Author: Sara Thomas

Planning a Trip? Protect Your Children with a Kids Protection PlanⓇ

Post author By Sara Thomas
Post date March 26, 2025
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As summer approaches, you’re likely focused on planning the perfect getaway with your children—booking flights, reserving hotels, and mapping out exciting activities. However, one crucial aspect of travel planning often gets overlooked: ensuring your children’s safety and care if something unexpected happens to you during your trip. While no one wants to think about emergencies during vacation, having proper protection lets you truly relax and enjoy making memories together.

Let’s explore why having a Kids Protection Plan^Ⓡ (“KPP”) in place before traveling is essential and what steps you can take to protect your children. Please note: most lawyers, even at the top estate planning firms, often make at least one of 6 common mistakes the KPP is designed to address when naming legal guardians for children in an estate plan.

The Hidden Risks of Traveling Without Protection

When you’re caught up in vacation planning excitement, it’s easy to focus only on the fun ahead. However, traveling presents unique risks and scenarios you need to consider. If you become incapacitated in a car accident or experience any other emergency while away from home, what would happen to your children in those critical first hours or days? Without proper legal documentation, your children could be temporarily taken into the care of strangers or social services until the proper authorities can determine who has the legal authority to care for them.

This becomes even more complicated when traveling internationally. Different countries have varying laws about child custody and care in emergencies. Without clear legal documentation designating temporary guardians, your children could face significant trauma while authorities work through bureaucratic processes to determine their care. Even domestic travel can present challenges if you’re incapacitated in another state, as local authorities may not immediately recognize out-of-state guardianship arrangements without proper documentation.

Essential Components of Protection While Traveling

A comprehensive KPP, which we create for you as part of the Life & Legacy Planning^Ⓡ process, provides crucial legal documentation and instructions that activate immediately if something happens to you. This includes the designation of temporary guardians who can care for your children until your long-term guardians arrive, as well as detailed information about your children’s medical needs, allergies, medications, and daily routines.

When you work with us to create a KPP, we include several key components that many parents overlook. First, you’ll receive ID cards that list emergency contacts that can care for your children in your absence. Second, we’ll create a medical power of attorney forms that allow designated caregivers to authorize treatment for your kids if they need medical care if needed. Third, your KPP will include temporary guardianship documentation so your kids are never taken into the care of strangers while the authorities locate the long-term guardians for your children. Finally, if there is anyone you would never want raising your children, we document that (confidentially), too.

Beyond these basics, your KPP should include detailed information about your children’s daily lives—their favorite foods, bedtime routines, fears or anxieties, and comfort items. This helps caregivers maintain normalcy during a stressful situation. You can also include passwords for electronic devices, social media accounts, and educational platforms your children might need to access.

Take Action Before You Travel

Before heading off on your summer adventures, schedule time with me; we will help you consider all the potential issues that could arise so that you can make the best decisions for yourself and your kids. We’ll start by carefully selecting local and long-distance temporary guardians who can respond quickly in an emergency, considering factors like their proximity to your vacation destination, ability to travel on short notice, and familiarity with your children’s needs.

Then, we’ll help you create an emergency response plan that outlines what should happen in various scenarios. This plan should include who should be contacted first, in what order, and what immediate actions they should take.

Importantly, your plan should be easily accessible to designated guardians and include clear instructions for first responders or authorities who need to refer to it in an emergency. We will help you with this by ensuring you have access to the documents you need and that your chosen guardians know precisely how to access the information and documents they need. We will also support them in an emergency so they know exactly what to do.

Making these arrangements isn’t about dwelling on worst-case scenarios—it’s about creating peace of mind so you can fully enjoy your vacation. Proper protection allows you to create wonderful memories with your children instead of worrying about “what-if” scenarios. Think of it as travel insurance for your children’s well-being—something you hope you’ll never need but will be incredibly grateful to have if an emergency arises.

Your Next Steps for Peace of Mind

We support you in creating a comprehensive Life & Legacy Plan that includes a Kids Protection Plan so your children are always protected, no matter where your travels take you. Take the first step today by booking a Life & Legacy Planning Session, where you’ll get educated on what will happen if you become incapacitated and when you die so you can make the very best decisions for your loved ones. From that place of empowerment, we’ll work together to create your comprehensive Life & Legacy Plan that gives you peace of mind, knowing you’ve done all you can for the people you love most. Contact us today to get started.

This article is a service of August Law, a Personal Family Lawyer® Firm. We don’t just draft documents; we ensure you make informed and empowered decisions about life and death, for yourself and the people you love. That’s why we offer a Life & Legacy Planning™ Session, during which you will get more financially organized than you’ve ever been before and make all the best choices for the people you love.

The content is sourced from Personal Family Lawyer® for use by Personal Family Lawyer® firms, a source believed to be providing accurate information. This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal, or investment advice. If you are seeking legal advice specific to your needs, such advice services must be obtained on your own separate from this educational material.

Tags Estate Planning, Guardianship, Incapacity Planning, Kids Protection Plan, Travel

A Step-by-Step Guide To Funding Your Trust

Post author By Sara Thomas
Post date March 17, 2025
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Creating a trust is a crucial step in estate planning, ensuring that your assets are managed and distributed according to your wishes. However, more than establishing a trust is required; you must also fund it. Funding a trust involves transferring assets into the trust, making them subject to the terms and management outlined in the trust document. Without funding, your trust remains an empty shell, unable to fulfill its intended purpose. This blog will walk you through the process of funding a trust, covering various asset types and providing practical tips to ensure that your trust is correctly set up to protect your legacy.

Why Funding a Trust is Essential

Before diving into the how-to, it’s essential to understand why funding a trust is so critical. When you fund a trust, you transfer ownership of your assets from your name into the name of the trust. This process has several key benefits:

Avoidance of Probate: One of the primary advantages of a trust is that assets placed in a trust typically avoid the probate process, which can be lengthy, costly, and public. By funding your trust, you ensure that your beneficiaries can receive their inheritance more quickly and with fewer legal hurdles.
Control Over Distribution: A trust empowers you to dictate exactly how and when your assets are distributed to your beneficiaries. Whether you want to provide for minor children, protect a loved one with special needs, or stagger distributions over time, funding your trust gives you the control to do so.
Protection from Creditors: In many cases, assets in a properly funded trust may be shielded from creditors, lawsuits, or divorce settlements, providing a robust layer of security for your estate.

Step 1: Identify the Assets to Transfer

The first step in funding a trust is to identify the assets you wish to transfer into the trust. These assets can include:

Real Estate is often one of the most valuable assets people transfer into a trust. It includes your primary residence, vacation homes, rental properties, and any other real property you own.
Bank Accounts: Checking, savings, and money market accounts can all be transferred into a trust. However, some funds should be kept in personal accounts for day-to-day expenses.
Investment Accounts: Stocks, bonds, mutual funds, and other investment accounts are commonly transferred into a trust. This ensures that these assets are managed according to your wishes after your death.
Retirement Accounts: While retirement accounts like IRAs and 401(k)s are not typically transferred into a trust due to tax implications, you can name the trust as a beneficiary, ensuring the assets are managed according to your trust’s terms upon your death.
Life Insurance Policies: You can transfer a life insurance policy ownership to your trust or name the trust as the beneficiary. This ensures that the proceeds are distributed according to your estate plan.
Personal Property: Valuable personal property, such as jewelry, artwork, and antiques, can also be transferred into a trust. This requires careful documentation to ensure the transfer is recognized.
Business Interests: If you own a business, you can transfer your ownership interest into the trust. This can be complex and require amending operating or shareholder agreements, so consult with a professional.

Step 2: Re-title Your Assets

Once you’ve identified the assets to transfer, the next step is to retitle them in the trust’s name. The specific process varies depending on the asset type.

1. Real Estate

To transfer real estate into a trust, you’ll need to execute a new deed that transfers ownership from your name to you as trustee of your trust. This deed must be recorded with the appropriate county recorder’s office. It’s often best to work with an attorney to ensure the deed is drafted correctly and recorded.

2. Bank and Investment Accounts

For bank and investment accounts, you’ll need to contact the financial institutions holding the accounts. They will require you to complete paperwork to change the account ownership to the name of the trust (you as trustee). Be prepared to provide a copy of the trust document or a Certification of Trust.

3. Personal Property

Personal property can be transferred into a trust through a bill of sale or an assignment of property, depending on the item. For items with titles, like vehicles, you’ll need to re-title the car in the name of the trust at your local Department of Motor Vehicles (DMV). Other personal property may be transferred via a Personal Property Memorandum.

4. Business Interests

Transferring business interests to a trust requires reviewing and possibly amending the business’s operating or shareholder agreement. You’ll then execute an assignment of ownership interest to the trust.

Step 3: Designate Beneficiaries

In cases where transferring the asset into the trust is not advisable or feasible—such as with retirement accounts or certain life insurance policies—you can name the trust as the beneficiary. This ensures that the asset will be transferred to the trust and managed according to the trust’s terms upon your death.

You may designate the trust as a primary or contingent beneficiary for retirement accounts. Be aware that naming a trust as the beneficiary of a retirement account can have significant tax implications, so it’s essential to consult with a tax advisor or estate planning attorney.

Step 4: Update Beneficiary Designations

If you have other assets with beneficiary designations—such as life insurance policies, annuities, or payable-on-death (POD) accounts—you may want to update these to name the trust as the beneficiary. This ensures that these assets are managed according to your trust’s terms and are not subject to the probate process.

Step 5: Review and Update Your Trust Regularly

Funding your trust is not a one-time event. As your financial situation changes, you acquire new assets, or your estate planning goals evolve, you must update your trust and ensure that all relevant assets are appropriately titled in the trust’s name. Regular reviews with your estate planning attorney can provide you with the reassurance that your trust is always up to date.

Step 6: Consult with Professionals

Funding a trust can be a complex process, and it’s crucial to get it right to ensure your estate plan functions as intended. Working with professionals—such as an estate planning attorney, financial advisor, and tax professional—can provide the expertise needed to navigate the process smoothly.

We’re Here To Ensure a Smooth Transition

Funding a trust is critical in ensuring that your estate plan is fully operational and capable of achieving your long-term goals. By carefully selecting assets, re-titling them into the trust, and regularly reviewing your estate plan, you can ensure that your legacy is protected and your loved ones are provided for according to your wishes. While the process can seem daunting, taking it step by step and seeking professional guidance can make it manageable and ultimately rewarding. Contact us today to get started.

Tags Asset Protection, Estate Plan, Estate Planning, Revocable Living Trust, Trust, Trust Funding

Estate Planning

Estate Planning During Divorce: Lessons from Shannen Doherty’s Legacy

Post author By Sara Thomas
Post date March 12, 2025
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The July 2024 passing of beloved Gen X actress Shannen Doherty offers important lessons about estate planning during divorce. Known for her iconic roles in “Beverly Hills, 90210,” “Heathers” and “Charmed,” Doherty not only faced a courageous and public battle with breast cancer but also raced against time to finalize her divorce and protect her estate. Her story shows why proper timing and planning are crucial when navigating divorce – one of life’s most challenging transitions.

The Power of Timing

According to reports, just one day before her death, Doherty filed for an uncontested divorce from her husband, Kurt Iswarienko, who signed the agreement the following day. This eleventh-hour timing proved crucial for her estate. By finalizing the divorce, Doherty ensured her assets—including a $6 million Malibu home and future residuals from her acting career—would be distributed according to her wishes rather than subject to community property laws.

Had the divorce not been finalized, the outcome could have been drastically different. In some states, if a person dies during an active divorce proceeding, the process either halts or is significantly altered. Without a finalized divorce agreement in a community property state like California, Iswarienko could have had a legitimate claim to significant portions of Doherty’s estate, potentially leading to years of costly legal battles and family conflict.

Common Estate Planning Mistakes During Divorce

While Doherty finalized her divorce just in time, many people make critical estate planning mistakes during divorce that can have lasting consequences for their families.

Here are the most common pitfalls to avoid:

Waiting Too Long to Update Beneficiary Designations. One of the biggest mistakes is assuming your divorce automatically removes your ex-spouse as a beneficiary from your accounts and insurance policies. The reality is more complicated. While some states have laws that automatically revoke ex-spouse beneficiary designations upon divorce, others don’t. Moreover, federal law may override state law for certain types of accounts, like employer-sponsored retirement plans. This means your ex-spouse could still inherit your 401(k) or life insurance proceeds even after divorce if you don’t actively change your beneficiaries. When you work with me to create your Life & Legacy Plan, I will support you in making sure your assets go to the people you want in the way you want. That includes changing your beneficiary designations if needed.

Forgetting About Digital Assets. In today’s digital world, your online presence and digital assets must be considered during divorce. Streaming service accounts, airline miles, cryptocurrency, digital photos, and social media accounts must be addressed. Many forget to update passwords and access information or specify who should inherit these digital assets. This oversight can leave your loved ones unable to access essential memories, valuable assets, or necessary account information.

Neglecting Incapacity Planning. Divorce often focuses people’s attention on what happens after death, but incapacity planning is equally important. Your ex-spouse may have been your healthcare proxy or had power of attorney over your financial accounts. During and after divorce, you need to designate new agents to make medical and financial decisions if you become incapacitated. Without updated incapacity planning documents, your ex-spouse might still have legal authority to make crucial decisions about your care, which you may not want.

Making Emotional Decisions. Divorce is emotionally charged, and many people make hasty decisions based on anger or hurt. For example, you might make choices that could trigger expensive legal battles after death. As a Personal Family Lawyer, I am your trusted advisor who can help you see the impact of your decisions and support you to create a Life & Legacy Plan that aligns with your long-term goals and values.

Protecting Your Assets During Divorce

To avoid these common mistakes and protect your assets during divorce, consider these three practical steps:

Step 1: Create an Asset Inventory

Document all your assets, including property, bank accounts, retirement accounts, investments, life insurance policies, and digital assets. Note which assets are yours alone and which ones are joint assets. This inventory will help ensure nothing is overlooked during the divorce process. When you meet with me for a Life & Legacy Planning^Ⓡ Session, I will support you with this step.

Step 2: Review and Change Beneficiary Designations

Systematically review and update beneficiary designations on all financial accounts, retirement plans, and insurance policies. Remember that beneficiary designations typically override what’s written in your will or trust.

Step 3: Create a Life & Legacy Plan

When you work with me to create your comprehensive Life & Legacy Plan, you’ll know your assets will go to the people you want in the way you want and that you’ll be cared for by those you trust most if you become unable to care for yourself. You’ll also know that your beneficiary designations will be updated, your assets accounted for, and that you’re making the best decisions for the long term.

Your Next Step

I help you navigate life’s transitions while protecting your assets and loved ones. I don’t just create estate planning documents – I provide ongoing support to ensure your plan evolves with your life changes and works when you and your loved ones need it most. Through the Life & Legacy Planning process, I will help you make informed decisions about your estate, especially during significant life transitions. Contact us today to get started.

Tags Beneficiary Designations, Estate Planning During Divorce, Life Insurance, Shannon Doherty

Estate Planning

BOI/CTA UPDATE: Treasury Department Suspends Enforcement of Penalties

Post author By Sara Thomas
Post date March 8, 2025
No Comments on BOI/CTA UPDATE: Treasury Department Suspends Enforcement of Penalties

UPDATE: On March 2, 2025, the U.S. Department of the Treasury announced that it will not enforce any penalties or fines associated with the Corporate Transparency Act (“CTA”) reporting requirements against U.S. citizens or domestic companies. Rather, it plans to propose rules that narrow the scope of the CTA to foreign reporting companies only.

What now? There are still cases working their way through the courts, and the February 17th ruling by the District Court for the Eastern District of Texas, in the case Smith vs. Dept. of the Treasury is still in effect. That case both reinstated the beneficial ownership information (“BOI”) reporting requirements and set a filing deadline of March 21, 2025. However, if the Treasury Department refuses to enforce penalties for failure to report, then it appears the ruling has no teeth.

What this means for you: To learn more about the BOI/CTA, including how it affects you and your business – now and in the future – book a 15-minute call with me to hear what I recommend and to discuss how I can support you and your business on an ongoing basis.

Estate Planning

The Unexpected Challenges of Being an Estate Executor

Post author By Sara Thomas
Post date March 6, 2025
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When someone asks you to be the executor of their estate, it might seem like a straightforward responsibility – distribute assets according to their will and handle some paperwork. However, as many executors discover, the role involves more complexity, time, and emotional labor than expected. Understanding these challenges can help you better prepare, whether creating your estate plan or considering serving as an estate executor.

But first, a note about terminology. If someone creates a will, the term used for the person who handles the estate is “executor.” If someone creates a trust, the person who handles the estate is called a “trustee.” When someone becomes incapacitated, the person who handles financial matters holds power of attorney. The jobs are similar but not identical. In this article, we’ll focus on the role of an executor, who carries out the wishes of someone who died under the terms of their will. However, if you’d like more information about what a trustee does, book a call with me using the link below.

Let’s get to it.

The Unexpected Financial Burden

One of the most unexpected aspects of being an executor is the immediate financial responsibility. When a person dies, their assets are temporarily frozen until a court grants legal authority to an executor to step into the shoes of the decedent (the person who died) and gather all the assets for distribution to the heirs of the decedent, which could take weeks, months or even years. Unless you plan and create a Life & Legacy Plan designed to keep your assets out of court, you’re leaving your executor with quite a burdensome responsibility.

Moreover, funeral homes and other service providers don’t wait for the court process. Most funeral homes require payment within days, ranging from $10,000 to $25,000 or more. While these costs can eventually be reimbursed from the estate (if funds are available), the executor must pay them personally and wait months for reimbursement. This situation can create significant stress, especially if the executor doesn’t have readily available funds.

Beyond funeral expenses, executors often need to pay ongoing bills for the deceased’s home, such as property taxes, utility bills, insurance premiums, and maintenance costs. These expenses must continue even though the estate’s assets are frozen. Again, these expenses must be paid out-of-pocket until the executor gains legal access to the deceased person’s accounts. Some executors report spending thousands of dollars of their own money during this interim period, creating financial strain at an already difficult time.

Finally, depending on who drafted your will (did you do it on your own, have a lawyer well-versed in estate planning, or perhaps a lawyer who just dabbles in wills and trusts?), your executor could be required to come up with the money to pay a bond, which is like an insurance policy that can be thousands of dollars out of pocket, before they can be appointed by the court to serve.

Drowning in Documentation

The paperwork involved in serving as an executor can be overwhelming. Executors must track down and organize all financial accounts, including bank accounts, investment accounts, retirement funds, and insurance policies. They must obtain multiple copies of death certificates, file court documents to initiate probate, submit final tax returns, close utility accounts, notify creditors, and process insurance claims. Sometimes, financial institutions ask for additional documentation, like a medallion signature – used to prove a person’s identity – which can take extra time and headache. The process often requires numerous phone calls, visits to financial institutions, and hours of organizing documents. Many executors report handling these tasks for hundreds of hours over months or even years.

Worse, some accounts may never be found. If you haven’t organized your finances so that your executor knows exactly what you have and where to find it, chances are the asset will be lost. When an asset is lost and never claimed, it must be turned over to the State’s Department of Unclaimed Property until (or if) someone finds it and can prove that the deceased was the rightful owner. Think about that for a minute. Would you want your hard-earned money turned over to the government or go to the people you want in the way you want? If it’s the latter, you need to create a Life & Legacy Plan. Keep reading to find out how.

Navigating the Family Dynamics

While the technical aspects of being an executor are challenging, the emotional and interpersonal dynamics can be even more difficult to navigate. Executors often find themselves in the uncomfortable position of enforcing the deceased’s wishes even when family members disagree. They must maintain impartiality while managing their own and others’ grief. This combination of emotional strain and family expectations can make the role particularly challenging and lead to family conflict. Sadly, that conflict can result in a protracted, expensive court battle and irretrievably broken relationships.

What You Can Do Now to Support Your Executor’s Success

When you create a Life & Legacy Plan with me, we will make your executor’s job much more manageable. For instance, I’ll help you create a comprehensive inventory of your assets, including account numbers and passwords, which can save countless hours of detective work. I’ll also help you update the inventory over time so it’s current when your executor needs it. I’ll also help you set aside funds to cover expenses so your executor doesn’t have to pay out of pocket. And we will consider whether to use a trust and name your executor as trustee of the trust so they don’t have to engage with the court at all.

We’ll also conduct a Life & Legacy Interview so family members know your wishes. This can go a long way towards preventing future conflicts. Most importantly, I will counsel you to choose the very best person for the job. Many people default to their oldest child or closest relative but haven’t considered whether they have the time, organizational skills, and emotional capacity to handle this complex role. Understanding exactly what’s involved means you can decide with full knowledge.

How I Help Make the Process Easier

I help you create a comprehensive Life & Legacy Plan that makes your executor’s job as straightforward as possible. After you’re gone, I will guide your executor through the probate process, handle complex legal paperwork, mediate family disputes, ensure compliance with all legal requirements, and provide objective advice during emotional decisions. That’s the value of a Life & Legacy Plan – and why it’s the best gift you can give your loved ones.

Take the first step toward protecting your family and supporting your future executor. Schedule a complimentary 15-minute consultation. Contact us today to get started.

Tags Estate Administration, Estate Executor, Estate Plan, Estate Planning, Executor, Personal Family Lawyer

Estate Planning

What You Need to Know About Trusts & Homeowner’s Insurance

Post author By Sara Thomas
Post date February 26, 2025
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When you create an estate plan with a living trust, you’ve taken an essential step toward protecting your home and family from the cost of court. However, many people don’t realize that placing their home in a trust requires updating their homeowner’s insurance policy. Without this crucial step, you could face a devastating scenario: paying out of pocket for significant damage because your insurance claim was denied. Let’s explore how to ensure your trust and insurance work together to protect your most valuable asset.

The Hidden Risk of Trust Ownership

When you transfer your home into a trust, you change its legal ownership structure. While you might still live in the house and act as the trustee, depending on how your trust is structured, the trust becomes the legal owner of the property. If your trust is revocable, this title change won’t impact your taxes because you are still the owner for all tax purposes, but this title change could give your homeowner’s insurance company a reason to deny your claim. And, whether that denial is valid or could be contested in a court proceeding against the insurance carrier, you don’t want to have to deal with any of that.

Insurance companies base their coverage decisions on legal ownership. If there’s a mismatch between the property’s legal owner and the named insured on your policy, the insurer might deny your claim. Imagine discovering after a significant fire that your insurance company denies your claim because your policy doesn’t reflect your trust ownership. This nightmare scenario happens more often than you might think, but it’s easily avoidable with proper planning.

Aligning Your Insurance with Your Trust

The solution starts with notifying your insurance company when you transfer your home into a trust. Most insurance companies know trust ownership and can easily update your policy to reflect this change. They typically handle this by adding the trust as an additional insured party or including a trust endorsement on the policy.

When updating your policy, consider these key elements:

Property Coverage: Ensure the policy’s replacement cost accurately reflects current building costs in your area. Construction prices have soared recently, and many policies haven’t kept pace.

Liability Protection: Your policy should protect you personally and the trust from liability claims if someone is injured on your property.

Additional Structures: Remember to include coverage for detached garages, workshops, or other structures on your property owned by the trust.

Most insurers make these updates with minimal or no additional premium costs, but the protection they provide is invaluable. If disaster strikes, this small administrative task could save you hundreds of thousands of dollars.

Common Mistakes That Put Your Property at Risk

When disaster strikes, homeowners find out too late that they weren’t fully protected. But you can protect yourself if you’re aware of the most common pitfalls:

Delayed Notification: Many people wait months or even years to inform their insurance company about the trust transfer. During this gap, they’re paying for insurance that might not protect them. Instead, notify your insurance company when you create or update your trust.

Incorrect Trust Names: Insurance policies must list the trust’s exact legal name. Even minor discrepancies could cause problems during a claim. If your trust is “The Johnson Family Living Trust, dated January 15, 2025,” that’s exactly how it should appear on your insurance policy.

Overlooking Policy Reviews: Your insurance needs will change over time. Regular reviews ensure your coverage keeps pace with your home’s value and your family’s needs.

Multiple Property Confusion: If you own numerous properties in trust, each property’s insurance policy must reflect the trust ownership correctly. Don’t assume that updating one policy covers all your properties.

Creating a Comprehensive Protection Plan

Avoiding all these pitfalls is an inherent part of my comprehensive estate planning process called Life & Legacy Planning. Suppose you have a DIY estate plan, a plan you downloaded from a cheap legal site, or even a plan drafted by a traditional estate planning attorney. In that case, you’ll get a set of documents, but you won’t get a comprehensive plan that addresses all the potential consequences that arise. That’s why my Life & Legacy Planning^Ⓡ process includes:

A current inventory of your assets so we can look at how your property is owned and what properties could be at risk;
Regular, ongoing reviews of both your plan and insurance documents to ensure they remain synchronized. Major life events like marriages, divorces, or deaths in the family might require updates to both your trust and insurance policies;
Guidance on how to accurately and fully transfer your assets to your trust and
Much, much more.

We Help You Protect What Matters Most

I ensure your Life & Legacy Plan works as intended, including properly aligning with your insurance coverage. I’ll help you avoid costly mistakes and protect your home and family comprehensively. Our process includes regular reviews to keep your plan current and effective.

Don’t wait for a crisis to discover gaps in your protection. Contact me today to schedule a Life & Legacy Planning® Session, during which we’ll review your current trust and insurance arrangements and ensure they work seamlessly together. Contact us today to get started.

Tags Asset Protection, Estate Planning, Estate Planning Attorney, Home in Trust, Homeowner’s Insurance, Trust

General

BOI/CTA UPDATE: Reporting Requirements Reinstated…For Now

Post author By Sara Thomas
Post date February 21, 2025
No Comments on BOI/CTA UPDATE: Reporting Requirements Reinstated…For Now

UPDATE: On February 17, 2025, the U.S. District Court for the Eastern District of Texas, in the case Smith vs. Dept. of the Treasury, issued a ruling reinstating the reporting requirements for the Corporate Transparency Act (“CTA”). For most companies, beneficial ownership information (“BOI”) must now be reported to the U.S. Treasury’s Financial Crimes and Enforcement Network (“FinCEN”) by March 21, 2025.

But wait. There’s more. This may not be the final word. Several other BOI/CTA cases are currently being appealed in various jurisdictions. In addition, on January 15, 2025, the Repealing Big Brother Overreach Act was reintroduced in the US Senate and House of Representatives. If enacted, the bill would repeal the CTA. Check back here for updates.

What this means for you: To learn more about the BOI/CTA, including how it affects you and your business – now and in the future – book a 15-minute call with me to hear what I recommend for your filing and to discuss how I can support you and your business on an ongoing basis.

Tags BOI/CTA Requirements, BOI/CTA Update, Business Owner, FinCEN

Estate Planning

Missing Assets: Why Estate Planning is More Than Just Documents

Post author By Sara Thomas
Post date February 19, 2025
No Comments on Missing Assets: Why Estate Planning is More Than Just Documents

Did you know your assets could become “unclaimed property” and be turned over to the government? It happens more than you think! State governments across America currently hold a staggering $60 billion in forgotten and abandoned assets. And this isn’t just spare change we’re talking about. These are life insurance policies, forgotten bank accounts, uncashed checks, retirement funds, and other valuable assets that have lost their connection to their rightful owners.

I regularly see the consequences of overlooked assets and inadequate estate planning. Let’s explore how assets are lost and become “unclaimed,” how to prevent your assets from ending up in this $60 billion pool, and, most importantly, how to ensure your hard-earned assets reach your loved ones the way you want.

How Assets Become “Lost”

You might wonder how billions of dollars in assets could go missing. The truth is, it happens more easily than you’d think. Think about this: you become incapacitated or die, and someone in your family (either someone you named legally or someone chosen by a judge) has the job of finding all of your assets. Would they be able to find everything? How easy would it be for you to find everything, and you know what you earned, the accounts you set up, when you worked for that one company that set up a retirement account for you, got that insurance policy, etc.

What we see commonly when someone passes away without an updated estate plan (including a comprehensive asset inventory), is that their loved ones often have no idea what assets exist or where to find them. Those assets could eventually end up in state custody instead of going to the people you love. That money could be used to fund your children’s education, an investment in a loved one’s business, or to enhance the lives of the people you love most.

“Traditional” or “old school” estate planning often contributes to the problem. With an estate plan drafted by a financial advisor or lawyer who sells a will or trust rather than a comprehensive plan (or from a DIY tool like cheap legal or AI), you typically receive a set of documents to review and sign. You might take these documents home, put them on a shelf or in a drawer, and never look at them again. There’s usually no inventory of your assets, which means that some of your assets could be lost or overlooked and end up part of that $60 billion in unclaimed property.

Why an Asset Inventory and Regular Review is Crucial

I know that effective estate planning isn’t a one-time event – it’s a lifelong process that includes an inventory of what you have, regular updates to your inventory, and the legal documents that go along with it. My process begins with a Life & Legacy Planning® Session, where you’ll create an inventory of your assets, ensuring nothing gets overlooked or forgotten. This inventory includes not just the obvious assets like your home and bank accounts but also:

Life insurance policies
Retirement accounts from all previous employers
Investment accounts
Business interests
Valuable personal property
Intellectual property rights
Digital assets and cryptocurrency

Digital assets present a particular challenge in today’s world. Cryptocurrency, online banking accounts, social media profiles, and digital business assets can be especially difficult for loved ones to track down and access without proper planning. Many people don’t realize that without proper documentation and access instructions, their digital assets could become effectively lost forever, even if their family and friends know they exist.

I’ll also help you keep your inventory updated when you work with me. I regularly review your Life & Legacy Plan to ensure your asset inventory stays current and properly aligns with your goals, wishes, and values. This comprehensive approach helps prevent your assets from becoming lost so they can go to the people you want in the way you want.

Beyond the Financial Impact

While creating an asset inventory is crucial, my Life & Legacy Planning process goes several steps further. It’s not enough to simply list what you own – you need to ensure these assets are properly titled, beneficiary designations are up to date, and your loved ones know how to access everything when the time comes. I support you with it all. I will also be there for your loved ones when you no longer can.

In addition, there’s another crucial part of planning that’s often omitted from traditional or DIY planning. It’s the realization that the value of many assets isn’t financial. Family photographs stored in the cloud, emails containing important family history, and digital collections of music or art can have tremendous sentimental value. Yet without proper planning, these too can become effectively “unclaimed property” – inaccessible to the very people meant to inherit them. When these invaluable family legacies are lost, they become another kind of unclaimed property, though their value can’t be measured in dollars.

Remember, proper estate planning isn’t just about having the correct documents – it’s about taking all the steps needed to make things as easy as possible for your loved ones. It’s the greatest act of love you can give to the people you cherish most.

Your Next Step

I can help you create a comprehensive Life & Legacy Plan that includes a complete asset inventory, regular reviews, and updates to ensure nothing gets lost or forgotten. I’ll also help you create a Life & Legacy Interview so your most valuable assets – your values, traditions, and love – get passed on to the people you love most. Let’s work together to protect your legacy.

Schedule a complimentary 15-minute consultation and learn more about how I can help.

Tags Asset Inventory, Estate Plan, Lost Assets, Personal Family Lawyer, Trust Funding, Unclaimed Property

Estate Planning

4 Estate Planning Myths That Put Your Loved Ones at Risk

Post author By Sara Thomas
Post date February 12, 2025
No Comments on 4 Estate Planning Myths That Put Your Loved Ones at Risk

Surveys conducted in 2024 by Caring.com and Ameriprise Financial revealed a troubling trend: Americans are falling behind on estate planning. The Caring.com survey revealed that only 32% of Americans have a will – a 6% decline from 2023. The Ameriprise survey found that 52% of couples lack estate plans. These statistics highlight a dangerous disconnect between understanding the importance of estate planning and taking action. Let’s examine these misconceptions and their potentially devastating consequences.

Myth 1: “I don’t have enough assets to need an estate plan.”

This dangerously narrow thinking ignores that estate planning isn’t just about financial wealth. It’s about doing the right thing for the people you love so you don’t leave a mess and ensuring your wishes for your care are considered if you cannot decide for yourself due to an accident or illness.

If you haven’t created a Life & Legacy plan (the type of comprehensive planning I offer), your loved ones could face lengthy court proceedings, unnecessary taxes, and difficulty accessing financial accounts, which could have devastating consequences if bills need to be paid.

It’s also about:

Ensuring what you DO have goes to the people you want in the way you wish to (and stays out of the court process);
Your children being raised by people you choose;
Your wishes for your medical care are honored if you become incapacitated or if your mind deteriorates;
Only people you trust can manage your finances if you can’t manage your finances yourself and
Leaving your loved ones with your most valuable assets – your values, insights, stories, experiences, and love.

Moreover, a Life & Legacy plan can minimize conflict among your loved ones. By clearly outlining your intentions and ideally getting my support to share them with them, you significantly reduce the chances of misunderstandings or disputes and increase the chances that your resources will be used to create a better future for the people you love.

Finally, a well-designed estate plan will save your loved ones time and money by ensuring the people who matter know what you have, where it is, how to find it, and what to do with it when they do find it. It will keep them out of court and conflict.

In short, an estate plan is not a luxury reserved for the wealthy; it’s necessary for anyone who has things that matter and people who matter. If that’s you, and you don’t have an estate plan (or your plan could be outdated), let’s talk soon.

Myth 2: “My spouse and I trust each other completely.”

Ameriprise’s survey reveals that 95% of couples trust each other with finances, and 91% share financial values. When couples don’t plan because they trust each other to fulfill their wishes, they overlook several essential matters.

For instance, trust between spouses doesn’t prevent legal complications or avoid court. Without a Life & Legacy plan, a surviving spouse may face lengthy probate proceedings, increased tax burdens, and difficulty accessing accounts. This strain can damage relationships and deplete assets meant for heirs. Even worse, if both spouses die simultaneously, the complications can be significant, especially if the spouses have children from prior marriages or minor children.

Another potential issue arises if the surviving spouse remarries. Without an estate plan, assets could unintentionally be passed to the new spouse instead of the people the deceased spouse loved. In some cases, children may even be accidentally disinherited, leaving them without the financial support their parents had planned to provide.

Myth 3: “Estate planning is too expensive.”

Another common misconception is that estate planning is a luxury reserved for the wealthy because of its perceived high cost. The reality? Avoiding estate planning due to cost concerns can lead to far more significant time and money costs for the people you love down the road. Without a plan, your loved ones may face costly probate proceedings, unnecessary taxes, and legal disputes that can drain your estate and create additional stress for your loved ones during an already difficult time. These costs often far exceed the upfront investment of creating an estate plan.

Beyond the financial aspect, the peace of mind that comes with knowing your loved ones are protected is invaluable. A Life & Legacy plan ensures that your wishes are carried out, your loved ones are cared for, and potential conflicts are minimized. By addressing these matters proactively, you save the people you love from emotional and financial burdens, making Life & Legacy planning one of the wisest and most compassionate investments and the best gifts you can give those you love.

Myth 4: “I don’t need to worry about who would raise my kids.”

Many parents of minor children assume that in the event of their death, loved ones will naturally step forward to care for their children. Unfortunately, these assumptions are often misplaced. Without a Kids Protection Plan^Ⓡ, which I support you to create, the decision about who raises your children will be left to a judge – a complete stranger to you and your children. And when a stranger decides who will raise your kids, it might not be the person you would have wanted. In some cases, the individual granted guardianship could have values, parenting styles, or circumstances entirely incompatible with how you envisioned raising your children. Even if you have named legal guardians for your children in a prior created will, it’s likely not taken into consideration the six common mistakes I see consistently when people (and even their well-meaning lawyers) name legal guardians without the training around planning for the needs of families with minor kids at home. Call my office if you have a minor child and have named legal guardians but want me to review your plan to see if you’ve made any of the six common mistakes.

Another important consideration is the financial burden on your children’s chosen guardian. If you haven’t created a Life & Legacy plan and allocated sufficient funds for your children’s care, even willing loved ones might decline guardianship, leaving the court to make an even more challenging choice.

A Life & Legacy plan alleviates the potential financial burden on your chosen guardians. It ensures your children receive the care and stability they need during an emotionally challenging time.

Take Action Now to Protect the People You Love

I’ve seen too many people suffer negative, yet unnecessary, consequences after a loved one dies. And if you haven’t experienced it yourself, you probably will. But with the proper education, beginning with correcting these dangerous myths about estate planning, I believe we can break the cycle of strife.

I start with education so you are clear on what would happen to your loved ones and your assets if you become incapacitated and when you die. Then, we will work together to create a plan that aligns with your values, goals, loved ones, and most importantly, that works when you need it to.

We call it the Life & Legacy Planning® process. Once you’ve created your Life & Legacy plan, you can rest easy knowing your wishes will be honored, your loved ones cared for, and your property protected.

Tags Estate Plan, Estate Planning, Estate Planning Attorney, Estate Planning Myths

Estate Planning

Five Essential Steps to Protect Your Loved Ones

Post author By Sara Thomas
Post date February 6, 2025
No Comments on Five Essential Steps to Protect Your Loved Ones

Do you know that uneasy feeling when you think about what everyone you love would do if (and when) something happens to you? That nagging voice reminding you that you still haven’t created a will or trust or updated the estate plan you do have?

As we enter 2025, it’s time to stop pushing those thoughts aside and take action to protect the people you love most. Many people avoid estate planning because they think it will be complicated, expensive, too time-consuming, or emotionally challenging. But the truth is, not having a plan, or having an out-of-date plan, is far more costly – financially, emotionally, and time-wise – for the people you love.

Let’s take a look at five things you can do right now to create lasting peace of mind.

Step 1: Get Financially Organized

One of the biggest challenges people face after losing a loved one is trying to piece together their financial life. Where are all the accounts? What insurance policies exist? What bills need to be paid? Without proper organization, your family could spend months or even years trying to track everything down. Worse yet, anything they don’t find will be turned over to the State Department of Unclaimed Property, where there are approximately $60 billion in lost assets nationwide.

As important as it is, financial organization isn’t just about making lists – it’s about creating a clear roadmap for the people who will handle your affairs when you cannot. This includes documenting all your accounts, insurance policies, important passwords, and key contacts. When your loved ones need access to this information, it should be readily available, updated, and easy to handle. This is why our Life & Legacy Planning process begins with a financial organization, and then our ongoing Life & Legacy Planning service supports you to maintain your financial organization throughout your life, so it’s handled with as much ease as possible for the people you love when something happens to you.

Step 2: Create a Lasting Message for Your Loved Ones

When someone dies, their loved ones often wish they had one more conversation, one more chance to hear their loved one’s voice or read their words. That’s why recording a Life & Legacy Interview is part of our planning process. It’s truly one of the most meaningful gifts you can give the people you love, and who love you.

This message isn’t just about saying goodbye—it’s about sharing your values, hopes, and life lessons. Consider what you want future generations to know about your life journey.

What wisdom do you want to pass down?

What family stories, or even recipes, should be preserved?

While you may think “generational wealth” is just about money, the truth is that people who can learn from the recorded history of past generations have true generational wealth that’s far more irreplaceable than any dollar ever could be.

Your words will become a treasured part of that legacy, offering comfort and guidance long after you’re gone.

Step 3: Learn About Tax Planning

Many people don’t realize that proper estate planning can help minimize or eliminate taxes their loved ones might otherwise have to pay. Without planning, they could lose a significant portion of their inheritance to estate taxes, income taxes, or capital gains taxes.

Strategic tax planning isn’t about avoiding your obligations – it’s about ensuring more of your hard-earned assets go to the people you love rather than the government. Working with a trusted advisor who understands both estate and tax law can help you identify opportunities to protect your loved ones’ financial future.

Step 4: Plan Your Final Farewell (and Your Last Days)

While it might feel uncomfortable to think about your funeral, planning and paying for it in advance is one of the most loving things you can do for the people you love. When you’re gone, they will be grieving. The last thing they need is to make difficult decisions about your funeral while trying to guess what you would have wanted.

By planning ahead, you ensure your wishes are honored and protect the people you love from emotional overspending during a vulnerable time. You can choose and pay for exactly what you want, locking in today’s prices and relieving your loved ones of this financial burden.

Even more importantly, consider how you want to spend your last years, months, or even days and discuss that with the people who will be responsible for your care now. This could be a conversation we can help facilitate if bringing it up or even thinking about it alone feels too challenging or if you keep putting it off. This courageous conversation is one of the best gifts you can give to the people you love.

Step 5: Create a Comprehensive Life & Legacy Plan

All these elements come together in our comprehensive Life & Legacy Planning® process, which guides you to understand the law and how it will apply to your unique situation, considering your family dynamics and assets, so you can make educated and informed choices to ensure your loved ones stay out of court and out of conflict when something happens to you. This isn’t just about creating legal documents – it’s about creating a plan, maintaining it, and ensuring your loved ones know who to turn to when something happens to you.

Creating a Life & Legacy Plan with me includes clear instructions about who gets what, who’s in charge of what, and most importantly, how to find and access everything when needed. It also includes specific directives about what happens if you become incapacitated. In addition, you’ll have the opportunity to outline your memorial service, and we’ll support you to record a Life & Legacy Interview that your loved ones will cherish for the rest of their lives.

The start of a new year is the perfect time to take these essential steps to protect the people you love. Don’t wait until it’s too late – the greatest gift you can give your loved ones is the gift of preparation and peace of mind.

How We Help You Get Started

We help you put these essential protections in place. Through our Life & Legacy Planning® process, we’ll guide you in creating a lasting message for your loved ones, implementing smart tax strategies, planning your final arrangements, getting your finances organized, and creating a comprehensive plan that ensures the people you love stay out of court and conflict. Most importantly, we’ll help you make informed decisions that align with your values and wishes. So don’t delay! Let us help you do the right thing for your loved ones.

Tags Estate Plan, Estate Planning, Financial Planning, Legacy, Tax Planning

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