Category Archives: Estate Planning

Should I draft a Will or should I be placing my assets in a Trust?

When it comes time for you to devise your assets, you may be asking yourself, “Should I draft a Will or should I be placing my assets in a Trust?” A Trust in most instances does not replace a Will. An effective Estate Plan requires a Will. Whether there is a Trust component within the Will, or a Trust outside the Will, you almost always need a Will.

Advantages of Creating a Trust:

Tax Avoidance-Property can be left not outright to your children, but in a Trust for their benefit for life. Eventually, the property is distributed to your grandchildren. No federal or Massachusetts estate tax could be imposed on the property that is in the Trust at the time of your child’s death. However, the federal government does impose “a generation-skipping transfer tax” upon the death of your child; there is an exemption available to your grandchildren.

Control and Flexibility- A trust provides a resolution to different concerns and financial circumstances. If you feel that your children or grandchildren are not wise or old enough to handle your assets, you could appoint a qualified Trustee to handle the financial matters for the benefit of your children or grandchildren.

TYPES OF TRUSTS

  1. Testamentary Trust-This is a type of trust that is created in a Will. The disadvantages of this type of trust are that the Trustee’s handling of the assets is subject to supervision of the Court and in cases where a minor is involved, “a guardian ad litem” will be appointed. Also, the Trustee must file annual accounts with the Probate Court and, ultimately, the assets in the Trust and the activity of the Trust will become a matter of public record.
  2. Revocable Trust-In contrast to a Testamentary Trust, you could create a Revocable Trust during your lifetime while retaining the right to revoke it or amend it. Then you would be providing in your Will that your property is to be added to your Trust. You would have unlimited access to your property and could manage it in any way you want during your lifetime.

Like so many things in life, there are the advantages and disadvantages.

The disadvantages of a Revocable Trust regarding real property are transfer of Title to the Trust requires deed preparation, title examination, and recording. In cases where a mortgage needs to be obtained, a Trust may cause disqualification in certain circumstances. On the other hand, once a piece of real property has been placed in a Revocable Trust, there will be no need to include the property in your Probate Estate, which can make things much easier for your heirs. Relatively recent legislation in Massachusetts permits a Trustee of a Trust to file a Certificate stating only the basic abilities of the Trustee to act for the Trust.

Much more to follow!!!

BY: Caroline J. Hanania

Associate Attorney

Topkins & Bevans

Attorneys At Law

781-890-6230 Ext 225

DISCLAIMER: PLEASE NOTE THAT THIS IS NOT LEGAL ADVICE. PLEASE CONSULT AN ATTORNEY REGARDING ANY LEGAL MATTERS

Reverse Mortgages Revisited

Reverse Mortgages Revisited

There is probably more misinformation in existence about Reverse Mortgages than any other mortgage product in history. Much of the misinformation has been founded on fact. Reverse mortgages have, in the past, been extremely expensive mortgage products.

Lately, many of the premier players in the Reverse Mortgage market have been leaving the business. In some instances, this exit was occasioned by poor performance of the collateral in resale, so that large financial losses were absorbed. In others, the recession in land values made fewer and fewer properties attractive for Reverse Mortgages, because the former plethora of equity in the real estate no longer existed.

In any event, there is now a leaner group of mortgage lenders in the Reverse Mortgage field, and the landscape has changed, so that many Reverse Mortgages can be originated with much the same costs as conventional mortgages. Furthermore, now that there seems to be some stability in real estate values, especially in Massachusetts, this may be the time to consider Reverse Mortgages, not only for the traditional uses which the products have served but for some innovative uses not heretofore utilized.

Traditionally, Reverse Mortgages were a “mortgage of last resort”. A senior was in straitened financial condition and could not afford to purchase basic necessities, like food or, more importantly, various medications which were required for preservation of decent health. If that person had equity in his or her home, the funds generated by a Reverse Mortgage provided a lifeline for the person in question. Many times this person had equity in his or her home and nothing else. The person’s children were placed in the situation of making gifts to his or her parents or letting go of the inheritance which the parent wished to leave but could probably not afford to maintain.

Regrettably, those kinds of situations continue to exist and the Reverse Mortgage is one way to deal with them. On the other hand, there are some more positive uses of Reverse Mortgages, and you may wish to consider these, as well.

    1. Get a run-down, tired home in shape for selling. Suppose your home has plenty of equity (even no mortgage) but you do not have any spare funds to upgrade plumbing. electrical systems or a sound roof to attain a good price for your home. Using a Reverse Mortgage may be just the vehicle to take some money out of your home, address the major issues, and then market and sell your home for a fair price, not a price based on all the negatives which marketing an old house often produces.

    2. Take money out of your home and use the funds to make lifetime gifts to family members. Reverse Mortgages are not only for people who have financial problems. They can also be used by people whose financial situation is stable but who would like to make distributions of funds to family members while they are alive. None of their children want to live in the family home. Why not liquefy the real estate with a Reverse Mortgage and remove all the responsibility of selling the home after the person dies?

In the coming posts, I intend to explore other possibilities presented by Reverse Mortgages and how they can be utilized effectively. There has been a lot of “piling on” regarding this product, and I think there are times when Reverse Mortgages can be effective options for seniors.

As Easy as A, B, and C

2011 and 2012 are strange years because the US Congress has made an unprecedented move to eliminate Federal Estate taxes for all but the really privileged few. The threshold level of assets in your gross estate must exceed $5,000,000.00, if you pass away in either of those years, before you will need to pay any Federal Estate Taxes. That being the case, at least for Federal Estate tax purposes, the allure of the Revocable Trust, which was a standby for many middle and upper middle class individuals, has begun to lose its allure.

Briefly described, the Revocable Trust, especially when the person involved took the additional step after signing to put his or her assets into same was a vehicle which gave tax advantages and almost always reduced the expense and frustration of Probate. People used Revocable Trusts to take advantage of the then current Federal Estate tax exemption, which up until 2011 and 2012 was in the $3,000,000 range.

The post is written to express my view that the news of the death of the Revocable Trust as a valuable Estate Planning tool is extremely premature. I frequently recommend to my clients with estates over $1,000,000 that they consider putting Revocable Trusts into place. These are my reasons:

  1. Massachusetts Inheritance Tax starts at $1,000,000. That being said, there is no Inheritance Tax when a husband passes his assets to his wife, or a wife passes her assets to her husband. The tax only impacts people upon the death of the second to die. This follows the pattern utilized in the Federal Estate Tax system exactly. The problem of Massachusetts Inheritance Tax arises upon the death of the surviving spouse. There is no unlimited exemption, and all assets over $1,000,000 will be taxed by Massachusetts. The C Trust capture the credit.
  2. There is another, more practical advantage to the A, B and C Revocable Trust. The Trust can be used as a vehicle to accept the life insurance proceeds of the person who establishes the Trust. You may wonder why this is advantageous. For one thing, many people with younger children have life insurance for their family. The primary beneficiary is almost always the surviving spouse, and that makes perfect sense. What if a couple with adequate life insurance and small children was on a plane headed for California on September 11, 2011? Both spouses perish, and the young children come into a small fortune at the age of 18. My experience tells me that 18 is too young an age for children to have a lot of money. If the life insurance beneficiary is the Revocable Trust, the surviving spouse still gets use of the insurance proceeds, but the children do not get their principal until they are older and more mature.

Drafting an A, B, C Trust is not super-complicated or super expensive. If any of the situations I have described to you apply to your situation, speak to your attorney or trusted advisor about setting up the Trust. You will be doing a lot of people whom you love a wonderful service.

    

What would happen to my Estate if I were to die today?

Unfortunately, one does not know what can happen from one day to the next.  That is why it is important to consult an Attorney to create an Estate Plan, which includes a Will and, possibly, a Trust.  If a person fails to dispose of all, or a portion of, his or her estate by a valid Will or Trust, then such property is distributed under the Massachusetts rules of intestacy.  You will need to be especially careful in the coming days, because, as of March 31, 2012, things are scheduled to change.

The pending changes to the Intestacy Laws will have a significant impact on the Estate of a person who dies without a Will or Trust in place.  For instance, under the new law, a much larger share will be distributed to the surviving spouse than under the current Massachusetts law. Changes like the aforementioned are things that people need to be aware of.  To that end, over the course of the next few months I am going to post a series of questions that are commonly coming up in my daily practice, starting with a basic one: I am married and do not have a will, what would happen to my Estate if I were to die today?

Answer:  The answer to this question varies depending on circumstances.

1.              For instance, if you don’t have a parent or children, then the surviving spouse takes the entire intestate estate.

2.            If, you have a parent, and no children, then the spouse takes the first $200,000.00 and three-fourths of any balance of the intestate estate.

3.            If you have children born into the marriage of you and the surviving spouse and there are not other children of the spouse, then the spouse takes the entire intestate estate.

4.            If, you have a child or your spouse has a child but the child is not common with both of you, then the spouse takes the first $100,000.00 and one-half of any balance of the intestate estate.

If this is not how you would like your property to be distributed upon your death , you need a Will or some kind of Trust. Please contact me to set up an appointment to meet, so we can memorialize the distribution of your assets which you desire. I can be easily reached at chanania@topbev.com.

Much more to follow!!!

BY: Caroline J. Hanania

Associate Attorney

Topkins & Bevans

Attorneys At Law

781-890-6230  Ext 225

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Why isn t Taylor selling his footwear, if he may make such huge premiums on them? If you happen to speak down a automotive and also you get it for a very good deal, you re not going to promote it. You re going to drive it, he said. James remains the NBA s leading shoe salesman. Nike bought $300 million of his signature sneakers last yr, as he picked up his fourth MVP trophy and second NBA title. Gross sales were flat versus the prior 12 months after a 50% bounce in 2012. James is the NBA s main endorser pulling in $42 million a yr and Nike represents his largest paycheck at an estimated $20 million a year.
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L uber tried to consider the whole lot when he created his value guide. To get a sneaker s true value, you need to make sure you re looking solely at eBay auctions that finish in a sale about half don t and auctions of authentic, identify-model sneakers. Lots of fakes are bought on eBay accounting for about 10 % of gross sales, Luber estimates and their prices would corrupt the value guide. The corporate hinted again then that the power laces were coming in 2015. That may have been a joke at the time, however Nike designer Tinker Hatfield has now mentioned it s taking place for real
Hatfield shed sweat and blood actually, to listen to him inform of the X-Acto knives that slipped and slashed open his leg in the design studio as the point man in creating the Nike Free continuum. This scale measures (from 0.0 to 10.zero) how near barefoot a shoe feels. Zero represents a pure barefoot feel, whereas 10 is a extra traditional operating shoe. You’ve got steered that the Frees be used in conjunction with different training sneakers But when the Frees are intended to promote a jordans evolution cheap uk midfoot/forefoot footstrike, will not moving again to conventional trainers power runners to change their gait back to a heelstrike?
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Durant signed a seven-12 months deal, $60 million cope with Nike in 2007. It was the final mega-contract handed out to an NBA rookie by the large shoe corporations. Durant s on-courtroom success triggered incentives in his Nike deal that pushed it north of $10 million a year, but the deal was sluggish to repay for the $26 billion in sales sports activities big. Nike sold solely $15 million at retail of KD s footwear in 2011 and a few blamed OKC s small market size. However the Thunder made the NBA Finals in 2012 and Durant s Nike sales greater than clerance Nike Air Max 91 discount doubled earlier than skyrocketing again in 2013.
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Again to the Future” followers and sneaker fans just about freaked out in 2011 when Nike issued a limited number of Air Magazine shoes designed after those from “Back to the Future, Part II.” Within the film, Michael J. Fox as Marty McFly time cheap jordan heels for women travels all the way to 2015, rides a Hoverboard, and throws on some cheap nike free run 6 usa kicks with “power laces” that tighten robotically. A full-blown set of McFly sneakers with working power laces would blow the Internet’s mind if it actually occurs. We’ll simply have to wait till 2015 to see if it comes true, together with whether or not or not the Cubs sweep Miami within the World Sequence.
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And but footwear are his obsession. They re displayed on custom-constructed shelves in his basement, which also occurs to be the guest bedroom, his daughter s playroom and his wife s office. Mainly wherever we ve lived there s been a shoe wall, said his wife, Patricia Luber. 2 In Atlanta, the sneakers lined glass cabinets and had been lit up by rope lighting. And they found space in their small New York Metropolis condominium for a mini shoe wall. But the present show is the grandest showcasing to this point, jordan melo m8 light blue white she mentioned. My grandmother at all times says when I die, she s going to bury nike shox 0907 green me, going to place my sneakers in the floor with me, he mentioned.
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Nike did the identical omission in its wildly well-liked Write the Future spot ahead of the 2010 World Cup. That advert ran three minutes lengthy and played like a miniature surrealist movie, displaying a number of the games most well-known players residing out alternately wonderful and depressing futures relying on how they carried out in important (and fictional) matches. Over 600 NFTC alums at present dot NFL rosters, and that number is certain to develop in the next six months as present college stars that attended a Nike Camp complete their senior seasons and get ready for the NFL Draft. The NFTCs are the place the perfect go to compete and get higher!
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L uber tried to consider every little thing when he created his value guide. To get a sneaker s true worth, you need to ensure you re looking only at eBay auctions that finish in a sale about half don t and auctions of genuine, name-model sneakers. Plenty of fakes are bought on eBay accounting for about 10 p.c of gross sales, Luber estimates and their costs would corrupt the worth guide. The company hinted again then that the ability laces were coming in 2015. Which may have been a joke at the cheapest place for nike air max time, however Nike designer Tinker Hatfield has now said it s happening for actual
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The power laces have been conspicuously absent from the 2011 Air Mags, but we’d not have to attend for much longer for them to develop into a reality. Tinker Hatfield, a Nike designer well-known for his Air Jordan contributions, was asked about energy laces at a recent occasion in New Orleans. His reply, based on Sole Collector, was that we should always see them subsequent year. Our objective is to carry on his legacy of revolutionary considering, whether or not to develop merchandise that help athletes of every stage of potential attain their potential, or to create business opportunities that set Nike other Nike Air Max men gray than the competition and provide worth for our shareholders.
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Even if you re not a Nike addict, you may want to try these sneakers which are considered by many to be the best shoes Nike Flex For the passionate athlete, Nike goals to supply the lively individual with high gear for each sport, every season. The 5.zero Free Operating Footwear are the most recent addition to trainers for athletes who love to run, jog and cheap air max 95 360 air veer gs men US8 0 walk. Nike crafts trainers for every runner—from light-weight and barely there to sneakers that protect and stabilize. Experience your most fluid run with Nike footwear technology. Browse Nike running shoes and common lines, like the Nike Free, LunarGlide and AirMax.
Nike filed a patent on the self-lacing footwear again in 2010 The cheap mens nike shox nz clearance application confirmed a design very like the sneakers from the film with lights and a button to activate the laces. There’s additionally a charging system as a result of movie magic nike free 5 0 v4 sales clearance discount only takes you to this point. The sneakers will supposedly cinch up across the wearer s foot identical to they did in the film. Nike additionally manufactures sneakers in half sizes, with measurements that fall in between those listed above. Buyers ought to contemplate going up a half measurement for a proper match. Nike Shoe Width
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He saves and earns for the things that he wears and he does have good things, and that is his thing. That is his pastime. He likes Nike. He loves sports activities. He wants to put on nice issues and he works for it,” said Janiesa. Nike Metallic Red Bronze textured leather and mesh Blazer Mid Premium mid-prime sneakers detailed with cutout panel development. 1″ (25mm) heel, approximately. Spherical toe, signature Nike swoosh appliqué at quarter panel, embroidered logo at padded collar, textured midsole, tonal flat laces. Lace up. Rubber sole. Available in Metallic Red Bronze. Imported.
The answer relies on a number of things. First, how much do the retail customers care about value? The extra price-sensitive they are, the extra Nike dangers losing them if it prices more. Second, how a lot do these prospects care about that gap between what the sneakers cost and what they re value? The more they care, the better the chance Nike would scare them away with larger costs or extra supply. No problem, he said. He s hoping to begin his personal consignment store and sees the long cheap sale nike air jordan shoes running shoes waits as follow toward delivering on his guarantees.
L uber tried air max 2013 womens to think of all the pieces when he created his worth guide. To get nike shox hairstyles for women 45 and older having babies a sneaker s true value, you need buy men nike blazer factory online to be sure to re trying only at eBay auctions that end in a sale about half don t and auctions of authentic, title-model sneakers. A lot of fakes are offered on eBay accounting for about 10 percent of gross sales, Luber estimates and their costs would corrupt the price guide. The company hinted back then that the power laces were coming in 2015. Which may have been a joke on the time, however Nike designer Tinker Hatfield has now said it s happening for real
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Polish design and creative studio Howdy Mono made this cool video that shows four many years of Nike shoes evolution. While watching it I discovered myself trying to identify all the Nike sneakers I ever mens black blazers cheap uk owned. A ll of them have been from the company’s first decade.
Since Nike is a trustworthy and well-liked brand, you really can t go flawed by investing in any of the choices above and for the most half the Musique III have proven themselves to be one of the vital, if not the most popular chosen by dance fanatics. If you re a man, however, you re going to need to look elsewhere in your footwear since Nike nonetheless hasn t included a man s line nike free cheap uk into their lineup. Everlast is a sturdy recycled rubber ground system composed of post-consumer rubber and Nike Grind. It may be rolled out or put down using interlocking tiles to absorb shock womens nike air max thea print running shoes black rose royal blue and eliminate noise in health amenities.
Nike is characterized of making its equipments in countries which are in the developing phase, having very low-cost labor,authoritarian cheap air max girls government and lack of human rights enchantment and union movement.In doing this it has sales nike blazer high womens in shops online made larger margins on the cost of mere cents toits workers. So Nike success story is not based mostly on good title and advertisingalone but in addition hooked up to it is the tears of tortured employees and childlabor. Iverson and rapper Jadakiss are scheduled to nike basketball shoes team usa assist launch men nike lunarglide sale discount clearance the Villa x Reebok Pump on Thursday at a restaurant near the 76ers’ practice facility in Philadelphia.
Nike made a simplified version of the shoes back in 2011 as a limited run. All 1500 pairs have been auctioned off with proceeds going to the Michael J Fox Foundation. They didn t lace themselves, but there have been some neat futuristic lights. A versatile, on a regular basis sneaker in an eye-catching print is enhanced with a Solarsoft sock liner for an additional-comfy fit. Removable insole. Mesh upper/textile lining/Phylon sole. By Nike; imported. BP. Sneakers. A chunky, additional-cushioned sole and collar update a classically designed sneaker for the epitome of jordans running shoes retro, comfy stylish. Detachable insole. Leather and mesh upper/cloth lining/rubber sole. By Nike; imported. BP. Shoes.
Abebe Bikila introduced barefoot running into worldwide consciousness when he received gold at the Rome Olympiad in 1960. Why is the movement towards barefoot-minimalism just coming about now? That is the way it started in 2000-2001. Barefoot running is not a brand new concept. The new concept is replicating barefoot training in a shod condition. Nike at present produces a Free three.zero and seven.zero; what will it take to develop a 2.0 or 1.zero? How shut are you able to see attending to a zero.zero? Nike just lately unveiled its Lunar TR1 Week Zero collection The collection contains a number of excessive-profile teams from around the nation, so this ought to be a giant hit with even more fans.
They’re Michael Jordan after all, his namesake. And so they have grow to be the standard by which all other cult sneakers like that are judged, he mentioned. How a lot bigger can Nike get in the United States? asked Sam Poser, an fairness analyst at the brokerage firm Sterne, Agee & Leach. They will get greater. He stated he was shocked Thursday after college when an older, larger child snatched these footwear right off of his feet at MacArthur and Jewett Avenue whereas he air max 2012 yellow was strolling to his stepfather’s dwelling. Collins, Paul (29 Might 2014). “Nike IS pronounced Nikey, chairman of shoe large lastly confirms” Day by day Mail Retrieved 29 Might 2014
If swimming is extra your game, Nike Swimwear has bought you lined. From training to team swimwear, Nike stays at the forefront of recent and modern technologies. Nike Swim is mens nike air max 95 360 trainers orange/grey constantly striving to develop new fabrics for extra snug and effective swimwear. Since harsh, chlorinated water is tough on swimsuits, Nike has created an answer with Nike NX material. This chlorine-resistant, colorfast nylon cloth can face up to lengthy hours of coaching and competitors while retaining its shape all through the lifetime of the garment. Glorious form retention and smooth, light-weight consolation could be found with Nike Swimwear that makes use of Nike EVR-X poly material.
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