When is an Estate Plan really finished?
The obvious answer is that the day you die, your estate plan is finished.
Life changes as the years go by. Four major changes that impact on estate plans include (1) the law, (2) your health, (3) your money and (4) your relationships change with time.
Every plan needs to be reviewed regularly to keep it up to date.
Did you know, an estate plan may even be changed after death, if all the heirs agree?
Marriage after the death of a Spouse.
Are you worrying about the complexities of Remarrying after the death of a spouse? There are complexities and unique legal challenges that come with a marriage.
Under state law when a marriage ends through death or divorce the estate of the deceased spouse or a divorced spouse have specific property rights. A prenuptial, marriage contract is one way to protect the property of each spouse owned prior to the marriage. Even marriage has at least two parts, the loving relationship and a business side. Marriage contracts define the rights and expectations of each partner.
The strongest ones are recorded with the local Court to provide the best protection.
Should I add my child to my bank account?
When a child is added to an account that child has access to 100% ofthe money. That means the child, or the child’s creditors, can take some or all of the account without notice or the permission of their parent. If the child is receiving government benefits, such as payments due to a disability, the child could lose their eligibility to receive the benefits. Some banks treat the addition of the child to an account as being for convenience only, and when the parent dies, the account is frozen.
If you have added a child to your account, you may want to talk to us at Senor Edge Legal, to see if this is in your best interest.
Protecting Your Child’s Inheritance from Predators
As a parent, protecting your child’s financial future is a top priority. One way to do this is creating an Asset Protection Trust that protects an inheritance from predators who include, creditors, lawsuits, bankruptcy and divorcing spouse.
Setting up a trust protects the inheritance from these predators, and allows you the parent to provide a level of control over the distributions, who is the manager and how the funds pass to future generations. These trusts can ensure financial stability and security for your children for years to come.
Does your trust need a Tax ID number?
The answer is yes. A trust needs a tax identification number to file tax returns and engage in financial transactions.
The trust is treated as a legal entity and holds titled and untitled assets.
Commonly a home and investments are titled in the name of a revocable trust, For a revocable trust created by an individual, the individual owner of the trust normally uses his or her own social security number.
Whether a trust needs an Employer Identification Number[EU] depends on a number of factors, including the type of trust, the size of the trust, and the activities of the trust. A trust, even a revocable trust, may need a new Employer Identification Number [EIN/ when there are multiple trustees, the trust is engaged in business activities or holds significant assets such as rentals. Irrevocable Trusts must have a new EIN.