THANK YOU!
November 2023. The man plucked at my elbow in the Post Office the other day. “You're that guy!” he exclaimed, “that guy who writes for the paper.” Relieved that he had not mistaken me for some old enemy, I nodded and smiled. “Wait a minute, I know you!” said the lady in Wal-Mart a few weeks later. “You write about wills for the paper.” Pleased to be thus recognized, I allowed myself to be finagled into a short conversation on the topic of trusts. “I can't take you anywhere,” muttered my wife. “People keep stopping us to chat.” The wonderful thing about doing business in a small town like Mount Airy is that people know people, and people care. Next year will mark twenty-nine years of this writer's business in our town, and long ago I...
SOME QUESTIONS ON TRUSTS – PART TWO
October 2023. Q: I have a disabled daughter. Do I really need a trust? Can’t I just leave everything to my son to use for his sister? A: Yes, you can do that, but I’m not sure you should do that. If you leave everything to your son to use for his sister without any written direction, nobody knows that the assets aren’t the property of your son. That means that if your son has an auto accident, or becomes ill and unable to pay his debts or living costs, or gets a divorce, everything you’ve left him, including the amount that he was to use for his sister, is available to his creditors, or to his soon-to-be-ex-spouse. If you do leave written direction, you’ve just created a trust, and the written direction you’ve left is the terms of the...
SOME QUESTIONS ON TRUSTS – PART ONE
September 2023. Q: Do I need a trust? A: A trust is a bucket to hold money, for someone – a “beneficiary” – that needs the money but can’t have it in their own name. The classic beneficiary is a young child, someone with special needs, or someone consistently making bad or dangerous life choices such as drug or alcohol use. They need help but can’t or shouldn’t have the money themselves. A trust holds the money and the “trustee” who manages the trust uses the money as you direct. The trust can pay out to the beneficiary at a certain point, such as the attainment of adulthood or a later age, or can hold the funds until the death of the beneficiary and then pay to someone else, such as your other children, or to a charity. You are in...
MEDICAL DIRECTIVES: YOUR QUESTIONS ANSWERED
August 2023. Q: Do I need a MOLST? A: The MOLST (the Maryland Medical Order for Life-Sustaining Treatment) is a way you can indicate your preferences and intentions about end-of-life care and treatment. For example, you can make it clear that you want, or do not want, CPR. You can be very detailed about your intentions, for example, that you don't want intubation for ventilation, but that you would be OK with the CPAP or BiPAP mask, but not for longer than 2 weeks. These decisions should be thoughtful and reflective, not reflexive. A friend of mine was on "life support" for 8 years before he died, but that "life support" enabled him to fly out to California to visit his son and get to know and to baptize his grandson, to fly to Vancouver...
YOUR QUESTIONS ANSWERED – JULY ’23
July 2023. Q: I'm worried about getting dementia. Do I need to protect myself from my future self? A: That's a good thought. Some of my clients worry about their power of attorney being misused, so they don't want to sign it. But it's really risky to wait until just before you have dementia to sign your power of attorney. You might forget! If you do suffer from dementia, one of the symptoms is often paranoia, and if you were convinced that everybody is out to get you, the last thing you would want to do is sign a power of attorney to let them do it legally! And if your judgment is impaired, you might pick the wrong person - we all have heard stories of frail elders who have appointed exploitive caregivers or manipulative children in their...
BEREAVEMENT: YOUR QUESTIONS ANSWERED
June 2023. Q: My Mom just died this morning. I have no idea what to do next. Can you help? A: I’m so sorry. Thank you for calling. The first thing to do is arrange the funeral and lay her to rest. If she left prearrangements or instructions, that makes things easier; otherwise, think about how she laid your father to rest – maybe that would help understand what she would want. If you already have access to her funds as a beneficiary or joint owner, you can use those funds for her final expenses, but you might have to complete paperwork first. Talk to the bank or broker. Sometimes you can assign life insurance to the funeral home to pay for their services. Some funeral homes will let you pay after the estate is opened. And sometimes, you...
YOUR QUESTIONS ANSWERED – MAY ’23
May 2023. I’m making my daughter my executor and power of attorney. How do I make things easy for her? Make a list of your assets and liabilities like credit cards and mortgage, your accounts and their custodians – banks, brokers, benefits department – and your other relevant professionals – lawyer, accountant, financial planner, insurance agent. If you have online access to your accounts, make sure the passwords are available to her. Sit down with her now and go over your bills, your accounts, your assets and debts. I know that feels like you’re letting her invade your private life, but how else is she going to be able to take care of things when you’re unable? How can she pay your bills if she doesn’t know where your money is? It’s even...
THE POWER OF ATTORNEY GURU. PART 3
April 2023. Comment: “This long power of attorney form doesn’t apply to me. I just have a bank account and a car!” In Maryland, estate planning powers of attorney are long. They have to be! That’s because your power of attorney only gives your “agent” – the person acting for you – the powers you have specifically listed. The power of attorney that simply states that “my agent may do anything I could do” doesn’t work. Put differently, if you don’t specifically enumerate, you don’t effectively delegate. And a power of attorney isn’t just about writing checks and paying bills. It’s about selling your car or your home if you’ve had to move; terminating your cable or satellite contract; getting information about your financial matters and...
THE POWER OF ATTORNEY GURU. PART 2
March 2023. Comment: “I’m not letting anybody take control over me! I’m not signing that paper!” It’s great to keep control of our lives as long as possible, but not at the expense of your wallet, your dignity and your loved ones’ quality of life if you become incompetent. If you have no power of attorney, the only way your loved ones can take care of your needs is to ask the Court be appointed your guardian. That takes months and costs thousands of dollars, and ensures that the Court intrudes on the family for years to come. A power of attorney isn’t about giving up control; it’s about deciding who will be in control when we can’t. It’s hard for some folks to imagine a world that they don’t control, but sometimes it’s out there waiting....
THE POWER OF ATTORNEY GURU. PART 1
February 2023. Comment: “I don’t need a power of attorney. My spouse and I own everything jointly.” It’s true, if you and your spouse own your bank account jointly, either one of you can sign a check or make a deposit, no questions asked. But that’s not all you might need to do for each other. It takes both signatures to sell your car or your mutual funds, or to sell or refinance your house. Just because it’s owned jointly doesn’t mean that either one of you can act without the other. If your spouse has dementia and you need to initiate or change distributions from his or her retirement plan, you have to sign your spouse’s name, and you can’t do that without a power of attorney. Just because you’re the beneficiary doesn’t mean you can...
NEW YEAR’S PLANNING – PART 2
January 2023. Are your parents or your spouse starting to show signs of dementia? Do they have an updated power of attorney for medical and financial decisions? If not, you might need to consider guardianship. Do you have your own business? Have you made provisions for probate avoidance in the transfer of your business interests – stock or LLC membership interests – and assets? Does your power of attorney include the power to handle your business accounts and assets? Be sure to include a list of updated beneficiary and fiduciary addresses, telephone numbers and other contact information with your documents. Include a list of your assets, including custodians, account numbers and contact information. Add digital assets – user names,...
NEW YEAR’S PLANNING – PART 1
December 2022. Because we are time-bound mortals, the change of seasons reminds us of changes in our lives and of their fragility. With the opening of each year comes a new opportunity to consider your estate plan and make sure it is up-to-date – or to make one if you don’t have on already! Have you ever drafted documents at all? If not, you should know that the State’s choices on your behalf are not usually the best ones for you or your loved ones. That should not come as a surprise, but if you fail to plan, you have made the government's decisions your own. Can you find the originals of your documents? Could your family find them? If the originals of your documents cannot be found upon your incapacity or after your death, your well-laid...