When people are faced with the possibility of nursing home care, they usually fear losing their home to Medicaid estate recovery. There are many tools and strategies that an elder law attorney can employ to preserve the home and other assets of people facing long-term skilled nursing care.
Such tools may include:
• Asset transfers
• Irrevocable Trusts
• Life Estates
• Annuities
• Spending down of assets, including:
o prepaying funeral expenses,
o paying off a mortgage,
o making repairs to a home,
o replacing an old automobile,
o updating home furnishings,
o paying for more care at home, or even
o buying a new home.
Do you need an attorney for long-term care planning? This depends on your situation, but in most cases, the prudent answer would be "yes." There are very particular regulations and penalties to be avoided, and complex financial considerations. There may be a particular rule that applies in your case or some recent changes in the law. In addition, by the time you're applying for Medicaid, you may have missed out on significant planning opportunities.
If you are going to consult with a qualified professional, the sooner the better. If you wait, it may be too late to take some steps available to preserve your assets.
**This is only for advertising purposes. It does not create an attorney client relationship. It only provides general information and is not legal advice. Every case is different; you should contact an attorney to discuss your specific situation.
Thursday, November 5, 2009
Monday, October 5, 2009
Where Should I Store My Will?
Once your will is properly signed and witnessed, you need to store it in a safe place. This location is largely a personal choice, but in every instance, be certain that your executor knows of your chosen storage location, and has access to that location. There are several options, each having some advantages and disadvantages. Consider the following choices, in no particular order of preference:
1. Your own personal fireproof home safe- Your executor will need ready access to the safe, by combination or key, or both.
2. Safe deposit box- Make sure your state law does not require banks to seal the box upon death, and consider who else has access to that box. Be certain your survivors know of this location.
3. Leave it with your lawyer- Some law firms have vaults for such storage of wills and trusts, but some attorneys will not store your will, as they may have concerns about the propriety of this practice; specifically, the concern that a deceased client’s family may feel pressured to use that firm’s services in order to probate the will.
4. The probate court- For a nominal fee, your local probate court may file your will for safekeeping, and produce it only for your named executor, with proof of your death. Consider that this might not be optimal if you happen to move away and perhaps end up retiring in another state.
5. A trust company- If you name a trust company as your estate representative then that company will often hold your will for safekeeping.
** Note that in all cases it is imperative that your survivors be made aware of the location of your will, and that they must have ready access to that location.
In addition to a will, you should also have a Health Care Proxy and a Power of Attorney. Your original Health Care Proxy can be given directly to your chosen nominee, so that there will be no delay if you should become incapacitated. You should keep a copy for your own records.
The safekeeping of a Power of Attorney is a matter best discussed with your lawyer, as there are some serious considerations with this particular instrument. By design, Powers of Attorney are very powerful instruments, and there is always the concern that such a document could be abused in the wrong hands.
I hope that you found this article helpful. Please feel free to call me with your questions or concerns.
**This is only for advertising purposes. It does not create an attorney client relationship. It only provides general information and is not legal advice. Every case is different; you should contact an attorney to discuss your specific situation.
1. Your own personal fireproof home safe- Your executor will need ready access to the safe, by combination or key, or both.
2. Safe deposit box- Make sure your state law does not require banks to seal the box upon death, and consider who else has access to that box. Be certain your survivors know of this location.
3. Leave it with your lawyer- Some law firms have vaults for such storage of wills and trusts, but some attorneys will not store your will, as they may have concerns about the propriety of this practice; specifically, the concern that a deceased client’s family may feel pressured to use that firm’s services in order to probate the will.
4. The probate court- For a nominal fee, your local probate court may file your will for safekeeping, and produce it only for your named executor, with proof of your death. Consider that this might not be optimal if you happen to move away and perhaps end up retiring in another state.
5. A trust company- If you name a trust company as your estate representative then that company will often hold your will for safekeeping.
** Note that in all cases it is imperative that your survivors be made aware of the location of your will, and that they must have ready access to that location.
In addition to a will, you should also have a Health Care Proxy and a Power of Attorney. Your original Health Care Proxy can be given directly to your chosen nominee, so that there will be no delay if you should become incapacitated. You should keep a copy for your own records.
The safekeeping of a Power of Attorney is a matter best discussed with your lawyer, as there are some serious considerations with this particular instrument. By design, Powers of Attorney are very powerful instruments, and there is always the concern that such a document could be abused in the wrong hands.
I hope that you found this article helpful. Please feel free to call me with your questions or concerns.
**This is only for advertising purposes. It does not create an attorney client relationship. It only provides general information and is not legal advice. Every case is different; you should contact an attorney to discuss your specific situation.
Monday, September 14, 2009
Aging Info Expo
ANNOUNCING: AGING INFO EXPO
DATE: Saturday, October 3, 2009
TIME: 10 am – 2 pm
PLACE: Bessie Buker Elementary School
1 School Street
Wenham, MA 01984
Get information on many services, products, agencies and programs assisting elders in living as healthy and independent a lifestyle as possible. Speakers and vendors will provide information on Estate Planning, Money Management, Home Care, Nutrition, Nursing Home Advocacy, & Volunteer and Enrichment Opportunities.
Attorney Denise Kent will be available to chat informally with you and to offer some basic information on such issues as:
BASIC ESTATE PLANNING: Find out the various tools and strategies employed to create an effective estate plan, including wills, trusts, health care proxies, and powers of attorney, and discuss exactly what these instruments are designed to do.
LONG TERM CARE PLANNING: If you or a loved one may be facing the need for long term care, an estate planning attorney can implement a plan that will work to preserve the assets of the family and allow you greater control and dignity throughout a complex and often heart-wrenching process.
AVOIDING PROBATE: There are numerous strategies and tools available that can be employed to effectively plan your estate so as to avoid the costly and lengthy probate process altogether.
A complimentary lunch will be provided for those who pre-register. To pre-register, please call Trudy Reid, Wenham Council on Aging (978) 468-5529
Law Office of Denise M. Kent
254 Bay Rd.
Hamilton, MA 01982
TEL (978) 468-9000
FAX (978) 468-9008
www.denisekentlaw.com
DATE: Saturday, October 3, 2009
TIME: 10 am – 2 pm
PLACE: Bessie Buker Elementary School
1 School Street
Wenham, MA 01984
Get information on many services, products, agencies and programs assisting elders in living as healthy and independent a lifestyle as possible. Speakers and vendors will provide information on Estate Planning, Money Management, Home Care, Nutrition, Nursing Home Advocacy, & Volunteer and Enrichment Opportunities.
Attorney Denise Kent will be available to chat informally with you and to offer some basic information on such issues as:
BASIC ESTATE PLANNING: Find out the various tools and strategies employed to create an effective estate plan, including wills, trusts, health care proxies, and powers of attorney, and discuss exactly what these instruments are designed to do.
LONG TERM CARE PLANNING: If you or a loved one may be facing the need for long term care, an estate planning attorney can implement a plan that will work to preserve the assets of the family and allow you greater control and dignity throughout a complex and often heart-wrenching process.
AVOIDING PROBATE: There are numerous strategies and tools available that can be employed to effectively plan your estate so as to avoid the costly and lengthy probate process altogether.
A complimentary lunch will be provided for those who pre-register. To pre-register, please call Trudy Reid, Wenham Council on Aging (978) 468-5529
Law Office of Denise M. Kent
254 Bay Rd.
Hamilton, MA 01982
TEL (978) 468-9000
FAX (978) 468-9008
www.denisekentlaw.com
Monday, August 10, 2009
Probating an Estate- what does it entail?
What does it mean to "probate an estate"? In the Commonwealth of Massachusetts, the Probate and Family Court oversees the settlement of estates for deceased residents. Whether or not you die having left a will, your estate will be probated through this court system, provided you have left assets in your own name, and provided those assets exceed $15,000, excluding the value of your automobile.
An attorney experienced in probate practice will assist family members to:
- collect asset and debt information
- file timely tax returns (perhaps referring the preparation to appropriate tax professionals)
- file appropriate court documents
- obtain a license to sell real estate, if necessary or deemed prudent
- deal with creditors and insolvency
- obtain releases of the estate tax lien, where necessary
- prepare inventories of assets and file accounts with the court as necessary
- assist with proper distribution of the estate among beneficiaries
Probating an estate is often a lengthy process, by necessity, because the estate must usually remain "open" until at least a year has passed, to give creditors time to file liens for debts owed, and also to ensure that any state or federal tax obligations are satisfied.
An experienced probate attorney can make this lengthy process less stressful, particularly for family members who may already be carrying a heavy burden of grief.
* this information is accurate as to statutes and probate procedures in effect in the Commonwealth of Massachusetts as of August 10, 2009, the date of this publication, but is not legal advice, nor intended to be legal advice, and does not constitute an attorney-client relationship *
An attorney experienced in probate practice will assist family members to:
- collect asset and debt information
- file timely tax returns (perhaps referring the preparation to appropriate tax professionals)
- file appropriate court documents
- obtain a license to sell real estate, if necessary or deemed prudent
- deal with creditors and insolvency
- obtain releases of the estate tax lien, where necessary
- prepare inventories of assets and file accounts with the court as necessary
- assist with proper distribution of the estate among beneficiaries
Probating an estate is often a lengthy process, by necessity, because the estate must usually remain "open" until at least a year has passed, to give creditors time to file liens for debts owed, and also to ensure that any state or federal tax obligations are satisfied.
An experienced probate attorney can make this lengthy process less stressful, particularly for family members who may already be carrying a heavy burden of grief.
* this information is accurate as to statutes and probate procedures in effect in the Commonwealth of Massachusetts as of August 10, 2009, the date of this publication, but is not legal advice, nor intended to be legal advice, and does not constitute an attorney-client relationship *
Wednesday, July 22, 2009
Child Support Modifications
In Massachusetts, both parents are responsible for the support of their children, whether they are married, divorced, separated, or were never married to each other.
Child support represents a significant cash flow in or out of a household, and the economy has undoubtedly affected many families. Recently, I have assisted clients obtain changes (modifications) to their existing child support orders.
You or someone you know may be able to benefit from the new Massachusetts child support guidelines, which were effective on January 1, 2009. Under the new guidelines, existing child support orders cannot be modified for three years unless there is a material change in circumstances (for example, a significant change in financial circumstances) or a change in health insurance.
* However, the court has discretion to deviate from the new guidelines in other limited circumstances, for example, where a child has special needs or where a parent has extraordinary medical expenses.
Whether you are the payer or the recipient of child support, you might want to consult with me regarding the possibility of a change in your existing order of support, particularly if that order is more than three years old.
Child support represents a significant cash flow in or out of a household, and the economy has undoubtedly affected many families. Recently, I have assisted clients obtain changes (modifications) to their existing child support orders.
You or someone you know may be able to benefit from the new Massachusetts child support guidelines, which were effective on January 1, 2009. Under the new guidelines, existing child support orders cannot be modified for three years unless there is a material change in circumstances (for example, a significant change in financial circumstances) or a change in health insurance.
* However, the court has discretion to deviate from the new guidelines in other limited circumstances, for example, where a child has special needs or where a parent has extraordinary medical expenses.
Whether you are the payer or the recipient of child support, you might want to consult with me regarding the possibility of a change in your existing order of support, particularly if that order is more than three years old.
Thursday, June 18, 2009
MEDICAID PLANNING - HOW TO PROTECT YOUR ASSETS
Many people fear that they may end up in a nursing home, which means a great loss of personal autonomy and an enormous financial price. Monthly costs for skilled nursing care runs into thousands of dollars each month in my state of Massachusetts.
Most people end up paying for nursing home care out of their own pockets until they have exhausted their assets; this is where they become eligible for Medicaid assistance.
There are many tools and strategies that a planner can employ in order to ethically preserve assets and fund long term care needs, such as:
annuities, long-term care insurance, reverse mortgages, and the use of certain trusts.
If you or a loved one may be facing the need for long term care, it is best to seek guidance from an estate planning attorney and implement a plan that will work to preserve the assets of the family and allow you greater control and dignity throughout a complex and often heart-wrenching process.
Most people end up paying for nursing home care out of their own pockets until they have exhausted their assets; this is where they become eligible for Medicaid assistance.
There are many tools and strategies that a planner can employ in order to ethically preserve assets and fund long term care needs, such as:
annuities, long-term care insurance, reverse mortgages, and the use of certain trusts.
If you or a loved one may be facing the need for long term care, it is best to seek guidance from an estate planning attorney and implement a plan that will work to preserve the assets of the family and allow you greater control and dignity throughout a complex and often heart-wrenching process.
Wednesday, April 29, 2009
Why YOU need a will:
•Regardless of whether you want to avoid probate, you should have a will.
•A will directs who receives your estate when you die, and it appoints a personal representative, the executor, to make certain your wishes are carried out. If you have minor children, a will enables you to appoint a guardian for their care.
•In conjunction with a Will, Health Care Proxy and Durable Power of Attorney, (and a Living Will/Advance Directive and HIPAA just to be extra cautious), you can create a solid estate plan that will serve to avoid a full probate proceeding and provide for the event of your disability as well.
•Probate is the judicial process by which a will (or, in the case of intestacy, the estate of the decedent) is reviewed by the court, debts of the estate are paid, and final distributions are made to the heirs.
•The probate process is public; anyone can go into the probate court and view your will and all of the related probate filings, which is a reason why many people use pour-over wills in conjunction with living trusts, in order to avoid probate and keep their wishes private.
•Your estate, whether you leave a will or not, consists of all of the assets that were in YOUR NAME ALONE when you died; therefor, if you think that you can avoid probate of your estate by simply refraining from writing a will, you couldn't be more wrong!
•A will directs who receives your estate when you die, and it appoints a personal representative, the executor, to make certain your wishes are carried out. If you have minor children, a will enables you to appoint a guardian for their care.
•In conjunction with a Will, Health Care Proxy and Durable Power of Attorney, (and a Living Will/Advance Directive and HIPAA just to be extra cautious), you can create a solid estate plan that will serve to avoid a full probate proceeding and provide for the event of your disability as well.
•Probate is the judicial process by which a will (or, in the case of intestacy, the estate of the decedent) is reviewed by the court, debts of the estate are paid, and final distributions are made to the heirs.
•The probate process is public; anyone can go into the probate court and view your will and all of the related probate filings, which is a reason why many people use pour-over wills in conjunction with living trusts, in order to avoid probate and keep their wishes private.
•Your estate, whether you leave a will or not, consists of all of the assets that were in YOUR NAME ALONE when you died; therefor, if you think that you can avoid probate of your estate by simply refraining from writing a will, you couldn't be more wrong!
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