For the Love of Your Family

Articles to LIFT Your Family

Q&A: What is “diminished financial capacity”?

Q & A: QUESTION ______________________________________________________________________________ Q: What is “diminished financial capacity,” and why is it so dangerous for seniors? —Concerned Caretaker ANSWER ______________________________________________________________________________ A: Dear Concerned: The National Institute on Aging estimates that nearly half of all Americans will develop some form of dementia, such as Alzheimer’s Disease, during their lifetime. And while the cognitive […]

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Q&A How much can I write off on my 2021 income taxes for charitable donations?

Q & A: ______________________________________________________________________________ Q: How much can I write off on my 2021 income taxes for charitable donations if I don’t itemize? -Tax Filer   ANSWER ______________________________________________________________________________ A: Dear Filer:   To increase charitable giving during the pandemic, the Coronavirus Aid, Relief, and Economic Security (CARES) Act allowed for up to a $300 deduction […]

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Q&A How can I determine how much life insurance I should have?

Q & A: ______________________________________________________________________________ Q: How can I determine how much life insurance I should have?  —Family Planner ANSWER ______________________________________________________________________________ A: Dear Planner: When purchasing life insurance, you’ll want to make certain you have enough term life insurance to cover the expenses that your dependents will require until they are no longer dependents—or until you […]

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Q&A: How does buying or selling a business affect my estate plan?

Q: How does buying or selling a business affect my estate plan? –Business Buyer ANSWER ______________________________________________________________________________ Dear Buyer: If you are buying a business, you’ll want to ensure your plan is updated to take into account your new assets and put in place a succession plan for the business. Indeed, for every business you own, […]

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Q&A: How does the proposed tax bill affect federal estate and gift tax?

Q: How does the Democrat’s newly proposed tax bill affect the federal estate and gift tax exclusion? -Concerned Planner ANSWER ______________________________________________________________________________ Dear Concerned: The new bill would reduce the federal estate and gift tax exclusion from its current level of $11.7 million for individuals and $23.4 million for married couples to its 2010 level of […]

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Q&A: How does the administration of a will work?

Q: How does the administration of a will work? -Family Planner ANSWER ______________________________________________________________________________ Dear Planner: In order for assets in a will to be transferred to a beneficiary, the will must first pass through the court process known as probate. During probate, the court oversees the will’s administration, ensuring your assets are distributed according to […]

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Q&A: What is a pet trust, and how does it work?

Q: What is a pet trust, and how does it work? -Doggy Daddy ANSWER ______________________________________________________________________________ A: Dear Doggy, While it’s possible to name a caregiver and leave them funding for your pet in a will, a will cannot guarantee the new caregiver will use the funds properly. In fact, a person who’s left a pet […]

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Q&A: How should I include my cryptocurrency in my estate plan?

Q: How should I include my cryptocurrency in my estate plan? -Digital Planner ANSWER ______________________________________________________________________________ A: Dear Digital, Just like any other property you want to pass on, detail in your estate plan who you want to inherit your cryptocurrency, and then include specific instructions in your will or trust how you’d like the accounts […]

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Q&A: Can I leave my 401(k) to my minor children when I die?

Q: Can I leave my 401(k) to my minor children when I die? -Pondering Parent ANSWER ______________________________________________________________________________ A: Dear Pondering, Though you are technically allowed to name a minor child as a beneficiary of your 401(k), IRA, or other employment-sponsored retirement accounts, it’s never a good idea. Minor children cannot inherit the account until they reach […]

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Q&A: Should I leave money for my child with special needs in my will?

Q: Should I leave money for my child with special needs in my will? – Prudent Parent ANSWER ______________________________________________________________________________ A: Dear Prudent: No, and let me explain why—when planning for a loved one with special needs, you must be extremely careful and always work with an experienced lawyer like a Personal Family Lawyer® because if […]

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How can I avoid being placed under a professional guardian?

Q: How can I avoid being placed under the care of a professional guardian? —Senior Planner A: Dear Planner, Should you become incapacitated without any planning in place, your family would have to petition the court in order to be granted guardianship. In most cases, the court would appoint a family member as guardian, but […]

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