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Estate Planning Services
Legal services provided by Jennifer Suits, LL.M.

Estate planning is not just about having a will or saving taxes.
Did You Know:
	If you do not have a written document expressing your wishes which meets legal requirements, your heirs will have to hire an attorney to open a probate estate.  Without such a document the Probate court will distribute your assets by the rules set out by the state.  Although, there are some exceptions to this rule, are you certain that you meet those exceptions?
	A will has to go through a probate court process before your heirs can receive your property?
	Living trusts benefit most people who have any assets, not just wealthy people
	Unless you have a durable power of attorney, your family and friends must go through the probate court to have a guardian and conservator to take care of your affairs if you become disabled or unable to care for your affairs during your life.
	Without proper planning some families are forced to sell family businesses to pay for estate taxes.
Becoming knowledgeable and planning in advance saves time and money.  Even more important is the avoidance of the headaches and stresses caused by dealing with unforeseen consequences.  Establish a relationship with a qualified professional and begin planning now.

Services offered:

• Evaluation and Formulation of Plan

• Preparation and Funding of Living Trusts

• Preparation and Funding of Advanced Estate Planning Documents

• Planned Giving Strategies

• Trust Administration and Consultation

• Estate Planning Worksheet

Evaluation and Formulation of Plan

Everyone has an estate.  When someone dies or becomes mentally incapacitated one of two things will happen:  either that persons assets and affairs will be handled by the probate court or by people pre-appointed by the deceased.  An estate plan can be as simple as retitling assets, and executing a will, a durable power of attorney and health care directive, or as complex as a recapitalization or reorganization of a family business, and execution of several advanced estate planning devices.  Regardless of the nature of your estate the variables are complicated.  Seeking professional advice in advance of any problems will assure that your affairs are handled as you wish.

Preparation and Funding of Living Trusts

Living trusts are often the core of a good estate plan.  Living trusts serve as a fictional "basket" similar to a corporation which hold all of your assets.  You serve as the manager (Trustee) of those assets for as long as you are able or until you no longer wish to do so.  In the event of your death or incapacitation, your assets and your affairs are managed by a person you have preappointed (the Successor Trustee).  The Successor Trustee must manage your assets and affairs in the way you have described in your trust.  There is no trust "form" which can address all of your individual needs.  It is therefore important that your trust is drafted by a professional who will discuss with you at length your wishes in many different situations.

Funding your trust is as important as creating it.  Funding a trust simply means transferring assets into the name of the trust.  If your assets are not in your trust, they will not be managed by the Trustee.  Rather, assets not transferred to your trust usually must be probated as though there was no plan in place.  Mail order trust kits, and trusts established by professionals inexperienced in trust matters frequently miss this component.  An unfunded trust serves no purpose.  Retain the services of an experienced professional when establishing your trust.  It can be worth every bit of the extra effort. 

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In large estates and in estates which involve a business, there are additional considerations which a living trust alone cannot address.  Estate taxation and family dynamics can be preplanned with the help of additional estate planning methods.  The knowledge required in formulating and implementing a plan involving these advanced tools is significant.  Many attorneys and accountants are not familiar with the implications of these tools.  Using an experienced professional who has experience and education in these matters is essential to a plan's success.  Examples of advanced estate planning tools are:

• Family Limited Partnerships

• Irrevocable Life Insurance Trusts

• Minor’s and Special Needs Trusts

• Qualified Personal Residence Trust

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Upon the death or incapacitation of someone, that person's affairs will be managed by the person's appointed in the estate planning documents.  Even well planned estates will leave the trustee or personal representative with tax questions, mechanical and ethical issues for which professional advice is needed.  A trustee or personal representative should have an experienced legal professional to guide him/her through the process.

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The IRS has sanctioned several vehicles which provide incentives to you for charitable giving.  The following are a few examples:

Charitable Remainder Trusts (CRTs)

• You transfer appreciated securities or cash into an irrevocable trust (you may do this once or in several contributions)

• You receive a tax deduction for the year in which you make the transfer to the trust

• You are paid the income or set payments from the trust for a period of years or for the remainder of your life

• At the end of the term or upon your death the remainder of the trust will be donated to the charity(ies) of your choice.

Foundations

• You or your company sets up either a public or private charitable foundation

• You contribute cash or appreciated securities to the foundation in as many separate occassions as you like

• You control how the funds are invested and disbursed to the charity or charities of your choice.

Donor Advised Funds (DAF)

• You transfer cash or appreciated securities to a DAF with a brokerage or financial firm

• You receive a tax deduction in the year it is set up

• The administrator of the fund pools the assets with other funds and invests them

• You designate how you would like the fund distributed to the charity or charities of your choice.

Gifts of Appreciated Securities or Real Estate

• You give highly appreciated securities or real estate to a charitable organization(s) of your choice.

• You receive a tax deduction for the fair market value of the gift and completely avoid paying capital gain tax on the appreciated property. 

This is particularly appealing to corporations which have highly appreciated assets as most corporations are not entitled to receive a favorable capital gain rate, and when the proceeds from the sale of the appreciated property are distributed to shareholders, the proceeds are taxable to the receiving shareholder -- resulting in a double tax.

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Click here if you would like additional information about estate planning matters