There is quite a bit of misinformation out there regarding FDIC Insurance.  Unfortunately, some of this is coming from the bank staff themselves. This was a discussion topic amongst a national listserve of estate planning lawyers that I am a member of.

To clear up some misunderstandings, IRA’s are covered by FDIC insurance if the account is held at an FDIC insured institution.

Continue reading “IRAs & FDIC Insurance” »

For many people, choosing the right type of life insurance can be a complex and daunting experience.  This sounds very similar to the estate planning process.  Often people looking to their insurance provider, financial planner,or Michigan estate planning attorney for advice on the different types of insurance available.

As a Michigan estate planning lawyer, I do not sell the insurance or tell clients which insurance to get, but I will educate them on the difference between the types of insurance available.  I leave the selling, recommendations,  and specific advice to the insurance professionals and financial planners.

Often people are confused with the difference between term insurance and whole life insurance.

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In this down economy, especially in Michigan, planning for today seems more important than planning for the future.  That unfortanly leads to even more procrastiantion when it comes to individuals preparing their estate plan.

Smart Money has an article entitle “Estate Planning Without Anxiety“.  The article discusses some simple steps to take so that you can plan your estate without anxiety.

They first recomendation is to take stock of everything you own.  I recently worked with clients who were helping their parents with their estate plan.  I told them that it is much easier when everyone is around to organize accounts, passwords, documents, deeds then once someone has passed.

The rest of the article talks about Federal Estate Taxes and advanced estate planning techniques including Credit-Shelter Trusts, Generation-Skipping Trusts, Qualified PErsonal Residence Trusts,  and Irrevocable Life Insurance Trusts,

Continue reading “Smart Money | Estate Planning Without Anxiety” »

The other day I was meeting with another professional in our Bloomfield Hills office and we started talking about financial and estate planning.  We both shared the view that estate planning is more than just passing along assets to the next generation.  Estate planning is about passing on a legacy.

Included in a legacy are family values, beliefs and spiritual principals.  I argue passing down this legacy is more important than just financial assets.

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Choosing the correct trustee for your trust, personal representative for your will, and agents for your financial and health care powers of attorney are some of the most important estate planning decisions that you can make.  As Michigan estate planning lawyers, we often assist our clients in making these tough decisions through compassionate counseling (something you won’t get with Legalzoom, Suze Orman, or any of the other “trusts in a box” sources).

Continue reading “Michigan Estate Planning How-To | How to Choose Fiduciaries” »

With asset prices, interest rates, and our economy down, this is an opportune time for retirees and seniors to look to working on their Michigan estate planning needs.  Unfortunately, many are tightening their budget and not interested.

Janet Kidd Stewart wrote an article for the Chicago Tribune entitled “Estate Plans need to be on the Agenda.”  In the article she talks about how with the down economy, one must also look to adjusting their estate plan to reflect the changes in the markets.

She writes:

Wealthy or not so wealthy, many retirees are scaling back this year on what they will do for their heirs. Wealthier families are re-examining tax strategies that involve gifts to family and charities, and retirees with more modest portfolios are reducing their help for adult children so they can preserve more of what is left of their nest eggs, financial advisers said.

This is particularly true in Michigan, where we have been hit hard by the downturn in the economy.

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Our Estate & Business Planning law firm recently moved from Farmington Hills & Troy to Bloomfield Hills.  This move reminded me of how we help our clients when they move, because moving your residence could have drastic effects on your estate plan.

The main concern is if you have a revocable living trust.  If you have a trust based estate plan, then the key is to keep your trust properly funded.  Changes in accounts or assets need to be analyzed by an estate planning attorney to determine if the new asset or account should be included in the trust or not.

Continue reading “Michigan Estate Planning Topic | Moving? It’s All About Title” »

The liberal Citizens for Tax Justice have released a report that Obama’s proposed tax policy “would be a regressive and costly giveaway to the very wealthiest families in America,” according to an AP report by Jim Abrams.

As a Michigan estate planning lawyer, my main concern with the tax is how it effects small business owners.  If the proper planning is not done, these “death taxes” can lead to the liquidation of family businesses just to pay the tax upon the passing of the owner.  The key is proper planning by an accomplished and experienced estate planning lawyer.

Continue reading “Discussion in Estate Planning | Should the Federal Estate Tax be Frozen? ” »