PLANNING FOR YOUR STAGE OF LIFE
At every stage of life, thoughtful planning can help protect your family, preserve your assets, and ensure that your wishes are respected. The following are some of the planning considerations that may arise as your personal and family circumstances change. Because every situation is unique, we invite you to contact our office to discuss your individual needs and goals.
PLANNING FOR INDIVIDUALS
Every adult should consider having, at a minimum, a Life & Estate Plan that includes a basic Power of Attorney, Health Care Proxy, Living Will, and Last Will & Testament. These documents allow you to designate trusted individuals to make financial and health care decisions on your behalf, if necessary, and to communicate your wishes regarding your financial assets, medical care, and determine how your property will be distributed after your death.
Without appropriate planning, important decisions may be left to the courts or governed by state law rather than your own expressed wishes. A properly prepared plan helps you maintain control over these important personal and financial decisions.
PLANNING FOR MARRIED COUPLES
Marriage does not automatically give either spouse unlimited authority to manage the other's finances of make all health care decisions if the other becomes incapacitated. Depending on the circumstances, access to financial accounts, medical information, and decision-making authority may require specific legal authorization. A coordinated Life & Estate Plan can help ensure that each spouse has the appropriate authority to act on the other's behalf when needed and that both spouses' wishes are respected.
PLANNING FOR PARENTS WITH YOUNG CHILDREN
Parents with minor children should consider how their children would be cared for and financially supported if one or both parents were to die or otherwise become unable to care for them. An effective Life & Estate Plan can address the nomination of guardians for minor children and provide for the management of assets intended for their care and benefit.
Without proper planning, decisions regarding who will become the children's legal guardian and who will manage the financial resources intended for their care could ultimately be left to the courts. Thoughtful planning allows you to express your wishes and establish a framework for your children's care, financial security, and future well-being.
PLANNING FOR PARENTS WITH CHILDREN TURNING 18 OR HEADING TO COLLEGE
When a child turns 18, parents generally no longer have the inherent legal authority to access the child's private medical information, manage the child's financial affairs, or make health care decisions on the child's behalf. This can create significant difficulties if a young adult becomes seriously ill or is involved in an accident.
Young adults should consider executing appropriate documents, including a Health Care Proxy and Power of Attorney, to authorize trusted individuals to assist with health care and financial matters when necessary. These documents can be particularly important for young adults leaving home to attend college or beginning their independent lives.
PLANNING FOR CHILDREN OR LOVED ONES WITH SPECIAL NEEDS
If you have a child or loved one with a disability or special needs, specialized planning may be essential to provide for their long-term care and financial security. Depending on the individual's circumstances, a carefully structured plan may help preserve eligibility for means-tested government benefits while providing supplemental resources for the individual's needs.
Planning may involve establishing a Special Needs Trust, guardianship, or other decision-making arrangements, and coordinating with family members and professional advisors. The appropriate approach would be based on the individual's needs, existing benefits, and long-term care objectives.
PLANNING FOLLOWING DIVORCE
If you are divorced or in the process of getting divorced, it is important to review and update your Life & Estate Plan to reflect your change in marital status. This may include updating your planning documents (e.g., Power of Attorney, Medical Directives, Last Will & Testament, etc.), reviewing the ownership on your financial accounts, and updating the beneficiary designations on your brokerage accounts, retirement accounts, and insurance policies, as appropriate.
Failing to update your plan could result in unpleasant and unintended consequences, such as your former spouse remaining as a beneficiary of your assets or retaining the authority to make financial, property, or health care decisions on your behalf.
PLANNING FOR RE-MARRIAGE & BLENDED FAMILIES
If you are re-married or have a blended family, it is important to update your Life & Estate plan to account for your new family structure. At a minimum, you should consider preparing new Advance Directives and Last Wills & Testaments that reflect your latest wishes and those of your new spouse.
In addition, you may wish to consider executing a specially prepared Trust to help ensure that your children from a previous marriage are not inadvertently disinherited from your estate if you predecease your new spouse. When it comes to estate planning, re-marriage and blended family situations present many unexpected and often overlooked legal hazards. If you're re-married or have a blended family, it's important to review and update your Life & Estate Plan to account for your new family circumstances.
PLANNING FOR RETIREES & SENIORS
If you are retired or nearing retirement, it is important to revisit your Life & Estate Plan to ensure that it will continue to be effective in carrying out your planning goals. Living on a fixed income while managing the high cost of living can quickly erode the wealth you have accumulated over a lifetime of hard work. In addition, facing the prospect of increasing healthcare needs in the future can be extremely daunting.
For these reasons, you may wish to explore whether certain asset preservation strategies - such as obtaining long-term care insurance, establishing and funding a Trust, or changing the ownership of your home - may be appropriate for your particular situation. If you are retired or nearing retirement, it is important to understand the planning options that may be available to help you protect your home, financial assets, and retirement accounts.
PLANNING FOR LOVED ONES WHO NEED LONG-TERM CARE
When a loved one requires long-term care, the cost of in-home assistance, assisted living, or nursing home care can place a substantial burden on family finances. Understanding the available care options and potential eligibility for Medicaid benefits can be an important part of planning.
Depending on the circumstances, it may be possible to pursue Medicaid eligibility while preserving certain assets and income within the limits of applicable law. Because eligibility rules, transfer restrictions, and planning options vary according to the type of care and the applicant's circumstances, timely legal guidance can be particularly important.
PLANNING FOLLOWING THE DEATH OF A SPOUSE OR LOVED ONE
Following the death of a loved one, certain legal documents may need to be timely filed with the Surrogate's Court to initiate estate proceedings. This process may involve establishing an estate account, collecting estate assets, paying outstanding bills and debts, and ultimately distributing the remaining estate assets to the appropriate beneficiaries.
In addition, following the death of a spouse or loved one, it is important to re-visit your Life & Estate Plan to ensure that the appropriate updates are made to your Advance Directives, Last Will & Testament (and Living Trust, if applicable), as well as the beneficiary designations on your financial accounts, retirement plans and insurance policies.
Dealing with the loss of a loved one can be a difficult and emotionally challenging time. However, taking the appropriate steps can help avoid unintended consequences, ensure that your loved one's estate is properly administered, and keep your Life & Estate Plan up to date so that it will continue to be effective in carrying out your wishes.
PLANNING FOR YOUR FUTURE
Whichever stage of life you are experiencing, The Law Offices of Michael J. Amoroso can help you evaluate your planning needs and develop a strategy tailored to your circumstances and goals. Our objective is to help you protect your loved ones, preserve your assets, and ensure that your wishes are respected.
Contact us at (914) 686-7272 to schedule a consultation and discuss how thoughtful Life & Estate Planning can help protect what matters most to you.