630-665-2500
128D S. County Farm Road, Wheaton, IL 60187
Recent Blog Posts
Identifying Your Assets
Estate planning may seem a daunting task, better left for the very rich or the savvy investor. An asset, however, can be anything—from a simple family home to an insurance policy—things that any average American may possess. Upon your death, what happens to your assets will be determined by the court if you don't make your wishes known beforehand. To do this, you'll first need to identify your assets and take stock of them. According to CNN Money Magazine, "these include your investments, retirement accounts, insurance policies, real estate, and any business interests."
Deciding where they will go upon your death is the next step. That is, you need to decide to whom you'll like your assets to go—only then can you begin to put framework in place to ensure that this happens. Your children? Your spouse? Begin by making a list of people you trust, and assigning them to various holdings. "Once you decide what kinds of bequests you wish to make, be sure to discuss your plans with your heirs," according to CNN Money Magazine. "The sooner and more distinctly you outline your intentions to your family and friends, the less chance there will be for disagreements when you're gone."
5 Ways for Retirees to Save Money
To keep the transition between having a secure, stable paycheck to living only on Social Security smooth, you must figure out how to make ends meet on your new fixed income. Here are five ideas to keep that transition smooth:
Get your social security right
Social security is a huge issue for all retirees, so be sure you make the most of it. Although there are many temptations to start taking your Social Security benefits early, if you postpone it, your monthly payments will be boosted when you do begin to take it. If you are married, consider the effects that your choice may have on your spouse as well
Invest for income and growth
With rates on banks CDs and bonds at low levels, retirees have had to stretch their money to get the income that they need recently, buying dividend stocks and high-yield bonds over safer income investments. Consumer stocks often yield more dividends than their bonds pay in interest. They also have long histories of dividend increases and share-price appreciation that could help your income grow and boost your retirement nest for later retirement years.
Who Is Austin Fleming?
The Chicago Estate Planning Council, which has been around since 1938, is comprised of attorneys, financial planners, trust officers, chartered life underwriters, etc. Every year, they present the Austin Fleming award to an estate planner who has helped improve estate planning practices in Chicago and the surrounding counties.
But this brings about the question of who Austin Fleming was, in relation to estate planning. Austin Fleming started making a legal name for himself back in 1929, when he co-authored an article in the Michigan Law Review, debating whether a judgment concludes non-partners of whose interests the plaintiff had no notice. Fleming wrote articles pertaining to many legal aspects up until his death in 1979, touching on topics that are still important today (apportionment of estate taxes and the varying standards of prudence applicable to fiduciaries, for example).
Probate and Ways to Avoid Probate
When people die with wills there are still accounts to settle. Probate is a court process which distributes and manages your estate according to your terms. It sounds like it should be an easy transition but in reality probate can take anywhere between 3 months to 2 years.
There are also costs associated with probate proceedings. The list of costs comprises; appraisal fees, bond premiums, attorney and accountant fees, executor's fees, publication costs for legal notices, and court costs. In Illinois, there are numerous options available to make this transition easier for your loved ones by avoiding probate altogether.
Living trusts offer a way to avoid probate for nearly every asset. It requires a trust document which is similar to a will. This document names a trustee who will be responsible for transferring your estate to your beneficiaries and avoid probate.
The Importance of a Health Care Proxy
Most people do not like to consider decisions that may need to be made later on in life when in comes to the failing health of themselves or even a loved one. This apprehension sometimes leads to the actual avoidance of any advanced planning. A report in the South Coast Today stresses the necessity of having a health care proxy in place.
One of the things that can be especially frustrating is when a doctor does not agree to follow the patient's wishes. One instance of this kind of thing taking place is when invoking a health care proxy. A health care proxy is a process that designates a person to make decisions that are medical in nature when the patient is no longer able to do so. The patient being cared for has to be deemed incompetent by the heath care professional before the proxy can be invoked.
Deeming whether or not someone incompetent is especially difficult when the person is still awake and somewhat coherent. When a doctor does not agree that the patient is incompetent, what options does the family have? There are several options that can be exercised before going straight for the legal option. One option is to ask the patient if it is okay for the family to take part in medical discussions with the staff. This, of course, should be done in the presence of the attending physician or other legal personnel. The other option is to have a HIPPA release signed. While this does not give the family the right to take part in medical decisions, it will assist the family in keeping up to date and informed with everything that is going on.
The Basics of A Living Will | Illinois Estate Planning Lawyer
Estate planning can be daunting, even to the most seasoned money-maker and mover. Setting up an estate plan is admitting mortality, and many people shy away from it solely because they fear what it implies. Yet having an estate plan shouldn't be looked at as preparation for death—it's preparation for the lives of your loved ones after you're gone. There are several aspects of estate planning, and each step of the way can be a complicated one. The most important first step is to contact an estate planning attorney who can walk you through the process.
One aspect of estate planning is a living will or a health-care proxy, which, according to CNN Money Magazine, is also known as an advance medical directive. A living will is a "statement of your wishes for the kind of life-sustaining medical intervention you want, or don't want, in the even that you become terminally ill and unable to communicate," according to CNN Money Magazine. Many people fear becoming so ill that their lives are only sustained by artificial means such as life support, and would rather check out, so to speak, than breath through an apparatus. Others would rather hold out hope until the very end. The only way to let your loved ones know legally which you'd prefer is through a living will.
How to Amend a Will
If you have executed a document as your last will and testament correctly, it will last through to the time you die, unless you choose to revoke or amend the will by a properly drafted and executed codicil.
A codicil does not replace, but merely edits a will. It is typically used when certain parts of the will must be changed. It can be used to add or take out parts of a will; any part that is not changed or removed by a codicil will remain in effect until death.
Most often, codicils are used to change relatively small and specific portions of the will. For an example, if a diamond ring is left to a daughter, but then the individual chooses, instead, to leave it to her granddaughter, then a properly executed codicil can be used to complete that request. If that individual loses or sells the ring after drafting the will, the gift of the ring will simply be void and unenforceable at the time of death. A codicil helps an individual to avoid spending the time and money to execute a new will for these small changes.
When Planning Your Estate, Don't Fall off Fiscal Cliff
The Southern Business Journal recently posted an article giving advice on planning for the second half of your life in a way that will avoid serious financial troubles.
We've all heard of the infamous fiscal cliff and the always-increasing intensity about the impending doom the United States will face if the deficit and debt are not reduced immediately and without regard to the promises we have made to our retirees, veterans, elderly, etc.
If long-term care insurance companies have their way, you or your loved one may soon fall off your own personal fiscal cliff. Lobbyists have been bombarding Congress with the idea of dismantling the social and medical safety nets currently available to eligible seniors, veterans, and disabled persons through the federal Social Security, Medicare, Medicaid, and VA programs.
The Most Cost Effective Way to Give Money
Birthdays. Christmas. Showers. What do all three have in common? The ability for the giver to enjoy seeing the receiver's reaction and joy to the gift given to them and knowing what they just gave made someone else happy. What a feeling. It is true that it is better to give than to receive in that regard.
If your love language is gift-giving, look into giving your financial contributions and gifts NOW instead of after your death. Wills are great and so is making sure people and organizations get what you worked a lifetime for, but, there are opportunities for you to see your hard earned money bless others today.
There are two very easy ways to go about this. First, is to pay either medical or educational bills - unlimited expenses! Just make sure you give directly to the institution on behalf of the person you wish to help. That means college, doctors, hospitals, medication - expenses anyone would appreciate the help with! Second, is to give no more than $13,000 per person per year. Yes! That means you can select as many people you would like to give each $13,000 a year to! Just remember that you do have a lifetime to give $1 million without paying taxes.
5 Reasons to have an Estate Plan
When people begin to think about their families, eventually they think about when they won't be around anymore to protect them. That desire to provide is evident in all of life's big plans regarding education, jobs, housing, and healthcare. Having an estate plan can protect your family once you aren't able to.
Before thinking that you don't have enough assets to need an estate plan, consider these 5 reasons to reconsider your decision.
1. Protecting your Family
With the proper planning, assets can be sheltered from unforeseen circumstances. A conservator is required to handle assets for minor beneficiaries to look after their best interests; the conservator can be chosen in your plan. Estate planning can be used as a safeguard for an adult beneficiary from losing their inheritance through mismanagement, bad decisions, or even divorce.
