Posted by Maria N. Jonsson | Mar 19, 2019 |
Legally everyone is entitled to leave their estate to anyone they want. This means that they can exclude (or “omit”) anyone they want from receiving any distributions under a Will or a Trust. Often there is already an expectation that such individuals will feel wronged and will contest the will o...
Posted by Maria N. Jonsson | Mar 18, 2019 |
Admittedly, this time of year (i.e., March-April), no one wants to think about anything other than Tax Season. The 1099s are in, the expenses are accounted for, and the checks to IRS/FTB hare sent out. So now what? What lessons can we learn and how can we be better protected for next year?
One su...
Posted by Maria N. Jonsson | Mar 11, 2019 |
The “Recession” buzz is all around us. One of the worst things that can happen during a recession is to lose a loved one and to actually inherit from their estate through probate. The lessons of 2008-2010 remind us that, during a recession time, not only property values decline, but when you add ...
Posted by Maria N. Jonsson | Nov 29, 2018 |
The IRS issued Revenue Procedure 2018-57 announcing the official estate and gift tax exclusion amounts for 2019.
The 2019 applicable federal estate tax exclusion is increased to $11.4 million. The top federal estate, gift and GST tax rate remains unchanged at 40%.
This exclusion is...
Posted by Maria N. Jonsson | Oct 08, 2018 |
Unmarried couples who live together as a family unit are often referred to as a “non-traditional” couple. The reality is that more and more people choose to cohabit together as a family, even have children, without formally tying the knot. Because the State of California does not have “common law...
Posted by Maria N. Jonsson | Sep 20, 2018 |
It is a common misconception that if one has a will, there is no court process after they die. This is only true if he/she died not owning any real estate, and having personal property less than $150,000 in value, or with named beneficiaries. When this is not the case, a willhas to undergo a long...
Posted by Maria N. Jonsson | Sep 20, 2018 |
If one dies owning assets in his/her name alone, and the estate requires probate administration, the family would be wise to find a Los Angeles probate attorney with lots of experience in Probate court and one that does not shy from keeping in touch with the family.
It is not common knowledge tha...
Posted by Maria N. Jonsson | Sep 18, 2018 |
“I only need a simple Trust” is a request I hear often. However, this “self-diagnosis” may not always be the right one.
A “simple” probate avoidance trust may or may not be the best fit for each family dynamic. There are two main factors which dictate the complexity of the trust terms: (1) the ty...
Posted by Maria N. Jonsson | Jul 06, 2018 |
Peace of Mind – is the feeling you get once the final signatures and notary stamps are placed on your living Trust, your Will, and your Powers of Attorney.
Planning for incapacity and death is a hard reality, but what is the alternative – regret, and Court process – with its high fees, delays, in...
Posted by Maria N. Jonsson | Jul 02, 2018 |
Pet Hospice is becoming a preferred choice of saying “goodbye” to a beloved companion animal. It is more humane for the animal because it focuses on the relief of the end-of-life suffering, and the pet's comfort. It is infinitely more humane for the pet-owner, for whom this is such a painful and ...
Posted by Maria N. Jonsson | Jul 02, 2018 |
It is common knowledge that if one dies without any estate planning (will or trust), their heirs would be able to inherit outright if they are over the age of majority – age 18. But, most agree that 18-year-olds may not be fully capable of managing financial assets and/or real estate.
Placing a T...
Posted by Maria N. Jonsson | Apr 27, 2018 |
When planning for the future, many people forget an essential step in the process. When one dies, many factors come into play immediately. Take care to make good decisions in estate planning so heirs are not left stressed and in trouble. These decisions can have long-lasting effects and should in...
Posted by Maria N. Jonsson | Mar 14, 2018 |
Effective on January 1, 2018, the federal Tax Cuts and Jobs Act substantially changed estate tax laws. Among other things, the Act increased the estate tax exemptions to $11.2 million per individual ($22.4 million for a family), which may significantly impact existing estate plans. This means tha...
Posted by Maria N. Jonsson | Dec 29, 2017 |
Estate Tax Exemptions and Estate Tax. Despite much discussion, the Estate Tax is not repealed. However, the Act increased the Exclusion amount for Estate Tax, Gift Tax and Generation-Skipping Tax from $5,490,000 per person in 2017, to $11,200,000 per individual (or, $22,400,000 for a marr...
Posted by Maria N. Jonsson | Sep 26, 2017 |
There is no DO-OVER after Incapacity or Death
What happens after the creators of a Trust (a.k.a. the Settlors) approach a point in time when their doctor detects signs of dementia? How long is it before they could be facing testamentary incapacity? Where is the point in time beyond which they can...
Posted by Maria N. Jonsson | Sep 19, 2017 |
Your (Testamentary) Word is As Good As the Paper It's Written On
A great rule of thumb in estate planning is to document your wishes, so they actually occur when you are gone. While the law definitely does not support “oral promises” when it comes to real estate, the same could be valid for tangi...
Posted by Maria N. Jonsson | Sep 12, 2017 |
“That's Not What He Really Wanted” – a Beneficiary's Famous First Words
Estate administration can be so traumatic. Here is a typical scenario: Parent sets up a trust, then lets it sit in a drawer for twenty years, and completely forgets “who gets what” per the terms of that trust.
Meanwhile, on e...
Posted by Maria N. Jonsson | Sep 05, 2017 |
One can argue about the practical application in the life of learning about meiosis and mitosis, compared to “Wealth Management and Estate Planning 101.”
While the former is needed as a means of “mental gymnastics” required for developing the adolescent brain, there is also a strong argument that...
Posted by Maria N. Jonsson | Aug 29, 2017 |
Estate Planning is one of these tasks that often fall under “discretionary spending,” and because it has the stigma of having to contemplate your own death, it often drops to the bottom of the to-do list. Many families learn the hard way that failure to plan timely, or failure to keep the plan cu...
Posted by Maria N. Jonsson | Aug 22, 2017 |
The old adage, “He who waits for something good never waits too long,” does not apply in Estate Planning.
The topic of testamentary capacity is a very sensitive one, and a fine line to cross. Many times an elder adult can be in good physical shape and carry on a very reasonable conversation, unti...
Posted by Maria N. Jonsson | Aug 15, 2017 |
Managing your digital afterlife has become a very relevant trend; even the CA legislator is taking great interest in it. CA Assembly Bill AB-691 entitled, “Revised Uniform Fiduciary Access to Digital Assets Act” is expected to soon be enacted into law, and it provides guidance on settling one's d...
Posted by Maria N. Jonsson | Aug 08, 2017 |
“My parents set up a Trust to avoid Probate, but now that they are gone, the Trustee won't give us a copy of the Trust, and although we have asked for information about the assets, the Trustee doesn't tell us anything. It's been almost two years; our parents' home is still sitting vacant, and we ...
Posted by Maria N. Jonsson | Aug 01, 2017 |
It is already a settled practice in the Financial Industry that human advisors let automate small accounts and routine back-office tasks so that client engagement can be the main focus. But when it comes to planning your estate, Robo-Planning is a bad idea even for the simplest of estates. There ...
Posted by Maria N. Jonsson | Jan 19, 2017 |
On January 1, 2017, new legislation took effect which greatly restricts Medi-Cal recovery. For MediCal recipients who die on or after January 1, 2017, recovery is now largely limited to only those assets subject to California Probate administration.
Under the old law, the only way to avoid recove...
Posted by Maria N. Jonsson | Dec 22, 2016 |
The Revocable Transfer on Death Deed: are Trusts a thing of the Past?
The California legislator enacts thousands of laws each year. On January 1, 2016, Assembly Bill 139 became the law, known as the Transfer on Death Deed, which allows a property owner to name a Transfer on Death Beneficiary for ...