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Whether it’s to qualify for Medicaid, avoid probate, or reduce your tax burden, transferring ownership of your home to your adult child during your lifetime may seem like a smart move. But in nearly all cases, it’s actually a huge mistake, which can lead to dire consequences for everyone involved. With this in mind, before you sign over the title to your family’s beloved homestead, consider the following potential risks.  01   | YOUR ELIGIBILITY FOR MEDICAID COULD BE JEOPARDIZED With the cost of long-term care skyrocketing, you may be worried about your (or your senior parents’) ability to pay for lengthy stays in an assisted-living facility or a nursing home. Such care can be extremely expensive, with the potential to overwhelm even those families with substantial wealth. Since neither traditional health insurance nor Medicare will pay for long-term care, you may  look to Medicaid to help cover the costs of long-term care. To become eligible for Medicaid, however, you must first exhaust nearly every penny of your savings. In light of this requirement, you may have heard that if you transfer your house to your adult children, you can avoid selling the home if you need to qualify for Medicaid. You may think transferring ownership of the house will help your eligibility for benefits, and this strategy may seem easier and less expensive than passing on your home (and other assets) through estate planning. However, this tactic is a big mistake on several levels. It can not only delay—or even disqualify—your Medicaid eligibility, it can also lead to other serious problems. Here’s why: In February 2006, Congress passed the Deficit Reduction Act, which included a number of provisions aimed at reducing Medicaid abuse. One of these provisions was a five-year “look-back” period for eligibility. This means that before you can qualify for Medicaid, your finances will be reviewed for any “uncompensated transfers” of your assets within the five years preceding your application. If such transfers are discovered, it can result in a penalty period that will delay your eligibility. Any transfers made beyond that five-year window will not be penalized. The length of the penalty period is calculated by dividing the amount of the uncompensated transfer by the average cost of one month of private nursing home care in the state you live in. These days, the average cost of nursing home care is roughly $10,000 a month. Given these figures, this means that for every $10,000 worth of uncompensated transfers made within the five-year window, your Medicaid benefits will be delayed for one month. So if you transferred the title to a home worth $500,000 within the look-back period, your Medicaid benefits would be delayed for 50 months. In light of this, if you transfer your house to your children and then need long-term care within five years, it could significantly delay your qualification for Medicaid benefits—and possibly even prevent you from ever qualifying. 02   | YOUR CHILD COULD BE STUCK WITH A MASSIVE TAX BILL Another drawback to transferring ownership of your home in this way is the potential tax liability for your child. If you’re elderly, you’ve probably owned your house for a long time, and its value has dramatically increased, leading you to believe that by transferring your home to your child, he or she can make a windfall by selling it. And by transferring the property before you die, you may think that you can save your child both time and money by avoiding the need for probate. Probate is the court process used to distribute your assets according to the wishes outlined in your will or according to our state’s intestate succession laws if you don’t have a will. Depending on the complexity of your estate, probate can be a long and expensive process for your loved ones; however, that expense is likely to be relatively minor compared to the tax bill your heirs could face. That’s because if you transfer your home to your child during your lifetime, he or she will have to pay capital gains tax on the difference between your home’s value when you purchased it and the home’s selling price at the time it’s sold by your child. Depending on your home’s value, that tax bill can be astronomical. In contrast, by transferring your home at the time of your death via your estate plan, your child will receive what’s known as a “step-up in basis.” This tax savings is one of the only benefits of death, and it allows your child to pay capital gains taxes when he or she sells your home, based only on the difference between the value of the home at the time of inheritance and its sales price, rather than paying taxes based on the home’s value at the time you bought it. For example, say you originally purchased your home for $80,000, and when you die, the home had appreciated in value to $250,000. Your daughter inherits the home upon your death, and then she sells it five years later for $300,000. With the step-up in basis in effect, she would only owe capital gains taxes on the $50,000 of difference between the home’s value when it was inherited and when it was sold. However, if you transferred ownership of the home to her while you were still living, your daughter would lose the step-up in basis, and would face a capital gains tax bill of $220,000. Capital gains tax is only one kind of tax that could be impacted by a transfer of your home during your lifetime. You may also destroy valuable property tax basis, which could cause a re-assessment of your home for property tax purposes, depending on the county or state your home is located in. There are much better ways to avoid probate using estate planning, such as by putting your home into a revocable living trust, in which case your home would immediately pass to your loved ones upon your death, without the need for any court intervention. As your attorney, we can help you choose the most advantageous estate planning strategies to minimize your beneficiaries’ tax liability and ensure they get the most out of their inheritance, all while allowing them to avoid court and conflict.   03   | YOUR HOME COULD BE VULNERABLE TO DEBT, DIVORCE, DISABILITY, & DEATH There are a number of other reasons why transferring ownership of your house to your child is a bad idea. If your child takes ownership of your home and has significant debt, for example, his or her creditors can make claims against the property to recoup what they’re owed, potentially forcing your child to sell the home to pay those debts. Divorce is another potentially thorny issue. If your child goes through a divorce while the house is in his or her name, the home may be considered marital property. Depending on the outcome of the divorce, the settlement decree may force your child to sell the home or pay his or her ex spouse a share of the home's value. The disability or death of your child can also lead to trouble. If your child becomes disabled and seeks Medicaid or other government benefits, having the home in his or her name could compromise their eligibility, just like it would your own. And if your child dies before you and owns the house, the property could be considered part of your child’s estate and end up being passed on to your child’s heirs, leaving you homeless.   THERE’S SIMPLY NO SUBSTITUTE FOR PROPER ESTATE PLANNING Given these potential risks, transferring ownership of your home to your adult child as a means of “poor-man’s estate planning” is almost never a good idea. Instead, you should consult with us to find alternative solutions. We can help you find much better ways to qualify for Medicaid and other benefits to offset the hefty price tag of long-term care, and at the same time, we will keep your family out of court and conflict in the event of your death or incapacity. As your attorney, we offer a variety of different estate planning packages at a variety of different price points as part of our Life & Legacy Planning Process. With our guidance and support, we will not only help you protect and pass on your home, but all of your family’s wealth and assets, while also enabling you to better afford whatever long-term healthcare services you might require. Contact us or e-mail lauren@kaplanestatelaw.com to learn more.

Imagine accidentally throwing away $700 million. While it sounds like the plot of a movie, this nightmare scenario has become a reality for James Howells, a computer engineer from Wales, who has now spent more than a decade fighting to recover a discarded hard drive containing the private key to his Bitcoin fortune. Here’s what happened. In 2013, Howells mistakenly discarded a hard drive  during an office cleanup. What he didn't realize until too late was that this particular drive contained the only copy of his private key to access 8,000 Bitcoin (BTC)  he had mined years earlier. When he realized his error months later, the cryptocurrency had already skyrocketed in value. Today, those 8,000 BTC would be worth approximately $700 million, and as much as $848,000 at the BTC all-time high thus far. It’s very likely that Howells’ lost BTC will be worth over $1 billion at some point. For over a decade, Howells has tried everything to recover his lost fortune – begging local officials for permission to search the landfill, offering to share the recovered BTC with the city, taking his case to court, and even proposing to buy the entire landfill. Despite these efforts, the Newport City Council has consistently refused his requests, and British courts have ruled against him, stating there is "no realistic prospect of success." As this article is being published, Howell has said he will file a case with the European Convention on Human Rights.   This cautionary tale highlights a crucial lesson for everyone who owns digital currency, and even those who do not: If you don’t know what you own, where it is, and how to find it, your assets could be lost when you die . And, especially if you have digital assets, losing what you have can be a catastrophic, unrecoverable loss. Digital assets are especially vulnerable to loss, if they aren’t inventoried and included with your estate plan.  The Modern Challenge of Asset Tracking While most of us won't lose hundreds of millions in cryptocurrency, many people face similar challenges on a smaller scale. Our assets (only part of which are financial) are increasingly scattered and less tangible in today's digital world. For instance, you may have: Cryptocurrency in various digital wallets Digital photos and personal archives stored across multiple cloud services  Online financial accounts with different institutions Insurance policies that are accessed through your employer’s online benefits platform Frequent flyer miles and reward points worth thousands of dollars How are you keeping track of these assets? Are you sure you know exactly what you have and where it is? Howells wasn’t.  Now think about this: If Howells could  lose an extremely valuable asset while he’s alive, how will your loved ones know where your assets are after you’re gone? Or, how will they even know what you have?  If you don’t know the answer, the ramifications can be considerable.  The Real Consequences of Poor Asset Tracking  Across the U.S., approximately $60 billion in known assets have been lost or forgotten about. Bank accounts, insurance policies, retirement funds, and other financial assets regularly become "lost" when people move, change contact information, or simply forget about accounts. And that doesn’t even count the billions or, one day, trillions of lost digital assets that aren’t yet being tracked as lost. If you don’t have an up-to-date inventory of all your assets, here’s what’s likely to happen:  Assets may be permanently lost or forgotten Your loved ones may never even know these resources existed Court processes like probate become longer and more expensive Family conflict can arise when assets are discovered later Digital assets may become inaccessible without proper password management Sentimental items might be discarded or lost during transitions While it’s possible some of your assets could end up in a landfill like Howells’ BTC  hard drive, what’s more likely to happen is they get turned over to the government. Each state has a Department of Unclaimed Property for this purpose. And for you or your loved ones to recover the lost asset, you have to go through a process that is time-consuming, tedious - and may even result in failure.   As an attorney, I've seen families devastated not just by the financial impact of lost assets but by the emotional toll when meaningful items disappear or become inaccessible after a loved one's passing. This happens if a person has no estate plan, an outdated estate plan, or a plan that’s just a set of legal documents. There is a better way.  The Life & Legacy Planning Solution The traditional way to do estate planning is to draft a will, financial power of attorney, health care power of attorney, and maybe a trust. Then, you “set it and forget it,” storing your documents in a drawer and never looking at them again. When “planning” is done this way, it often results in court, conflict, lost assets, and even irreparably broken relationships among those you love most. With our Life & Legacy Process, we go beyond mere document drafting and create not only legal documents, but all the other facets that need to be in place for your plan to work, including a comprehensive asset inventory as a foundational element. Here are just a few highlights of the Life & Legacy Planning process: Personal Resource Map Right from the get-go, I help you create a detailed inventory of everything you own – from real estate and bank accounts to digital assets and family heirlooms. This comprehensive map ensures nothing is overlooked or forgotten. I believe this is so important that I’ll support you to do this whether you decide to work with me or not.  Regular Reviews and Updates Life changes, and so do your assets. My process includes regular reviews to ensure your inventory stays current as you acquire new assets or sell existing ones.  Secure Documentation I provide secure systems for documenting access information for your digital assets, ensuring your designated representatives can access what they need when the time comes. Clear Communication Plan I guide you in communicating with loved ones about what you have and where it's located, without compromising security during your lifetime. I’ll also be there for your loved ones after you’re gone, so they know what to do. Peace of Mind in a Complex World James Howells' story is extreme but serves as a powerful reminder that in today's complex world, knowing what you have and ensuring it's properly documented is more important than ever. As your trusted attorney, I don't just draft documents; I assist you in making informed and empowered decisions about life and death for yourself and the people you love. That's why I 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. Click here to schedule a complimentary 15-minute consultation to learn more and get started today.

Imagine this: something unexpected happens, and you're suddenly unable to care for your children. It's a parent's worst nightmare.  In this situation, you'd want to know that your kids will be loved, cared for, and raised according to the values you hold dear. But have you taken the right legal steps to ensure that happens? Many parents mistakenly believe that simply naming guardians in their will is enough to protect their children. Unfortunately, this isn't always the case.  There are common mistakes that can lead to legal battles, family conflicts, and even put your kids' well-being at risk.  What if something happened to you tomorrow? Would your children end up in the care of strangers, even temporarily, because you didn’t have a plan in place for their immediate care? Don't let that happen. By working with us, you can avoid these pitfalls and create a rock-solid guardianship plan that provides true peace of mind – knowing that, no matter what, your children will always be raised by the people you love most. The 10 Common Mistakes Parents Make When Choosing Guardians 1) Thinking a Will is Enough  A will is essential, but it only kicks in after you're gone. It doesn't cover situations like sudden illness or incapacity. You need separate guardianship documents specifically designed to address these "what if" scenarios while you're still living . 2) Planning Only for the Long-Term If something were to happen to you today, who would take care of your kids right now ?  Don't just plan for the long haul – you also need to designate short-term guardians to prevent your children from being placed with strangers, even temporarily, while the authorities sort things out. 3) Not Naming a Guardian at All   This might seem unthinkable, but it happens. If you don't formally name a guardian, you're leaving one of the most important decisions of your life up to the courts. This could mean your children end up with someone you wouldn’t have chosen. 4) Overlooking Backup Guardians Life is unpredictable. Your first-choice guardians may not always be available or able to step in. Always name multiple backup guardians to ensure there's a safety net if your primary choice is unable to serve. 5) Choosing Guardians Based on Financial Ability Alone Money matters, but it shouldn't be the only factor when choosing who will raise your children. Your children's well-being depends on being raised in a loving, supportive environment aligned with your values. Consider factors like location, lifestyle, parenting philosophies, and the overall compatibility of your chosen guardians with your family.  And remember, you can always choose a separate financial guardian, or appoint a Trustee of a Trust, to specifically manage any money you leave behind for your children – this can be a separate role from their daily care. 6) Assuming Godparents are Legal Guardians   Many people use the terms "godparent" and "legal guardian" interchangeably, but they aren’t the same.  Verbal agreements or informal designations hold no legal weight. To make your wishes legally binding, you need formal guardianship documents prepared by an experienced professional. 7) Not Thinking Beyond Guardianship  Guardianship isn't just about who will raise your kids – it's also about who will make important financial and healthcare decisions on their behalf. You'll need powers of attorney and other legal tools to ensure these matters are handled according to your wishes. 8) Failing to Communicate Your Wishes Don't leave anything to chance. Clearly document your values, your parenting preferences, and any specific instructions you want your guardians to follow. This guidance will provide invaluable support as they navigate the challenges of raising your children. 9) Not Reviewing and Updating Your Plan Life is constantly evolving. Your family dynamics change, your children grow, and laws are updated. It's vital to review and update your guardianship plan regularly to ensure it still reflects your current circumstances and wishes. 10) Naming a Couple Without a Contingency Plan  Relationships evolve. Sadly, even the most solid couples can face unexpected challenges like divorce or separation.  It’s vital to think about what would happen to your children if your chosen guardians were to split up.  Would one person become the sole guardian? Would they share custody? Outlining these details now can prevent future conflict and heartache. There’s a Better Way: Create a Kids Protection Plan A Kids Protection Plan provides comprehensive protection for your children, so you never make one of the ten mistakes and put your children at risk of being raised by someone you’d never want to raise them (or worse, ending up in the foster care system). Unlike a traditional estate plan that simply names guardians, a Kids Protection Plan creates a complete safety net that addresses both immediate and long-term care needs. Every Kids Protection Plan I create with clients includes legal documents that ensure your children won’t be placed in the care of strangers or the foster care system, even temporarily. It provides detailed instructions for emergency responders and caregivers, and identifies temporary guardians who can step in immediately. Perhaps most importantly, it creates a roadmap of your values, hopes, and dreams for your children's upbringing. With a Kids Protection Plan, you're not just naming someone to take your place - you're providing them with the guidance and legal authority they need to raise your children exactly as you would want. Ready to Protect Your Kids? Your children are your most precious asset. Don't leave their future to chance. With our Life & Legacy Planning, you can rest assured knowing that your children will always be in the most capable and loving hands, no matter what life throws your way. Ready to take control and build that plan? Schedule a free 15-minute call with me today.  I'll answer your questions, address your concerns, and help you take the first step toward securing your children's future. Check out our new Guide - 7 Must-Dos When Naming Guardians For Your Kids

As we head into wedding season, if you are a newlywed or are about to tie the knot, add “estate planning” to your do list. And yes, we imagine that at this happiest time of your life, planning for your potential incapacity and eventual death is probably the farthest thing from your mind, but getting it handled as part of your wedding planning is the greatest gift you can give your soon-to-be spouse. First, be aware of the impact of doing nothing. If you were to become hospitalized for any reason prior to your wedding day, the person you love most in the world would not have the legal authority to make your medical decisions and may not even have the authority to see you in the hospital. Your beloved would have no access to your bank accounts and could even be put into a position of having to move out of your shared home abruptly in the event of your death. Indeed, once your marriage is official, your relationship becomes entirely different from both a legal and financial perspective. With this in mind, in part one  we discussed the first three of six essential items you need to address in your plan, and here we cover the final three. 04   |  DURABLE FINANCIAL POWER OF ATTORNEY As we touched on last week in part one, estate planning is not just about planning for what happens when you die. It is equally important—if not even more so—to plan for your potential incapacity due to a serious accident or illness. If you become incapacitated and have not legally named someone to handle your financial and legal interests, your spouse would have to petition the court to be appointed as your guardian or conservator to handle your affairs. Though your spouse would typically be given priority, this is not always the case, and the court could choose someone else. And the person the court appoints could be a family member you would never want having control over your life. In any case, if you have not chosen someone to make your financial and legal decisions in the event of your incapacity, the court will choose for you. To ensure your spouse has the ability to make these decisions, you should create power of attorney documents to give him or her this legal authority. You actually need two of these documents, and the first one is a power of attorney for property. A power of attorney for property would grant your spouse the immediate authority to manage your financial, legal, and business affairs in the event of your incapacity. With a power of attorney for property, your spouse would have a broad range of powers to handle things like paying your bills and taxes, running your business, collecting government benefits, and selling your home, as well as managing your banking and investment accounts. Granting power of attorney is especially important if you live together before you get married because, without it, the person named by the court could legally force your soon-to-be spouse out with little to no notice, leaving your beloved homeless. The second document you will need is a medical power of attorney, which we will discuss next. 05   |   MEDICAL POWER OF ATTORNEY AND LIVING WILL In addition to the power of attorney for property, you will also need to create a medical power of attorney. A medical power of attorney is an advance healthcare directive that would give your spouse (or someone else) the immediate legal authority to make decisions about your healthcare and medical treatment should you become incapacitated and unable to make those decisions for yourself. For example, a medical power of attorney would allow your spouse to make decisions about your medical treatment if you are in a serious car accident or hospitalized with a debilitating illness. Without a medical power of attorney in place, your spouse would have to petition the court to become your legal guardian.  As we discussed in part one , even though your spouse is generally the court’s first choice for guardian, you should spare your spouse the time, money, and trauma involved with the guardianship process by creating a medical power of attorney and naming him or her as your agent.   While a medical power of attorney allows your spouse to make healthcare decisions on your behalf during your incapacity, a living will is an advance directive that explains how you would want your medical care handled, particularly at the end of life. A medical power of attorney and a living will work closely together, and for this reason, they are sometimes combined into a single document. Within the terms of your living will, you can spell out things, such as if and when you would want life support removed should you ever require it, whether you would want hydration and nutrition supplied, and even what kind of food you want and who can visit you in the hospital.  06   |   NAME LEGAL GUARDIANS FOR YOUR MINOR CHILDREN If either you or your spouse has minor children from a prior relationship, or if you are planning to have kids of your own soon, it is imperative that you select and legally document long-term guardians for your children. Guardians are people legally named to care for your children in the event something should happen to you and your spouse.  And do not assume that just because you have named godparents or have grandparents living nearby that is enough. You must name guardians in a legal document, or you risk creating needless conflict and a long, expensive court process for your loved ones. When working with us,, naming legal guardians for your kids could not be any easier or more convenient. Indeed, creating the legal documents that will ensure your children will be raised to adulthood by the people you trust most and are never placed in the care of strangers (even temporarily) is one of our specialties. And we accomplish this using our comprehensive system called the Kids Protection Plan. The Kids Protection Plan provides you with all of the legal planning tools needed to make sure there is never a question about who will take care of your kids if you and your spouse are in an accident or suffer some other life-threatening emergency. Even if you have already named guardians for your kids in your will, either on your own or with the help of a lawyer, we often find that these plans contain at least one of six common mistakes that can leave your kids at risk.  Do not wait to take care of this urgent matter. In fact, if you have minor children, your number-one planning priority should be naming legal guardians to care for your children should anything happen to you. And if you need any help with this process, reach out to us and we will be glad to walk you through it.  A TRUSTED ADVISOR FOR YOUR NEW FAMILY Getting married is an exciting first step for your new family, and you should start things off right by getting your estate plan properly prepared. But here is the thing about estate planning—it is not just about creating a set of documents and then filing them away in a drawer and never looking at them again until something happens. Like your family, your planning needs are constantly evolving, so you must ensure your plan is regularly updated as your assets, family situation, and the laws change. If you do not keep your plan updated, it will be totally worthless when your family needs it. We have built-in systems and processes to ensure your plan is regularly reviewed and updated, so you do not need to worry about whether you have overlooked. What’s more, our planning services go far beyond simply creating documents and then never seeing you again.  Indeed, we will develop a relationship with you and your family. This is so we can get to know you, your wishes, and be there for you throughout the many stages of life—and above all, be there for your loved ones if and when you cannot be. Contact us today to get things started or e-mail lauren@kaplanestatelaw.com .

As we head into the start of wedding season, if you are a newlywed or are about to tie the knot, add “estate planning” to your do list. And yes, we imagine that at this happiest time of your life, planning for your potential incapacity and eventual death is probably the farthest thing from your mind right now, but getting it handled as part of your wedding planning is the greatest gift you can give your soon-to-be spouse. First, be aware of the impact of doing nothing. If you were to become hospitalized for any reason prior to your marriage day, the person you love most in the world would not have the legal authority to make your medical decisions and may not even have the authority to see you in the hospital. Your beloved would have no access to your bank accounts and could even be put into a position of having to move out of your shared home abruptly in the event of your death. If the idea of these potential realities is terrifying to you, call us today to get a “pre-marriage” plan in place, and then, after your marriage, we can update it. Indeed, once your marriage is official, your relationship becomes entirely different from both a legal and financial perspective. With this in mind, if you’ve recently said “I do” or have plans to do so in the near future, here are six essential items you need to address in your plan. 1 |  BENEFICIARY DESIGNATIONS One of the easiest—and often overlooked—estate planning tasks for newlyweds is updating your beneficiary designations. Some of your most valuable assets, such as life insurance policies, 401(k)s, and IRAs, do not transfer via a will or trust. Instead, they have beneficiary designations that allow you to name the person (or persons) you’d like to inherit the asset upon your death. You should name your spouse as your primary beneficiary (if that’s your wish), and then name at least one contingent, or alternate, beneficiary in case your spouse dies before you. And if you have kids, remember to never name a minor child as a beneficiary of your life insurance or retirement accounts, even as a contingent beneficiary. If a minor is listed as the beneficiary, the assets would be distributed to a court-appointed guardian, who will be in charge of managing the funds until the child reaches the age of majority, at which point all benefits are distributed to the beneficiary outright. If you want your child to inherit your life insurance or retirement account, you should set up a trust to receive those assets instead. And if you have significant retirement account assets, you may not even want those assets to go outright to your spouse (or future spouse), but instead, you may want to use a trust to distribute your retirement account assets. If you don’t want your retirement assets to go outright to your named beneficiaries and want them to have the maximum tax advantages, contact us for a Life and Legacy Planning Session. 02 |   A WILL A last will and testament allows you to designate who should receive your assets upon your death. If you are newly married, you likely want your spouse to receive most, if not all, of your assets, and if so, you should name him or her as the primary beneficiary in your will. Although your spouse would likely inherit all of your assets should you die without a will, known as dying intestate, depending on state law and whether or not you have children, your assets may not get divided according to your wishes, so it’s always a good idea to create a will (or update your old one) when you get married. And to ensure that your will is created and executed properly, you should always work with trusted legal counsel like us, and never rely on generic, fill-in-the-blank documents you find online. Trust us—you don’t know what you don’t know here. Online legal document services may be better than nothing for some people, but they may actually be worse than nothing for those who truly want to ensure they’ve considered all of the options. For instance, an online document service cannot help you anticipate and plan for all the potential issues related to your family dynamics and assets that can arise and lead to conflicts and disputes between your loved ones. Yet that’s exactly what you would get when you work with a trusted legal advisor like us and use our comprehensive inquiry process. Additionally, if you intend to leave assets to someone other than your spouse in your will, or for some reason plan to leave your spouse out of your will, be sure to check our state’s laws governing marital property. In some states, a surviving spouse is entitled to a certain percentage of your assets regardless of what’s in your will. Finally, although a will is an essential part of nearly every estate plan, as you’ll see below, having a will alone is rarely enough to ensure your spouse and other loved ones stay out of court and out of conflict when something happens to you. 03 |   A TRUST Upon your death, assets included in a will must first pass through the court process known as probate before they can be transferred to your spouse or any other beneficiary. Probate can take months or even years to complete, and it can even sometimes lead to ugly conflicts between your spouse and other family members. Not to mention, your spouse will likely have to hire an attorney to represent him or her during probate, which can result in significant legal fees that can deplete your estate. Furthermore, a will only governs the distribution of your assets upon your death. It offers you zero protection if you become incapacitated and are unable to make decisions about your own medical, financial, and legal needs. If you become incapacitated with only a will in place, your spouse would have to petition the court to be appointed as your guardian to manage your affairs. Here’s the bottom line: If your estate plan consists of a will alone, you are guaranteeing your spouse and family will have to go to court if you become incapacitated or when you die. To avoid the time, cost, and conflict inherent to an estate plan consisting solely of a will, you should consider creating a revocable living trust, along with your will. If your assets are properly titled in the name of your living trust, they would pass directly to your spouse upon your incapacity or death, without the need for any court intervention. What’s more, in the terms of your trust, you can even outline the specific conditions that must be met for you to be deemed incapacitated, which would allow you to have some control over your life in the event you become incapacitated by illness or injury. This is in contrast to a will, which only goes into effect upon your death and then merely governs the distribution of your assets. Finally, if you are getting married and have minor children from a previous marriage, there is an inherent risk of conflict between your soon-to-be new spouse and your children because your children and new spouse have conflicting interests about what happens to your assets in the event of your death or incapacity. If you want to ensure a lifelong relationship of harmony and ease between your children and your soon-to-be spouse, or new spouse, contact us—we have very specific strategies we can use to support that outcome. If you are soon-to-be-married or recently married and anything in this article makes you realize that estate planning isn’t something to put off, but a huge gift to the people you love, contact us to schedule a complimentary Initial Consult . This is the first step in considering all of your assets, all of your family dynamics, and getting clear on the right plan, at the right price, for the people you love. Next week, we’ll continue with part two in this series on six estate planning essentials for newlyweds. If you have any questions, e-mail us at lauren@kaplanestatelaw.com . Don't forget to register for our May 8 Webinar !

Because estate planning involves actively thinking about and planning for frightening topics like death, old age, and crippling disability, many people put it off or simply ignore it all together until it’s too late. Sadly, this unwillingness to face reality often creates serious hardship, expense, and trauma for those loved ones you leave behind. To complicate matters, the recent proliferation of online estate planning document services, such as LegalZoom®, Rocket Lawyer®, and Trustandwill.com, may have misled you into thinking that estate planning is a do-it-yourself (DIY) affair, which involves nothing more than filling out the right legal forms. However, proper estate planning entails far more than filling out legal forms. In fact, without a thorough understanding of how the legal process works upon your death or incapacity, along with knowing how it applies specifically to your family dynamics and the nature of your assets, you’ll likely make serious mistakes when creating a DIY will or trust. And the worst part is that these mistakes won’t be discovered until you are gone—and the very people you were trying to protect will be the ones cleaning up the mess. Estate planning is definitely not a one-size-fits-all endeavor. Even if you think your particular situation is simple, that turns out to almost never be the case. To demonstrate just how complicated estate planning can be, last week in part one , we highlighted the first five of 10 of the most common estate-planning mistakes, and here we wrap up the list with the remaining five mistakes. 06 | Not Updating Beneficiary Designations In addition to reviewing and updating your core estate planning documents like your will, trust, and power of attorney, it’s crucial that you also update the documentation for your other assets, especially those with beneficiary designations. Some of your most valuable assets, like 401(k)s, IRAs, and life insurance policies, do not transfer via a will or trust. Instead, these assets have beneficiary designations that allow you to name the person (or persons) you’d like to inherit the asset upon your death. Oftentimes, people forget to change their beneficiary designations to match their estate planning goals, which can lead to disaster. For example, if you get remarried and forget to update your 401(k), your ex-spouse from 20 years ago could end up inheriting your retirement savings. Additionally, some people assume that because they’ve named a specific heir as the beneficiary of their IRA in their will or trust that there’s no need to list the same person again as beneficiary in their IRA paperwork. Because of this, they leave the IRA beneficiary form blank or list “my estate” as the beneficiary. But this is a major mistake—and one that can lead to serious complications and expense for your loved ones. It makes no difference who is listed as the beneficiary in your will or trust; you must list the person you want to inherit the asset in the beneficiary designation, or your heirs will have to go to court to claim the asset. And you should never name a minor child as a beneficiary of your life insurance or retirement accounts, even as the secondary beneficiary. If a child inherits assets, the assets become subject to control of the court until they reach the age of 18, and then, the assets are distributed outright without any protection or direction . If you want a minor to inherit assets, you can create a special trust to hold the asset until the child comes of age, and name someone you trust to serve as a successor trustee to manage the assets until that time. At Kaplan Estate Law LLC, we can support you to choose the appropriate trust for this purpose to ensure your child gets the maximum benefit from their inheritance. 07 | Improper Execution You could have the best estate planning documents in the world, but if you fail to sign them, or sign them improperly, they will fail. This might seem trivial, but we see it all the time. A loved one dies, their family brings their estate planning documents to us, and we can’t help them because the documents were either not signed or were signed improperly. To be considered legally valid, certain estate planning documents like wills must be executed (i.e. signed, witnessed, and/or notarized) following very strict legal procedures. For example, many states require that you and every witness to your will must sign it in the presence of one another. If your DIY service doesn't mention that condition (or you don’t read the fine print) and you fail to follow this procedure, the document can end up worthless. 08 | Choosing the Wrong Executors or Trustees In addition to laws regarding execution, state laws are also very specific about who can serve in certain roles like executor, trustee, or financial power of attorney. In some states, for instance, the executor of your will must either be a family member or an in-law, and if not, the person you choose must live in the state. If your chosen executor doesn’t meet those requirements, he or she cannot serve. Moreover, some states require the person you name as your executor to get a bond, which is like an insurance policy before he or she can serve. Such bonds can be difficult to get for someone who has a less-than-stellar credit score. If your executor cannot get a bond, it would be up to the court to appoint your executor, which could end up being someone you would never want managing your assets or a third-party professional, who could drain your estate with costly fees. 09 | Unintended Conflict Between Family Members Family dynamics are—to put it lightly—quite complex. This is particularly true for blended families, where spouses have children from previous relationships. If you try to go it alone using a DIY document service, you won’t be able to consider all of the potential areas where conflict might arise among your family members and plan ahead to avoid such disputes. After all, even the best set of documents will be unable to anticipate and navigate these complex emotional matters—but we can. Every day we see families end up in lifelong conflict due to poor estate planning. Yet, we also see families brought closer together as a result of handling these matters the right way. When done right, the estate planning process is actually a major opportunity to build new connections within your family, and we are specifically trained to help you with that. 10 | Failing to Properly Name Guardians for Minor Children If you are a parent with children under the age of 18 at home, your number-one estate planning priority should be selecting and legally documenting both long and short-term guardians for your kids. Guardians are the people legally named to care for your children in the event something happens to you. If you’ve named guardians for your minor children in your will—even with the help of another lawyer—your kids could still be at risk of being taken into the care of strangers. For instance, if you’ve named guardians for your kids in your will, what would happen if you became incapacitated and were no longer able to care for them? Did you know that your will only becomes operative in the event of your death, and it would do nothing to protect your children in the event of your incapacity? Or perhaps the guardians you named in your will live far from your home, so it would take them several days to get there. If you haven’t made legally-binding arrangements for the immediate care of your children, it’s highly likely that they will be placed with the authorities until those guardians arrive. And does anyone even know where you will is located and how to access it? How can they prove they are your children’s legal guardians if they can’t even find your estate plan? These are just a few of the potential complications that can arise when naming legal guardians for your kids, whether in your will or as a stand-alone measure. And if just one of these contingencies were to occur, your children would more than likely be placed into the care of strangers. At Kaplan Estate Law LLC, we offer a comprehensive system known as the Kids Protection Plan, which is included with every estate plan we prepare for families with young children. If you have already named long-term guardians in your will or as a stand-alone measure, either on your own or with a lawyer, we can review your existing legal documents to see whether you have made any of the most common mistakes that could leave your kids at risk. From there, we will revise your plan and put the proper protections in place to ensure your children are fully protected. Life & Legacy Planning: Do Right By Those You Love Most The DIY approach might be a good idea if you’re looking to build a new deck for your backyard, but when it comes to estate planning, there are much better options. If you’ve yet to do any planning, contact us to schedule a Life & Legacy Planning Session, which is the first step in our Life & Legacy Planning Process. During this meeting, we’ll take you through an analysis of your assets, what’s most important to you, and what will happen to your loved ones when you die or if you become incapacitated. If, as a result of this process, we determine that you really do have a very simple situation and you want to create your own estate planning documents yourself online, we will support you to do that. However, if as a result of the process, you decide you would like us to create a plan for you, we’ll support you to find the optimal level of planning for a price that’s right for you. And if you’ve already created an estate plan—whether it’s a DIY job or one created with another lawyer’s help— contact us to schedule an Estate Plan Review & Check-Up. With our support, we will ensure your plan is not only properly drafted and updated, but that it has all of the protections in place to prevent your children from ever being placed in the care of strangers or anyone you’d never want raising them. In either case, working with us will empower you to feel 100% confident that you have the right combination of estate planning solutions to fit with your unique asset profile, family dynamics, and budget. At Kaplan Estate Law LLC, we see estate planning as far more than simply planning for your death and passing on your “estate” and assets to your loved ones—it’s about planning for a life you love and a legacy worth leaving by the choices you make today. Contact us today for a free initial consult to get your plan started.

Because estate planning involves actively thinking about and planning for frightening topics like death, old age, and crippling disability, many people put it off or simply ignore it all together until it’s too late. Sadly, this unwillingness to face reality often creates serious hardship, expense, and trauma for those loved ones you leave behind. To complicate matters, the recent proliferation of online estate planning document services, such as LegalZoom®, Rocket Lawyer®, and Trustandwill.com, may have misled you into thinking that estate planning is a do-it-yourself (DIY) affair, which involves nothing more than filling out the right legal forms. However, proper estate planning entails far more than filling out legal forms. In fact, without a thorough understanding of how the legal process works upon your death or incapacity and applied specifically to your family dynamics and the nature of your assets, many people make serious mistakes when creating a DIY will or trust. And the worst part is that these mistakes won’t be discovered until you are gone—and the very people you were trying to protect will be the ones stuck cleaning up the mess. Estate planning is definitely not a one-size-fits-all endeavor. Even if you think your particular situation is simple, that turns out to almost never be the case. To demonstrate just how complicated estate planning can be, here are 10 of the most common estate planning mistakes, starting with the worst blunder of all: failing to create an estate plan. 01 | Leaving No Estate Plan at All If you die without an estate plan, the court will decide who inherits your assets, and this can lead to all sorts of problems. Who is entitled to your property is determined by our state’s intestate succession laws, which hinge largely upon whether you are married and if you have children. Spouses and children are given top priority, followed by your other closest living family members. If you are single with no children, your assets typically go to your parents and siblings, and then more distant relatives if you have no living parents or siblings. If no living relatives can be located, your assets go to the state. It’s important to note that state intestacy laws only apply to blood relatives, so unmarried partners and close friends would get nothing. If you want someone outside of your family to inherit your assets, having a plan is an absolute must. If you’re married with children and die with no plan, it might seem like things would go fairly smoothly, but that’s not always the case. If you’re married, but have children from a previous relationship, for example, the court could give everything to your spouse and leave your children with nothing. In another instance, you might be estranged from your kids or not trust them with money, but without a plan, state law controls who gets your assets, not you. Moreover, dying without a plan could also cause your surviving loved ones to get into an ugly court battle over who has the most right to your property. Or if you become incapacitated, your loved ones could even get into conflict around your medical care. You may think this would never happen to your loved ones, but we see families torn apart by it all the time, even when there’s not significant financial wealth involved. At Kaplan Estate Law, we will help you create a plan that handles your assets and your medical care in the exact manner you wish, taking into account all of your family dynamics, so your death or incapacity won’t be any more painful or expensive for your family than it needs to be. 02 | Thinking a Will Alone is Enough Lots of people believe that a will is the only estate planning tool they need. While a will is a fundamental part of nearly every adult’s estate plan, which can ensure that your assets go where you want them to go in the event of your death, using a will by itself comes with some serious limitations, including the following: Wills require your family to go through the court process known as probate, which can not only be lengthy and expensive, it’s also completely open to the public and frequently creates ugly conflicts among your loved ones. Wills don’t offer you any protection if become incapacitated by illness or injury and are unable to make your own medical, financial, and legal decisions. Wills don’t cover jointly owned assets or those with beneficiary designations, such as life insurance policies and 401(k) plans. Wills don’t provide any protection or guidance for when and how your heirs take control of their inheritance. Naming guardians for your minor children in your will can leave them vulnerable to being placed in the care of strangers. Given these facts, if your estate plan consists of a will alone, you are missing out on many valuable safeguards for your assets, while also guaranteeing your family will have to go to court if you become incapacitated or when you die. Fortunately, all of the above issues can be effectively managed using a trust. That said, as you’ll see below, trusts are by no means a cure-all —these documents come with their own unique drawbacks, especially if you try to prepare one on your own. 03 | Creating a Trust & Not Properly Funding It Many people now know that a trust can keep your family out of court, and you may think you can just go online to set up your own trust, or have a lawyer do it with you as a one-size-fits all solution. And while that might be true, particularly if you have very simple assets and few family members, even in that case, you are likely to overlook one of the most important parts of creating a trust: “funding” it. An unfunded trust is a trust that exists, but that doesn’t hold any of your assets because you didn’t retitle them properly, or because you acquired new assets after creating your trust. This is all too common, and if this is true for you, it will leave your family with a big mess, even though you have officially created your trust. Funding your trust properly is extremely important, because if any assets are not properly funded, the trust won’t work, and your family will have to go to court in order to take ownership of that property. And when you acquire new assets after your trust is created, you must make sure those assets are properly funded into your trust as well. At Kaplan Estate Law, we will not only make sure all of your assets are properly titled when you initially create your trust, but we will also help ensure that any new assets you acquire over the course of your life are inventoried and properly funded to your trust. This keeps your assets from being lost, and prevents your family from being inadvertently forced into court because your plan was never fully completed. 04 | Not Leaving an Up-To-Date Inventory of Assets As mentioned above, even if you’ve properly funded your assets into your trust, your estate plan will be worthless if your heirs don’t know what you have or where to find it. In fact, there’s more than $58 billion dollars worth of lost assets in the U.S. Department of Unclaimed Property right now. And that’s all because someone died or became incapacitated without letting anyone know how to locate their assets. This is especially critical for digital assets like cryptocurrency, social media, email, and data stored in the cloud, because if you haven’t properly addressed these assets in your estate plan, there’s a good chance they will be lost forever if something happens to you. For all of these reasons, creating and maintaining a comprehensive inventory of all of your assets is a standard part of every estate plan we create. With our support, you can rest assured that your family will know exactly what assets you own and how to locate them should anything happen to you. 05 | Failing to Regularly Review & Update Your Estate Plan In addition to keeping an updated asset inventory, it’s vital that you regularly review and update all of your planning documents. Far too often people prepare a will or trust , then put it into a drawer or on a shelf, and forget about it. Yet, an estate plan is not a one-and-done deal. As time passes, your life circumstances change, the laws change, and your assets change, you must update your plan to reflect these changes—that is, if you want your plan to actually work for your loved ones and keep them out of court and conflict. We recommend reviewing your plan annually to make sure its terms are up to date. And be sure to immediately update your plan following major life events like divorce, births, deaths, and inheritances. We actually have built-in processes to make sure this happens—be sure to ask us about them. Beyond sheer necessity, an annual life review can be a beautiful ritual that puts you at ease, and helps you to set the course of your life and keeps your life on course, knowing that you’ve got your affairs in order, all handled, and completely updated each year. Next week, in part two, we’ll wrap up our list of the 10 most common estate-planning mistakes. Until then, if you are ready to get your estate planning handled and taken care of the right way with ease and affordability, start by contacting us for a Life & Legacy Planning Session . Your Life & Legacy Planning Session is custom-designed to your assets, your family, your wishes, and to educate you on the best way to reach your objectives for the people you love most. If you'd like to learn more, click here to schedule a free 15 minute Initial Consult or contact Lauren at lauren@kaplanestatelaw.com.

The recent passing of legendary actor Gene Hackman has revealed a complicated estate situation that serves as a powerful warning for everyone - married couples especially - regardless of your net worth.  Whether you have significant assets or just want to ensure your wishes are honored during your lifetime and you don’t leave a mess of open loops, creditors, and pain for your loved ones, getting your estate plan done right so it doesn’t fail when the people you love need it is the answer. The right estate planning process, which I call Life & Legacy Planning, can save your loved ones from the cost of failed planning. In this article, we will look at the lessons from the Hackman family estate plan, and I’ll explore the importance of having a well-structured Life & Legacy plan, the risks of outdated documents, and key strategies to prevent inheritance disputes. Let's first explore what’s happened. What Happened Gene Hackman, the two-time Academy Award winner known for films like The French Connection and Unforgiven, and his wife Betsy Arakawa were recently found deceased in their Santa Fe, New Mexico home. Court documents reportedly  reveal that Arakawa, 65, died on February 11 from Hantavirus pulmonary syndrome, a rare disease contracted through contact with mouse droppings. Hackman, who was 95, died a week later from natural causes related to heart disease and complications from Alzheimer's disease. The couple's wills, both dated from 2005, show they each intended to leave their estates to one another. Hackman's will named Arakawa as the personal representative of his estate and the recipient of his "entire estate" as successor trustee of the Gene Hackman Living Trust. Similarly, Arakawa's will specified that her estate would go to the trustee of Hackman's trust if he outlived her. Unlike many couples, who leave their assets to each other and don’t have a plan for what happens if they die together or close together, the Hackmans had contingency plans in place. Since both Hackman and Arakawa are deceased, Julia L. Peters, who was named as the second successor personal representative in Hackman's will, has taken over the duties of managing both estates. The first successor named in the wills, attorney Michael G. Sutin, is also deceased. Court documents show that Peters, who works for a trust company, was appointed as the personal representative for both estates in March 2025. Peters filed appropriate paperwork to admit Hackman's will to probate and begin the administration process. The Simultaneous Death Problem Most Couples Ignore Most married couples do exactly what Hackman and Arakawa did—they name each other as the primary beneficiary on everything: wills, trusts, life insurance policies, retirement accounts, and more. But what happens if you and your spouse die together or a short time apart? Chaos, delays, and assets potentially going to unintended beneficiaries can result. Not to mention, your loved ones will almost certainly have to go to court, which is set up for conflict and can be very expensive. The best practice is to name backups, or contingent, beneficiaries so that your plan works.  Arakawa seemed to have considered this possibility in her own estate planning. Reports indicate her will contained a provision that if she and Hackman died within 90 days of each other, her assets would go to a charitable trust, as she had no children of her own.  Blended Family Considerations If you have a blended family, things can get complicated. With Arakawa and Hackman dying within days of each other, it may be difficult to sort out who the beneficiaries are. His plan says she receives his assets, and her plan says he receives her assets. This creates a loop that needs to be sorted out. If Arakawa’s assets go to a charitable trust instead of to Hackman’s estate, Hackman’s kids may receive nothing from her estate.  Hackman's will acknowledges his three adult children from his previous marriage to Faye Maltese: Christopher Hackman, Elizabeth Hackman, and Leslie Allen. Court records show that notices regarding Peters's appointment as personal representative were sent to all three children in March 2025.  While the publicly available documents don't reveal how Hackman's assets will ultimately be distributed among beneficiaries, Peters noted in court filings that after specific bequests to "identified beneficiaries," the remainder of Hackman's trust will be "distributed in accordance with the desires of Gene Hackman as expressed in the trust document." The trust documents themselves have not been made public, which is one of many reasons you likely want a trust to govern the distribution of your assets at the time of your death. The Life & Legacy Planning Difference The Hackman case demonstrates several important estate planning principles that anyone, regardless of net worth, can learn from. I create plans for clients, called Life & Legacy Plans, which means your plan works when you and your loved ones need it to. All my Life & Legacy plans are comprehensive and customized to fit your particular family dynamics, your assets, and your wishes. When you work with me, these are just a few of the strategies we can use that may make sense for you: 1. Name Contingent Beneficiaries for Everything For every asset and in every document, we’ll name not just primary beneficiaries but also contingent beneficiaries. This includes your will, trust, life insurance, retirement accounts, transfer-on-death accounts, and any other assets with beneficiary designations. When you work with me, we start by inventorying all your assets so nothing gets missed, and all accounts that need beneficiaries are handled properly.  2. Include Simultaneous Death Provisions If you’re married, we’ll include provisions in your will and trust that specifically address what happens if you and your spouse die simultaneously or within a short time of each other. The standard "120-hour rule" in many state laws may not be sufficient for your needs. We’ll also address what happens if any beneficiary you’ve named dies before you. 3. Create a Revocable Living Trust A properly structured revocable living trust can provide more precise instructions for various scenarios and is often more flexible than wills are. Trusts also offer privacy, can save money on taxes, and can bypass the probate process, keeping your loved ones out of conflict and saving them time and money. 4. Include Special Provisions for Blended Families If yours is a blended family, we will include customized strategies so your children are never accidentally disinherited.  5. Review and Update Regularly Hackman's will was reportedly last updated nearly 20 years before his death—a dangerously long period that would put anyone’s estate plan at risk. If you want to ensure your plan works, it must reflect your life as closely as possible when something happens to you, whether death or incapacity. Thus, it’s imperative that your plan is reviewed at least every 3 years and after any major life event such as the death of a beneficiary, marriage, divorce, or birth. Even if you haven’t had a significant life change, your assets may change - you inherit a significant sum, or instance - or the law could change. Any of these scenarios could put your plan at risk of failing. Through our Life & Legacy Planning process, we include reviews at least every 3 years. It’s built into my system for every client. This means that I take the burden off you so you don’t have to remember to review and update your plan. We can catch vulnerabilities in your plan before they become problems for your loved ones. Your Next Step As the Hackman case illustrates, effective estate planning isn't just about creating documents—it's about creating a comprehensive plan that anticipates any scenario, stays updated over time, and protects all the people you care about.  At Kaplan Estate Law LLC, I support you to create a Life & Legacy Plan that works when you need it to work. That’s why I start with a Life & Legacy Planning Session , where we'll discuss not just who gets what but what happens in complex situations like simultaneous deaths, incapacity, or beneficiaries who predecease you. We’ll also discuss what will work for your unique family situation, whether you're part of a blended family, have children with special needs, or face other circumstances that require specialized planning. Don't leave your legacy to chance or create accidental disinheritances through incomplete planning. Together, we can create a plan that truly protects you and everyone you love most. To get started, all you need to do is click here to schedule a complimentary 15-minute consult call.

You've taken the important step of creating an estate plan, and it includes a trust—congratulations! This shows you care deeply about keeping your family out of court and conflict, ensuring your wishes are known and honored, and you do not want to leave behind a mess for the people you love. Great work. But here's something you may not realize: an estate plan, a will, or a trust isn't a "set it and forget it" type of thing. Your estate plan is a living set of documents and tools that need regular attention to ensure they work when your loved ones need them and that they don’t fail at the worst possible moment. Think about it this way: You wouldn’t drive the same car for ten years without regular maintenance—oil changes, tire rotations, and inspections—to make sure it’s still running smoothly and safely. Similarly, your estate plan, including your trust, needs routine checkups to ensure it’s still aligned with your life circumstances, assets, legal changes, and wishes. Let’s explore why regular estate plan reviews are crucial and how often you should be checking in on your plan. Life Changes, and Your Trust Should Too Life rarely stays the same for long. Since you created your trust, you've likely experienced changes in your personal and financial life. Each of these changes can impact how effective your trust will be in protecting your assets and providing for your loved ones. Consider major life events like marriage, divorce, or the birth of children or grandchildren. These milestones fundamentally alter your family structure and potentially your wishes regarding who should benefit from your estate. For example, if you've recently welcomed a new grandchild, you might want to include them as a beneficiary. Or if you've gone through a divorce, you'll likely want to remove your ex-spouse from your trust. Your financial situation evolves as well. Perhaps you've purchased new property, started a business, or received an inheritance. These assets need to be properly incorporated into your trust. Otherwise, they may end up going through probate, defeating one of the primary purposes of having a trust in the first place. Even changes in your relationships can necessitate updates to your trust. The person you appointed as successor trustee five years ago might no longer be the best choice. Without regular reviews, your trust may not accomplish what you intend, potentially leading to conflict among your loved ones or assets being distributed in ways you never would have wanted. Laws Change, Even When Your Wishes Don't Even if your personal situation has remained relatively stable, the legal and tax landscape constantly evolves. These changes can significantly impact how your trust operates and its effectiveness in protecting your assets. Tax laws, in particular, frequently change with new administrations and shifting political priorities. For instance, the Tax Cuts and Jobs Act of 2017 doubled the federal estate tax exemption, dramatically changing estate planning considerations for many families. If your trust was created before this change, it might contain provisions that are no longer necessary or beneficial under current law. State laws governing trusts and estates also change regularly. These modifications can affect everything from how your trust is administered to the rights of beneficiaries. Without regular reviews, your trust might not take advantage of beneficial new laws or might run afoul of new requirements. By reviewing your trust periodically, you can ensure it remains compliant with current laws and takes advantage of any new beneficial provisions. This proactive approach helps protect your assets and your loved ones from unexpected legal complications. How Often Should You Review Your Trust? Given the importance of keeping your trust updated, you might be wondering how frequently you should review it. While there's no one-size-fits-all answer, there are some general guidelines that can help you determine the right schedule for your situation. As a baseline, I recommend reviewing your trust every three to five years, even if you don't think anything significant has changed. This regular schedule helps ensure you don't overlook gradual changes that might have occurred in your life, your assets, or the law. However, certain life events should trigger an immediate review, regardless of when you last updated your trust: Marriage, divorce, or the death of a spouse Birth or adoption of children or grandchildren Death of a named trustee, guardian, or beneficiary Significant changes in your financial situation Moving to a new state, as trust laws vary by state Major changes in tax or estate planning laws The Consequences of an Outdated Trust Can Be Severe Failing to review and update your trust regularly can lead to serious consequences that undermine your initial reasons for creating it. These consequences can range from financial losses to family conflicts that could have been avoided with proper planning. One of the most significant risks is that assets you've acquired since creating your trust may not be properly funded into it. Trust funding—the process of transferring assets into your trust's ownership—is crucial for avoiding probate. If you've purchased new property, opened new accounts, or acquired valuable assets without transferring them to your trust, these items will likely go through probate despite your efforts to avoid it. An outdated trust can also lead to unintended beneficiaries receiving your assets. If you haven't updated your trust after major life changes, your assets might go to people you no longer wish to benefit—or might not go to those you do want to include. Family conflict is another potential consequence of an outdated trust. Unclear or outdated provisions can leave your loved ones arguing over what you really intended. These disputes can damage family relationships and lead to expensive, time-consuming litigation. Tax consequences can also arise from an outdated trust. Changes in tax laws might mean your trust no longer minimizes estate taxes effectively. Without updates to address these changes, your beneficiaries might face larger tax bills than necessary, reducing their inheritance. Finally, know that reviewing your trust doesn't always mean you'll need to make changes. Sometimes you'll find that your current trust still perfectly reflects your wishes and circumstances. Even then, the review process is valuable for refreshing your understanding of your plan and giving you peace of mind. Don't Leave Your Family's Future to Chance Your trust is more than just a legal document—it's a reflection of your care for your loved ones and your desire to provide for them even when you're no longer here. By reviewing your trust regularly, you demonstrate that same care and foresight. You also save your loved ones from potential confusion, conflict, and costly legal proceedings during an already difficult time. I'm here to support you in this ongoing process. I understand that reviewing legal documents isn't high on anyone's list of favorite activities, but I work to make the process as simple and painless as possible, and build it into my own service ongoing, once we are working together. Don't leave your family's future to chance. Schedule a plan review with me today and ensure the plan you've created will work exactly as you intend when your loved ones need it most. Book a call here to learn how to get started.

You’ve no doubt heard of a Will, a document that says what happens to your money and belongings after you die. You may even have a Will, or know you should get one. And maybe you’ve heard of a Trust and wondered what it is and how it works. You may have even done research on Google about how to do your own Will or Trust. In fact, it’s hard to poke around the internet and not  find do-it-yourself (“DIY”) Wills and Trusts services. Legal Zoom, TrustandWill.com , and even some media personalities offer cheap DIY documents. You can even create your own Will or Trust for free by downloading a few forms. What these websites won’t do, however, is explain the potential consequences that can happen if you use one of their services.  Legal Documents Have Legal Consequences The truth is that Trusts and Wills, and other documents that all adults should have in place, like a health care directive and power of attorney, are legal documents with legal consequences. They contain lots of legal language. Even if you understand the words, you may not fully understand the nuances in the terminology. There’s a reason lawyers have to complete college, graduate from law school , then pass a bar exam before they can practice. It takes time and effort to learn the law, the legal terminology, the application of the law, and the potential consequences if something goes wrong.  Even then, many lawyers who don’t specialize in estate planning, or Wills and Trusts, put in place legal documents that fail when you become incapacitated or die, for various reasons.  And, yet, you may be getting sold on the idea that you can draft legal documents on your own, using an online website.  The promise is you can save money, and completely protect yourself and your loved ones from expensive legal consequences of not having planning in place. Unfortunately, this isn't usually the case. A Real Life Cautionary Tale Let’s keep you from being fooled by illustrating what can happen when you draft legal documents on your own without understanding the consequences. What follows is a true story: A woman passed away and her husband came into his lawyer’s office to get legal advice on what to do next. The woman (we’ll call her “Jane”) received an inheritance from her first husband (let’s call him “John”). She was also close to her adult children and her grandchildren, and wanted to make sure they received what was left of her inheritance from their father. And while she intended to leave her second husband some money, she made it very clear to her family that she wanted to provide for her children and grandchildren. Jane was frugal. She didn’t want to spend money on an attorney. So she did some research on Google about Wills and Trusts, downloaded some forms, and wrote out her own documents. She learned from Google that a Trust can keep her family from going through a court process called probate, which would save them money and leave more for them to inherit. So she drafted her own Trust thinking that she’d achieve her goals and save money at the same time.  You may already see where this is going… When John’s lawyer read Jane’s DIY Trust, they realized that what Jane actually did was leave her entire inheritance  to her second husband. Jane legally disinherited her children and grandchildren. Jane’s DIY Trust was also subject to laws of a different U.S. State than the one she lived in, meaning that any legal process related to the Trust would be more complicated than it needed to be. Surely this was not the result Jane wanted. Jane not only disinherited her children, but she failed to transfer her house to the Trust, despite drafting and filing a deed on her own, and she left assets out of her Trust altogether. So while she thought she was doing the right thing, what she really did was leave her loved ones with a giant, expensive mess.  Not surprisingly, the family ended up in court and remained there for several years. You Don’t Have to Make the Same Mistakes Jane must have believed what she heard from well-meaning folks about doing a Will and Trust on her own. She probably thought she understood the legal documents she drafted and signed. She most definitely thought she was making things easy for her family and that she was giving her children money from their father. But Jane was fooled.   Don’t be Jane. If Jane had worked with an experienced estate planning attorney, she would have created a plan that would accomplish her goals, and keep her family out of court and out of conflict. She would have saved her family years of heartache and pain, not to mention the expense.  Jane’s story teaches us that it’s absolutely worth it to work with a lawyer whenever you’re dealing with a legal document - including a Will or Trust. Don’t “Trust” those (see what we did there?) who say you can do it cheaply or do it yourself. Don’t be Jane.  What to Do Instead You owe it to your loved ones to take the time and put in the investment to do your estate planning right, and keep it up over time.  In fact, it’s the last and greatest gift you can leave them. Having your affairs buttoned up so they don’t have a mess on their hands and are allowed to process their grief in peace is your final act of love.  If you want to leave your family the gift of your love, we can help. At our firm, we don't merely dispense legal counsel or draft documents; we safeguard your family. We look at your specific family dynamics and your goals and then work with you to create a plan that ensures you and your loved ones avoid the stress, conflict, and chaos that comes from DIY documents.  To learn more about how we approach estate planning from a place of heart so you can leave your family with love, schedule a complimentary 15-minute cal l with our office or email lauren@kaplanestatelaw.com .

As parents, we're hardwired to prioritize our children's well-being above all else. We work tirelessly to provide for them, nurture them, and ensure they have every opportunity to thrive. Yet, amidst the hustle and bustle of daily life, it's easy to overlook a crucial aspect of their future: what happens to them if we're no longer here to care for them? It's a sobering thought, but one that deserves your attention. You may assume that in the event of your untimely passing, your children will automatically be cared for and inherit your assets. However, the reality is far more complex and potentially unsettling. Let's unpack why relying on these assumptions could leave your children's future in uncertain hands. The Myth of Automatic Care Yes, it's true that your children will inherit your assets upon your passing. However, without advance planning, the management of those assets will fall into the hands of a court-appointed trustee. This is an expensive proposition for the people you love most, and worse, the trustee may not necessarily align with your values or financial philosophy, leaving your hard-earned assets vulnerable to mismanagement. On top of that, and maybe worst of all, under current laws, once your child reaches the age of 18, they gain unfettered access to their inheritance. While you may have envisioned these assets providing a foundation for their future endeavors, the reality is that many 18-year-olds lack the financial maturity to handle such responsibility. From impulsive spending to falling prey to financial scams, the risks are significant.   The Importance of a Kids Protection Plan So, what's the solution? Enter the Kids Protection Plan—a comprehensive legal planning system designed to safeguard your children's well-being and financial future in the event of your incapacity or passing. A Kids Protection Plan empowers you to designate a trusted guardian who will step in to care for your children if you're unable to do so. This ensures your children will be in the loving care of someone you know and trust, rather than leaving their fate to the discretion of a judge who may lack intimate knowledge of your family dynamics. Moreover, a complete Kids Protection Plan goes beyond long-term guardianship appointments. It includes a detailed roadmap for the management of your assets on behalf of your children, specifying how funds should be allocated for their upbringing, education, and other needs. By setting clear guidelines, you mitigate the risk of financial mismanagement and ensure that your children's inheritance serves its intended purpose: supporting their growth and development. Leave Behind Detailed Instructions Naming legal guardians is just the first step. Your Kids Protection Plan won’t do much good if the people named in it aren’t aware of your plan or your wishes. You want to make sure your children’s guardians know your desires for their upbringing. Some things to include might be: ●       Faith and religious practices ●       Philosophy on education and where you’d want them to go to school ●       Activities you’d want your children involved in ●       Nutrition, medical care, or any other health considerations One of the benefits of working with our office is that I make sure that everyone named in your plan is informed of what to do if the unthinkable happens to you. And, if you are working with me, I’ll be there to guide them each step of the way. Planning for the Future At Kaplan Estate Law LLC, we understand the gravity of planning for your children's future. That's why we offer personalized Life & Legacy Planning Sessions designed to consider your family dynamics, and your assets, and then help you choose the right planning package and fees to safeguard and protect what matters to you most. Whether you're a new parent or revisiting your estate plan, our team is here to provide the guidance and expertise you need to secure your family's future for generations to come. Schedule a complimentary 15-minute call to learn more about our unique Life & Legacy Planning process. During your complimentary 15-minute call, we'll explore your current arrangements and identify any gaps that may leave your children vulnerable. Don't leave your children's future to chance. Take the first step toward peace of mind and lasting security. Schedule a complimentary 15-minute call to get started.

The political landscape is shifting, and many same-sex couples are worried about what could happen if federal protections for their marriages are rolled back. You’ve worked hard to build a life together, and the last thing you need is uncertainty about whether your marriage, your assets, or your rights will be recognized in the future. While no one can predict exactly what will happen, proper estate planning gives you security, regardless of political changes. Understanding Current Protections and Potential Changes Same-sex marriage is currently recognized in all 50 states under federal law, protected by the Supreme Court's Obergefell decision and the Respect for Marriage Act. If you were married in states like Massachusetts or New York—early adopters of marriage equality—your marriage remains valid under those state laws regardless of federal changes. But state-level protections vary significantly. Some states have explicit constitutional protections for same-sex marriage, while others maintain laws that could restrict marriage rights if federal protections change. ( Read the Illinois Religious Freedom and Marriage Fairness Act here ). Understanding your state's specific laws is crucial. For example, Massachusetts not only recognizes same-sex marriage but also provides strong protections for non-biological parents and inheritance rights. However, federal policy shifts could affect crucial benefits far beyond basic marriage recognition. You might lose access to: The unlimited marital deduction for federal estate taxes, which currently allows married couples to transfer unlimited assets to each other without tax implications Spousal Social Security benefits, including survivor benefits that can provide crucial financial support Federal retirement plan options, like tax-free rollovers for spouses and inherited IRA benefits Certain immigration rights for non-citizen spouses, including green card eligibility and expedited citizenship Federal employee benefits for government workers' spouses Military benefits for service members' spouses Additionally, moving to a state that doesn't recognize same-sex marriage could create complications with healthcare decisions, property rights, and parental rights if you have children. This uncertainty makes proper estate planning even more crucial for same-sex couples. So, to protect your loved ones from these uncertainties, let's explore the essential legal tools that can safeguard your rights and assets, regardless of marriage recognition. Essential Components of Your Life & Legacy Plan Before marriage equality, same-sex couples relied on legal planning to create many of the protections that marriage now provides automatically. These strategies remain potent tools today - if you have a comprehensive estate plan in place. A Life & Legacy Plan is a comprehensive plan that ensures your wishes are honored and your loved ones are protected regardless of potential legal changes. When you work with me, your Life & Legacy Plan may include: Trust Planning: A trust allows you to control how your assets pass to your partner without relying on marriage laws. A trust also covers incapacity, so your assets will be handled smoothly by the person you want while you’re alive and after you die. This is especially important if your marriage is not recognized where you live. A trust can also include specific provisions for: Real estate holdings and how they should be managed Business interests and succession planning Investment accounts and their distribution Personal property with sentimental value Digital assets and cryptocurrencies Healthcare Directive:  If your marriage isn't legally recognized, a hospital may not automatically allow your spouse to make medical decisions for you. A healthcare directive can legally designate them as the person with that authority (or anyone you wish) and ensures your wishes for medical care are followed, even if a hospital or family member disagrees.  Power of Attorney: This crucial document ensures your spouse (or anyone of your choosing) can handle financial matters if you become incapacitated, even if the state doesn't recognize your marriage. It gives them legal authority to manage bank accounts, pay bills, and handle property matters on your behalf.  Beneficiary Designations:  Many assets, like life insurance policies and retirement accounts, pass directly to the named beneficiary, who can be anyone you choose. Regular review and updates of these designations ensure that the person you want receives these funds without legal complications. You don’t want to rely on beneficiary designations alone, as there are risks. When you create a Life & Legacy Plan, you’ll learn about the risks and make the best decisions for you. I’ll also support you to review your plan, including beneficiary accounts, on a regular basis so you don’t accidentally leave assets to anyone you wouldn't want to receive them. All these components of a Life & Legacy Plan can protect you and your loved ones, but they won’t do that if you procrastinate - which is the number one reason why people fail to plan and put their loved ones at risk. So, understanding why immediate action is crucial can help motivate you to put these critical protections in place now rather than waiting until it might be too late. Why You Shouldn't Wait to Plan While it's tempting to take a "wait and see" approach in times of uncertainty, waiting could leave you unprotected if laws change quickly. The time to create these protections is now, while you have all options available. Waiting creates unnecessary risk and could limit your planning choices if laws change suddenly. Even if same-sex marriage protections remain intact, Life & Legacy Planning offers benefits beyond marriage rights. It helps you avoid probate, protects your assets from unnecessary taxes, and ensures your wishes are carried out exactly as you intend. In addition to the benefits discussed above, a comprehensive plan can also help you: Maintain privacy about your estate Protect assets from creditors Create legacy plans for future generations Support charitable causes you value Ensure your wishes are clearly documented Creating these protections isn't just about paperwork—it's about peace of mind. You've worked hard to build a life together, and you deserve the security of knowing your relationship and assets are protected, regardless of political changes. Laws and politics may shift, but your love and commitment remain constant. Instead of waiting to see what happens, take control of your future by securing the legal protections you and your spouse deserve. Estate planning is a powerful way to safeguard your rights, your assets, your loved ones, and your relationship, no matter what the future holds. Take Action to Protect Your Family Don't wait for potential legal changes to put protections in place for your loved ones. I can help you create a comprehensive Life & Legacy Plan that ensures your wishes are honored and your loved ones are protected, regardless of future legal developments. Your plan will include multiple layers of protection that go beyond marriage rights, giving you peace of mind about your future. Click here to schedule a complimentary 15-minute consultation and learn more.