass on things more effectively, but even those who are not uber rich or owners of a $100 million home can benefit from the estate planning services provided by a knowledgeable lawyer.

 

What You Need to Know About Updating Transfer on Death Deeds

November 28, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

One common question that people present to their estate planning attorney is whether or not they can revoke or change the transfer on death deed in the future. This is one of the major benefits associated with the ToD deed because it can be changed at the later date, as it is not irrevocable. This is because the grantor has not transferred any interests in the real estate or given up any rights, so they maintain the eligibility to change it at any time. transfer on death deeds

Remember that the action putting together a transfer on death deed basically adds a beneficiary to real estate. It is quite similar to the process of naming a payable on death beneficiary to your bank account. There is no actual interest in the real estate created, rather an expectation has been created. In order for a transfer on death deed to be effective and legally valid, it has to be recorded and put with the county recorder’s office directly. This also means that another item will have to be filed with the recorder’s office if the grantor changes his or her mind.

This change typically comes in format of a new ToD deed. This is one of the downsides of using a ToD deed because it is not that simple to update. If you change your mind about a provision for payable on death beneficiaries on your savings account, you can visit the bank and be helped by a customer service representative. In order to change a transfer on death deed, however, you will most likely need to hire an attorney to ensure that it is filed properly. This can give you a great deal of peace of mind that the details have been managed effectively, but it can also create an additional obstacle or layer of frustration if you do need to update it.

Do You Need a Digital Executor?

November 13, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

The concept of digital estate planning is becoming more popular in recent years because of the surge of online accounts and online assets that people possess. If your service provider does not have an online tool or if you want to guard against the potential misappropriation of such a tool, you might wish to establish a digital executor to manage the carrying out of your digital assets when you pass away.

The revised Uniform Fiduciary Access to Digital Assets Act of 2015 enables you to extend the traditional fiduciary power for tangible property to include management of a person’s digital assets. This also allows a fiduciary to manage digital property such as web domain, virtual currency, and computer files. However, it won’t restrict a fiduciary’s access to only particular electronic communications. This means that text messages, emails and social media accounts will stay private unless the original user gives express consent in a trust, will, power of attorney or another document. getting a digital executor for your estate

Your affiliate accounts, Google AdSense accounts, blog, and website may require someone familiar with the business to serve as your digital executor, such as an employee. However, a close friend or family member may serve as the appropriate digital fiduciary for your social media and personal accounts. Make sure that you choose someone who has the ability and the knowledge to carry out your necessary requests and inform a digital executor about what is necessary to access your digital estate plan as well as the rules and wishes you have for that plan.

Ready to plan? Now is a great time to schedule a consultation with a dedicated lawyer.

How A Death in The Family Can Generate Challenges for Your Loved Ones

November 9, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

It is never easy to find yourself contemplating your own mortality. However, it can be made much easier by considering how failing to plan could actually cause problems for your loved ones.

In the event that you pass away without having a plan clearly articulated for your loved ones, they may be faced with the challenges of going through the court system and awaiting someone to be appointed to serve as your personal representative.

Furthermore, family members who may not get along may suddenly find themselves in conflict with one another arguing about your intentions. These problems can emerge even before you pass away, such as in situations in which you did not articulate your end of life wishes.

Your family members may be distraught or confused over your intentions about whether you would like to receive life-sustaining care and this can pose problems for your beneficiaries when there is confusion about who is entitled to what and who should be empowered to make these decisions. In the heat of the moment , ou want to ensure that the appropriate people have been equipped with the ability to make decisions on your behalf.

If you fail to take these necessary planning steps, you could be exposing your entire family to a great deal of unnecessary stress and confusion, not to mention the expense and frustration of going through the court system. Having continuous planning and engaging with an estate planning lawyer regularly can help to decrease the chances of problems faced in the estate planning process.

Estate Planning and Goals: What You Need to Know

October 30, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

Estate planning goes beyond just planning for taxes; you need to have specific goals for your estate plan, such as whether or not you want to encourage your children to be entrepreneurs and carry on a family business, how you may be able to support your grandchildren with regards to educational goals and whether or not there are specific charities you would like to support. 

Answering these questions may be difficult because many people find it challenging to contemplate their own mortality. However, this can help you to frame your estate plan and even to practice your first meeting with an experienced estate planning attorney in New Jersey. It can also generate valuable discussion opportunities among family members who are in different generations. 

If you find that it is difficult to find such discussions, you may schedule a consultation with an estate planning lawyer first and walk through the different ways that your goals can be articulated to your loved ones. One of the best ways to bring up your estate planning options to your loved ones is to talk about your legacy.

As a legacy, you will want to pass on your personal property and other assets to loved ones and other entities. But your legacy also helps to ensure that the philanthropic approach and general approach towards hard work or saving over the course of your life can be passed down to future generations. No matter the reason, these are all well worth discussing and considering in your estate planning’s goal setting stage.

Think About More Than Just Money for Your Children’s Estate Planning

October 25, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

If you are thinking ahead about how you can support your minor children, you need to consider more than just the money. estate planning in NJ about more than money

Do you know what would happen to your minor children if you were to pass away unexpectedly? This is a difficult topic to think about, but it is also a crucial estate planning decision that is well worth making. The answer may seem obvious, depending on your individual situation.

If you and your partner were both to pass away, then the juvenile courts or domestic relations courts will get involved if you do not name a guardian for the minor child. However, if only one parent is lost, then the surviving parent would simply assume custody.

If the surviving parent is unfit, estranged or otherwise uninvolved, the answer could be more complex and it may require the appointment of a guardian on your child’s behalf. No matter what you choose, it is well worth having a conversation with an estate planning lawyer, who can walk you through various options available to you and help you find the right solution for your needs.

                                                                                                             

A Personal Note from Managing Attorney Neel Shah 10/20/2017

October 20, 2017

Filed under: Estate Planning — Neel Shah @ 4:37 pm

Last week I was privileged to present at a National Symposium in Los Angeles as part of WealthCounsel & ElderCounsel, which is an elite network of Estate Planning and Elder Law practitioners from across the country. Needless to say, it was a humbling experience to be considered an expert on something amongst a group of my colleagues and peers.

 

 

 

 

 

 

 

But it didn’t take long for my head to shrink back down to normal size, because the very next day, upon returning from California, I was tested for my yellow belt in Tae Kwon Do (for those that don’t know – this is only 1 step “up” from being a beginner). Suddenly instead of being the expert in the front of the room, I was now the novice, this time being judged by the experts. Also a humbling experience.

 

The point is, you can easily be an expert in one thing and a novice in another. When I need instruction on my forms & self-defense skills, I turn to the Masters. When it comes to estate planning, if you are not an expert, you should seek the advice of one. You ‘don’t know’ what you ‘don’t know’.

If you would like to learn more about the things you may not know regarding estate planning, please consider joining us for our free workshop coming up on Thursday, Oct. 26th at 10am in our In Office Classroom. You can email us at Seminars@LawEsq.net to RSVP or request more details.

We hope you can join us, but if not, you can also use this link below to schedule a brief call. And don’t forget to check out this past week’s articles.

Best wishes,

Neel

So My Estate Plan is Finally Complete. What Do I Need to Do Now?

October 16, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

After you’ve put together your ancillary documents, your power of attorney, your trusts and your will, you might assume that you’re prepared for anything. While having a comprehensively prepared estate plan is a crucial first step, you need to ensure that you finalize this process of protecting your interests. You need to ensure that all relevant team members are aware of the role they play and their responsibility. You should certainly advise those closest to you and your trusted professionals such as your CPA or your estate planning lawyer about the plan you have in place. estate planning in NJ

Depending on the relationship you maintain with the beneficiaries and their age, you may want to provide additional details and copies of associated documents. But it is always a good idea to provide directions, detailing the initial steps that should be taken after you pass away. After this first conversation, you may want to create a blueprint of critical information for the individual who will organize your affairs such as:

  •       A list of important people to contact.
  •       Your personal balance sheets.
  •       A list of contact details for your estate beneficiaries.
  •       Copies of retirement asset, annuity and life insurance policy beneficiary designations.
  •       Individual instructions regarding your children, your business affairs and your funeral and burial desires.
  •       A digital asset inventory.

All of these steps can help to clarify things for your loved ones and make things easier if you were to suddenly and unexpectedly pass away.

The right lawyer is a big asset when planning your estate- consider scheduling a meeting now to learn more.

Are You Overlooking These Common Digital Assets in Your Estate Planning?

October 12, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

It makes sense that any digital assets that contain money or something of value should be considered in your digital estate plan. However, with a growing number of accounts and assets online these days, it’s all too easy to downplay digital assets. In addition to your tangible assets, the sentimental value of and the potential financial value associated with your digital assets makes them well worth including.

A new study out of Australia found that people are most likely to own emails, banking records and social media accounts but they may also have domain names, online businesses, bitcoins, iTunes accounts and medical records online that should be incorporated into a comprehensive digital estate plan.

Online service providers will have different rules and strategies associated with how to deal with the deceased user’s account and will typically close them automatically after an individual has passed away. This may not be in your best interests or something that you desire, which makes it all the more important to review these policies now and have a stipulated plan for addressing them. Consulting with an estate planning attorney can help to clarify the most important issues involved in your digital estate and how you should approach the subject overall. digital estate planning just as important

Don’t forget about how all your documents should work together- for example, your beneficiaries on your retirement policies need to be updated because this will be looked at instead of what you list on your will. In addition to reviewing your will on a minimum of an annual basis, you’ll also want to take a look at your beneficiary forms requested by any of your bank, brokerage, retirement, and life insurance accounts to make sure they reflect what you’ve got in your plan.

New Research Shows That Parents Play Favorites with Children in Estate Planning and More

October 11, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

 

Parents may try their best to treat children equally. However, a new research study shows that they may have a favorite and it will play out in multiple ways. The Journal of Consumer Psychology shows what may parents choose which child to give a $25 bond gift to. Fathers were most likely to choose their sons and a majority of mothers selected their daughters. 

Scientists say that this is because parents are more likely to identify significantly with their same gender child. Parents spend more money on a child of the same sex as themselves. This is true when it comes to savings bonds, cash allowances, back to school supplies and estate planning.

Research out of Rutgers Business School, State University of New York Oneonta and the University of Minnesota’s Carlson School of Management found that consumers tend to favor investing in children who are the same sex as them because they are more likely to identify with those children. Have you thought about which of your children would benefit from receiving your assets and the most appropriate way to transfer these on? To minimize tax consequences and to ensure everyone is cared for? Consult with an estate planning attorney today.

Key Questions to Ask When Giving Away Your Money Before You Pass Away

October 10, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

There are ten key questions that you should consider in the process of thinking about giving away money as part of your estate. giving away money with estate planning

Consulting with a knowledgeable estate planning lawyer can help you get half the way towards protecting your interests and ensuring that you’ve considered all potential outcomes. These questions include:

  • Have you already appointed someone to make medical decisions on your behalf and have you told them what you would want?
  •       Can you afford to give away your money now? You may be able to take advantage of the annual gift tax exclusion rather than waiting till you pass away.
  •       Do you have the appropriate beneficiary listed on your life insurance and retirement account?
  •       Do you have a will?
  •       Are you worrying about federal estate taxes unnecessarily?
  •       Should you maintain your Roth IRA for your heirs?
  •       Does your state impose an inheritance or estate tax?
  •       Are the charities you support running properly?
  •       Have you talked to your adult children about your intentions with your estate?
  •       Could you donate appreciated assets to save even more on your taxes?

These are just a sampling of the questions that you should walk through before scheduling a consultation with a knowledgeable estate planning attorney.

Looking at All Sides of Your Estate Plan

October 5, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

Most estate planning conversations with a lawyer have to do with the trusts that are set up upon each individual’s death, their attitudes or self-sustaining care towards the end of the life and the distribution of their assets. estate planning options

However, you should never neglect the softer side of your estate planning including your care of your pets, and other important topics like your attitude towards getting care in a facility or in your home. Some people may choose to stay at home towards the end of their life and would be uncomfortable placed in a hospital.

One of the crucial aspects of approaching estate planning at this level has to do with naming someone as a trustee, guardian, executor or establishment of power of attorney is a statement that you trust that individual to do what is best in various situations. Such a designated agent may struggle to make these decisions if you have not had a comprehensive conversation about what you intend to accomplish towards the end of your life and certain things that you do and do not want to be taken into consideration should problems emerge.

Consulting with an experienced estate planning attorney can open your eyes to the various issues often encountered by people at this level of estate planning. Both the procedural and the softer side of your needs need to be evaluated.

Maximizing the Value of Your Estate: Hire a Lawyer When Considering Real Estate

October 3, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

Leaving behind sizeable cash assets, gifting or transferring this type of wealth to family members is part of your estate plan and could be subjective to significant taxes if you are not careful. However, if you transfer real estate investments of similar value, this could lead to significant discounts. include real estate in your estate planning

Real estate investments in which the investor transfers less than 50% of the assets means that the lack of voting rights or control can be considered when identifying the value for tax purposes.

This could lead to lower taxes because of discounts on the overall value. When evaluating potential transfers of assets, it is necessary to find an accounting professional in addition to an experienced estate planning attorney who can tell you more about how the different decisions you make will influence your future and the future of those you leave the assets to. The possibilities for discounts greater than what you might have expected to pay, identifying the best assets to transfer and the overall potential tax liability can all be discussed directly with professionals.

Even if you are a 100% owner of a property, you could be eligible to receive a discount if you give less than a 50% interest to any one individual. Doing this with your children maybe one common method to help minimize the potential taxes. You should never attempt to develop these strategies on your own and should instead consult with a knowledgeable estate planning and financial professional to assist you with a meaningful set of tactics.

A Sudden Death in the Family Can Present Challenges for Your Loved Ones

October 2, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

If the joint owner on a piece of property passes away, other individual owners may have questions about removing their name and whether or not such property goes through probate. Joint ownership property provides rights of survivorship benefits, meaning that the property does not need to go through the probate process. hire a lawyer to plan your estate

One of the major advantages of this type of ownership is that the property belongs to the surviving joint owners upon death and the ownership will transfer to the surviving joint owner or owners regardless of the estate plan put in place by the individual who passed away. At the moment of death, the surviving joint owner gets the decedent’s interest in the property immediately but the county involved does need to be notified of the death in order to have the title cleared.

You do this by recording what is known as a surviving joint tenant affidavit and an experienced estate administration attorney can help you with this process. The affidavit is extremely technical and should include critical information so that it successfully removes the decedent’s name and clears the title.

The preparation can be very complicated and should be left to an experienced attorney. Although sample forms may be obtained online to get a general idea of the basic information included in this process, it is recommended that you schedule a consultation with a knowledgeable estate planning attorney who can help you walk you through the official legal steps.

Trust, Taxes, and Income

September 28, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

For the majority of retired investors and retirees overall, taxes, trusts, and income are all critical issues. These may be seen as a necessary evil but it is important to reframe your thinking to consider that a trust as one example as nothing more than a legal document that empowers you to exercise control over the distribution of your estate. A trust is often exercised to take advantage of particular tax advantages while also addressing estate tax issues when your estate officially changes plans. 

Sadly, investors with a great deal of amassed wealth may have had as much as 50% of their estate lost to taxes when it is transferred to the beneficiaries. One of the most common mistakes made in this method has to do with the funding of a trust using boilerplate trust forms that you find online or from an advisor could increase the chances of a mistake that ultimately harms your beneficiaries.

Since you are putting special care and consideration into your loved ones’ benefits and how they will be rewarded in your estate, you need to follow through on all aspects of properly funding the trust and establishing it to begin with. Scheduling a consultation with an experienced estate planning attorney can help you to accomplish all of these goals and to give you more peace of mind about your own future.

What Happens If the Executor Doesn’t Follow the Requirements of the Will?

September 21, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

Appointing an executor is an important step to take if you want to protect your interests after you pass away. Choosing the right person to serve in this role is important because you need to place your faith in this individual. For your family members struggling to cope with your loss, the selection of an executor who doesn’t follow the will’s requirements can present problems beyond what they know how to handle, but there are options.

Probate proceedings are judicial, so there is a judge who will oversee the process. A court may appoint a personal representative in your estate if you do not have one, and the court will maintain jurisdiction over the matter in this situation. There are two major types of estate administrations; supervised and unsupervised. The court will be involved in every stage of a supervised administration. Prior to the action taken by the personal representative, that person would need an order from the court. 

Unsupervised visitation, however, requires far less involvement from the court when compared with supervised administration. Once the estate has been completely administered, the personal representative issues a final account in with court.

Parties have a maximum period during which they can object and it is strongly recommended that you have a probate lawyer to assist you with this process because you will need someone who is familiar with the law and who can help you navigate the complexities of estate planning and administration. Consulting with a lawyer immediately is very valuable for anyone who finds themselves in this situation.

                                                                                                                                                                                           

Consider What Happens to Your Digital Estate After You Pass Away

September 20, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

Comprehensive estate planning is something that any person can benefit from, regardless of the size of their estate. It is a mistake to assume that you do not have to participate in estate planning because you have a few basic documents such as a will in place. Your will could be outdated or even legally invalid depending on whether or not you have moved to new states or incorporated new things into your life since you last put it together. Consulting with an experienced attorney is the best way to get a holistic approach to your estate planning. plan for your digital estate

One commonly overlooked but increasingly important component of estate planning has to do with your digital estate. What happens when you pass away to your email accounts, bank accounts, and even your social media. Will these disappear? Are they deactivated? Or will they exist in the Cloud forever?

The answers to these questions lie in the domain of digital estate planning and scheduling a consultation directly with an experienced digital estate planning lawyer can help you to accomplish a broad perspective on what you need to include. With so much vital information stored online, you simply cannot afford to neglect your digital estate planning opportunities. The nature of estate planning itself has changed and while you still may benefit from some of the more traditional documents, you can also benefit from considering what plans you’ll put in place to protect the assets you have online or to deactivate them. Appointing another individual to step in in this role is a common way of addressing concerns with your digital estate but you need a plan that is designed for flexibility and fast action. Consulting with a lawyer who is knowledgeable about digital estate planning can help you to craft a plan that is in line with your unique needs.

The nature of estate planning itself has changed and while you still may benefit from some of the more traditional documents, you can also benefit from considering what plans you’ll put in place to protect the assets you have online or to deactivate them. Appointing another individual to step in in this role is a common way of addressing concerns with your digital estate but you need a plan that is designed for flexibility and fast action. Consulting with a lawyer who is knowledgeable about digital estate planning can help you to craft a plan that is in line with your unique needs.

                                                                                                                                     

 

Estate Planning Outside of Taxes is Critical Too

September 19, 2017

Filed under: Estate Planning — Neel Shah @ 9:15 am

 

One of the primary purposes that many people engage in the estate planning process is to ensure that taxes are minimized and that their financial matters are handled as they wish. However, you need to consider planning for purposes other than taxes. For example, you will need to think about designating the best executor or trustee because this is a crucial piece of ensuring that the administration of your estate goes smoothly. It might also be important to update materials over time for any special needs provisions if any of the beneficiaries is receiving government assistance. 

If there is a change in your family situation, this could also trigger updates in your estate plan. Failing to incorporate this could lead to confusion or even conflicts after you pass away. If the size of your estate has changed, it’s also a good idea to schedule a consultation with an estate planning lawyer to discuss your overall financial distribution plans. The current gift tax exclusion may allow you to provide gifts to someone while you are still alive and can help to reduce the size of your estate and give advantages to your beneficiaries in the short term.

Consulting with an experienced estate planning attorney can help you accomplish not just your tax planning goals but also the other unique considerations you will want to have including passing things on to philanthropy, how to do your beneficiary designations on things like retirement forms and other materials are relevant for estate planning purposes.

Older Posts »