Inheritance

Under 40, Do I Need a Will?

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

It's never too early to start estate planning. If you already have a family, getting your personal affairs in order is a must. The sooner you start planning, the more prepared you will be for life's unexpected twists and turns.

Estate planning is a crucial process for everyone, no matter what assets you have now. If you want your family to be able to deal with your affairs, debts included, drafting an estate plan is critical, says Wealth Advisor’s recent article entitled “Estate planning for those 40 and under.”

If you have young children, or other dependents, planning is vitally important. The less you have, the more important your plan is, so it can provide as long as possible and in the best way for those most important to you. You can’t afford to make a mistake.

Fixing an Estate Plan Mistake

Published on: February 25, 2020 | By McCulloch & Miller, PLLC

Sometimes, despite best intentions and best efforts, an estate plan leaves unintended problems for heirs, trustees and others to solve. For example, a trust may have become outdated because of changes in tax laws, the birth or death of family members, or special circumstances like an heir’s disability.

When an issue arises, you need to seek the assistance of a qualified and experienced Houston estate planning attorney, who knows to fix the problems or find the strategy moving forward.

For example, an irrevocable trust can’t be revoked. However, in some circumstances it can be modified. The trust may have been drafted to allow its trustees and beneficiaries the authority to make certain changes in specific circumstances, like a change in the tax law.

What’s the Best Thing to Do with an Inherited Investment?

Published on: February 11, 2020 | By McCulloch & Miller, PLLC

“Receiving an inheritance can be a double-edged sword. On the one hand, it's overwhelming, thanks to the intense emotions associated with losing a loved one combined with the confusion about what to do with the newly acquired assets. On the other, an inheritance can re-invigorate your finances and create new opportunities for you and your family.”

Wealth Advisor’s recent article entitled “How to Handle Inherited Investments” provides us with some of the top inheritance considerations:

Consider Cash. Besides cash, the most common inheritances are securities, real estate and art. These assets usually go up in value, but another big benefit is their favorable tax treatment. The heirs won’t pay capital gains on unsold investments that went up in value during the lifetime of the deceased (estate taxes would apply). Those taxes would only apply to the gains that happened after they took possession. There’s a good reason to hang onto these investments. These types of property carry some risks, so you may consider putting some of your inherited investments into cash, cash equivalents, or life insurance with a guaranteed payout to avoid exposure to undue risk.

Some BIG Estate Planning Actions for 2020

Published on: February 7, 2020 | By McCulloch & Miller, PLLC

This time of the year is a great time to revisit your estate plan, so you can ensure your legacy is protected for years to come.”

Many of us set New Year’s resolutions to improve our quality of life. While it’s often a goal to exercise more or eat more healthily, you can also resolve to improve your financial well-being. It’s a great time to review your estate plan to make sure your legacy is protected.

The Tennessean’s recent article entitled “Five estate-planning steps to take in the new year” gives us some common updates for your estate planning.

Don’t Forget to Include These Three Items in Your Will

Published on: February 4, 2020 | By McCulloch & Miller, PLLC

A will or trust explains what you want to have happen to your assets when you die, hopefully in a very, very long time. While most people understand that a will explains what to do with money, property, and children, there are other parts you might be surprised by.

MSN’s recent article entitled “3 surprising things you might not think to include your will” tells about three things to include in your will that you may not have thought about before.

Can You Get Donated Property Back?

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

“The heirs of a philanthropist who donated a historic theater to the City of Miami want it back.”

A dissolved nonprofit controlled by the heirs of Maurice Gusman sued the city of Miami recently, in an attempt to regain control of the Olympia Theater and restore it to its former glory. They claim city officials have squandered the theater built in 1926 and violated the terms of an agreement with their grandfather, Maurice Gusman.

The heirs and the dissolved corporation’s directors are Maurice Gusman’s grandchildren: Bruce Gusman, Robert Gusman and Jackie Gusman Thayer.

Why are IRA Beneficiary Designations So Important?

Published on: January 22, 2020 | By McCulloch & Miller, PLLC

If you pass away without naming beneficiaries in your will, it can create legal entanglements for your heirs.

If you decide to purchase a life insurance policy or to put some money into a new deferred annuity contract or Individual Retirement Account (IRA), you need to complete the beneficiary form.

However, Investopedia’s recent article entitled “Why Your Will Should Name Designated Beneficiaries” says that you may just name a person as a beneficiary, without fully appreciating this aspect of your estate planning.

Is It Time to Sell My Baseball Card Collection?

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

“Call it an astute estate planning move, but I didn’t want to leave eight notebooks of baseball cards encased in plastic sleeves for my children to sort through down the road.”

It may be time to sell your baseball card collection.

Arizona Daily Star’s recent article entitled “The valuable lessons learned from collecting baseball cards” explains that the market is strong for 1960s-era cards.

What to do with a Sudden Windfall

Published on: December 30, 2019 | By McCulloch & Miller, PLLC

It’s a problem that most people wish they had: a sudden influx of money, sometimes a lot of money. It can be overwhelming, and the most important thing to do is—nothing, at first.

The first thing to do when you are newly flush with money, is take a few deep breaths. Then take a long, clear look at your financial status, advises WMUR.com’s recent article, “Handling unexpected wealth.”

Depending on how much you have received, you could be in a very different place financially. You should take an in-depth look at your net worth and cash flow.

What You Need to Know About Being an Executor

Published on: December 18, 2019 | By McCulloch & Miller, PLLC

Being named as an executor is a big responsibility. Before accepting this role, you should understand what the tasks are, and what you need to be careful about to protect yourself.

It’s flattering. Someone you know thinks highly enough of you to name you as their executor. That means they believe you’re ready and able to do things like settle debts, gather assets, manage estate tax and income tax returns, deal with your family members, distribute the assets and do everything that needs to be done before the estate can be settled.

However, Investopedia’s article from last summer, “5 Surprising Hazards of Being an Executor,” explains that the person named as an executor isn’t required to accept the appointment. Prior to agreeing to act as an executor, you should know some of the hazards that can result, as well as how you can address some of these potential issues, so that being an executor can run smoothly.