Supreme Court Case Could Impact LGBTQ Adoption, But Estate Planning Offers Alternate Options9/15/2020 A case on the Supreme Court’s docket for October could have a major impact on the parental rights of same-gender couples seeking to adopt or foster children. In February, the high court agreed to hear Fulton v. City of Philadelphia, which deals with whether taxpayer-funded, faith-based foster care and adoption agencies have a Constitutional right to refuse child placement with LGBTQ families. In March 2018, the City of Philadelphia learned that Catholic Social Services (CSS), an agency it contracted with to provide foster care services was refusing to license same-gender couples as foster parents. This was in spite of the fact the agency consented to abide by a city law prohibiting anti-LGBTQ discrimination. The city told CSS it would not renew their contract unless they abided by its nondiscrimination requirements, but CSS refused to comply, and the city cancelled its contract. CSS then sued the city, claiming it had a First Amendment right to refuse licensing same-gender couples, since those couples were in violation of their religious beliefs. Both a federal judge and the 3rd Circuit Court of Appeals sided with the city, noting the city’s decision was based on a sincere commitment to nondiscrimination, not a targeted attack on religion. From there, CSS took the case to the Supreme Court. Rampant discrimination at the state level LGTBQ adoptions are particularly contentious right now at the state level. The Supreme Court has yet to rule on the issue of the parental rights of non-biological spouses in a same-gender marriage. Given this, many married same-gender couples looking to obtain full parental rights in every state turn to second-parent adoption, as the Supreme Court has previously ruled that the adoptive parental rights granted in one state must be respected in all states. That said, 11 states currently permit state-licensed adoption agencies to refuse to grant an adoption, if doing so violates the agency’s religious beliefs. In other states, the law specifically forbids such discrimination, but as we’ve seen in the Fulton case, those laws are being challenged. I’ll be following how the Supreme Court rules on Fulton v. City of Philadelphia and will update as it progresses. Legal experts predict the case could have a significant impact on not just parental rights for same-gender couples, but nondiscrimination policies related to religious institutions at a broad level. In the meantime, same-gender couples should consider another potential option for gaining parental rights—one that doesn’t require adoption. Estate planning offers another option No matter how the Supreme Court rules, same-gender couples seeking parental rights have another option—estate planning. It may be surprising to hear, but it’s critically important for you to know that when used wisely, estate planning can provide a non-biological, same-gender parent with necessary and desired rights, even without formal adoption. Starting with the Guardian GuideTM, couples can name the non-biological parent as the child’s legal guardian, both for the short-term and the long-term, while confidentially excluding anyone the biological parent thinks may challenge their wishes. In this way, if the biological parent becomes incapacitated or dies, their wishes are clearly stated, so the court can do what the parent would’ve wanted and keep the child in the non-biological parent’s care. Beyond that, there are several other planning tools—living trusts, power of attorney, and health care directives—we can use to grant the non-biological parent additional rights. We can also create “co-parenting agreements,” legally binding arrangements that stipulate exactly how the child will be raised, what responsibility each partner has toward the child, and what kind of rights would exist if the couple splits or gets divorced. Secure parental rights—and your family’s future If you’re in a same-gender marriage, partnership, or in a co-parenting monogamous or poly relationship with one or more individuals, and you want to ensure that your significant other has as many parental rights as possible, we can sit down and discuss your wishes and explore the planning tools that are available to you. And whether you are married, in a domestic partnership, or in a relationship without a legal label (even with no children involved), it’s critically important you understand what will happen in the event one (or both) of you becomes incapacitated or when one (or both) of you dies. Proper planning can ensure your beloved is left with ease and grace, not a financial and legal nightmare that could have been avoided. Don’t let anyone take that power or control from you. With my guidance and support, you can ensure your partner or spouse and your children will be protected and provided for in the event of your incapacity or when you die, while preventing your plan from being challenged in court by family members who might disagree with your relationship. I am here for you as your ally and counselor to help protect your loved ones in the way you choose to do so. This article is a service of Sarah Breiner, Personal Family Lawyer®. 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 Family Wealth 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.
You can begin by contacting Sarah today to schedule a Family Wealth Planning Session and mention this article to find out how to get this $750 session at no charge. What is a Personal Family Lawyer®? A lawyer who develops trusting relationships with families for life.
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Anyone who has seen the hit Netflix documentary Tiger King: Murder, Mayhem, and Madness can attest that it’s one of the most outlandish stories to come out in a year full of outlandish stories. And while Tiger King’s sordid tale of big cats, murder-for-hire, polygamy, and a missing millionaire may seem too outrageous to have any relevance to your own life, the series actually sheds light on a number of critical estate planning issues that are pertinent for practically everyone. Over seven episodes, Tiger King provides several shocking, real-life examples of how estate planning can go horribly wrong if it’s undertaken without trusted legal guidance. In this series of articles, we’ll discuss some of the worst planning mistakes made by key people in the documentary, while offering lessons for how such disasters could have been avoided with proper planning. A Tale Of Two Wills Last week, in part one of this series (below) we focused on the estate planning mistakes made by Don Lewis, the late husband of Carole Baskin. Don, a multi-millionaire who helped Carole found Big Cat Rescue, mysteriously disappeared in 1997. Following Don’s disappearance, Carole produced a copy of Don’s will and power of attorney. Don named Carole his executor in his will and agent in his power of attorney. In his will, Don left Carole nearly his entire estate—estimated to be worth $6 million—while leaving his three adult daughters from a previous marriage with just 10% of his assets. However, Don’s daughters claimed the documents Carole produced were fraudulent. The daughters contend that their father was getting ready to divorce Carole, and because of the impending split, Don created a will that left his daughters the bulk of his estate, while largely disinheriting Carole. Yet because Don created this will on his own without the assistance of a lawyer, he failed to make and distribute copies of his plan to his daughters—or anyone else. Don’s oversight ultimately proved disastrous, as the only copy of the estate plan favoring his daughters vanished from his office 10 days after he disappeared. His daughters alleged Carole stole the documents and destroyed them, so she could present her forged documents and inherit the vast majority of Don’s assets—and this is exactly what ended up happening when Don was declared legally dead and his estate passed through probate in 2002. Although this is as far into the story as Tiger King gets—and where we left off in part one—more facts have come to light since the documentary aired that make the story even more scandalous, while also offering us additional estate planning lessons. The Plot Thickens After seeing the documentary, Chad Chronister, the third Hillsborough County Sheriff in office since Don vanished, reviewed the old case files and assigned new deputies to investigate his disappearance. In June 2020, after enlisting the help of two handwriting experts, the sheriff declared the will produced by Carole as “100% a forgery.” This was something Don’s daughters always suspected, but were unable to successfully prove on their own due to a lack of financial resources. After Carole first filed her copy of Don’s will and power of attorney with the court in September 1997 (a month following his disappearance), Don’s daughters challenged those documents in court as forgeries. Court documents show that in November 1997, Don’s daughters hired a handwriting expert to examine their father’s signatures on the planning documents Carole produced. The expert concluded that the signatures were forged, noting that they had likely been traced from Don and Carole’s marriage certificate. But Carole hired two of her own handwriting experts that concluded the signatures on Don’s documents were genuine. At the time, Don’s daughters said they didn’t have the money to continue to fight Carole over the forgery issue, so they chose not to further challenge the documents, and the court sided with Carole. However, given the new proof of forgery, can Don’s daughters further challenge Carole in court in an attempt to recover their rightful share of his assets? Sadly, it looks highly unlikely at this late date. The Clock Is Always Ticking Under Florida law, the general statute of limitations for legally challenging a will is four years from the date the will was filed, which expired in 2001. And while Florida’s general statute of limitations for challenging a will can sometimes be extended for up to 12 years in cases of fraud, that term expired in 2009. On the criminal side, both the sheriff and Florida Attorney General noted that the five-year statute of limitations for prosecuting Carole for forgery has also run. Of course, there’s no statute of limitation for murder, and the sheriff said they were pursuing new leads as of July. So there’s a chance that Carole could be convicted on a charge related to Don’s death, and if so, she would be forced to give up all of the assets she inherited from him. Florida, like most states, has a “slayer statute” that prevents anyone “who unlawfully and intentionally kills or participates in procuring the death of the decedent” from benefiting from their will. Yet even if that were to happen, it’s unlikely that Don’s daughters would be able to recover anything close to what they would be entitled to, especially since Carole has had control of Don’s assets for nearly two decades already. Given these new facts, what actions should have been taken to prevent such an epic tragedy from occurring? This leads us to our second lesson: Lesson Two: To avoid putting your loved ones through the unnecessary trauma and expense of litigating potential conflicts over your estate after something happens to you (and it’s too late), you must invest the time and money NOW to get planning in place with a lawyer. Although Don was quite wealthy, according to almost everyone who knew him, he never came across as such. In fact, he was a notorious penny pincher, who reportedly was even willing to go “dumpster diving” if it meant he could save a dollar or two. In light of this, Don undoubtedly thought that he could save time and money by creating his own planning documents without consulting a lawyer. Yet as we can see, trying to cut corners and save a few bucks by taking the DIY route with your planning documents is a huge mistake. Indeed, the potential consequences and costs to your loved ones can ultimately far exceed whatever minor savings in time and money you hoped to achieve by not enlisting the assistance of an attorney. As we pointed out last week, if Don had created his estate plan with the support of an experienced estate planning lawyer, none of this would have happened. And that same lesson applies here as well, particularly in light of these new facts. Had Don worked with a trusted lawyer to create, maintain, and update his plan, Carole would have been unable to pass off forged documents supposedly created by Don in 1996. And that’s because his lawyers, loved ones, and the court would all have copies of Don’s most recent plan, rendering any previous versions invalid. The reason you spend the time and money upfront to hire an attorney to put a proper plan in place is to prevent your loved ones from ever needing to hire their own lawyer down the road. Once something happens to you, whether it’s your eventual death or in the event of your incapacity, it’s too late—you must act now. By working with me, as your Personal Family Lawyer®, I can plan ahead to predict and prevent any potential for conflict that might arise over your estate, and I can also help ensure that there won’t be any legal grounds for your plan to be successfully contested. Moreover, I can also ensure that your loved ones, along with anyone who might have reason to dispute your plan, are fully aware of the reasons and intentions behind every choice you made in your plan—and they learn about these choices while you’re still around. In fact, we often recommend holding a family meeting (which we can facilitate) to go over everything with all impacted parties. Contact me, as your Personal Family Lawyer®, today to ensure your plan works exactly as intended, and your family isn’t subjected to a nightmare scenario like the one Don’s daughters experienced and are still dealing with to this day. But what about Joe? Don’t worry, we haven’t forgotten about Carole’s tabloid-headlining legal battle with Mr. Tiger King himself, Joe Exotic. We’ll explore the highlights of their epic feud—and offer more estate planning lessons based on it—in our third and final article in this series next week. This article is a service of Sarah Breiner, Personal Family Lawyer®. 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 Family Wealth 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.
You can begin by contacting Sarah today to schedule a Family Wealth Planning Session and mention this article to find out how to get this $750 session at no charge. What is a Personal Family Lawyer®? A lawyer who develops trusting relationships with families for life. Anyone who has seen the hit Netflix documentary Tiger King: Murder, Mayhem, and Madness can attest that it’s one of the most outlandish stories to come out in a year full of outlandish stories. And while Tiger King’s sordid tale of big cats, murder-for-hire, polygamy, and a missing millionaire may seem too outrageous to have any relevance to your own life, the series actually sheds light on a number of critical estate planning issues that are pertinent for practically everyone.
Over seven episodes, Tiger King provides several shocking, real-life examples of how estate planning can go horribly wrong if it’s undertaken without trusted legal guidance. In this series of articles, we’ll discuss some of the worst planning mistakes made by key people in the documentary, while offering lessons for how such disasters could have been avoided with proper planning. The Feud While the documentary’s dark, twisted plot is far too complicated to fully summarize, it focuses primarily on the bitter rivalry between Joe Exotic and Carole Baskin, who are both owners and breeders of big cats. Joe, the self-professed “Tiger King,” whose real name is Joseph Maldonado-Passage, runs a roadside zoo in Oklahoma filled with more than a hundred tigers, lions, and other assorted animals. I’m not going to lie - it took me a long time to bring myself to watch this. Carole is the owner of Big Cat Rescue, a Florida-based sanctuary for big cats rescued from captivity. As an avid animal rights activist, Carole goes on a public crusade against Joe, seeking to have his zoo shut down, claiming that he exploits, abuses, and kills the animals under his care. In retaliation, Joe launches an extensive media campaign of his own against Carole, in which he accuses her of murdering her late husband, millionaire Don Lewis, and feeding his remains to her tigers. The feud between Joe and Carole goes on for decades, and it ultimately peaks after Carole wins a million-dollar trademark infringement lawsuit against Joe. The legal fees and impending judgment from the lawsuit nearly bankrupt Joe, eventually pushing him to hire someone to kill Carole. However, instead of killing Carole, the individual Joe hires goes to the FBI and informs them of Joe’s murderous plot. Joe is ultimately arrested for hiring a hitman to kill Carole, along with multiple animal abuse charges, and he’s sentenced to 22 years in federal prison. Although the clash between Joe and Carole takes center stage and exposes key estate planning concerns related to business ownership and asset protection (which we’ll cover a little later) the most egregious planning errors are made by Carol’s late husband Don Lewis. In fact, the full extent of duplicity and damage related to these mistakes isn’t even uncovered by the documentary, and have only recently come to light following renewed public interest in the case sparked by the show. What’s more, since the fallout from Don’s poor planning has tragic results not just for him, but for the very loved ones he was seeking to protect with his estate plan, we’ll discuss Don’s planning mishaps first. Missing millionaire Don, a fellow big-cat enthusiast who helped Baskin start Big Cat Rescue, mysteriously disappeared in 1997 and hasn’t been seen since. After having him declared legally dead in 2002, Carole produced a copy of Don’s will that left her nearly his entire estate—estimated to be worth $6 million—while leaving his daughters from a previous marriage with just 10% of his assets. Carole was not only listed as Don’s executor in the will she presented, but she also produced a document in which Don granted her power of attorney. However, the planning documents Carole produced were deemed suspicious by multiple people who were close to Don for a number of reasons. Don’s daughters and his first wife claim that Don and Carole were having serious marital problems before he disappeared, and that Don was planning to divorce Carole. As evidence of this, we learn that Don sought a restraining order against Carole just two months before he vanished, in which he alleges Carole threatened to kill him. A judge denied the restraining order, saying there was “no immediate threat of violence.” Don’s daughters also claim that around the time the restraining order was filed, their father created a will that left the vast majority of his estate to them, and he did so in order to minimize any claims Carole might have to his property should he pass away. Additionally, Don’s administrative assistant, Anne McQueen, said that before he disappeared, Don gave her an envelope containing his new will and a power of attorney document, in which he named Anne as his executor and power of attorney agent, not Carole. Anne said Don told her to take the envelope to the police if anything should happen to him. According to Anne, the envelope with Don’s planning documents was kept in a lock box in Don’s office, but she claims Carole broke into the office and took the documents 10 days after he disappeared. At the time, Anne was being interviewed by detectives when she received a call from the alarm company, letting her know that the alarm in Don’s office had been triggered. When police arrived, they found Carole removing files from the trailer that served as Lewis’ office. She was being helped by her father and Don’s handyman. The handyman had cut the locks, and according to Anne, this was because Carole didn’t have a key. Later that day, Carole had the entire trailer hauled to the grounds of the big cat sanctuary. Anne told detectives that Carole removed the trailer and its contents in order to destroy his planning documents stored in the lockbox. From there, Anne believes Carole forged the will and power of attorney she ultimately presented to the court. Carole vehemently denied all of these claims. In an interview with the Tampa Bay Times, Carole said she moved the office trailer because her father claimed he saw Anne removing files from it a day earlier. She also insisted she never threatened Don’s life, and that he disappeared on one of his many trips to Costa Rica. She further claims that Don sought to disinherit his children in his will, and it was only at Carole’s suggestion that Don left them anything at all. Although law enforcement investigated Don’s disappearance from Tampa to Costa Rica, Hillsborough County Sheriff Chad Chronister said the investigation failed to uncover any physical evidence, only a conflicting series of stories and dead ends. In light of this, Don’s estate passed through probate in 2002, and his assets were distributed according to the terms of the will Carole presented, leaving Carole with the bulk of his $6-million estate, and leaving Don’s daughters with just a small fraction of his assets. While there’s more to the story surrounding Don’s planning documents and Carole’s suspicious actions, let’s first look at the planning mistakes Don made and how they could have been easily prevented. Lesson 1: Always work with an experienced estate planning lawyer when creating or updating your planning documents, especially if you have a blended family. If Don’s children and assistant are correct in their claim that Don created a will that left his daughters the bulk of his estate and disinherited Carole, it appears he did so without the assistance of an attorney. This was his first big mistake. There are numerous do-it-yourself (DIY) estate planning websites that allow you to create various planning documents within a matter of minutes for relatively little expense. Yet, as we can see here, when you use DIY estate planning instead of the services of a trusted advisor guiding you and your family, the documents can easily disappear or be changed without anyone who can testify to what you really wanted. In the end—and when it’s too late—taking the DIY route can cost your family far more than not creating any plan at all. Even if you think your particular planning situation is simple, that turns out to almost never be the case. As we covered in a previous article, there are a number of complications inherent to DIY estate plans that can cause them to be ruled invalid by a court, while also creating unnecessary conflict and expense for the very people you are trying to protect with your plan. And while it’s always a good idea to have a lawyer help you create your planning documents; this is exponentially true when you have a blended family like Don’s. If you are in a second (or more) marriage, with children from a prior marriage, there’s an inherent risk of dispute because your children and spouse often have conflicting interests, particularly if there’s significant wealth at stake. The risk for conflict is significantly increased if you are seeking to disinherit or favor one part of your family over another, as Don was claimed to have done with Carole. In fact, Florida law prevents one spouse from completely disinheriting the other in their estate plan, so unless Don was aware of this fact when he cut Carole out of his will, she would still be entitled to one-third of his assets upon his death, no matter what his will stipulated. By creating your own plan, even with the help of a DIY service, you won’t be able to consider and plan ahead to avoid all the potential legal and family conflicts that could arise. As your Personal Family Lawyer®, however, I am not only specially trained to predict and prevent such conflicts, but our unique planning process can actually help create connections among your loved ones and bring your family closer together. In fact, this is our special sauce. Finally, as we saw with Don, if your loved ones can’t find your planning documents—whether because they were misplaced or stolen—it’s as if they never existed in the first place. Yet, if Don had enlisted the support of an experienced attorney, his documents would have been safeguarded from being lost, stolen, or destroyed. When creating or updating an estate plan, it’s important to not only keep originals in a safe place, but that copies are maintained properly, and any older versions are discarded. Moreover, we ensure all beneficiaries of your plan know exactly what to do in the event of our client’s death, so your family can immediately put the necessary legal actions in motion to properly manage your estate. This is the most crucial piece! If you’ve yet to create a plan, have DIY documents you aren’t sure about, or have a plan created with another lawyer’s help that hasn’t been reviewed in more than 2 years, then we can review or help you create one to make sure your plan will remain safe and work exactly as intended if something should happen to you. Next week, I’ll continue with part two in this series on the estate planning lessons you can learn from the Netflix documentary Tiger King. Eventually we have to physically go back to work, kids have to go back to school. We are all talking about it. With the risks still posed by COVID-19, we all need to face the possibility that we could get sick, even if we take great care of ourselves through good nutrition, sleep, and exercise. And even if you don’t need to be hospitalized, if you do experience symptoms and test positive, you might have to stay quarantined for enough time that you’d lose income. These risks highlight the need for everyone, regardless of their age or current state of health, to have some form of disability insurance coverage.
You might think you don’t need disability insurance, especially if you’re young and in good health. Hopefully, you’re right. Unfortunately, though, becoming disabled can happen to anyone at any time. This isn’t specific to coronavirus either; it has always been true. The Americans with Disabilities Act has detailed specifics on what a disability is, but the most basic definition is that an individual has “A physical or mental impairment that substantially limits one or more major life activities of such individual.” That can apply to a car-accident or other injury, or a debilitating illness documented by a doctor, including mental illness or cancer. The sad fact is that, according to the US government’s statistics, one in four 20-year-olds become disabled before reaching retirement age. That makes it all the more important that you consider how to protect yourself with insurance. And this is very important: you must get the actual insurance before something happens. If you’re already sick, you can’t buy disability insurance to make up for lost income. So now is the time to make a plan. Here’s some information to get you started. What Qualifies You for Benefits (And What Doesn’t) Let’s get clear on one thing that applies to the coronavirus pandemic: only medical quarantine qualifies you for disability benefits. That means only medical self-quarantine related to COVID-19, which is verified by a doctor, will qualify you. Socially quarantining to decrease your chance of contracting the virus in the first place won’t qualify you for your disability insurance benefits. Disability insurance also won’t cover you if you lose income or health insurance because your employer has closed or laid you off. Also, disability insurance is not the same as health insurance. Though your failed health is the reason you’d get access to your disability insurance in the first place, disability insurance will not cover your medical bills. Disability benefits are basically to help you pay housing and food costs. But in a time when you’re dealing with disability, it’s good to have those bills covered while you are focused on healing and self-care. There are two different types of disability insurance, and knowing the difference will help you save a lot of time. Short-Term Disability Insurance Short-term disability insurance normally lasts around 3–6 months, sometimes up to a year or two years. It covers about 60–70% of whatever your salary is. The premiums you pay are often higher than long term coverage, ranging from 1–3% of your annual income. So for someone making $50k a year, it would range between $60 to $125 every month. The percentage depends on what kind of health risks the insurance company determines you have. If you smoke, for instance, the premium will probably be higher, just like with many health insurance policies. If you have a risky job, such as dealing with heavy machinery, premiums will likely be higher as well. A major upside, though, is that payouts usually happen within two weeks, which can be a huge relief in an emergency. Some financial experts like Dave Ramsey points out that, because of the higher premiums and shorter span of coverage time, you might want to consider building up a solid emergency fund with 3–6 months of expenses instead. You can consider that personal short-term disability coverage that you don’t have to pay premiums on. But if you’re living paycheck-to-paycheck and can’t foresee saving that much (like 80% of American workers, according to CNBC), and your employer doesn’t offer short-term disability insurance, or you are self-employed, it is something you may want to consider buying yourself. Long-Term Disability Insurance This is the type of insurance that is most important to get, no matter what. This is the type that will last through a long recovery or treatment period. Look for a “non-cancellable insurance policy”, which will keep the insurance company from being able to cancel your policy if you have any health changes. Long-term disability insurance may pay you benefits for a few years or until your disability ends. Most policies cover 40–60% of your salary, but ones that pay up to 70% do exist, and you should try to find one. These policies also cost 1–3% of your yearly income, but they tend to be on the lower side than short-term. A major difference between the two forms of insurance is that it can take up to 6 months to see a payout. This means that it’s not the best option for covering costs if you have to go into medical quarantine for COVID-19. We recommend that, even if you decide to pass on short-term disability in favor of emergency fund savings (or if your employer already covers it), you should definitely consider a long-term policy to protect your earnings. Remember, though, it will only pay a percentage of the income you’d be taking in otherwise. Make sure you also have health insurance and as much savings as you can get to protect yourself as well. The pandemic is causing us to consider a lot of things that we may not have before, even if maybe we should have.
It brings to mind something a colleague of mine shared a while back. One unremarkable weekend, she left her small children with a babysitter and headed out to enjoy dinner at a restaurant with her husband. But as she sat there, a thought crept into her head that she couldn’t let go. What would happen to her kids, she thought, if she and her husband got into a car accident on the way home? If you have talked with me for any length of time, I have probably shared this story with you. It was a conversation with this particular colleague that changed my entire perspective on my estate planning practice. It also made me feel I had failed to truly plan for my own kids. And even though my colleague is an estate planning lawyer herself, and she had a will at home naming guardians for her kids (as did I), she didn’t have a definite and clear answer that provided the comfort she wanted. Her will was in a vault, and her named legal guardians lived thousands of miles away. It was that thought that spurred her to take action, not only for her own family, but to create tools and resources for others as well. She even wrote a best-selling book on the subject. Not going to lie; wish I had thought of that! If you’d like to read the book she wrote as a result of her own discoveries, it’s called “Wear Clean Underwear” and you can get a copy for free on the website in the Freebies section here: https://www.breinerlawllc.com/free-resources.html One thing you’ll discover in the book is that even naming a legal guardian in your will is often not enough to keep your kids out of the care of strangers, or someone you wouldn’t want, if something happens to you. As lawyers, we know that your will is only effective if you die. What happens if you are only temporarily injured or ill but cannot care for your children? Well, if there is not another available parent or biological adult living in the household, then child protective services is often involved. Why is this not common knowledge? Why is this not addressed by more estate planning lawyers?? I am working to change that! Chances of COVID-19 Infection in the Family If you are young and healthy, it might be hard to imagine that you won’t be there to care for your kids. But if the COVID-19 pandemic is showing us anything, it’s that even a healthy person can contract a serious illness that leaves them incapacitated and unable to care for their children. If there is more than one adult in the house, that may alleviate some of your worry. While naming legal guardians for your kids may feel especially urgent for a single parent, parents with partners aren’t off the hook. You should take precautions though, especially since there are high infection rates among people who live in the same household. A professor at the University of Florida has found a more than 19% chance that someone else in the household of a person infected with COVID-19 will also contract the disease. Researchers estimate the average incubation time is about four days and could be infectious for up to two weeks. That means it’s not outside the realm of possibility that you and your partner could both contract the illness, possibly at the same time. These facts are not here to scare you, but to empower you. While I too often feel helpless against such statistics, I have to remind myself to take action where I can, when I can. An Easy Way to Find Guardians for Your Children Even if you never contract COVID-19, you are of course still human, and vulnerable to accidents and other dangers that could separate you from your kids—either temporarily or permanently. I want you to know there are simple ways to plan for this as part of your estate plan. When I create a Guardian Guide for a client, we legally document the authorized temporary emergency contacts. We start with friends, neighbors, or family that would be most able to arrive quickly and would be able to take care of the children for any length of time. This may be a few hours, to a few days or weeks, until family or the chosen long-term guardians can make further arrangements. And, if you are having a difficult time deciding who to name as legal guardians for your children, I can even help you make the right decisions. Officially answering the question of who will care for your kids if you can’t—even for a short time—is one of the best things you can do right now. It is a real, concrete way you can protect your kids during this scary period of time. If you want to know more about choices to make for your kids through estate planning, you can check out one of my upcoming free workshops or watch one of my recent pre-recorded workshop webinars on demand. On one of our co-parenting family vacations in St. Augustine, FL Ok, we’re going to get really forward thinking here this week! With societal attitudes about love, marriage, and parenting constantly evolving, our perception of what constitutes “family” is becoming more and more flexible. As family structures become more varied, we’re learning that when it comes to raising children, the marital status, gender, and even relationship status of the parents matters less and less to society. I, personally, am so happy to see this trend but we still have a long way to go.
One new child-rearing trend that highlights this notion is platonic parenting. Also known as co-parenting, platonic parenting involves two or more people who agree to raise children together without a romantic connection. And we are discovering this nontraditional style of parenting can produce children who are just as well adjusted as those raised in a happily married household. What children need most are parents who are committed to loving and supporting them - of course we know this. Whether or not the parents have a romantic relationship with one another is immaterial to their ability to raise healthy and happy kids, so long as their co-parenting relationship is solid. This can look like so many different things. This can be two biological parents that are no longer romantically involved, it can be a family where there are more than two co-parents romantically involved, or it can look like conscious, platonic co-parenting by more than one set of parents, like we do in our family. For me and my family personally, we know it takes a village and we have created our own. We have benefited greatly from platonic co-parenting with our best friends and their kids. Some of my favorite clients have been families that have these unique parenting styles because I get to enjoy the creativity that comes with creating estate plans for these unique situations. I also find these are often times some of the the happiest parents I work with because they have this additional emotional and organizational support from multiple adults splitting the workload. An Alternative Arrangement Platonic parenting was pioneered within the LGBTQ community, where until recently same-gender couples couldn’t legally marry and didn’t have the court system to make up rules for them about post-breakup parenting. Following a romantic split, these families were forced to create innovative, outside-the-box parenting arrangements on their own. More recently, platonic parenting has spread to married couples looking to more effectively raise their children following divorce. By maintaining an amicable and cooperative relationship—sometimes even cohabitating—a couple whose romantic connection has dissolved can not only spare their children the trauma of divorce, but they may also find the arrangement is much healthier for them. Indeed, couples who stay unhappily married for the children’s sake often find the arrangement can be even more harmful to the whole family than a clean divorce. And now, more and more people are choosing to raise children together using platonic parenting, without ever having a romantic relationship to begin with, or where there is a third or fourth adult in the relationship. Indeed, with today’s legal structures, people of all genders and sexual orientation are entering into a variety of platonic parenting relationships, putting a new spin on the notion of a blended family. Parenting Partnerships While platonic parenting might seem highly atypical and even controversial, given all of the work that goes into loving and raising children, it only makes sense that some would want to make parenting a team effort. Platonic parenting is particularly enticing for those who find themselves moving through their prime child-rearing years in the absence of a romantic relationship. Did you know there are even “matchmaking” sites specifically to find platonic co-parents now?? How interesting is that?! Just like any parenting arrangement, platonic parenting requires massive levels of trust, communication, and planning. The first step of the new partnership is for all parties to come up with a solid legal agreement governing the financial commitments and living situation. Other issues to work out include how to handle new romantic relationships, if/how to incorporate platonic partners into family gatherings, along with all sorts of other basic ground rules. You’ll also need to talk about how to discuss the arrangement with any existing children and other family members, so everyone understands exactly what this new life will entail. This is, of course, if there is a shared custody or guardianship of the children, whether or not there is a marriage involved in the dynamic. In the alternative, our family co-parents with another family that also has two children. We do not share any legal custody of each other’s children and we live in separate homes very close to each other. We carry the burden for each other of scheduling for the kids, doctor’s appointments, and feeding the family as a whole. This often looks like one mom taking all the kids to the dentist at once while the other mom is at home cooking dinner for everyone. It is truly amazing! Creating a Legal Foundation With so many important agreements to be made, those seeking to create a platonic parenting arrangement should seek legal counsel at the outset of the relationship. I love to help families navigate these types of non-traditional partnerships, and I offer a wide array of estate planning tools to help define the legal rights and responsibilities of each individual involved. If you choose a more informal relationship like our family’s then we address the guardianship choices you have - to make sure your co-parenting adults are included in whatever capacity you choose. We use both your will and Guardian Guide to document what role you would want the non-biological or adoptive co-parents to take if you were gone. If you would want a family member to be the guardian for your children if you are gone, but don’t want to exclude your platonic or non-platonic co-parents in your children’s lives, we have legal documentation to address that! Whether you’re seeking advice on planning a platonic parenting relationship, or you need me to draft legally binding co-parenting agreements, or even just to get your own estate plan going, you know you can always schedule a consult to discuss the options and schedule your Family Wealth Planning Session to go over options for creating the proper legal foundation for your family. Here’s to a new year and an organized you! I also want to share my gratitude for all of you. You make my practice possible and I am wishing you a happy and productive month! ![]() As we head towards the end of the year, we’re fast approaching the deadline to implement your family’s tax strategies for 2019. The Tax Cut and Jobs Act (TCJA) completely overhauled the tax code, and if you’ve yet to take full advantage of the benefits offered by the new tax law, now is the time to do so. To qualify for some TCJA tax benefits, you’ll need to act by December 31, so don’t wait to get started. The following 4 tips could save your family big money on your 2019 tax bill. 1. Rethink itemization Under the new tax law, itemizing your deductions might no longer make sense. That’s because the TCJA increased the standard deduction up to $12,200 for individuals and $24,400 for married couples filing jointly. So, if you're filing a joint return, you need more than $24,400 in itemized deductions to make itemization worth it. The law also places new limits on itemized deductions, including a $10,000 cap on property taxes, and the elimination of state and local income-tax deductions. Given these changes, taking the standard deduction might be the best option, but other factors, such as your health expenses and charitable giving, could affect your decision, so consult with your CPA to make sure. 2. Maximize contributions to retirement accounts By maximizing your contributions to tax-deferred retirement accounts like IRAs and 401(ks), you can not only save for retirement, but also reduce your taxable income for 2019. In 2019, you can contribute up to $6,000 to an IRA and up to $19,000 to a 401(k) if you're under 50, and up to $7,000 to an IRA and $25,000 to a 401(k) for those 50 and older. If you can’t afford the maximum amount, try to contribute at least the amount matched by your employer, since that’s basically free money. You have until December 31, 2019 to contribute to a 401(k) plan and until April 15, 2020, to contribute to an IRA for the 2019 tax year. 3. Defer your income if you'll make less next year If you’re expecting to make significantly more income this year than in 2020, try to defer as much income into next year as possible. However, this strategy only makes sense if you’ll be in the same or a lower tax bracket next year. This might mean asking your boss to delay paying a year-end bonus until after January 1, 2020, or if you’re self-employed, waiting to invoice some clients until the new year. And whether you’re an employee or self-employed, you can also defer income by taking capital gains in 2020 instead of in 2019. On the other hand, if you think you’ll be in a higher tax bracket in 2020, you may want to do the opposite and accelerate income into 2019 to take advantage of a lower tax bracket. Contact us to find out what’s best for your situation.4. Save on the child tax credit The child tax credit now offers up to $2,000 per qualifying dependent child. To qualify, your child must be 16 or younger at the end of 2019. The first $1,400 of the credit is refundable, so the credit could reduce your tax liability to zero, and you’d still receive a refund.The cut-off for the tax credit is $400,000 for married couples filing jointly, and $200,000 for everyone else. Don’t miss out on 2019 tax savings Implementing these—and other—year-end tax-saving strategies could save your family thousands of dollars on your 2019 tax bill. But if you don’t act soon, these opportunities may vanish for good, so meet with your CPA as soon as possible. If you need references for trusted advisors, just let me know. Haven't checked out the planning + productivity Mama Mastermind? Watch the video chat here Listen to the audio of this week's video instead here. Many families choose to spend their Thanksgiving Holiday volunteering at soup kitchens, food pantries, or other shelters. While this is a great time of year to do so, we know that these facilities are overwhelmed with volunteers during the holiday season and then in great need of volunteer and monetary support the rest of the year when families have gone back to their day-to-day lives. Volunteer work such as this is such a great way to teach your children gratitude, financial responsibility, and to recognize there are many in need this week and all year round.
Volunteering and giving are great opportunities to build family unity. Bob Graham, Founder of the Namaste Foundation has discussed that in his career as a CPA he worked with clients who had inherited wealth. “I noticed the tremendous insecurities many had,” says Bob. “They lacked confidence in their ability to earn money on their own and were fearful of losing money – almost to the point of being incapable of managing it or even of responding to professional advice.” When he founded Namaste, he involved his children in the operations and later management so that they would learn financial and social responsibility. One of the gifts he gives his children at the holidays is a sum of money that they are then required to give to a charity of their choosing. I am starting this tradition with my children this year! Here are some guidelines to keep in mind when gifting to charity this season: Household items. These must be in good condition or better in order to qualify for a deduction, unless you are donating an item with a value of over $500 and have a qualified appraisal. If the value of your donated household items exceeds $250, you must have a written receipt from the charity that describes the items. If the total of your non-cash contributions exceeds $500, you will need to complete a Form 8283 and attach it to your tax return. Money. You must have a written receipt or bank statement for any donation of money to a charity, regardless of the amount. You can gift via cash, check, credit or debit card. If you donate via credit card in December but don’t actually pay that off until January, you can still take the deduction on your 2019 tax return. If you donate via payroll deduction, you’ll need a W-2 wage statement or other documentation from your employer that shows the total amount donated in 2019. Qualified charity status. Only eligible charities qualify for a deduction. You can check the eligibility on the IRS website by going to https://apps.irs.gov/app/eos/ Here are guidelines when gifting to your own family members this season: Annual exclusion. You are allowed to gift up to $15,000 in cash, property or other assets to any one person without having that count toward your lifetime gift tax exemption. If you are married, you can donate up to $30,000 as a couple to as many people as you want, as long as the total given to each does not exceed $30,000. You do not even have to be related to the recipient. Plus, limits on gifts to spouses don’t apply. Funding for college plans. Contributing to a child or grandchild’s college education is a gift that keeps giving forever. Contributions to a Section 529 education savings plan can be made up to the annual exclusion amount as well. Money in these plans grows tax-free and is allowed to be withdrawn tax-free as long as the funds are used for educational purposes. Other gifts. If you pay someone’s tuition or medical expenses (including health insurance premiums) directly to the service provider, this will not count against your annual exclusion or lifetime gift tax exemption. As long as it is paid direct to the provider, you won’t have to file a gift tax return. These are all great options, especially for grandparents looking for a productive way to gift to their children or grandchildren. There are also constructive ways to use gifting to reduce a taxable estate! If you are spending the upcoming holiday with older family members, this is actually a great opportunity to talk about planning with them. While there are few “perfect” times to talk with parents about their estate plan, the relaxed times you spend together on vacation or downtime during the holidays can be one of them. You have the benefit of having everyone together sitting down in one place. So take advantage of that!
Here are some tips on how to bring up this critical conversation: Find a good place to start. One of the best ways to ease your parents into a financial discussion is to bring up your own. Tell your parents that you were looking into your own estate plan and wondering if they had already executed their own. You can let them know that you have learned that the different types of plans require very different levels of effort from the executor and cost from the estate and that you want to be prepared to know what to expect. If nothing else ask for the to tell you who they have put in charge. Take it easy. If you feel that your parents may need extra help and support with organizing their financial lives, be reassuring rather than applying pressure. Let them know that you want to make sure their fi nancial independence is kept intact for as long as possible. Take things one step at a time, such as extending an offer to help them use online bill pay or assist them with organizing their information at tax time if they are not tech savvy. Share with them your asset tracking and bill pay spreadsheet that was prepared as part of your planning. If you haven’t done your planning yet, reach out to me and I will be happy to share the sheet with you! Respect boundaries. Many parents feel uncomfortable discussing their finances with their children. If you face this obstacle, let your parents know that you don’t need to know the amount or particular details of their accounts if they aren’t comfortable, but you at least need to know where to find their important documents when it becomes necessary, but that you aren’t attempting to control them in anyway. You simply want to help and make things as easy as possible for you and your siblings when something does happen. What is a Personal Family Lawyer®? A lawyer who develops trusting relationships with families for life. |
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