by Bill Miller | May 17, 2018 | Estate Planning, Probate
Probate or avoid probate – one of the main issues you must decide when creating your estate plan. For many people, probate is not the best solution for settling an estate. Probate proceedings can be long, expensive, and frustrating for the heirs and the executor. Fortunately, there are perfectly legal ways to avoid probate.
Probate Explained
After someone dies, their property – their stuff – has to go somewhere. So, if the person who died left a valid Will, someone submits the Will to the court to be probated. An executor appointed by the court begins the sometimes tedious process of gathering the decedent’s assets and claims against the estate. The executor pays claims and distributes property is to heirs. Additionally, the executor closes the probate estate when everything is done.
When there is no Will, the property is still distributed. However, the law determines who gets what, not the decedent.
It is usually best for the heirs when the decedent’s property does not pass to them through probate. We’re going to look at three ways to make this happen.
Joint Tenancy to Avoid Probate
With this type of property ownership, two or more people own the property. Each owner has an undivided, equal interest in the property. In joint tenancy, a deceased owner’s interest does not pass to the other joint tenants.
Sometimes people own property with a joint tenancy with right of survivorship. This means that if one owner dies, the other owner gains possession of their ownership interest. In Alabama, this joint tenancy with the right of survivorship does not occur automatically. Instead, legal document must clearly state the right of survivorship.
Property that passes through right of survivorship usually does not become part of the probate estate. Without the right of survivorship, it does.
Beneficiary Designations to Avoid Probate
With most financial accounts and certain other assets, the owner may designate who will receive the asset upon the owner’s death. You’ve probably seen beneficiary designations on retirement accounts, bank accounts, and insurance policies.
One thing to remember is that beneficiary designations trump the Will. Usually, property passed through beneficiary designations will not pass through probate. Instead, it is transferred quickly to the beneficiaries named by the deceased owner.
Although the speedy transfer is great, discuss these designations with your estate planning attorney. Unless your estate plan and the designations are in sync, your heirs could receive more or less than you intended. For example, if your Will states that your three children will inherit equal shares of your estate, but you name your oldest child as beneficiary on your insurance policy, the oldest child will likely receive more than the other two children.
Revocable Living Trusts to Avoid Probate
Trusts are useful estate planning tools. There are various trusts for various purposes, including the revocable living trust.
Revocable means the settlor, the person who established the trust, can change the trust fairly easily. After signing the trust document, the settlor transfers assets to the trust. People often use this type of trust to avoid probate, reduce estate taxes, or manage assets. In general, trusts avoid probate because the trust assets never become part of the settlor’s estate.
A Little Planning Is What’s Needed.
For most people, it’s not that difficult to avoid probate. It just takes some astute estate planning with the assistance of an attorney who knows Alabama law.
The attorneys at Miller Estate and Elder Law have the experience you need to get the estate plan you deserve. Contact Miller Estate and Elder Law at 256-251-2137 to schedule an appointment or fill out our convenient Contact Form. We help clients in Anniston, Talladega, Birmingham, Gadsden and surrounding communities.
To learn more:
Pros and Cons of TODs and PODs
by Bill Miller | May 14, 2018 | Medicaid
Many think they are not eligible for Medicaid because that’s only for elderly people. Nothing could be further from the truth. The Alabama Medicaid program offers Medicaid benefits to qualified children, parents, and caregivers. It’s important to understand the application process and what services may be covered.
Benefits for Children
Some of the services available to kids who qualify for full Medicaid benefits are:
- Dental services until age 19 unless they qualify for this service under another category.
- Up to 14 doctor visits each year and up to 16 days of doctor’s care while admitted to a hospital.
- Eye exams and eyeglasses at least once a year, depending on medical need.
- Hearing screening once a year and hearing aids.
- Certain home health
- Hospital stays, including psychiatric services for people under age 21, x-rays, and lab tests.
- Maternity
- Some prescription drugs.
- Renal dialysis.
- Some transplants.
- Ambulances and non-emergency transportation.
- Services covered by the Well Child Checkup Program.
To receive Medicaid benefits, children must meet some requirements:
- Must be an Alabama resident under the age of 19;
- Living in either a one or two parent family;
- Family income must be below the current level;
- Must be a U. S. citizen or have an approved immigration status.
Children who are not eligible for full Medicaid benefits may qualify under the All Kids Program. Through Blue Cross Blue Shield of Alabama, children can receive health care under low-cost, yet comprehensive, health care coverage.
Benefits for Parents and Caregivers
Some parents and caretaker relatives can receive full Medicaid benefits if they meet the following requirements:
- Have a child under age 19 who is a close relative living at the parent/caretaker’s home. Caretakers not related to the child are not qualified for Medicaid, but the children may be.
- Be an Alabama resident.
- Be a U.S. citizen or an immigrant in good standing.
- Must assign all medical insurance or medical support benefits to the State,
- Must report all household changes like birth, pregnancy, someone moving, address changes, or income changes.
The income of every person listed as part of the house is totaled to see if the family meets Medicaid income requirements.
Applying for Medicaid
Applications can be submitted online or as a hard copy. Qualifying may be difficult and the whole process can be complicated. A sliding scale is used to determine the income limits for the applicant. For example, a child whose monthly family income is $2,003 for a family of 2 may be eligible.
We Can Help with Medicaid Eligibility Concerns.
The attorneys at Miller Estate and Elder Law know how to help you with Medicaid eligibility. For a free consultation, contact us at 256-251-2137 or use our convenient Contact Form. Although we’re located in Anniston, we also help clients in the Birmingham, Gadsden, Hoover, Talladega, Vestavia Hills, and surrounding areas.
For more information:
Applying for Emergency Medicaid
Estate Planning for All Ages
by Bill Miller | May 10, 2018 | Estate Planning
As we pass through life, we make memories, build families, and learn life lessons. Some memories may bring a smile to your lips and a tear to your eyes. Even if you’ve been entertaining and instructing family for years, it’s still time to consider writing an ethical will.
Isn’t My Regular Will Enough?
An ethical will may also be known as a legacy letter. It’s something in writing, a written expression, that your family may cherish for years. No matter how well you communicate, it’s unlikely you’ve told every family member every little thing about your life. Well, you can include those details, memories, and lessons in your ethical will.
Some of the things you may want to include are:
- Your complete family history.
- A detailed personal history.
- The theories, beliefs and opinions you hold dear.
- Things you’ve done that you are particularly proud of.
- Actions your loved ones have taken that made you proud, but you somehow never talked about.
- Lessons you learned from your parents, grandparents, aunts, and uncles.
- Secrets about your early years that may delight your family.
There’s no wrong way to write your ethical will. Remember, this is not a legally binding document like your Last Will and Testament.
Won’t Writing This Will Take A Long Time?
It’s probably not something you can do in one sitting. Spend some time reflecting on your life. Start a journal or diary and jot down what you think is important. Then, when you are ready, start writing.
Organizing your thoughts is more important than the format you use. You could sort your information into categories or include subheadings like “Our Family History” or “My Early Years.” Keep your ethical will safe by storing it with your other estate planning documents.
When Should I Write My Ethical Will?
That’s up to you and where you are in life right now. People just starting their life’s journey may want to start keeping a journal now. Others may just write their ethical will as important milestones happen.
Make Your Estate Plan Complete.
Estate planning documents give their makers an opportunity to state their final wishes, or what type of medical treatment they want, among other things. While it’s not a legal-binding document, an ethical will can be an important part of your estate plan.
The attorneys at Miller Estate and Elder Law help their clients develop comprehensive estate plans customized to meet their needs. For a free consultation, contact us at 256-251-2137 or use our convenient Contact Form. Although we’re located in Anniston, we also help clients in the Birmingham, Gadsden, Hoover, Talladega, Vestavia Hills, and surrounding areas.
Keep reading at:
Estate Planning Discussions to Have with Your Family Right Now
by Bill Miller | May 7, 2018 | Elder Law, Nursing Home
Some of the things we’re called upon to do are difficult on many levels. For example, it’s not easy to find the right nursing home for a loved one. The day you move your elderly relative into their new room at a residential facility, you need reassurance you’re doing the right thing.
In one nearby town, the Lucas family realized their beloved grandmother, Pearl, was no longer able to live at home. In fact, she had been admitted to the hospital with a major stroke. Fortunately, Pearl had signed a medical power of attorney and a durable power of attorney appointing her grandson, Oliver, to handle her affairs. Oliver needed help, though, when it came to finding the right place for Pearl.
Understand Your Options
Before signing the papers for a room at the nearest nursing home, confirm your loved one’s diagnosis. Pinpoint the type of care needed. Some people may need 24/7 assistance, while others just need someone to stop by to help with medication or bathing. Residential care is not the only option. It’s possible you only need the following services instead:
- In-home care provides services for those who are unable to leave home without either assistance from another person or the assistance of special equipment.
- Independent Living Facilities provide safe environments for senior citizens in need of little or no medical assistance.
- Assisted Living Facilities, though similar to independent living facilities, offer services to people who don’t need a lot of help.
Pearl needed a level of care that was too great for the alternatives. She needed 24/7 residential care. Oliver moved on to the next phase of his search.
Research, Research, Research
First, he read the Rights of Nursing Facility Residents so he would know what to expect from reputable nursing homes.
Next, he began to research nearby nursing homes. Alabama’s Bureau of Health Providers licenses and certifies health care facilities like nursing homes. They even maintain free directories of health care facilities. At their site, you can compare nursing facilities on a national level.
Ask for references from friends and neighbors. There’s a good possibility that someone you know has been faced with the same problem you have: finding affordable care that meets your needs.
Oliver looked at online reviews and researched a facility’s licensing status before touring any facilities. He also got some great tips from Pearl’s neighbors and friends. Eventually, he found a great long term care facility near Pearl’s hometown. Not only did she get the nursing care she needed, her friends and family were able to visit often.
Learn More About Finding – and Paying for – Nursing Homes.
The attorneys at Miller Estate and Elder Law assist clients with applying for the right public benefits, including Medicaid. For a free consultation, contact us at 256-251-2137 or use our convenient Contact Form. Although we’re located in Anniston, we also help clients in the Birmingham, Gadsden, Hoover, Talladega, Vestavia Hills, and surrounding areas.
See also:
Finding Nursing Home Alternatives
My Spouse Needs In-Home Nursing Care ASAP. What Now?
Paying Your Nursing Home Bills
by Bill Miller | May 5, 2018 | Estate Planning
During this time of the year, people’s thoughts turn to an old standby – spring cleaning. As you know, the onset of spring inspires many of us to clean our homes until they sparkle. Home owners dust every item, tossing things that are no longer useful. This is also a great time to give your estate plan a good review. Spring cleaning your estate plan can start now.
Spring Cleaning Your Estate Plan – First, Find the Your Documents
Hopefully, you put your estate planning documents in a secure but accessible place. Once you find them, pull them out for a good review. Then ask yourself, “Has anything in my life changed since I signed these documents?” If so, now might be the time for spring cleaning your estate plan.
Life Changes. So Do Your Estate Plans.
If your family has grown or gotten smaller, you may need to review your beneficiaries, executors, and agents.
Have you or someone close to you gotten married or divorced recently? Control where your assets go by preparing a good estate plan, then updating as needed.
And your estate plan doesn’t just deal with death – it also addresses issues you might face in the future.
Your durable power of attorney allows an agent to keep your financial affairs humming if you’re not able to do so. If you named an agent years ago, is that agent still around to help out? Are you still in contact? Most importantly, does that person still want to serve as your agent. It’s time to give some thought to updating your power of attorney.
It’s possible you signed an advance directive years ago. This document gives the agent of your choice the authority to make medical decisions if you cannot. Doctors and other healthcare providers will know what treatments you want and don’t want. Even end-of-life treatment can be spelled out in a living will. Things may have changed since you signed your advance directive. Your preferences or even the person you want to serve as agent should be reviewed and refreshed if needed. Your Advanced Directive has to be HIPAA compliant or it may be invalid. If you signed it years ago, chances are it is not HIPAA compliant.
When’s the Last Time You Reviewed Your Estate Plans?
At Miller Estate and Elder Law, we make it our business to put our client’s needs first. We assist our clients in making good estate plans and keeping them current. For a free consultation, contact us at 256-251-2137 or use our convenient Contact Form. We have offices in Anniston and Birmingham and we assist clients in the Leeds, Gadsden, Hoover, Talladega, Vestavia Hills, and surrounding areas.
