The marital deduction is certainly one of the most powerful estate planning tools at your disposal. This deduction allows all assets passing to a surviving spouse to pass tax free when the first spouse dies. However, this does not solve the estate tax problem. That is because, if the surviving spouse cannot take advantage of the marital deduction when he or she passes away. Marital Deduction Defined Under federal tax laws, married couples are allowed to give an unlimited gift to their … [Read more...] about What is the Marital Deduction in Los Angeles?
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What is an Elder Law Attorney in Los Angeles CA?
An Elder Law attorney in Los Angeles CA is one that specializes on legal issues relating primarily to seniors. Elder Law did not become a well-recognized specialty until the 1980s, when legal issues that affected seniors became more complex. Difficulties in qualifying for Medi-Cal coverage in the face of nursing home care needs were on the rise. Elder law attorneys are specially trained and experienced in legal issues that affect seniors, making them better suited for understanding the … [Read more...] about What is an Elder Law Attorney in Los Angeles CA?
What Is a Special Needs Trust in Los Angeles California?
Trusts are created for the purpose of protecting certain assets that you may want to leave for your heirs, but want to make sure they are used for whatever purpose you have in mind. A common example is money set aside for grandchildren when they reach a certain age. Trusts can also establish how the money can be used when they finally obtain it. Trusts are essential estate planning tools. A “Special Needs Trust” is a specific type of trust for the benefit of someone who is disabled. It is … [Read more...] about What Is a Special Needs Trust in Los Angeles California?
Who Can be a First Party Trust Beneficiary?
Special Needs Trusts are useful estate planning tools used to improve the lives of those who are disabled or have special needs. If a disabled individual receives government benefits, or may be eligible to receive them in the future, owning too much property can jeopardize their eligibility. A special needs trust can help the disabled maintain their eligibility for need-based government benefits, while still providing for their continued care. So, who can be a first party trust … [Read more...] about Who Can be a First Party Trust Beneficiary?
Does Your Firm Handle Wills?
One of the most common services provided by estate planning attorneys in California is drafting the last will and testament. Does our firm handle wills? The answer is yes. But, the process of drafting a will is not all that is required. As California estate planning attorneys, the Schomer Estate & Wealth Advisors is prepared to manage, transfer, and distribute your real and personal property, pursuant to your last will and testament, upon your death. These services are always accomplished … [Read more...] about Does Your Firm Handle Wills?
Medi-Cal Monthly Maintenance Needs Allowance
In order to be eligible for Medi-Cal, applicants are required to have limited income and assets. Any assets you own, with very few exceptions, must be used to pay for medical expenses. What does that leave for spouses of Medi-Cal recipients? Many people become concerned about how they can continue to support themselves if their spouse is placed in a nursing home, while receiving Medi-Cal benefits. There is help available, including the Medi-Cal Monthly Maintenance Needs Allowance. Support … [Read more...] about Medi-Cal Monthly Maintenance Needs Allowance
What are Crummey Powers?
Giving gifts to others can be personally fulfilling. It can also cost you financially, as the IRS is sure to get its share through the federal gift tax. In 2014, the gift tax rate is 40%. Fortunately, we are all allowed an annual gift tax exclusion of $14,000 per recipient. The catch is, the exclusion only applies when you give money to someone immediately. But what if you want to create a trust? In that case, the “gifts” you make to the trust are taxable – unless you make use of Crummey … [Read more...] about What are Crummey Powers?
What do Per Stirpes and Per Capita Mean?
In the legal arena, there is no shortage of strange terms and legalese. How many times have you been handed a document to review and sign, with no idea what half of it means. In some cases, state planning documents are no exception. Of course, your estate planning attorney can explain these odd terms to you. But having a basic idea of what some important legal terms mean, is still a good idea. If you are considering whether to draft a will or not, you may have run across the terms “per … [Read more...] about What do Per Stirpes and Per Capita Mean?
Can I Modify My Trust?
Estate planning is a course of action for every family. A good estate plan can provide security for the future in a comprehensible, customizable way. A revocable trust is an example of one of many valuable tools that can be included in a comprehensive estate plan. What happens, though, when family situations change, financial status fluctuates and other aspects of your life change? You may be wondering: Can I modify my trust? Of course you can! Methods of modifying a trust There are … [Read more...] about Can I Modify My Trust?
What Is an IRA and How Does It Work?
Have you started planning for retirement yet? It is never too early to start thinking about it. Most of us would like to look forward to a more comfortable retirement than Social Security can provide. The purpose of an IRA is to do just that, allow you to plan, save, and invest in your future. An IRA can also be used to help pay for other important purchases, while providing wonderful tax breaks. So, what is an IRA and how does it work? Definition of an IRA An IRA, or Individual … [Read more...] about What Is an IRA and How Does It Work?
