Just like any other type of financial planning, it can be a bit stressful. However, when you have the right person handling your specific planning need, it has a higher chance of running smoothly.

Mike Walther, founder of Oak Wealth Advisors LLC, assists families in implementing comprehensive plans for their loved ones with special needs. The article in reference will help shed light on mistakes that have been made while financially planning for special needs families.

As mentioned in his article, Mike has a brother with Autism and other developmental challenges. Luckily, he knows how this process works. He’s a career financial advisor who focuses on families with special needs members. When planning for your disabled loved ones, there are a lot of things to consider and to be knowledgeable of such as laws pertaining to governmental benefits, guardianship, and so forth.

Here, at Rhodes Law Firm, PC, one of our services is Special Needs Planning. It is advised that, if this is a need of yours, attorneys and advisors have experience in assisting such families. We want to make sure your special needs family is set up for a successful future.

Below are Mike’s seven planning mistakes to avoid:

1. Beneficiary designations.
2. Funding A Special Needs Trust With Term Life Insurance.
3. Special Needs Trusts are drafted into the parents’ estate plans to be implemented upon the death of the second parent.
4. Parents or other family members fund 529 Plans or other college savings plans in the name of the child with special needs.
5. The same family member is chosen as the Executor/Trustee/Guardian in estate planning documents.
6. Not communicating your planning with your extended family.
7. Directions for a smooth transition in care giving are not explicitly documented.

For further reading, click this link to learn why you should avoid these mistakes.

The end of 2016 is coming up quickly, and usually everyone gets out their pen and paper to jot down their list of resolutions for the New Year. Usually the list consists of weight loss, better organizing, volunteer more, etc. But notice this New Year’s Resolution list isn’t made any sooner; it’s made a few days, a week, maybe even a month in advance. That’s because the pressure is on, and time is running out.

What if you decided to treat your Family Estate Planning the opposite way? You may be scratching your head wondering, “Why would I do that now? I’m not even ready for something like that!” Because there’s no pressure, that’s why. You can carefully and effectively make plans for your family, and most likely have more time to take on the amount of work that’s required to put it all together. Wouldn’t you rather do that instead of cramming this all into a small amount time?

This kind of planning is more important than you may realize, and that may be because of where you are in life. For something like this, though, you can never be too prepared.

We enjoyed reading this article, which is why we want to bring it to your attention. Take a look for yourself, and hopefully it give you some motivation:

http://www.cnbc.com/2016/11/21/overcomplicating-an-estate-plan-can-really-hurt.html

“He said, she said.”

“It’s your word against mine.”

“But he said…”

These commonly said phrases don’t have much ground to stand on, do they?

It’s common that very important things get overlooked when serious actions are taking place. In this article we found, a father and his two daughters were going over financial arrangements for when he dies. One daughter was appointed the signatory of the bank account for bills; whatever money is left over, the two daughters can split.

Now, here’s where “double checking” could have saved A LOT of trouble. After the unfortunate death of their father, the daughter that was not the signatory of the account noticed that the other had actually become the owner of the account…and kept all $100,000 to herself, including reimbursement for the bills out of another asset of the estate. To add on top that “double checking,” there was no will to support what was originally planned.

Read the full article here to see what advice The Moneyologist had to give on this situation!

First and foremost, estate planning should be on everyone’s list of priorities. And yes, even for young adults. It’s always best to be prepared for anything on a scale from the “not-so-bad” to the “absolute worst.”  Either way — think ahead.

Those of you that have remarried: have you thought about readdressing your estate plan (assuming you already have one)? You know… All of your assets, life insurance, pensions, real estate, cars, personal belongings, and debts? Everything that falls under your estate plan can, and inevitably does, go to the wayside when you’re about to walk down the aisle…again. We understand that so much is going on that most people are not thinking of the what ifs from previous marriages, or even the about-to-be new. Like mentioned earlier, be prepared and think ahead.

CNBC published an article that talks about this exact topic: Remarrying? Update Your Estate Plan, and it really broke this all down pretty well. Below is the link.

http://www.cnbc.com/2016/10/14/remarrying-update-your-estate-plan.html

But to sum it up nicely, there are a few things (if not all) in mind while reading it.

John Scroggin, partner of Scroggin and Company of Roswell, Georgia, worded not only how great a bypass trust is, but we believe that it’s fitting for this entire process: “It’s all about protecting from a second, third, or fourth spouse and the divorce issues that can come from that.”

Sarah Michaelson wrote over at Business Insider, “I remember putting money into a 401(k) in my 20s, and retirement was an abstraction: a far-away land that I would reach in another lifetime.”

We see a lot of it among younger workers; the word retirement isn’t in the vocabulary, or if it is, it’s an abstract notion of someday. And long-term investments may not be in the forefront of their financial decisions. And one of these is protection of yourself and those you love, especially as you transition into a family.

As Michael writes: “Think you’re too young? Think this doesn’t matter? Consider this: Everybody has a “default” estate plan at birth, defined by your state’s laws….It is worth the awkwardness to think this through and plan.”

There’s a lot of long-term planning many in their 20s and 30s look to do: 401(k), saving for a house, a wedding, planning for a new child, etc. It’s an exciting time in life, which many new transitions!

But as you enjoy planning what’s to come, don’t neglect to protect what you already have – or see what strategies you can use moving forward to best protect what’s yours. We want the best for you and your family, and are happy to offer the advice you need!

If you’ve done any sort of research about estate planning, you’ve likely come across the term “revocable trust.” It’s a common tactic lawyers such as ourselves recommend to help avoid unnecessary taxes and keep processes simpler upon a person’s passing.

But if you don’t understand what it is, it can be confusing. So here’s a handy explainer:

A trust, on its own, is an agreement that allows a third-party to hold assets on your behalf. What you place in a trust typically avoids probate and gets passed along much faster – and can be done in a way that avoids many costly penalties.

Revocable trusts (also referenced as living trusts) are trusts that can be easily changed. These can have all kinds of items and assets you intend to be passed on to whatever third party you designate.

However, as long as you are considered medically competent, you can revoke the trust at any time – for any reason. It’s handy if there’s a chance of life circumstances changing in your lifetime, or if you may want to change who the third party designee is.

The downside: Typically, you’ll still be taxed on these assets, because they still remain part of your estate until your passing.

Irrevocable trusts differ in several ways, but may not be the ways you would think:

• Once enacted, the assets funded to the trust can be protected from the cost of long term care, or may be able to avoid estate taxes, depending on your goal.
• Our Irrevocable Trusts allow for changes to be made down the road should life changes occur, such as updating successor trustees, or changing distribution patterns.
• They represent a great tactic to avoid certain expenses while preserving your ongoing ability to have a say in how such assets are handled.

Depending on our client’s goal, whether it is simply to organize the estate to ease the burden on a surviving spouse, probate avoidance, or asset protection in dealing with the cost of long term care, our firm will create the most appropriate estate plan. In creating these plans, we may choose to use either a Revocable Trust or an Irrevocable Trust.

South Carolina and Georgia have differing laws when it comes to probate, trusts, and more in estate planning. But as a law firm dedicated solely to the practice and with licensing in both, we’re able to help residents in Aiken, SC and all through the Augusta, GA area decide if a trust is the best option for them. Contact us today!

As the discussion about Medicare and Medicaid continues to go on, TIME recently published an article analyzing a huge burden on the Medicaid system: Nursing home expenses. There can be astronomical figures associated with these needs, too:

Experts estimate that about half of all people turning 65 today will need daily help as they age, either at home or in nursing homes. Such long-term care will cost an average of about $91,000 for men and double that for women, because they live longer.

Thankfully, long-term care planning is something any expert estate planning attorney is well-versed in – so don’t hesitate to read the TIME article, then ask us how we can help!

Long-term insurance policies are focused on issues such as day-to-day living expenses and the assistance some people need to live life to the fullest. It’s not an uncommon policy to find in people’s portfolio, especially as a office devoted to elder car law and estate planning.

However, the industry behind these policies is in trouble, and policyholders are feeling the pressure from it. Kaiser Health News’ Barbara Ostrov wrote about this very issue, as seen on TIME.com. To wit:

But insurers botched just about every aspect of the policies they sold in the early days of the industry, said Joseph Belth, a retired professor of insurance at Indiana University known as one of the insurance industry’s toughest critics.

Another issue is Medicare’s role – or lack of one. Many people assume Medicare will help pay for most of their living expenses upon retirement, and are often shocked to discover a different scenario altogether when it comes time to retire. And that’s another reason long-term care planning has become thornier than it would seem for many Americans.

Read more on this story, and then contact us regarding any questions you have for your long-term planning needs – it’s our specialty, and we’re here to help.

Retirement is a hot topic for all ages. For those younger, it’s often a matter of saving for it or sometimes wondering if it’s a realistic possibility for them. But for those nearing retirement age, it’s a topic that speaks to an entire life change.

The New York Times recently published an article entitled “Of Retirement Age, but Remaining in the Work Force” that features some very interesting stories of people staying in the workforce longer – and showing that it’s a growing trend.

For example:

A recent Pew Research Center analysis of federal employment data lays out the numbers. In May 2000, 12.8 percent of those older than 65 held a job. By this May, the number had climbed substantially, to 18.8 percent.

You can read the full article by clicking here.

Typically, you’ll hear us talk about how much of an impact an estate plan can have for a family. And it’s true: Loved ones go through far less questions, decision-making, and inconvenience with a proper estate plan in place.

The same is true for those who aren’t married – but there are different challenges. In fact, it’s why the Wall Street Journal ran an article with the sub-title reading “It can be more complex than for married couples.”

So what challenges are there?

It starts with beneficiaries. On your insurance policies, retirement plans, etc., you’re usually required to name a beneficiary. This determines who gets the payouts from that account. If you’re single with children, that can make the decision easy (unless they are minors) – but for those without, there are a myriad of options.

Heirs are a similar matter. For those married, it’s nearly always the spouse listed, followed by children, and so on. But the typical line of “who gets your items” changes if you haven’t established a family. If someone has no living relatives, your assets could end up in the state’s coffers.

Establishing a clear directive for who – whether relatives, charities, etc. – receives your wealth is important.

There are also different provisions to make for long-term care and other special situations. Estate planning focuses on making things as easy as possible in bad situations, and we know them all!

Then, the worst-case scenario: What happens if you live alone and someone needs to make decisions for your health?

Without a proper directive in place, there can be situations where distant relatives are left with the responsibility. Take, for example, this Main Street article:

“I just had a client become disabled due to a brain injury,” [Karen] Lee says. “Although he had written a will in 1997, he never had a power of attorney. He was not only single and had no kids, he was an only child. There was no one to help make medical or financial decisions.” Lee says her client’s first cousin stepped up, but had to go to court to get granted conservatorship to make decisions on his behalf. “That took four months. And even after, all decisions had to be made with the court approval. It was a colossal mess,” she says.

So whether you’re single, married, or in whatever stage of life, there is an estate planning solution for you. And as a law firm devoted entirely to the practice, we’ve worked with hundreds of clients from all backgrounds – meaning we understand how to best have your wishes carried out should something tragic occur, but also to help maximize the benefits you leave for your family.