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Posts Tagged ‘elder law’

More About Guardians

Rachael Phillips
December 16, 2014

Recently Sarah wrote about choosing a guardian for minor children in the unlikely event that both parents have died, but what happens when one or both parents are alive but are not able to care for their child? This can happen when the parents have a serious illness or injury, or if the court determines that it is detrimental for the child to remain in their care. It is also possible for a non parent to become a guardian if the parents have left the child in their care for a long period of time. In this case, the child may have bonded with the person and come to view that person as a mother or father, making it in the child’s best interest to remain in their care.

All guardians must be approved by the court (even when nominated by the parent). A court must approve the guardianship in order for the person nominated to obtain legal authority to do things, such as, talk to the child’s doctor or enroll them in school. The court process ensures that the named guardian is qualified to safely and effectively care for the minor child.

Sometimes, there may be alternatives to a formal guardianship that would solve the problems presented in a particular case, and guardianship may not be necessary or appropriate. An attorney who specializes in guardianships can help determine the best way to handle each individual situation.

Health Care Directives-What’s the Difference?

Sarah Savasky
November 21, 2014

An Advance Health Care Directive (AHCD) is always part of the estate plans I create for clients, regardless of the individual’s age or health status. An AHCD lets you name another person (a health care agent) to make health care decisions for you if you are unable to make them for yourself. It also allows you to give specific instructions regarding your health care and end of life decisions, specify organ donation wishes and provide burial instructions.

A Living Will (not to be confused with a regular will or a living trust, which serve completely different purposes) is a type of health care directive. It is a legal document that allows you to indicate which treatments you do or do not want in the event that you are suffering from a terminal illness or are in a permanent vegetative state. This type of health care directive does not include naming an agent to make health care decisions for you.

Five Wishes is a health care directive that addresses your personal, emotional and spiritual needs as well as your medical wishes. It includes the following sections:

1. The person I want to make care decisions when I can’t
2. The kind of medical treatment I want or don’t want
3. How comfortable I want to be
4. How I want people to treat me
5. What I want my loved ones to know

Next week I’ll discuss Physicians Orders for Life Sustaining Treatments (POLST) and Do Not Resuscitate Orders (DNR).

How to Introduce the Topic of Elder Care

Ann Robbeloth
October 15, 2014

Tell a parent or friend you care, you are here to help, and want to be a part of an ongoing dialogue about their changing needs. Acknowledge past help they’ve given you and express a desire to return the favor. Find a way to frame the issue that is positive, focused on strengths rather than deficits, prevention rather than accusations of decline.

Ask for professional help from doctors, lawyers or financial professionals who work closely with your parent. Reach out to your parent’s network. Identify people they trust who are willing to meet with your family to help introduce topics appropriate to the skills of that particular professional. A trust attorney, for example, can meet to explain how the estate plan works, and who will provide what type of support if the need arose. Some professionals talk with clients about issue spotting, transitions in needs, connecting with community resources and many other important points on a regular basis. Others are uncomfortable with these topics, so scout out resources with a brief phone call ahead of time.

When to Step Up Care for a Parent

Ann Robbeloth
September 25, 2014

There are many signs that a parent needs help. Financial indicators include overdue utility bills or disruption in utility services. Bounced checks or undeposited income checks laying around the house also show a lack of financial engagement that may indicate financial danger. Engagement in scams or lack of awareness around charitable giving can both show a decline in capacity and may mean your parent has already becomes a target of financial elder abuse.

Personal care indicators are most significantly marked by falls or other critical health events, but there are often earlier, more subtle signs that help with personal care i needed. A lack of unexpired, edible food in the refrigerator and cabinets will prevent proper nutrition, which leads to physical decline. While elders often eat less as they age, excuses such as I’m not hungry, I really only want canned food, etc. often indicate that food preparation is an issue. Hygiene changes may indicate unaddressed incontinence or difficulty bathing, laundering clothes and toileting.

Estate Planning: A Road Map

Sarah Savasky
September 17, 2014

Imagine that you are about to take a road trip to somewhere you have never been before. You may have a general idea of where you going but you don’t have a map. Now imagine that you have to drive the car while you are grieving, overwhelmed or confused. You may have family members along for the ride who are also dealing with strong emotions and they all want to go in different directions. It sounds like a recipe for disaster.

Now think about how much easier that road trip would be if you had been given a map. Creating an estate plan is like leaving a road map for your loved ones. They will still have to make a difficult journey, but think of how much smoother it will be if they have directions.

Newly Married: The Pros and Cons of Maintaining Separate Property

Ann Robbeloth
September 10, 2014

The decision to keep assets separate may be guided by a number of personal values. Common reasons to maintain separate property include a desire to protect assets from possible loss in divorce, maintain financial independence from a spouse, control the flow of inheritance, or to have general autonomy in relation to assets that belonged to one spouse prior to marriage or were inherited or gifted family assets.

If those considerations are not important to you, the single biggest advantage of “commingling” or turning assets into community property is the double step up in basis for capital gains purposes. Assets are commingled by putting both names on the title to the asset, and/or merging bank or brokerage accounts into joint community property accounts.

These community property assets will receive a full step up in basis at the death of the first spouse. This allows the surviving spouse to liquidate real estate or securities following the death of the spouse without paying capital gains.

Property that is kept separate, but is inherited by the surviving spouse through a trust or pay on death designation will also receive a step up in basis. However, those assets held as the separate property of the surviving spouse maintain their cost basis without any adjustment due to the death of the deceased spouse. Gains tax will be owed if an appreciated asset is sold by the surviving spouse from his or her separate property.

DIY Estate Planning

Sarah Savasky
September 4, 2014

I’m all for a good do it yourself project. I recently refinished a coffee table and attempted to make a slipcover for the chair my cat destroyed. But I wouldn’t recommend doing your estate plan yourself.

I might be a tad biased considering I am an estate planning attorney, but the chances of making a mistake are high and the consequences of those mistakes could be huge. Most DIY estate planning resources are one-size-fits-all, and you may recall me saying, estate plans are not.

When it comes to estate planning, details matter. If you make a drafting error or if your will is not witnessed properly, your documents could be invalid. If you have drafted a trust but the trust has not been funded, it will not work the way it was designed to work.

Add to that, common complications associated with a second marriage or a child with special needs, and the possibilities for error increase. The decisions you make in an estate plan can have unforeseen and unintended consequences. An experienced estate planning attorney can help avoid those pitfalls and achieve your goals in thoughtful manner.

Trustee’s Duty to Inform

Rachael Phillips
August 27, 2014

The California Probate Code imposes on a trustee the duty to “keep the beneficiaries of the trust reasonably informed of the trust and its administration.” While the Probate Code specifically requires a trustee to provide certain types of information to the beneficiaries at certain times, it does not include any definition of the phrase “reasonably informed of the trust and its administration.”

In many cases, the more information a trustee provides the better. A trustee is likely to encounter problems with beneficiaries who feel like they are being kept in the dark. The best way to avoid that is to be as open and forthcoming with information as possible. Even where the Probate Code does not require it, the beneficiaries will likely appreciate being informed of any significant actions the trustee plans to take, such as selling or distributing any trust property of significant monetary or sentimental value. On the other hand, it may be more efficient for a trustee to inform the beneficiaries of more routine actions through periodic updates, rather than individual notifications of each and every action taken. The important thing for a trustee to remember is that the beneficiaries have a right to request “information”; therefore, answering questions from beneficiaries is an important trustee responsibility under current California law.

What Does A Trustee Do?

Rachael Phillips
July 31, 2014

A trustee manages the assets that are held in a trust.  When an individual or married couple places their assets in a revocable living trust, they often name themselves the trustee or co-trustees.  In that case, they are able to continue managing their assets in basically the same way that they did before they put them into the trust.  They can still use their bank accounts to pay their bills and make purchases just like they did before.  They can maintain their home or make renovations to it if they wish.  They can invest their assets and manage those investments however they choose.  When you are the trustee of your own trust, not much really changes about the way that you deal with your assets.

When acting as trustee of someone else’s trust, a trustee manages trust assets according to the terms of the trust.  If the trust terms state that the trust is to be used for an individual or group of individuals, then it is the trustee’s job to invest and manage the trust assets prudently and to pay the expenses of the beneficiaries according to the trust terms.  The trustee may be required to account to the beneficiaries, unless this requirement is waived.  There are a number of fiduciary duties that a trustee assumes when taking on the role of trustee.  Consulting an attorney familiar with trust administration is a necessary step to ensure each trustee is aware of his or her fiduciary duties.  There are very few blanket statements that can be made about all trusts, since the duties of trustees and rights of beneficiaries vary according to the specific trust document and its terms.