Articles Posted in Estate Planning

The Michigan Supreme Court recently decided the case of Hegadorn v. Dept. of Human Services, which involves the Medicaid spend down process.

A “spend down” in this context refers to the process of reducing the assets of a person applying for Medicaid so the individual qualifies for Title XIX Medicaid coverage. Spend down also refers to reducing a Medicaid applicant’s monthly income so a person’s income makes them eligible for Medicaid.

How the Three Cases in Hegadorn Arose

It’s understandable that people avoid estate planning. Plotting for what happens after we die can be a scary and uncomfortable thought process.

To make sure that you receive the best care possible and that your loved ones receive assets from your estate, however, it is critical to create an estate plan that will be able to successfully carry out your wishes.

To avoid having to perform estate planning, there are a number of lies that people tell about themselves. By understanding the truth behind these lies, it is possible to greatly increase your chances of making the estate planning process as successful as possible.

Our experienced estate planning lawyers have helped a number of people create estate plans that can be used to carry out their wishes. We have also encountered a number of clients who attempted to create online estate planning documents, but who ended up facing expensive and substantial obstacles.

Do it yourself estate planning documents, however, can contain a number of shortcomings ranging from small errors including typos to much larger mistakes including estate planning documents that miss critical estate plan clauses.

The Challenge Presented by Online Estate Planning

Estate planning is one of the least understood areas of law. One of the commonly overlooked parts of estate planning is the number of people who have the potential to benefit from proper estate planning. The great value of estate planning is not that lets people define their legacies, it also lets people decide the impact that their wishes have on the people they love.

Estate planning also enables people to provide important instructions about health care decisions as well as who will be responsible for making these decisions. In an effort to further explain the truth behind some of the longest lasting and most widely shared estate planning myths, this article explains some of the important details that you should understand about this process.

# 1 – Estate Planning is Only for the Extremely Wealthy

It is important to share details about your estate plan with your loved ones so that they can do their best to make sure that your estate goals can be carried out. Deciding what to share, however, can be difficult. This article discusses several of the important things that you should make sure to tell your loved ones about your estate plans.

# 1 – Whether You Have An Estate Plan

It is important to inform your loved one about any basic estate planning documents that you might have including a last will and testament, power of attorney, health care proxies, or a living will. You might have even decided to create a trust to pass assets to beneficiaries. You should also tell your loved ones about any advance directives including financial or health care powers of attorney that you might have created to address any issues of incapacity.

Writing an estate plan is important, but it is not a once and done process. Instead, an estate plan must be reviewed and kept up to date to reflect a person’s goals. Failure to adequately update an estate plan has the potential to result in some very serious obstacles. The purpose of this article is to discuss some of the important reasons why you should make sure to update your estate plan.

# 1 – Tax Laws Change Often

The 2017 Tax Cuts and Jobs Act had a substantial impact on estate planning law. There are also various other tax codes that change and impact tax issues related to estate planning. It is critical to make sure that an estate plan is frequently updated to take advantage of these revisions to the tax code as well as to avoid paying more in taxes than one is required.

There are a number of myths that persist about estate planning. To perform successful estate planning, however, it is critical to learn which of these myths are incorrect. Unfortunately, one of the truths of estate planning is that errors have the potential to result in complications with the administration of a person’s estate. As a result, this article reviews some of the important errors about which a person should remain aware during the estate planning process.

# 1 – Failure to Name a Beneficiary

Even though many people understand the role of a beneficiary, failure to name a beneficiary can result in a number of substantial obstacles including delays and creditor issues. There is also a risk that failure to name a beneficiary will result in a person’s estate being administered in a way that they did not desire.

There are several common myths about estate planning. One of these myths is that people who have small estates do not need estate plans. In reality, everyone has an estate. This means that even if you do not believe so or if you only have a small number of possession, it is important to remember that in the eyes of the law you still have an estate. As a result, if you do not have an estate plan, it is always a good time to create one.

A second common myth about estate planning is that it is a once and done process. Instead, a person should always make sure to periodically check an estate plan after it is created. This article explores some of the important facts that people interested in estate planning should know about making revisions to their estate planning documents.

Situations that Warrant Updating an Estate Plan

Estate planning is never an easy process. Not only does estate planning force a person to face that they will inevitably pass away some day, the estate planning process also requires a person to meet a number of requirements.

Even though they are the most common type of estate planning documents, wills are just one type of tool that is available in the world of estate planning. In some cases, people discover that trusts are a much better option. As a result, this article reviews some of the primary reasons why people select wills instead of trusts.

# 1 – Trusts Save Money and Time