FAQs

Peace of mind protection for you, your loves ones and your hard-earned assets. Beginning with you and a plan for potential incapacity, you should have the following:

• Power of Attorney

• Health Care Documents

• Proxy/Power of Attorney

• Living Will

• Authorization to Disclose Medical Information (HIPAA)

Planning for yourself avoids long costly court proceedings for your family.

• More assets will go to your loved ones if your plan gives proper authority for asset protection.

• Your beneficiaries may also benefit from their own creditor protection based on the designed Will or Trust.

Lastly, strategic use of existing assets including transfers with trusts can avoid assets from unexpected and unwanted use of those funds.

Protection during incapacity where you choose the trusted financial decision makers to act on your behalf, and what powers they will hold.

A Power of Attorney (“POA”) covers:

• individually owned assets

• retirement accounts

• insurance matters

• anything not owned by a trust

With a proper POA, your family avoids guardianship proceedings through the Court, which saves time & $ and the unwanted assignment of an unknown agent made by the Court.

Quick Tips:

• Proper gifting authority should always be provided for potential asset protection in the future

• Always name multiple successor agent to serve

Health Care Proxy/Power of Attorney

• Designates trusted parties to make health decisions on your behalf

• Covers all general medical decisions

• TIP – always name 1-2 alternates

Living Will

• Directs your general choices of treatment removal if you are in an incurable, irreversible medical state with no chance of recovery

• TIP – discuss these with your family

HIPAA Authorization

• Authorizing the release of medical records to your health agents

• <$250,000 net worth

• No property out of state

• No chance of family disputes or child/grandchild oversight needed

Pros:

• Less cost to create

• Not as much homework

Cons:

• Validated after death (hopefully!)

• Separate probate process (extra time/$)

• Your wishes become a public record

• Some drafting limitations

• Must use Power of Attorney during incapacity

• >$500k net worth

• Property out of state

• Want a more robust plan with seamless protection

Pros:

• Valid contract upon signing (in all states)

• Avoids probate (saves time/$)

• Private document

• Flexible

• Covers out-of-state property

• Easy transition to successor Trustee at the time of incapacity

Cons:

• More cost to create

• Some extra homework

• In or near retirement

• Long-Term Care Ins. – None/not enough

• Fully paid off real estate and/or large liquid holdings

Pros:

• Start Medicaid lookback clock upon transfer

• Can still live in home

• Minimize capital gains tax for children

• Have income rights under trust (NY; not NJ)

• Protects against creditors of your children

Cons:

• Principal assets are no longer yours

• Life changes could require ending the trust