Houston Estate Planning and Elder Law Attorney Blog

Will Medicare Cover The Cost of a COVID Vaccine For Texas Residents?

Published on: October 30, 2020 | By McCulloch & Miller, PLLC

During these unprecedented times, Houston residents have many questions about a potential COVID vaccine and whether it will be covered by Medicare. Medicare is a national health insurance program that provides insurance for Americans 65 or older and some younger individuals with a disability. Similarly, Medicare Advantage is a type of health insurance plan that provides Medicare benefits through a private-sector health insurer, rather than the government. In Texas, over 4 million people rely on Medicare for their health needs. Because of this, it is important to know whether individuals with Medicare will have to pay out of pocket for a COVID vaccine – something many cannot afford – or whether it will be covered by Medicare. Those with questions about what Medicare covers can reach out to a Houston estate planning attorney for assistance.

Good and Bad News About The CARES Act

The CARES Act provides that if a COVID-19 vaccine becomes available, Medicare is required to cover the cost under Part B. Ordinarily, Medicare Part B helps to pay for doctor visits, preventive services, and vaccines such as the flu and pneumonia shots. Additionally, Medicare Advantage plans are required to include the basic coverage offered by Medicare Parts A and B, meaning a COVID-19 vaccine would also be covered for those with Medicare Advantage plans.

How the Increase in Social Security Benefits Will Impact Older Texans

Published on: October 27, 2020 | By McCulloch & Miller, PLLC

Over 70 million Americans receive Social Security and Supplemental Security Income, or SSI, benefits. Therefore, the changes that happen to Social Security – like a cost of living adjustment – are critical for a significant portion of the population. However, many individuals do not know the specifics about social security and its benefits. Below are commonly asked questions about social security benefits and why an elder law attorney may be useful for those thinking about taking social security benefits.

What Are Social Security Benefits?

Social Security helps older Americans, disabled workers, and families where a spouse or parent has died. For retired Americans who received Social Security, these benefits replace a percentage of their pre-retirement income. Put simplistically, the higher lifetime earnings an individual accrues, the higher benefits they will receive. However, the amount an individual will receive every month depends on their earnings, and when they choose to start taking benefits. If an individual starts to take benefits at retirement age – which is currently 66 years and 2 months – the percentage of their pre-retirement earnings they receive is lower than if they start benefits after retirement age.

How Texas Families Can Protect an Elderly Loved One Who Wanders

Published on: October 23, 2020 | By McCulloch & Miller, PLLC

It can often be disheartening when a loved one begins to wander, when they cannot remember their name and meander away from their home. Wandering is a risk associated with many conditions, including Alzheimer’s and dementia. Warning signs include forgetting how to get to familiar places, trying to “go home” when a person is already at home, and acting as if doing a chore, but getting nothing done. When this occurs, it can often become overwhelming and anxiety-inducing for caregivers. There are steps loved ones and caretakers can take to ensure their elderly loved ones are safe and constantly cared for as they wander. A Houston estate planning attorney can help families confront this difficult issue.

Make Sure the Person Always Carries Identification

While this will not prevent wandering, it helps ensure a lost loved one will be returned home. However, as a person can remove an ID from a wallet, giving an elderly loved one medical ID jewelry – like a bracelet or pendant – could help a loved one return safely in case they accidentally wander far from home.

What Happens if the Executor of a Houston Will Dies

Published on: October 20, 2020 | By McCulloch & Miller, PLLC

Planning ahead and creating a will is important; however, unexpected events can often occur, causing people to reevaluate their will, as well as their Houston estate plan. One such instance is when a will’s executor passes away before the will’s creator, called a testator. This raises the question of who will execute the will. Unfortunately, this is somewhat common, and Houston residents often have questions about the next steps when this situation occurs.

What Happens If the Executor Passes Away?

The executor’s role includes distributing the will’s assets after the testator’s death. However, if the executor precedes the testator in death, there is no person to distribute the person’s assets. Therefore, the court will step in and determine who has the authority to act on the testator’s behalf.

The Implications of Texas Intestate Laws

Published on: October 15, 2020 | By McCulloch & Miller, PLLC

Getting to Know the Texas Intestate Laws

As we’ve mentioned in previous blog posts, a will is the cornerstone of any Houston estate plan. In a will, a person can determine what will happen with their property. However, not having a will does not mean that someone’s property will end up with the state. Instead, the Texas intestate laws dictate how the property will be distributed.

Texas intestate laws determine how an individual’s property is passed on. Rather than take a look at subjective factors such as close relationships or the deceased’s intentions, the intestate laws look only to the surviving family members of the deceased. This is not necessarily a problem if the deceased has no children, or family members all can agree on what the deceased’s intentions were. However, that is not often the case.

The Benefits of Having an Attorney Through Texas Probate Proceedings

Published on: October 13, 2020 | By McCulloch & Miller, PLLC

Under Texas law, the probate process is triggered when a person dies and leaves property without directly transferring ownership to another party. Probate is the process in which a court recognizes a person’s death, resolves debts, and distributes assets according to their will. If the decedent dies with a will, the estate’s representative or executor must file for probate. In situations where a person does not leave a will, the person’s assets and debts will go through intestacy laws.

The probate process requires a court to determine whether a will is valid. After hearing arguments on the will, the court will appoint a person to administer the estate and determine heirs. After determining heirs, the court will notify creditors of the death and allow them to file claims on any debts the estate may owe. After creditors make their claims, the court will distribute assets and resolve any disputes.

Families should understand that there are two main types of probate processes, “independent administration” and “dependent administration.” Independent administration cases tend to be quicker and less expensive. In most cases, however, the will must provide for independent administration. There are ways to get around this requirement if the lawyer or executor makes the appropriate argument to the court. On the other hand, dependent administration of estates occurs when there is any dispute regarding the beneficiaries or asset distribution.

Houston Estate Planning for Children with Special Needs

Published on: October 8, 2020 | By McCulloch & Miller, PLLC

Estate planning is critical for people of all ages and especially important for people with varying life circumstances. For instance, families who have children with special needs should think about developing an estate plan and putting specific provisions in place for their children. One such measure parents should take is creating a Houston special needs trust for their children. This protects any potential public benefits the child may receive in the future while still allowing families to indirectly assist their special needs loved one with fulfilling their basic needs.

What is a Special Needs Trust?

A Special or Supplemental Needs Trust is created to hold the property of a special needs person and distribute the funds to them in a way that still preserves their eligibility for public benefits. Many government programs, such as Supplemental Security Income (SSI) benefits and Medicaid, offer benefits to special needs individuals; however, to qualify for these programs, an individual cannot own more than $2,000 in assets. However, many family members want to give their loved one assistance without disqualifying them for these benefits. Without a special needs trust in place, giving gifts or assets directly to another person will likely result in losing any public benefits.

Do You Have to Pay Estate Tax if You Have a Houston Estate Plan?

Published on: October 6, 2020 | By McCulloch & Miller, PLLC

Even among those who have an estate plan in place, many are unaware of the potential taxes their heirs will need to pay. However, depending on the estate’s value, heirs may need to pay a significant amount of estate tax after the owner of the estate passes away. In short, an estate tax is a tax on property that is transferred from the deceased to their heirs. There is no Texas estate tax. However, there is still a federal estate tax to consider. Thus, it is important to work with a qualified Houston estate tax attorney to reduce or eliminate estate taxes. The questions below are those most commonly asked about preparing for an estate tax and the intricacies of the tax itself.

How Does an Estate Tax Work?

A federal estate tax is based on the fair market value of the estate’s “includible property.” Includible property may consist of cash, real estate, trusts, business interests, and other assets. Some assets may be deducted from the taxable estate, such as mortgages and other debts, administrative estate expenses, and qualified charities. Additionally, surviving spouses are normally exempt from these taxes. It is when the surviving spouse dies that any other beneficiaries may be forced to pay estate tax.

What Constitutes Non-Probate Property in Texas?

Published on: October 3, 2020 | By McCulloch & Miller, PLLC

Probate is the process in which the court validates a will and distributes the deceased’s property according to the terms of their will. While probate is the default process in many situations, there are ways to avoid this lengthy and potentially costly process. In fact, one of the primary purposes of a Houston estate plan is to avoid probate.

Assets that are mentioned in a will are typically passed on to those named in the will. However, certain classes of assets are referred to as non-probate property. Non-probate property consists of those assets that will automatically pass on to the beneficiary at the time of the owner’s death. There are several types of non-probate property.

Jointly Held Property

A Few Tips for Those Starting the Houston Estate Planning Process

Published on: September 29, 2020 | By McCulloch & Miller, PLLC

A Few Tips for Those Starting the Houston Estate Planning Process

Few people look forward to creating an estate plan. However, the importance of creating a Houston estate plan cannot be overstated. By taking action now, individuals can ensure that they have the means to provide for themselves while protecting everything that they have worked so hard to obtain throughout their life.

For many, the concept of estate planning can be overwhelming. Below is a checklist of important steps for those who are thinking about how to start the estate planning process.

Take Inventory: