May is National Elder Law Month. Unlike most attorneys whose work is defined by the type of law they practice, elder law attorneys are best described by the clients they serve. Elder law attorneys work with seniors, disabled individuals, and their families in the following areas:
The estate tax exemption, currently set at $11.7 million for singles and $23.4 million for married couples, is set to expire in 2026. However, the current administration has signaled a desire to reduce the exemption, though no one knows exactly when that might happen or how low the exemption might go. This uncertainty means that anyone with more than $5 million in assets may want to maximize life-time giving while minimizing taxes.
Most people assume that their wealth will go first to their spouse, and then to their kids, but are often hazy on the details of what that means. In estate plans, as well as in the beneficiary designations for life insurance and retirement accounts, you may find language like “per stirpes,” “per capital at each generation,” or “by representation.” Each of these phrases change the way that an estate is divided among beneficiaries.
Diagnosing memory problems can be difficult. Memory problems can be caused by depression, thyroid problems, a reaction between medications, dehydration, vitamin deficiency, stroke, infections, and dementia. If you are beginning to suspect that a loved one may be developing a memory problem, there are actions you can take immediately to help them.
To age in place successfully, a senior has to be able to engage with others, and remain healthy and safe in their independent living situation. The right technology can support their ability to do that. Discuss whether certain apps or devices might help your loved one stay safe and healthy, and consult with their primary care practitioner to identify areas where technology may help now and in the future.
Before he was elected, President Biden campaigned on a promise to lower the estate tax exemption limit, and to consider abolishing the step-up in basis for capital gains tax. While it is difficult to predict when the Biden administration will turn its attention to taxes, it appears that their current priorities are managing the pandemic and shoring up the economy. That leaves a small window to consider how these proposed changes may impact your estate plan, and to prepare any necessary changes in advance of when it will be discussed.
The internet offers all the information and tools we need at our fingertips to create our own estate plan, right? For most people, this is simply not true. Several years ago, Consumer Reports®, an independent nonprofit consumer watchdog group, created wills using the forms provided by DIY websites and asked three law professors to review them. Although the professors found that the wills drafted using the DIY services were better than wills drafted by non-lawyers on their own, they were inadequate to fully meet the needs of most consumers. Although your DIY “estate plan” may initially cost only $49.95, it may end up being much, much more expensive than an estate plan designed by an experienced estate planning attorney.
It seems like everyone wants to avoid probate.
While there can be benefits to avoiding probate, most of my clients are best served by planning for their estates to go through probate, rather than using a revocable living trust. There are a lot of myths about why probate should be avoided, particularly in Washington State.
