When you are looking ahead toward your senior years, you should be aware of potential long-term care costs. Most people over the age of 65 are going to require long-term care at some point in time. Medicare does not pay for custodial care, and long-term care is extremely expensive. In the state of Indiana, the median annual cost for a private room in a nursing home is over $85,000 according to Genworth Financial. People sometimes spend multiple years receiving nursing home care, … [Read more...] about What Is a Medicaid Waiver?
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Free Report: What is a Qualified Personal Residence Trust in Indianapolis?
Everyone is not exposed to the federal estate tax, because there is a federal estate tax credit or exclusion. A $5 million exclusion was installed for the 2011 tax year. This base has been retained since then, but there have been annual adjustments to account for inflation. Topics covered in this report include: Estate Tax ExclusionFederal Gift TaxQualified Personal Residence Trusts Click here to read the whole article or download the PDF. … [Read more...] about Free Report: What is a Qualified Personal Residence Trust in Indianapolis?
What Is a Step-Up in Basis?
You may be concerned about taxes when you are planning your estate. What forms of taxation will your loved ones face after you pass away? In this post we will provide answers, and we will ultimately focus on the capital gains tax and the step-up in basis. Income Tax It can seem as though any income that you receive from any source should be reported on your annual income tax return. In fact, this is not the case when it comes to inherited assets. If you receive an … [Read more...] about What Is a Step-Up in Basis?
Why Would I Want a Revocable Living Trust?
Why Would I Want a Revocable Living Trust? from Paul Kraft Many people assume that they should use a last will to facilitate future asset transfers. A will can be sufficient for some people, but it is not your only option. Learn more about Revocable Living Trusts in Indiana in this presentation. … [Read more...] about Why Would I Want a Revocable Living Trust?
When Does a Power of Attorney Become Effective?
When you create legally binding documents of any kind, you are taking action to accomplish a personal objective. The documents do not call the shots; you are using the documents to satisfy certain goals. With this in mind, we will explain some things about the legal device called the power of attorney. General vs. Limited Power of Attorney When you create a power of attorney, you have options. There are general powers of attorney, and there are limited powers of attorney. The person … [Read more...] about When Does a Power of Attorney Become Effective?
Are There Different Types of Special Needs Trusts?
You could utilize a special needs trust to effectively provide resources for the benefit of a loved one who has a disability. Before we look at the different types of special needs trusts, we should explain a few things about government benefit eligibility. Preservation of Benefits People with special needs are clearly going to need medical insurance, but in many cases, they have very limited financial resources. Individuals who can demonstrate financial need can often obtain … [Read more...] about Are There Different Types of Special Needs Trusts?
Free Report: What are the Drawbacks of Probate in Indiana?
When an estate is going through probate confidentiality is lost, because probate records can be accessed by the general public. Topics covered in this report include: Delayed AssetdistributionsAccumulation of ExpensesPublic proceedingAvoiding Probate Click here to read the whole article or download the PDF. … [Read more...] about Free Report: What are the Drawbacks of Probate in Indiana?
Are Trusts Only For the Rich?
There are certain myths that circulate when it comes to estate planning, and you can overlook viable solutions when you buy into these misconceptions. One of these notions is the idea that all trusts are only useful for those who are very wealthy. Let's look at the facts. Estate Tax Efficiency and Asset Protection People who have been very successful from a financial standpoint may be exposed to the federal estate tax. The federal estate tax has a $5.34 million exclusion in 2014. If the … [Read more...] about Are Trusts Only For the Rich?
SSI, Medicaid and Supplemental Needs Trusts
Estate planning is not a one-size-fits-all endeavor. A well constructed estate plan will be thoughtfully prepared. If you make assumptions and take action without all of the relevant information, unintended negative consequences can result. With the above in mind, let's look at the value of supplemental needs trusts. Need-Based Government Benefits If you have someone with special needs in the family, you must take government benefit eligibility into account when you are planning your … [Read more...] about SSI, Medicaid and Supplemental Needs Trusts
When Will My Heirs Receive Their Inheritances?
There are various different ways to get assets into the hands of your loved ones after you pass away. The most commonly utilized estate planning document is the last will. You may assume that the heirs to your estate receive their inheritances right after you die when you use a last will to state your final wishes. Unfortunately, things don't happen very quickly when you use a last will to facilitate the distribution of your personally held assets. Before inheritances can be distributed, the … [Read more...] about When Will My Heirs Receive Their Inheritances?
