Estate Planning

Preparing for a Consultation with a Houston Estate Planning Attorney

Published on: March 5, 2024 | By Thomas W. McCulloch

At McCulloch & Miller, we understand – meeting with an estate planning attorney for the first time can feel daunting. You might not know what to expect, and you might feel slightly nervous about what questions might be asked of you. Today, we review some basic ways to prepare for this consultation. Overall, our hope is that you can find a Houston estate planning attorney that puts your worries at ease and takes the reigns of your estate planning process, so that you can rest easy, knowing your plans are on the right track.

Setting Expectations

First and foremost, you should remember that your estate planning attorney has your best interest in mind. He or she will make the process as easy for you as possible, and if you are preparing for your first consultation, there will be many other opportunities for you and your attorney to communicate down the road. Do not feel like you need to walk out of your first consultation with everything wrapped up and tied with a bow; estate planning is a process, and this is just the first step.

Gathering Documents

In order to provide your Houston estate planning attorney with some basic information, you should gather important documents to bring with you to your consultation. These documents might include: any previous wills or estate plans, bank account information, tax forms, investment account statements, and information about debts you might owe.

Top Five Estate Planning Blind Spots

Published on: February 29, 2024 | By David W. Miller

Estate planning does not have to be complex, but it’s also not naturally the simplest of processes. As a group of Houston estate planning attorneys, we see some of the same issues again and again in the ways our clients (and the broader public) think about estate planning. Today, we review what we have noticed as the top five estate planning blind spots.

1. People don’t think they need estate planning documents.

We often hear from clients that they don’t think they need estate planning documents, since they have not accumulated significant wealth, don’t have high incomes, or maybe just have what they consider to be very simple property and assets. Even if this is the case, it is still important to speak with an estate planning attorney and draft a will that protects your loved ones in the future. Everyone, regardless of income level, has to think about how their assets will pass through probate, and it’s important to get an early start so you can make sure you have the best plan for yourself and your family.

2. Individuals assume all estate plans are cookie cutter.

For individuals that want to pass all of their assets to one person, or that have simple and small estates, it is tempting to think that “one size fits all” when it comes to estate planning. However, this can be a dangerous mindset. Every person’s estate plan will necessarily be a bit different, and you put yourself at risk of impeding the probate process if you do not come up with a plan that accounts for your individualized circumstances.

Senior Public Benefits Planning in Texas

Published on: February 29, 2024 | By David W. Miller

As healthcare improves over time, the median age of adults in the U.S. also rises. While this is certainly a net positive for adults and their families, it also means that individuals have more planning to do regarding their elder years. Today, our blog reviews some important topics regarding senior public benefits planning in Texas that you might want to think through as you and your loved ones prepare for the future. As always, there is more to discuss than included in this post, and we recommend you reach out to a trusted estate planning attorney to learn more.

Medicaid Eligibility

Medicaid is a state-provided benefit that provides healthcare for individuals with limited resources. If you qualify for Medicaid, the State calculates a co-pay for you, which you then pay through Social Security or other sources of income. Then, when you go to a doctor’s office, the government pays the difference between your co-pay and the rate that the medical facility charges.

There are two main criteria you must meet to qualify for Medicaid: you must be both medically eligible and financially eligible. To be medically eligible, a doctor must sign off, confirming that you need a certain level of care. To be financially eligible, your assets and income cannot be higher than the government’s designated limit.

Planning for the Day After Your Death

Published on: February 15, 2024 | By David W. Miller

Take it from us: thinking about death is very rarely how anyone wants to spend their time. As estate planning attorneys, however, we have learned that it is a necessary evil. In our experience, the clients whose families are best protected long-term are those who have taken the time and energy to carefully think through what will happen in the event of their death. On today’s blog, we consider a topic that is not glamorous but that is still incredibly important: planning for the day after your death.

The day after your death, your loved ones will be grief-stricken and perhaps unsure of where to turn. At McCulloch & Miller, we believe that we all have an obligation to our loved ones to make sure they have as little to worry about as possible when that day comes. When your loved ones find themselves in a funeral home, a hospital, or a hospice center, they will want to deal with as few logistics as possible.

Given that reality, there is a checklist we recommend making now, as soon as possible, that your loved ones can access in the event of your death. This checklist should include:

The Problem with DIY Wills

Published on: February 15, 2024 | By David W. Miller

As a team of Texas estate planning attorneys, we often face similar questions from the clients and prospective clients we meet. One such question that many clients ask is: what’s the problem with a DIY will? Our short answer, which we will delve into more through this blog, is that a “do it yourself” will only works until it doesn’t work. While it can end up being legally valid, there are often complications that arise, and it’s often not worth the risk to you and to your loved ones down the road.

As online legal services become more and more popular, many individuals become increasingly interested in getting an online will. These wills do not require speaking to an estate planning attorney, but instead allow you to fill out online forms and quickly get a will that might work for you. There are three main issues that we see with these wills, and we will address each issue below.

1. Is the Will Valid?

In Texas, there are several requirements that a will must meet in order to be valid. It must, for example, be executed properly, self-proving, and written down. It must make sense and it must be able to survive legal scrutiny during probate. While an online will might meet these requirements, odds are there might be some difficulties that the will does not take into consideration.

What to Expect During Your Estate Planning Consultation

Published on: February 8, 2024 | By Thomas W. McCulloch

At McCulloch & Miller, we hear from our clients time and time again that the estate planning process feels daunting – especially when it is just beginning. Luckily, with the right estate planning attorneys in place, you can walk into your first meeting with the confidence that your case is in the best of hands. Today, we review some of the topics you might expect to cover in your initial estate planning consultation, with the hopes that you might feel more prepared as you get ready for your own consultation.

Central Issues

There are three main topics that an estate planning attorney might want to discuss with you during your estate planning consultation: your family situation, your financial situation, and your goals and concerns as you begin your estate planning journey.

Your family situation is important because many times, clients want to leave their assets to a spouse, children, or grandchildren. The more your estate planning attorney can familiarize him or herself with your possible heirs, the more he or she can help you figure out a plan that works for everyone.

Can You Limit the Power Granted by a Power of Attorney in Texas?

Published on: January 31, 2024 | By McCulloch & Miller, PLLC

In Texas, power of attorney refers to a legal document that allows one individual to act on behalf of another individual. Power of attorney can look different depending on the specific circumstances, and the decision of whether to grant power of attorney is an inherently personal one. Today, we review some of the options for granting power of attorney, including whether you can limit the authority of the person to whom you grant this power.

The short answer to this question is that yes, you can limit the power granted by power of attorney. You can accomplish this goal in several ways. To start, you can grant power of attorney only for a specific period of time – for example, you can give someone authority to act on your behalf only until a specific task has been accomplished (for example, for the period of time in which you are filing your taxes or undergoing a surgery). You can also grant power of attorney only if you become incapacitated, only upon your death, or only until you decide to revoke the power of attorney.

You can also grant an individual “limited” power of attorney, meaning you give a person authority only within a very specific realm of your life. You might, for example, grant someone power to assign the legal title to a vehicle you own. You might also consider granting power of attorney only in a matter concerning tax collection, or only in a matter concerning your physical health. The list of options is limitless, and how you choose to grant power of attorney will depend on your specific set of circumstances.

What Happens to Your Firearms in Texas After You Die?

Published on: January 12, 2024 | By Thomas W. McCulloch

If you or a loved one own a firearm, you have hopefully started to think through what would happen to that firearm in the event of your death. In Texas, there are several considerations to keep in mind when planning for your firearms long term, and today’s blog post is intended to serve as a first step in helping you figure out how to make your plans a reality.

Passing a Firearm Through a Will

The most logical way to pass a firearm to a loved one is to include a provision in your will or estate plan. There are several complications to keep in mind. First of all, your intended beneficiary must be legally able to own a gun. If that person is prohibited from being listed on a gun registry or has any other restriction in place regarding possible firearm ownership, your estate executor will run into significant problems trying to pass the gun to the beneficiary after your death.

The estate executor himself must also be legally able to own a gun. Sometimes, this involves having a federal firearms license. Check with your estate executor and see if there are any possible impediments to his gun ownership – if there are, you are better off addressing those now than down the road, when time is of the essence.

Can a Beneficiary Inherit a Gift if They Received it During the Testator’s Lifetime?

Published on: January 10, 2024 | By David W. Miller

Many of our clients are parents or grandparents hoping to set up their heirs for financial success in the long term. One strategy that these clients use is the lifetime gift, which allows individuals to give money while still alive instead of through their estate plans. What are the implications, though, of this lifetime gift for a person’s estate planning documents? In today’s blog, we cover the overlap between these two types of gifts.

What is the Lifetime Gift Limit?

The government permits individuals to give financial gifts of a certain amount to beneficiaries of their choosing without facing tax consequences – this means the individuals can give money away while they are still alive without having to pay the federal gift tax. In 2024, the annual federal gift tax exclusion amount is $18,000 per person and $36,000 for married couple. This kind of gift allows individuals to give money away in increments over the course of their lives, perhaps to their children or their grandchildren.

Does the Lifetime Gift Prohibit Beneficiaries from Inheriting in a Will?

If a son, daughter, or grandchild inherits over the course of the parent or grandparent’s lifetime, he or she can still inherit at the parent or grandparent’s death. Importantly, however, if the estate documents are clear that the lifetime gift was intended to replace the will, trust, or estate document’s provision for a gift, the probate court will likely rule that the beneficiary cannot receive both gifts.

Who Will Inherit Your Digital Footprint in Texas?

Published on: December 27, 2023 | By Thomas W. McCulloch

Who Will Inherit Your Digital Footprint in Texas?

In 2024, the question of a decedent’s digital footprint is more relevant than ever. A digital footprint includes (but is not limited to) a person’s emails, texts, social media accounts, credit card accounts, cell phone data, and photographs – essentially, a digital footprint includes a wide array of personal information. As more questions arise about what will happen to this footprint upon an individual’s death, we look to Texas legislation, which has provided promising signs of progress.

Revised Uniform Fiduciary Access to Digital Access Act

In 2017, Texas enacted an Act, the Revised Uniform Fiduciary Access to Digital Access Act (sometimes referred to as “RUFADAA”), that dictates how an estate’s executor is able to access a decedent’s digital assets. Essentially, as long as the executor has valid legal authority and complies with each account’s terms of service, that executor can access the digital assets in question. There are certain restrictions under the Act – for example, it generally keeps the executor from accessing the decedent’s emails, texts, and social media accounts.