A recent case in Tennessee reveals the problems that can arise with Financial Durable Powers of Attorney (DPA). In that case, mom designated her daughter to be her financial agent in the DPA. The daughter and her husband moved in with the mother to care for her and take responsibilities for her monthly expenses. The…
Elder Law Attorneys are frequently faced with a myriad of issues surrounding annuities and many times find it difficult to provide adequate answers for their clients. Questions: 1) What should be done with older annuity contracts in which companies are offering financial incentives to policy holders to relinquish the guaranteed income and death benefits? 2)…
As I reported in Pennsylvania, now North Dakota, nursing homes are utilizing archaic filial support state statues to sue children of long term care patients. That is exactly what these laws allow – filial support for a parents unpaid expenses in a nursing facility or from some medical provider. Most of these state statues had…
In numerous consultations with the Successor Trustee of a deceased parent, usually a son or daughter, the issue of a disabled sibling arises. The disability may have increased over the years and the sibling is now, or shortly will be, receiving S.S.I. or Medi-Cal. Or, so they thought. Because the now deceased parent left all…
Why should clients continue with an A-B Trust division of assets after the Congress has continued with the $5 million exemption from federal estate tax (FET)? For one reason, the law can change. Permanency means nothing to Congress. When Congress is in session, nobody’s safe. Another consideration is that California could resurrect her own version…
As we all know, capital gain is derived from the appreciation of assets. All of us hope our homes and other property increases in value after purchase. This appreciation results in capital gain. When we sell appreciated assets, there are tax ramifications which is called capital gains tax. Although the tax rate is considerably less…
If you are acting as an agent under a Healthcare Durable Power of Attorney (DPA) or Advanced Health Care Directive (AHCD), you should note the following ALERT. You could be a target as a Defendant in a lawsuit should you fail to notify the DMV of your principal’s inability to properly operate a vehicle due…
1) Uniform Durable Powers of Attorney (UDPA) Changes in California Law The following are recent legislative changes under the Uniform Statutory Durable Powers of Attorney (UDPA) for California. The following powers need to now be specifically included in the UDPA: 1) The powers of an agent to create, modify, or revoke a Trust; 2) The…
Pull up a chair, you’re gonna need it. North Dakota has now actively joined the ranks of states who are resurrecting filial support laws to enable state authorities to collect judgements against children for the parents’ nursing home debts. A filial support law was recently upheld in Pennsylvania in the case of Health Care and…
Part 1 The VA pension benefits for vets and spouses are a valuable source of funding for assisted living and home care, especially the aid and attendance benefit. Unlike Medi-Cal, these pensions are designed to benefit in these settings rather than in a nursing home. Planning for these benefits requires close scrutiny of what is…
Life changes. Times change. People change. Law changes. Because of these realistic facts, our documents must be updated. The child initially appointed as the Successor Trustee and Executor of the estate may now be unavailable for health reasons, family problems, financial issues, etc. It may be necessary to change the order of Successor Trustees. The…
The IRS has become more stringent on Trusts as beneficiaries of IRAs in allowing payouts over a beneficiary’s life expectancy. If there are multiple beneficiaries in the Trust, the Trust must be qualified as a “designated beneficiary” in order to allow distribution over the life expectancy of the oldest Trust beneficiary. Designating Living or Family…