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DIY Online Wills Are They Really a Good Idea

Do-It-Yourself Online Wills: Are They Really a Good Idea?

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Online legal document services offer an enticing bargain. Most people realize that they need an estate plan to manage their affairs if something happens to them, but having estate planning documents drafted by an experienced attorney can be expensive and time consuming. Furthermore, in times of the COVID-19 pandemic and when many people can accomplish nearly anything while in the comfort of their own homes, the idea of having your estate planning documents online is very attractive to the average person. For these reasons, many consumers are now questioning whether it is possible to skip the attorney fees and use a low-cost website to prepare estate planning documents. The short answer is that, yes, it is possible, but it is not recommended. You could save a few bucks now, but later may end up creating an expensive and frustrating mess for your family. Unfortunately, most people do not realize what they are getting themselves into with an online document service. This is because those online services have spent millions of dollars trying to create the impression that their services are similar to, or even equivalent to those of an attorney. They put lawyers in their commercials, hire celebrities to promote them, and tout stories of people who have successfully used their documents. Yet, all the marketing in the world cannot erase the simple truth. Those online services are not law firms, and the people who create them typically are not lawyers. Online services cannot give legal advice. Instead, they are “document assistants” – a term that various states use to define service providers who type your information into generic form documents. In other words, a document assistant is like a mindless typing robot who enters your information into a form, whether or not it makes sense and whether or not it is a good idea. If you are stuck or need advice, they cannot help you. If you make a huge mistake, they cannot warn you. In fact, it would be a crime for them to warn you. It does not matter if the person working on your documents via one of these service providers is an estate planning genius. That person is simply not allowed to give legal advice. Think of it this way: a person needs a state bar license in order to give legal advice, just the same way that a doctor needs a license to write a prescription. Giving legal advice without a license is very much like selling drugs without a prescription-it is a crime. To combat this, these companies design their generic forms so that even without legal advice, it is hard to make mistakes. That may seem like a good thing. However, the best way to make sure that your documents do not do anything wrong is to make sure they do not do or accomplish anything at all. Essentially, these documents become do-nothing, one-size-fits-all generic documents. That leads to the next problem with the online services. These document assistants cannot even promise you that the documents will work because they are not licensed attorneys, which means they cannot promise a particular legal result. Many clients are excited to learn that they can leave assets to a special needs child without jeopardizing government benefits; or that they can protect a child’s inheritance from frivolous lawsuits, divorce or bankruptcy. A well-designed estate plan ensures that your resources get where you want them and that they are used in the way you instruct. Estate planning is about creating legally enforceable provisions that do what you want done. These online document services cannot promise you any of that. They cannot promise you that you will achieve your goals. They cannot point out opportunities or other options beyond what you have selected, and they cannot warn you about hidden hazards. Really, all these document services can do is save you a few bucks. However, these document services play a clever price game, too. Most of these online services investigate what an attorney would charge for similar documents and then use that information to determine their pricing. These comparisons are misleading in a variety of ways. First, online services compare the price they charge for a single document to the price that an attorney charges for an entire estate plan, which typically includes numerous comprehensive documents. More importantly, there is no way to compare the prices of what you get from an online document service to what you get from an attorney, because they are not offering nearly the same thing that you would get from an attorney. If a fast-food restaurant told you that you could order their $1.79 “salad in a box” instead of paying $20 for a fancy restaurant salad bar, you would instantly recognize the faulty comparison. A wilted clump of lettuce in a plastic clamshell is not anything like an all-you-can-eat salad bar with every conceivable ingredient, made fresh and eaten in a nice environment with an attentive wait staff. Yet, most people recognize this faulty comparison because most people have experience with restaurants – both good and bad. They know how to judge quality, and they understand the “you get what you pay for” concept. But, when it comes to legal services, most people don’t have the experience to know better. If your estate plan is faulty or you do something wrong when drafting your own documents using an online service, you will never know. But, your family will know. If your estate plan doesn’t work properly, your family could end up paying the price and cleaning up the mess after you have passed away. Your estate plan is the box that carries your entire life savings. It is just not worth the risk of damaging your life’s work just to save a few bucks. The attorneys at The Orlando Law Group represent and prepare estate planning documents for individuals throughout Orlando, Waterford Lakes, Altamonte Springs, Winter Garden, Lake Nona, St. Cloud, Kissimmee, and throughout central Florida. If you are dealing with an estate planning issue or are looking to establish your own estate plan, please reach out to our office at 407-512-4394, fill out our online contact form. If you have questions about anything discussed in this article or other legal matters, give our office a call at 407-512-4394 or fill out our online contact form to schedule a consultation. We have an office conveniently located at 12301 Lake Underhill Rd, Suite 213, Orlando, FL 32828, as well as offices in Seminole, Osceola and West Orange counties to assist you.

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Getting a Divorce in your 50s or 60s

Getting a Divorce in Your 50’s or 60’s

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Over the last two decades, the percentage of couples divorcing in their 50’s and 60’s has risen from three to almost thirty percent.  Sociologists have a term for people in their 50’s and 60’s who are divorcing.  They coined the term “gray divorce”.  Baby boomers are living longer and more of them are divorcing.  This impacts not only their retirement and income, but also other important areas of their life. If you’re over 50 and considering a divorce, keep these things in mind before you put yourself in a stressful and financial hardship.

The Children
It doesn’t matter how old they are, they can be grown adults, with families of their own; consider their feelings and emotion when you are contemplating a divorce. A divorce can damage your family’s harmony and create an unnecessary divide if it’s not handled carefully. The two of you may not be married anymore, but you will always be your children’s parents.

Alimony
In long marriages, a spouse is entitled to permanent alimony. It’s not actually a permanent though.  Permanent alimony usually lasts until either spouse dies or the receiving spouse remarries. In some states, if the receiving spouse lives with someone else and has a supportive relationship, it can affect the alimony arrangement. The alimony payments also can be restructured after the supporting spouse retires and lives off a retirement fund.

Financial Assets
Couples who have been married for a while, have likely accumulated assets together.  It can be a home or retirement accounts or other investments, most people want to keep the home as part of the divorce settlement.  Keeping the house doesn’t always put you in a better position after the divorce. In most cases, a house continues to have unexpected expenses, which may or may not affect its future value. As for retirement, it’s possible to split one spouse’s retirement account or 401(k) through a domestic relations order.

Life and Health Insurance Policies
Some couples, during their marriage, purchase a life insurance policy, which goes to the supported spouse after the divorce. If the supporting spouse dies, the supported spouse gets the insurance payout. After a divorce, you may not want your ex-spouse being the beneficiary of your life insurance policy.  You may find yourself in a position to take out a new life insurance or health insurance policy.  Unfortunately, at a later stage in life, there may have pre-existing conditions that raise the costs of obtaining a new life insurance policy. Health insurance may also cost more after 50, so look into a replacement health insurance policy soon after the divorce.

Social Security Benefits
Social Security benefits can help the lesser-earning spouse after the divorce. In fact, the lesser earner can receive Social Security benefits based on the higher earner’s work record. However, the marriage must have lasted at least 10 years, and the lesser earner must be 62 or older. Even if the higher-earning spouse has not applied for Social Security benefits, the lesser-earning spouse can collect the benefits if the couple has been divorced for a minimum of two years.

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Digital Estate Planning

Digital Estate Planning

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The two main classes of digital assets are 1) any online account that requires a username and password; or 2) any file stored in places including an individual’s computer, mobile phone, server, local DVD or CD-ROM, SD card or at online storage sites.

Online Accounts

If the client is the only person who has access to her online accounts, then what happens when she dies? Much of the concern involves the rights of the online company, which were granted when the individual initially accepted the account’s Terms of Service (TOS). Several issues to consider for online accounts requiring a username and password include the following:

  • The TOS Agreements of most popular online companies rarely, if ever, allow for the immediate or automatic transfer of the account to the personal representative.
  • Without access to a decedent’s bank and investment accounts, a trustee or executor will have difficulty obtaining necessary information for meeting the requirements of the underlying will and trust.
  • Without access to a decedent’s email, blog or website, the personal representative may not even be aware of certain ongoing obligations, especially with more transactions occurring online only.

Digital Files

Files on an individual’s computer are difficult Digital estate planning enough to find, depending on the individual’s levels of organization or disorganization. The personal representative’s job can become exponentially more difficult if the important data is stored offsite. Additionally, there are two main kinds of digital files to consider:
Client-Created Files – including scanned financial files, address books, and digital photos, but can also include valuable business documents or intellectual property.
Client-Purchased Files – including music, videos and e-books bought during the individual’s lifetime. In the typical TOS, the seller only grants the individual buyer a non-transferable license to use the work “for life.”

Steps You Can Take Now

Make a list of all digital assets. This should be a comprehensive list of all of your online accounts and data files, including email accounts, websites, hard-drives, important Word and Excel documents, online storage accounts, and social media accounts.
List wishes for each asset. For local hardware containing data files, this can include leaving the asset directly to a specified heir. For online accounts, this can include:

  • Shutting down the account
  • Doing nothing
  • Archiving contents on CD or DVD
  • Creating an auto-response on the account; and/or
  • Forwarding all messages to another place
  • Choose the person who will receive each asset
  • Provide access and control to the recipient
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Can Grandparents have Visitation Rights in Florida

Can Grandparents Have Visitation Rights in Florida?

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A new law in Florida relating to members of the military states that if a parent is activated, deployed, or temporarily assigned to military service on orders in excess of 90 days, the parent may designate a family member, a stepparent, or a relative of the child by marriage to engage in time-sharing on the parent’s behalf.

So if the parent in the military designates a grandparent to time-share in his or her stead, the court would enforce such a designation. The Florida Supreme Court has consistently held all statutes that have attempted to compel visitation or custody with a grandparent based solely on the best interest of the child standard to be unconstitutional.

Under current Florida law, a grandparent may file a petition and obtain visitation rights as to a grandchild when it is in the best interest of the child and one of three conditions have been met:

  • The parents’ marriage has been dissolved
  • A parent has deserted the child or
  • The child was born out of wedlock and the parents never marry

A court is allowed to consider a number of factors when it determines what is in the best interest of the child. None of these factors are decisive or irrefutable in and of themselves. A court will not likely make a decision regarding grandparent visitation based only on the presence or absence of one factor. The court will look at the presence or absence of all of the following factors before making a ruling:

  • The willingness of the grandparents to encourage a close relationship between the child and parents
  • The length and quality of the relationship between the grandparents and child before the divorce
  • If the child is old enough to express a preference, that preference will be considered
  • The mental and physical health of the child
  • The mental and physical health of the grandparents
  • Any other factors the judge wants to consider

What happens when one of the child’s natural parents remarries and the stepparent adopts the child? Florida will not automatically terminate any grandparent visitation rights just because a natural parent remarries and the child is subsequently adopted by the stepparent. However, a Florida court can still terminate the grandparents’ visitation rights if it believes that continued visitation with the grandparents is not in the child’s best interests. Before a court decides this, though, it must hold a hearing and allow the grandparents an opportunity to be heard.

A new law in Florida relating to members of the military states that if a parent is activated, deployed, or temporarily assigned to military service on orders in excess of 90 days, the parent may designate a family member, a stepparent, or a relative of the child by marriage to engage in time-sharing on the parent’s behalf.

So if the parent in the military designates a grandparent to time-share in his or her stead, the court would enforce such a designation. The Florida Supreme Court has consistently held all statutes that have attempted to compel visitation or custody with a grandparent based solely on the best interest of the child standard to be unconstitutional.

Under current Florida law, a grandparent may file a petition and obtain visitation rights as to a grandchild when it is in the best interest of the child and one of three conditions have been met:

§  The parents’ marriage has been dissolved;

§  A parent has deserted the child; or

§  The child was born out of wedlock and the parents never marry.

A court is allowed to consider a number of factors when it determines what is in the best interest of the child. None of these factors are decisive or irrefutable in and of themselves. A court will not likely make a decision regarding grandparent visitation based only on the presence or absence of one factor. The court will look at the presence or absence of all of the following factors before making a ruling:

§  The willingness of the grandparents to encourage a close relationship between the child and parents

§  The length and quality of the relationship between the grandparents and child before the divorce

§  If the child is old enough to express a preference, that preference will be considered

§  The mental and physical health of the child

§  The mental and physical health of the grandparents

§  Any other factors the judge wants to consider

What happens when one of the child’s natural parents remarries and the stepparent adopts the child? Florida will not automatically terminate any grandparent visitation rights just because a natural parent remarries and the child is subsequently adopted by the stepparent. However, a Florida court can still terminate the grandparents’ visitation rights if it believes that continued visitation with the grandparents is not in the child’s best interests. Before a court decides this, though, it must hold a hearing and allow the grandparents an opportunity to be heard.

 

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Why Family Members Fight Over Inheritance

Why Family Members Fight Over Inheritance

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People who are normally kind and in tune with their emotions revert to fighting children, figuratively, sometimes literally, scratching, punching, and pulling each other’s hair. Even where there is no obvious conflict, it seems that nearly every family has some amount of tension permeating just beneath the surface as they address family inheritance issues.

Stories of families in conflict at the death of a loved one are regular fodder in the media. It is easy to mock them; they look ridiculous, and it all seems so petty. We wonder why people just can’t get along. But, after some study I have learned that what appears as greed and pettiness are really symptoms of survivors’ struggle to feel loved and important. The fight for money and things – Dad’s golf clubs, Mom’s necklace – is not about the object or the money itself, but about what they symbolize: importance, love, security, self-esteem, connectedness, and immortality.

The old saying that “money makes people do funny things” doesn’t do justice to the real problems and root causes of family conflict. Money is not the core reason that fami¬lies fight; money is how we keep score in the fight for the intangibles of love, approval, and primordial survival. Money and possessions also help allay the fears of those left behind. When families fight, greed is rarely the principal motive.

The feuding family members can always trace their problems back several years, if not all the way back to childhood. For some, the trouble starts with the involvement of non-family. It is clear that inheritance conflict doesn’t come out of the blue; it is a continuation of long-term relationship problems that resurface upon the illness or death of a loved one. And they aren’t just about money or greed; they are about more, much more. But what is it that so often drives people to wage war against their own flesh and blood over a loved one’s estate?

There are five basic reasons why families fight in matters of inheritance:

  1. Humans are genetically predisposed to competition and conflict.
  2. Our psychological sense of self is intertwined with the approval that an inheritance represents, especially when the decedent is a parent.
  3. We are genetically hardwired to be on the lookout for exclusion, sometimes finding it when it doesn’t exist.
  4. Families fight because the death of a loved one activates the death anxieties of those left behind.
  5. One or more members of a family has a partial or full-blown personality disorder that causes them to distort and escalate natural family rivalries into personal and legal battles.

These sources of family conflict are not mutually exclusive; in most cases, some combination of the five elements present themselves in a combustible cocktail of family rivalry and conflict.

A significant number of inheritance disputes also involve testators and beneficiaries who come from dysfunctional families, are mentally ill or addicted, or suffer from one or more of the four Cluster B personality disorders as defined in the Diagnostic and Statistical Manual (DSM IV): antisocial, borderline, histrionic, or narcissistic.

Despite the tensions and rivalries that naturally exist in all families, family conflict is not inevitable. As family coun¬selors we can help families overcome the natural tensions that tend to pull them apart in order to preserve their most valuable asset: family itself. We can counsel our clients on the pitfalls of various courses of action, dissuade them from provisions that are punitive, encourage them to mend fences while family members are still alive, and promote planning that leaves a legacy of love.

More than just scriveners, clients look to their estate plan¬ning counsel to advise them on what is fair and customary. We use our legal and personal skills to document their wishes while being sensitive to the needs of those left behind. Special care must be taken to not upset long-held roles when allocating personal and financial assets and in appointing fiduciaries. We can also protect our clients from predators from within the family and without who are most likely to manipulate and abuse. In short, we can make a difference. Our clients are also good teachers, instructing us on the importance of family, the transience of money and things, and the shortness of life.

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Do You Have a 401k You Need to Incorporate Into Your Estate Plan

Do You Have an Older 401(k) You Need to Incorporate Into Your Estate Plan?

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When you meet with your Estate Planning lawyer, initially, they may ask you some of these questions: “Do you own a home?” “Do you own a business?” “Are you married?” The fact gathering necessary in an initial interview does not always allow the sort of leisurely chat friends would have over coffee. It’s important for your lawyer to gather the basics in the initial meeting, if no open ended questions are asked then assets important to your situation can be overlooked.

For example, approximately 4.2 trillion dollars is held today in 401(k) and other defined contribution plans. For public sector employees, a defined contribution plan may include a 403(b) or 457(b) plan. The amount of assets held in defined contribution plans is projected to grow in the future given that in the private sector and possibly even the public sector, a regular pension or defined benefit is going the way of the Dodo bird. While going forward employers may still provide matching or non-matching contributions to an employee’s account, the trend is clear that fewer em­ployees and retirees in the future will be able to depend on a monthly pension check.

A 2009 study by human resources consulting firm Hewitt Old 401k Estate Planning Associates (now Aon Hewitt) concluded that 29 percent of former workers leave their 401(k) with a previous employer. This amounts to a huge sum of assets held by American workers that can be overlooked if you are asked only “do you currently have a retirement account?” The same study also stated that two-thirds of employers report that the company 401(k) plan is the primary retirement savings vehicle for employees. Clearly then gathering information regarding an old 401(k) plan is an important step in assessing your unique situation.

Determining the existence of an old 401(k) becomes even more important in the context of trust administration and probate. If you are a surviving spouse or beneficiary of someone who was not the plan participant, knowledge of the 401(k) can be even more diminished.

Your lawyer will need to ask you open ended questions about your history to discover unclaimed 401(k) assets. If your old employer no longer exists because of dissolution or merger, there are other ways your lawyer can use to find that information.

Up to date beneficiary designations are critical and you should review them at a minimum upon the major life events of birth, death, marriage, and divorce. Helping discover whether any 401(k) assets are unclaimed facilities a discussion about current assets and whether those beneficiary designations are also up to date.

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Summer Plans for Divorced Parents

Summer Plans for Divorced Parents

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It’s almost summer again, at least it’s starting to feel like it in Florida.  Kids look forward to summertime; having fun, outdoor activities and most importantly, no school. While all that usually comes with summer break for kids, depending on the circumstances, it can be a hard time for kids of divorced parents.

Typically, children are with one parent or the other for longer periods of time over the summer than during the school year. In summer time, regular schedules and habits change. It’s this change up in routine and scheduled parent time that can produces anxiety for children and concern for parents.

Below are some tips to help separated and divorced parents make a smooth transition from a school year schedule to summer vacation time and make it stress-free for everyone.

Discuss vacation plans early. Before you book the cruise or pay the deposit on summer camp for the kids, talk to your former spouse about plans to enroll children in summer programs or taking vacation trips. That way everyone can make plans and their schedule work time and also gives children a clear understanding of how their summer break will be spent. By taking care of this sooner rather than later, it allows time for parents to identify and resolve any schedule concerns that might arise in the planning process. Good advance planning will help reduce frustrations later. Be as flexible as

Communicate about schedule changes. Good communication is key in order to keep the peace and also respect as the foundation of a healthy post-divorce relationship. Clear communication about schedule changes minimizes surprises and ensures you know what’s happening in your children’s lives. If talking to your ex-spouse in person is too stressful, consider using email to stay up to date and also a shared online calendar. However, DO NOT use your child or children as messengers of schedule and vacation updates. Planning and scheduling are adult concerns, especially in co-parenting arrangements. Work to maintain a respectful tone in your communications, and use thoughtful negotiation to resolve any conflicts.

Be positive. Your children will remember the example of your attitude and mirror your behavior with your ex-spouse. Do your best, at all times, to never speak ill of your former spouse in front of your children and avoid asking them to take sides or favor one parent’s or home over the other. In order for your children to grow and thrive as adults, they should feel free to love both parents equally.  A child should never feel badly or confused about wanting to spend time with the other parent at any time of the year, vacations included.

Have fun.When you were a kid, I’m sure you looked forward to summer break, spending time with family, friends and unscheduled play time. By creating the space and opportunity for these types of situations, you’ll be positively creating those same types of memories for your own children. Spending summer vacation time with each parent, is simply part of the scheduling process that the adults must properly manage. What your children will remember is how they felt and what they experienced through their parents’ interactions with each other.

Though summer vacation may require additional planning and communication with your ex-spouse, it can also be a time that you create special memories that will last forever. Cooperating and be flexible with your former spouse for summer plans and remember to put the kids first.

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Planning Ahead: Understanding Medicaid Eligibility for Your Future Long-Term Care

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If you’re thinking about long-term care, even “just in case”, the most important step is talking with an elder law attorney before a crisis happens.

Medicaid planning is highly time-sensitive. One mistake, made too late, can cost your family tens of thousands of dollars and limit your care options. A paid Medicaid planning consultation allows us to review your assets, timeline, and goals and help you understand what strategies are available right now.

👉 Schedule a Medicaid Planning Consultation with Orlando Law Group
[Schedule Your Consultation]

Below, we’ve outlined the key Medicaid eligibility rules and planning considerations so you can better understand why early, personalized planning matters.

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Thinking about a future where you might need long-term care can feel uncomfortable, even pessimistic. But planning for Medicaid isn’t about expecting the worst. It’s about protecting everything you’ve worked for and ensuring you have choices when and if you need care.

Because of Medicaid’s five-year look-back period, the ideal time to plan is years before you think you’ll need care. The earlier you start, the more options you have and the more you can preserve. But even if you’re starting late, there are still strategies available—the key is working with an experienced elder law attorney who can maximize whatever timeline you have.

Let’s walk through what you need to know about Medicaid eligibility and why starting now can protect both your assets and your access to quality care.

Why Plan Now Instead of Later?

The single most important reason to plan early is Medicaid’s 60-month look-back period.

When you apply for Medicaid, the state reviews every financial transaction you’ve made in the past 60 months (five years). If you gave away assets or transferred them for less than fair market value during this time, you’ll face a penalty period where you can’t receive Medicaid benefits, even though you need care.

Here’s what that means in practice: If you transfer your house to your children today and need nursing home care three years from now, Medicaid will discover that transfer and penalize you. You’ll be ineligible for benefits for a period of time, and your family will have to pay for your care out-of-pocket during that penalty period. At $8,000-$12,000 per month for nursing home care in Florida, those penalties add up fast.

The Real Cost of Waiting

The penalty period equals the value of what you gave away divided by $10,438 (Florida’s 2025 penalty divisor—the average monthly cost of nursing home care).

Example: You give your daughter $100,000 to help with her mortgage:

  • $100,000 ÷ $10,438 = 9.5 months of ineligibility
  • You’d need to pay for care out-of-pocket for nearly 10 months
  • That’s roughly $95,000-$120,000 your family would need to cover

This is why timing matters. The further in advance you plan, the more strategies become available to you.

Medicaid Essentials: What You Need to Know

Medicare vs. Medicaid: Understanding the Difference

Many people assume Medicare will cover their long-term care needs. Unfortunately, that’s not the case.

Medicare coverage for long-term care is extremely limited:

  • Requires a 3-day hospital stay first
  • Days 1-20: Zero co-pay
  • Days 21-100: You pay $210.50 per day (2025)
  • Days 101+: You pay everything

After just over three months, you’re on your own. At $8,000-$12,000 per month for nursing home care in Florida, those costs add up fast.

Medicaid provides comprehensive coverage for long-term care, including nursing home care, in-home care services, physician services, and prescription drugs. But you must meet strict financial requirements to qualify.

Basic Qualification Requirements

To qualify for Medicaid long-term care services in Florida, you must meet both requirements:

  1. Physical Eligibility: You must need assistance with activities of daily living (ADLs) such as eating, bathing, dressing, transferring, using the bathroom, and walking.
  2. Financial Eligibility: Your income and assets must fall within Medicaid’s limits:
  • Income limit for 2025: $2,901 per month
  • Asset limit for a single person: $2,000 in countable resources

However, many assets are exempt and don’t count toward this limit, including your home (up to $730,000 in equity), your vehicle, personal property, life insurance policies under $2,500, and prepaid burial arrangements.

Why Strategic Planning Makes All the Difference

Understanding these basic rules is one thing, knowing how to navigate them to protect your family’s financial security is entirely another.

The goal isn’t just to qualify for Medicaid; it’s to qualify while preserving as much as legally possible for your spouse, your heirs, and your own peace of mind. This is where working with an experienced elder law attorney becomes invaluable.

How Strategic Planning Protects Your Assets

Maximize exempt assets: An attorney can help you identify your exempt assets and strategies on converting countable assets into exempt ones such as prepaying funeral expenses, making home improvements, setting up a caregiver agreement or putting those assets into a pooled trust. This reduces what counts against your $2,000 limit while improving your quality of life.

Time transfers appropriately: Certain transfers are penalty-free (such as transfers to a spouse) , and others can be structured strategically if you have enough planning time. The key is understanding which is which and when to act. A misstep here can cost you tens of thousands of dollars in penalties.

Protect your spouse: If you’re married, the rules change significantly. There are special protections that can preserve over $150,000 in assets for the healthy spouse—but these protections must be structured correctly. The strategies for married couples are completely different than those for single individuals.

Structure income properly: If your income exceeds Medicaid’s limits, tools like Qualified Income Trusts can make you eligible while still providing for your needs. But these must be set up and managed correctly.

Plan for your estate: Florida may try to recover Medicaid costs from your estate after you pass. Proper planning so that your assets avoid probate can minimize or eliminate this recovery, preserving your home and other assets for your heirs.

Why DIY Planning Usually Backfires

Many people try to handle Medicaid planning themselves, often based on advice from well-meaning friends or internet research. The most common costly mistakes include:

  • Transferring the house to children: This triggers penalties if done within five years of needing care AND creates major tax consequences for your children when they eventually sell.
  • Withdrawing large amounts of cash: Without proper documentation, Medicaid assumes you gave it away, triggering penalties.
  • Making gifts without understanding penalties: Even small regular gifts to grandchildren can add up to significant penalty periods.
  • Waiting until a crisis: By the time you need care, many protective strategies are no longer available.
  • Assuming you must spend everything: There are legal strategies to preserve assets—you just need to know what they are and when to use them.

Each of these mistakes can cost tens of thousands of dollars or delay care when you need it most. The rules are complex, they change annually, and Florida has specific requirements that differ from other states.

Every Situation Requires a Custom Strategy

Your planning strategy depends on multiple factors that make your situation unique:

  • Your marital status: The rules and strategies for married couples are significantly different than for single individuals.
  • Your asset types: Real estate, business interests, and retirement accounts all require different approaches.
  • Your timeline: How much time you have before you might need care affects which strategies are available to you.
  • Your family situation: Who will be your caregiver, whether you have children, and your relationships all influence the best approach.
  • Your care preferences: Where you want to receive care and what quality of life you want to maintain matters.
  • Your estate goals: What you want to preserve for your family affects which strategies make sense.

This is why a personalized plan is essential. What works for your neighbor or friend may not be the right strategy for you—in fact, it could be exactly the wrong approach for your circumstances.

The Value of Planning Early

The earlier you plan, the more options are available. With five years of planning time, strategies that would trigger penalties in a crisis situation become perfectly legal and effective. Your attorney can help you understand which strategies fit your timeline and goals and create a roadmap that protects your assets while ensuring you’ll qualify for care when you need it.

Your Next Steps: Creating Your Personal Plan

Planning for potential long-term care needs isn’t pessimistic; it’s empowering. You’re taking control of your future, protecting what you’ve worked for, and ensuring you’ll have access to quality care if you need it.

The difference between pre-planning and crisis planning can literally be hundreds of thousands of dollars in preserved assets and significantly less stress on you and your family.

Don’t wait until you’re in crisis mode. The best time to plan was five years ago. The second-best time is today.

Contact Orlando Law Group today to schedule your Medicaid planning consultation. We’ll help you understand your options, protect your assets, and create a plan that gives you peace of mind about your future.

 

Information current as of 2025. Medicaid rules and financial limits change annually. This article is for educational purposes only and does not constitute legal advice. For guidance specific to your situation, consult with an experienced elder law attorney.

 

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Buy Sell Agreements For Doctors

Buy-Sell Agreements for Doctors

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A Buy-Sell agreement is pertinent to many different types of businesses. Today we will just talk specifically about doctors. Medical practices are different from other businesses, because there is usually a lot of income made, and it’s not a family business that you can pass on to your heirs, unless of course they become doctors as well.

Definition of a Buy-Sell Agreement – A buy-sell agreement is nothing more than an executed contract where all the owners agree as to how the practice will be valued at the time of one of the partner’s death or disability, and how the stock ownership will be purchased. Without such an agreement in place, an accident could bring a thriving business into the middle of a complicated legal proceeding.

Benefits of a Buy-Sell Agreement – Some physicians who see themselves as healthy and not susceptible to accidents also stand to benefit from such arrangements. Think of a younger and older doctor joining forces, the terms of how to purchase the other party’s interest out in case of a mishap can be negotiated from the beginning in fairest terms for both sides.

Just as in any type of business, it is essential that the practice carry on, even in the event of one or more of the partnering physicians not being able to practice medicine anymore. Any industry must have a continuous, orderly manner of conducting its practice. The medical one carries a burden that reaches beyond financial gains or losses. A patient wants to have the comfort of knowing that their physician’s office can easily and without hassle continue a treatment that needs to be followed closely.

A physician’s asset lies in his knowledge and experience. A doctor’s set of skills is hardly something that can be passed on to heirs. Because the sweat equity will have generated some income stream, it is only fair that a financial pay-out be agreed upon for the family members that would be left behind.

In the event of an incapacity or premature death of one of the key physicians, their early exit can force a practice to associate itself with unwanted seed capital. Having seen this happen on more than one occasion, I can tell you this is not a position you want to find yourself in. A Buy-Sell agreement would prevent finding yourself in such predicament.

The necessary components to a Buy-Sell Agreement – There are many workings within a successful implementation of a Buy-Sell agreement. The first one is to make sure to have it funded. This translates to having a reputable insurance policy in place. The premiums you end up paying to have this contract in place will well be worth its weight in gold. Not all Buy-Sell agreements are created equal. Some key clauses you want to ensure your attorney includes in it are: The cost of buying out the partner’s share in case of incapacity / death, a provision to buy out the ownership interest over time in the event of insufficient capital, the care of the family members left behind, and early buy-out options. These are just some of the issues you will want to address.

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Ten Tips For Nominating Your Childs Guardian

10 Tips For Nominating Your Child’s Guardian

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Parents do not like to think about needing a guardian for their children.  Unfortunately, we have no control over the time of our deaths but we do have control over whether we plan for them.

A very important part of your estate plan is the nomination of a guardian for your minor children. If, before your death, you do not choose the person or persons you believe would be suitable guardians of your children, then after your death the judge is left to guess who you would want to care for your children.

The nomination of a guardian is a straightforward aspect of any family’s estate plan and is best made in your Last Will and Testament. It can be as basic or detailed as you want.

Here are 10 Tips to consider when selecting a guardian to nominate for your children:

  1. Make a Long List of Potential Guardians. When trying to identify the right people to serve as guardian, make your initial list of potential guardians very broad. Consider all of your extended family members, as well as friends and neighbors.
  2. Make a List of Possible Guardian Characteristics. Make a list of all the possible characteristics that your child’s guardian might have, and then rank the importance of those characteristics to you in light of your personal beliefs and your child’s needs.
  3. Rank the People on List #1 Using the Characteristics on List #2. Analyze each of the potential guardians in light of the personal characteristics that you deem important. You might be surprised to learn that a close friend is actually better suited to raise your children than your sister is.
  4. Once You Have Narrowed Your Choices Down, Talk to Them. While your sister may truly love your children, talk to her about the responsibility it would involve and make sure that she would accept if the situation arose. If you are not 100% confident that she would, add another person to your list of nominees so there will be someone to take her place should she decline.
  5. Nominate Only One Person at a Time. While it might seem to make sense to nominate both your sister and her husband as your child’s guardian, consider naming them one at a time. This avoids issues in the event they are not able to agree on a decision relating to your child.
  6. Nominate More Than One Successive Guardian. Consider that your first choice for a guardian might not be able or willing to serve at the actual time a guardian is needed. Name as many successor guardians as you are comfortable with, who would serve in the order listed.
  7. If You Nominate “In-Laws,” Consider Potential Life Changes. If you should choose to nominate your sister first and her husband second, consider whether you would still want him to serve if he and your sister were separated or divorced at the time of your death and instruct accordingly.
  8. Do Not Let Disagreements Between You and Your Spouse Stop You from Nominating a Guardian. If you and your spouse disagree, you should respect the other’s opinion but each prepare your own nomination. Should you die simultaneously; the court will simply have to decide which nomination is in the child’s best interests. This is far better than the court having no indication of what either of you wanted. Moreover, if the person nominated by your spouse is unable or unwilling at the time to serve, then that person will not even be considered.
  9. Consider Naming A Guardian of the Person and A Guardian of the Estate. Duties over your children’s care and their financial resources can be split between two different people if you believe that is in your child’s best interests to do so.
  10. Make Sure Your Nomination is Legally Valid. Florida law requires that persons being nominated meet certain legal requirements. The law also requires that the nomination of an initial or successor guardian be made in writing and witnessed by at least 2 credible witnesses over the age of 18, neither of whom has been nominated as the guardian. The best place to make this nomination is in your Last Will and Testament with the assistance of an experienced estate planning attorney.
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What Estate Planning Attorenys Really Do

What Estate Planning Attorneys Really Do

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Everyone seems to know that estate planning something that you should do, but they are either unaware of what crafting a complete estate plan entails beyond just having a Will drafted, or they choose to put off having their estate planning documents prepared until it is too late. It can be uncomfortable to talk about what many people mistakenly believe estate planning is all about — dying and the resultant loss of control. Or you may think that estate planning is just for the wealthy or elderly.

For example, many young, single people who do not have a lot of money or any children often believe they do not need an estate plan because they do not have much to leave to anyone, thinking that because they do not have much, they do not have an “estate.” However, this is a misconception-everyone, which rich or poor, old or young; has an estate. Creating an estate plan would help your parents pay for your funeral and burial, as well as make sure that your parents can access your assets if something happens to you, which could include your bank account, personal possessions, or life insurance policies.

A comprehensive estate plan typically also includes health care directives such as a Living Will and a HIPAA Release, which can be a great gift to your parents or guardian in ensuring that you are cared for per your wishes and that they can receive all necessary medical information to make any important decisions on your behalf.

As uncomfortable as it may be, planning for the future after we pass away is something we and our family members or friends are all going to have to deal with at some time, especially if we have heirs or a spouse that we will leave behind. You do not have to be rich or elderly to plan for your belongings and money to go to whom you choose when you pass away. An experienced estate planning attorney can help you protect your family and your assets and can also help you protect your life and your legacy.

First, what is estate planning? Estate planning is the process of creating documents that legally determine how your prized possessions will be distributed after your death, including who inherits what assets and who controls the distribution of assets.

A typical estate plan will include, but is not limited to:

  • a Last Will and Testament that is the primary document regulating your wishes as regards inheritance and guardianship;
  • a Trust that relates to protecting assets for the benefit of yourself and/or specific persons;
  • a Living Will (also called a healthcare directive and proxy or designation of healthcare surrogate) that specifies your intent as regards decisions on your physical well-being and end-of-life arrangements respectively;
  • a HIPAA Release that allows the individuals you have named as surrogates or alternates to have your medical records released to them;
  • a Power of Attorney that enables a trusted Agent to make financial decisions for you in the event that you are incapacitated;
  • a property deed, such as an Enhanced Life Estate Deed, to allow for the transfer of your property without the need for probate proceedings; and
  • for parents with minor children, a temporary guardianship document that names a trusted adult to care for minor children in the event of your incapacity.

It is easy, and even natural, for the average person to think of estate planning as a somewhat melancholy area of law, which is not necessarily untrue. Estate planning deals with the often uncomfortable and sad topic of death, which is a topic that most people avoid dealing with until it is absolutely necessary. However, estate planning is more than just talking about death and what happens after death. Here is what estate planning attorneys really do:

  • We make sure the right people care for our client when the client cannot do so themselves, such as when our clients are incapacitated or determined unable to make decisions on their own.
  • We place our clients’ wishes and personal goals for their estate as our top priority.
  • We ensure the right people care for our clients in the event that they become ill or incapacitated, and we ensure that their loved ones are cared for in the event of our client’s passing.
  • We provide our clients and their families with the peace of mind that their assets and personal possessions will be taken care of and in the right hands after they pass away.
  • We work to assure our clients that their wishes and personal goals for the administration of their estate will be followed.
  • We safeguard and make certain that our client’s legacies — monetary and moral — are passed along to the client’s loved ones.

We believe it is important to reframe how the average person thinks about estate planning. It is not solely about death and administering assets – estate planning is about protecting the legacies of our clients for years to come, and ensuring the our clients’ wishes are followed and that their loved ones are properly cared for. It is an essential mission which we do not take lightly. We are proud to serve our clients each and every day in protecting their legacy by establishing an estate plan that is comprehensive and accounts for each of our clients’ wishes.

The attorneys at The Orlando Law Group represent and prepare estate planning documents for individuals throughout Orlando, Waterford Lakes, Altamonte Springs, Winter Garden, Lake Nona, St. Cloud, Kissimmee, and throughout central Florida.

If you are dealing with an estate planning issue or are looking to establish your own estate plan, please reach out to our office at 407-512-4394, fill out our online contact form.

If you have questions about anything discussed in this article or other legal matters, give our office a call at 407-512-4394 or fill out our online contact form to schedule a consultation. We have an office conveniently located at 12301 Lake Underhill Rd, Suite 213, Orlando, FL 32828, as well as offices in Seminole, Osceola and West Orange counties to assist you.

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Illegal Debt Collection Practices

Illegal Debt Collection Practices

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It’s important to know what debt collection agencies can and cannot do. Knowledge is power, and that’s true for any situation. Not only can you use your knowledge of these laws to protect yourself from harassment, but if a collector violates one of these laws, you may be able to: use the violation to negotiate a better settlement, file a complaint with the Consumer Financial Protectin Bureau  or the Federal Trade Commission, or sue the collector.

The FDCPA (15 U.S.C. §§ 1692 to 1692p) requires that a collection agency make certain disclosures and prohibits the collector from engaging in many kinds of abusive or deceptive behavior. Here are some collection actions prohibited by the FDCPA.

Communications With Third Parties – A collection agency can’t contact third parties about your debt. There are a few exceptions to this general rule. Collectors are allowed to contact:

  • Your attorney. If the collector knows you are represented by an attorney, it must talk only to the attorney, not you, unless you give it permission to contact you or your attorney doesn’t respond to the agency’s communications.
  • A credit reporting agency
  • The original creditor
  • Collectors are also allowed to contact your spouse, your parents if you are a minor, and your codebtors. But they cannot make these contacts if you have sent a letter asking them to stop contacting you.

Communications With You – A debt collector’s first communication with you must tell you that they are attempting to collect a debt and that any information obtained from you will be used for that purpose. In subsequent communications, the collector must tell you his or her and the collection agency’s name.
A collector cannot contact you:

  • At an unusual or inconvenient time or place—calls before 8 a.m. and after 9 p.m. are presumed to be inconvenient
  • Directly, if it knows or should have known that you have an attorney.
  • At work if it knows that your employer prohibits you from receiving collections calls at work.

Harassment or Abuse – In general, a collection agency cannot engage in conduct meant to harass, oppress, or abuse. Specifically, it cannot:

  • Use or threaten to use violence
  • Harm or threaten to harm you, another person, or your or another person’s reputation or property
  • Use obscene, profane, or abusive language
  • Publish your name as a person who doesn’t pay bills list your debt for sale to the public
  • Call you repeatedly
  • Place telephone calls to you without identifying the caller as a bill collector

It’s important to know what debt collection agencies can and cannot do. Knowledge is power, and that’s true for any situation. Not only can you use your knowledge of these laws to protect yourself from harassment, but if a collector violates one of these laws, you may be able to: use the violation to negotiate a better settlement, file a complaint with the Consumer Financial Protectin Bureau  or the Federal Trade Commission, or sue the collector.

The FDCPA (15 U.S.C. §§ 1692 to 1692p) requires that a collection agency make certain disclosures and prohibits the collector from engaging in many kinds of abusive or deceptive behavior. Here are some collection actions prohibited by the FDCPA.

Communications With Third Parties – A collection agency can’t contact third parties about your debt. There are a few exceptions to this general rule. Collectors are allowed to contact:

  •       Your attorney. If the collector knows you are represented by an attorney, it must talk only to the attorney, not you, unless you give it permission to contact you or your attorney doesn’t respond to the agency’s communications.
  •            A credit reporting agency
  •            The original creditor
  •       Collectors are also allowed to contact your spouse, your parents if you are a minor, and your codebtors. But they cannot make these contacts if you have sent a letter asking them to stop contacting you.

Communications With You – A debt collector’s first communication with you must tell you that they are attempting to collect a debt and that any information obtained from you will be used for that purpose. In subsequent communications, the collector must tell you his or her and the collection agency’s name.

  A collector cannot contact you:

At an unusual or inconvenient time or place—calls before 8 a.m. and after 9 p.m. are presumed to be inconvenient

Directly, if it knows or should have known that you have an attorney.

  At work if it knows that your employer prohibits you from receiving collections calls at work.

H    Harassment or Abuse – In general, a collection agency cannot engage in conduct meant to harass, oppress, or abuse. Specifically, it cannot:

Use or threaten to use violence
Harm or threaten to harm you, another person, or your or another person’s reputation or property
Use obscene, profane, or abusive language
Publish your name as a person who doesn’t pay bills list your debt for sale to the public
 Call you repeatedly
Place telephone calls to you without identifying the caller as a bill collector

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Be Careful What You Post on Social Media During a Divorce

Be Careful What You Post on Social Media During a Divorce

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You should be aware of the perils of using social media during a divorce or will be involved in a court case for custody, co-parenting and assets. Facebook, Twitter, LinkedIn, YouTube, Pinterest, personal blogs and tons more online sites are a part of pretty much everyone’s lives these days. All social media establishes a record of communication. Social media allows us to put details of our lives on display where others can see it, share it and comment on it.

Regardless of how casual or informal your social media posts may seem, these posts and comments can be obtained and used against you in divorce or custody proceedings. This applies to Facebook updates, tweets, photos and information posted through any other social media site. Also, your emails and text messages, ones to and about your ex-spouse, are now admissible as evidence in court.
You should count on the opposing counsel to be checking out your social networking sites and the activity you post there. Social Media sites have become important resources for guiding questions asked during divorce proceedings. Many attorneys also conduct a Google search of all parties.

You may think you have set your profile, message or post to private, but it still has the potential to spread to as large a community as you can imagine. One thing to consider when putting information on social networking sites is that you can’t remove it. The entry is permanent, even if you delete it.

Before you post to a social media site consider these points:

  • Evaluate your emotions before writing anything. If you’re frustrated or angry, don’t post any comments or pictures.Think about what you would want your children and family to have access to in the future.
  • Once you post, your privacy is breached and you can’t take it back.
  • Unfriend or block your soon to be ex-spouse and common friends to prevent damaging online communications.
  • Check and change your privacy settings. Remember, your ex-spouse’s legal team can find and view everything posted on social  media through research an discovery regardless of privacy settings. Every posting, even deleted ones, are permanent.
  • Assume your posts are also under review, hold back from online behaviors that may be viewed as unfitting during divorce proceedings: flirting via chats, active profile on dating sites, texting while driving, drinking around the kids or any pictures showing you in a negative light.
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What Are The Different Types of Student Visas

What are the Different Types of Student Visas?

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The United States offers many educational opportunities for citizens of other countries. Educational visas, also known as student visas, give non-immigrant students from other countries the ability to stay in the United States long enough to enroll in and finish an educational program. When the program is finished, the international student must return home.

The type of education sought in the United States determines the type of student visa required. There are three types of student visas: F-Type, M-Type, and J-Type. International students working on academics (high school and college, for example) must apply for an F-Type visa. Students who will attend vocational schools must complete the M-Type student visa. Finally, students participating in foreign exchange programs complete the J-Type student visa

Before applying for a student visa, an international student must first be accepted into an academic institution in the United States. They must go through the same application process as U.S. citizens.

After being accepted into a U.S. academic program, international students should immediately make an appointment with the consulate to attain a student visa. Quickly making the appointment gives students plenty of time to receive the visa before school starts. The meeting usually requires payment of a fee and a personal interview. Issues to discuss during the interview include whether or not the international student wants to work while residing in the United States and if the student plans to bring a spouse and children as well.

International students must submit several documents to the consulate. These documents include an F-1 or M-1 certificate of eligibility, an online non-immigrant visa electronic application, an international passport, a photograph, and receipts for all fees paid.

Several important factors weigh heavily in any application for a student visa. These include the applicant’s residency abroad, intention of returning to the resident country upon completing the curriculum, and sufficient financial support. Other documentation that may be required includes old transcripts, diplomas, and standardized test scores.

The law surrounding getting and keeping a student visa can be complicated. Tthe facts of each case are unique. If you need help with your Student Visa, give us a call and we can help you, at The Orlando Law Group.

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More About Estate Planning for Blended Families

More About Estate Planning for Blended Families

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Estate planning for blended families is complex and it requires a watchful eye and a delicate touch. Clients in blended families should understand that there are important additional issues unique to them that must be addressed, like how to properly provide for their spouse without accidentally disinheriting their own kids. If there are minor kids, planning for their custody adds further complexity.

A blended family can make estate planning more complicated. For example, you may want to leave different inheritances to biological children than you would to stepchildren, or to protect your biological family’s inheritance in the event your spouse remarries.

A solid estate plan can help you prepare for these or other scenarios. With so many kinds of blended families, it makes sense to put in place a plan that directs your assets to the people you choose, rather than possibly to someone you don’t know or don’t necessarily want as a recipient.

Understandably, many couples will be inclined to procrastinate, uneager to revisit past relationships. But reaching a successful outcome to their estate planning demands that they plan with an eye toward the past as well as toward the future. An experienced estate planning attorney can help facilitate those potentially painful conversations.

Potential pitfalls
Blended families without an estate plan may run the risk of scenarios like the following:

  • An ex-spouse inherits the former spouse’s bank accounts, home, or retirement assets, even though the former spouse has willed them to his children.
  • One child inherits the family home, even though the home was promised to another child.
  • A spouse dies before his new wife and leaves his estate to her; when she dies, she leaves the assets to her children, not to his.

Prenuptial agreements
A prenuptial agreement can be a good way for parents who are remarrying to specify which of their assets they’d like to earmark for their children. For example, a prenuptial agreement can help couples designate college savings they each have put aside for the children from their first marriage. A postnuptial agreement, signed after the couple has taken their vows, is less common but could work the same way.

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What is my filing status

What is My Filing Status: Divorced or Married?

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By law your filing status is determined as of the last day of the calendar year. You are considered unmarried for the whole year if, on the last day of the tax year, you are unmarried or legally separated from your spouse as determined by a divorce or separate maintenance decree.

So if your divorce became official in December, you can’t file as married even if you were for most of the calendar year.  Your filing status will be either single, or you can claim “head of household”.

Sometimes couples in the middle of a divorce may qualify for filing as single or head of household. In order to do so, you must meet the following criteria:

    • You have lived apart from your spouse for the last six months of the tax year
    • You have paid over half the cost of maintaining your primary residence
    • You must be able to claim your child or children as your dependents according to the rules for children of divorced or  separated parents
    • You have to file a separate tax return from your spouse, even if you are still legally married

Dependents
A child can only be claimed on one tax return – you can’t both claim the same kid as a dependent. This may present a problem if you are divorced or separated. You can claim your child as a dependent on your tax return if the divorce decree names you as the custodial parent.

If you have more than one child, you may choose to split the dependency of the kids up between the two parents, which is allowed even if both kids spend the same amount of time with each parent.

Child Support
Child support is always tax-neutral, meaning unlike alimony it doesn’t affect your taxes in any way. It is non-taxable income to the person receiving it and it is not tax-deductible by the person paying it. In some cases, you or your spouse may be paying both spousal and child support.

Itemized Deductions
For itemized deductions, such as charitable contributions, you would generally be able to claim the expenses you paid individually and half the expenses that were paid from a joint account while you were married.

Legal fees and expenses involving personal matters are normally not deductible, but you can deduct the portion of fees paid to divorce-industry professionals for tax advice or for help in getting spousal support. Additionally legal expenses related to the taxpayer’s business are usually deductible. If you own and operate a privately held business and incurred legal expenses related to that business during the divorce process, then those expenses may also be deductible.

If you divorce in the middle of a tax year, your judgment or settlement agreement should clearly define how income earned and expenses paid during the marriage are to be reported. This helps to ensure filing accuracy and avoid inconsistent returns. If for some reason the income earned and expenses paid during the marriage is not clearly detailed in the divorce agreement, you should consult with your former spouse when preparing your tax return to avoid IRS issues which will impact to both your return and that of your former spouse.

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What Is Lawful or Unlawful

What is Lawful or Unlawful Language in Employee Handbooks?

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Rules Regarding Confidentiality
Employees have a Section 7 right to discuss wages, hours, and other terms and conditions of employment with fellow employees and other nonemployees, including union representatives. The confidentiality provisions of employee handbooks can thus violate the law if not artfully prepared. Rules prohibiting the discussion of the “terms and conditions of employment” are not allowed, while rules that prohibit the disclosure of legitimately confidential employer information are acceptable.

The following is a sampling of the confidentiality rules deemed unlawful:

  • Do not discuss customer or employee information outside of work, including phone numbers and addresses. The prohibition of disclosing “employee information” was impermissible.
  • If something is not public information, you must not share it. Again, this prohibition is too broad and thus unlawful.
  • The following is a sampling of the confidentiality rules deemed lawful, as each did not reference employee information, were not overly broad, and did not contain language that would reasonably be construed to prohibit Section 7 communications:
  1. Unauthorized disclosure of “business secrets” or other confidential information.
  2. Do not disclose confidential financial data, or other nonpublic proprietary company information. Do not share confidential information regarding business partners, vendors or customers.

Rules Regarding Employee Conduct Toward the Company and Supervisors  
Employees have a Section 7 right to criticize or protest their employer’s labor policies or treatment of employees, both while at work and in the public forum. While rules banning “insubordination” are generally permissible, rules that amount to a blanket ban of “disrespectful,” “negative,” “inappropriate,” or “rude” conduct toward management might be unlawful, depending on the context. By contrast, the same language aimed at employees’ conduct toward co-workers, clients, or competitors is lawful because employers have a legitimate business interest in having employees act professionally and courteously toward non-management individuals, subject to certain caveats discussed below.

The following is a sampling of rules dealing with management deemed unlawful:

  • Be respectful to the company, other employees, customers, partners, and competitors.The inclusion of “the company”   made this rule impermissible.
  • Refrain from any action that would harm persons or property or cause damage to the company’s reputation. The report maintained that this rule (and others like it) was unlawfully broad because it could be reasonably read to require employees to refrain from criticizing the employer in public.

By contrast, the following were lawful:

  •   No “rudeness or unprofessional behavior toward a customer, or anyone in contact” with the company. Again, this is acceptable because it did not mention “management” or “the company.”
  • Each employee is expected to work in a cooperative manner with management/supervision, coworkers, customers, and vendors. Here, the emphasis of the rule is the performance of the employees, as opposed to the communicative components of employment. It was thus permissible.

Rules Regarding Employee Conduct Toward Fellow Employees
In addition to employees’ rights to discuss their terms and conditions of employment and/or criticize their employers’ labor practices, employees also have a right to argue and debate with each other about unions, management, and the like. Thus, when an employer bans all “negative” or “inappropriate” discussions among employees, without further clarification, such rules can be reasonably read to prohibit discussions and interactions that are protected.

The following is a sampling of unlawful “employee-employee” conduct rules:

  • Don’t pick fights online. Far too broad.
  • Show proper consideration for others’ privacy rights and for topics that may be considered objectionable or inflammatory, such as politics and religion. Discussion of unionization would likely be chilled by this rule because it can be an “inflammatory” topic.
  •   Do not send unwanted, offense, or inappropriate emails. This rule was too vague and overbroad.

By contrast, the following were lawful:

  • Do not make inappropriate gestures, including visual staring.
  • Threatening, intimidating, coercing, or otherwise interfering with the job performance of fellow employees or visitors. This simply requires that employees be respectful and cooperate with their co-workers.
  • No harassment of employees, patients, or facility visitors. Harassment is distinct from contentious communication.

Rules Regarding Use of Company Logos, Copyrights, and Trademarks
Though copyright holders have a right to protect their intellectual property, company rules cannot prohibit employees’ fair protected use of them. The easiest example of this is an employee’s right to use company logos on picket signs, leaflets, etc.

The following is a sampling of rules deemed unlawful because of over-breadth:

  • Do not use Company logos, trademarks, graphics, or advertising materials in social media
  • Company logos and trademarks may not be used without written consent.

By contrast, this rule was lawful as it simply requires employees to respect copyright laws:

  • Respect all copyright and other intellectual property laws. For the employer’s protection as well as your own, it is critical that you show proper respect for the laws governing copyrights, fair use of copyrighted material, owned by others, trademarks and other intellectual property, including the employer’s own copyrights, trademarks, and brands.

 

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Living Together During A Divorce

Living Together During A Divorce

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When a couple decides to divorce, sometimes one spouse moving out right away is not an option, for financial reasons, or to wait until the marital house sells.  Though this living arrangement certainly would not work in all relationships, it can if the terms of the divorce are amicable enough to last another few months under the same roof.If you are considering living with your soon-to-be ex-spouse during a divorce, here are a few ground rules for the potentially uncomfortable situation.

Talk About Your Budget
Since financial disagreements are one of the main reasons that people split up, be sure to handle this situation cautiously. Sit down with your ex to determine the financial obligations that you share. If both of you work and earn similar incomes, then consider dividing the financial burden equally. However, if one of you earns significantly more than the other one does, then you’ll need to negotiate. While preparing for divorce, create a manageable budget for the time that you’ll remain in the same residence.

Share Responsibilities Amicably
Once you and spouse have decided to dissolve your relationship, be sure to share household responsibilities while you are living in the same home. Allocate the chores fairly and plan a time to do them. Decide where each of you will sleep, and be considerate of each others’ personal space. In fact, try to think of your ex as a roommate. For instance, wash the dishes that you use, and don’t eat food that the other person purchased. Be mindful of the time that you spend in the bathroom and share the home’s common family areas.

Come up with a Parenting Plan
When you’re preparing for divorce, you’ll need to organize a parenting schedule. Decide which days each of you will have full responsibility of the kids. If you have an infant or a toddler, then you will need to decide who will take care of feedings, oversee baths and get up at night with the child. Be sure to share school drop offs and pick ups as well as the responsibility of transporting children to and from after school activities. A parenting schedule will help your children adjust to the separation, and it may make it easier for them to shift households once you and your ex no longer live together.

Have Separate Rooms
It can be easy to fall into old habits, but do not sleep together. The intimacy is likely to be confusing, and if one of you would like to reconcile the relationship, then your eventual permanent separation will be even more devastating.

Don’t Bring Home a Date
To make your living situation function more smoothly, do not bring a date home while you are living under the same roof with your soon-to-be ex-spouse. Once you are divorced, it’s fine to date, but be considerate of your ex’s feelings.

When you carry out basic living considerations and exercise patience, you and your ex can continue living together while getting a divorce until your finances and emotions permit you to move on to the next phase of your life.

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Funding Your Trust

Funding Your Trust

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A clear plan for the transfer of assets is crucial to the success of any estate plan. But our best plans will fall far short of expectations if the trusts are never properly funded.

Here’s an analogy: If the trust is the car, the funding is the fuel. Without gas in the tank, that beautiful sedan with the precision engine is just metal on four wheels. It’s not going anywhere. The same holds true for an estate plan. Until it’s properly funded, the plan is just a plan – a plan that can’t be executed. Like the car with the needle on empty, it’s not going to take you anywhere.

With basic wills, most of the funding happens after death through the probate process. By contrast, a trust can – and really should – be funded while the trust maker is still alive. With proper trust funding, you can be assured that your designated assets will be governed by the terms of the trust agreement. Without it, assets not properly transferred to the trust will generally fall to probate.

Proper trust funding involves moving assets that are in your name and retitling or reassigning them to the trust. These assets fall under three main categories:

1.     Personal property and real property with title (home, car, boat, etc.)

2.     Non-titled property (computer, furniture, artwork, tools, etc.)

3.     Property that passes by beneficiary designation (life insurance, 401(k), etc.)

In certain instances such as incapacity, the General Durable Power of Attorney can be useful in funding a trust. This ancillary document allows the agent acting under Power of Attorney to transfer assets or update beneficiary designations. Additionally, where property remains in the individual’s name at the time of death, the Pour-Over Will can be a “last step” measure to redirect the assets into the established trust. These special instances, however, underscore the importance and the advantage of acting early to properly fund a trust. By doing so we greatly diminish the need for the Durable Power of Attorney and eliminate any need of the Pour-Over Will.

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Moving On After a Divorce

Moving On After Divorce

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The time right after a divorce can be tough. You are essentially starting a new chapter in your life.  Moving on after divorce can be adifficult concept for many people. It’s important to stay optimistic and keep good friends around you, a support system is crucial atthis place in your life.
Here are a few tips that will certainly allow you to get back to the normal, happy you:

Grieving is Important
After your divorce has been finalized, you may find yourself emotionally unprepared for the aftermath. If you haven’t given yourselftime to mourn the small things, it will be hard to move on.  You need to allow yourself time to grieve after a divorce. By recognizing that you have made the best decision for you and your family, however, you will ultimately be able to continue on with your lifewithout any baggage.

Be Upfront With Your Kids
You may understandably be anxious about divorce and how it will affect your children. In nearly all instances, it is best not to dance around the issue. Explaining the divorce to your kids openly and honestly will surely win you a tremendous amount of respect. When you let them know that you will remain an essential part of their daily lives, you will be decreasing their fears and allowing them to also move on.  By continuing to attend their football games, ballet recitals, and other important life milestones, you’ll be showing your children that they are still mean the most to you.

Keep an Eye on Your Finances
When moving on after divorce, you may find yourself at first struggling with finances. If you are a newly single mom or dad, sticking to a budget during the week will give you enough cash to relax a bit with the kids on the weekend.  In fact, there are a broad array of divorce support groups that will help you with your financial planning. While child support will often come into play, you should do whatever you can to put yourself on sound financial footing going forward after a divorce.

Date Responsibly
When starting over after divorce, you are going to want to have company. By reentering the dating game, you’ll be on the fast track to companionship.  Friendship itself can be exceedingly rewarding. Try to choose dating partners who will treat your kids with respect. While some potential matches may be put off by divorce and children, others will be perfectly thrilled to meet your kids. In the end, you should plan your steps carefully when starting over after divorce. Through honesty, optimism, rigorous financial planning, and divorce support groups, you’ll feel refreshed and reinvigorated. Having accepted things as they are, you can begin constructing a wonderful new life.

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7 Legal Documents You Need to Change After a Divorce

7 Legal Documents You Need to Change After a Divorce

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If you’re recently divorced, you’ll need to change most of your legal documents. I know, paperwork is the last thing on your mind, but it will avoid frustrating situations down the road.

Here are seven legal documents you should change as soon as possible after your divorce papers are signed:

1. Powers of Attorney

Besides updating your will, you’ll also need to update your living will to give power of attorney to somebody other than your ex-spouse. If you’re incapacitated for any reason, whoever has medical power of attorney will be able to make healthcare decisions for you, which can have life-changing consequences.

2. Property Titles

You’ve probably already settled on who owns what, but you still need to finish updating legal documents like car and house titles to prove ownership. Whether you’re moving or staying, you’ll need your ex-spouse to sign the documents to renounce ownership.

3. Social Security and ID Cards

If you’ve finished changing your name after a divorce, it’s time to contact the Social Security Administration to update your government records. Failure to do so could make it more difficult to take out future lines of credit or receivebenefits after you retire. You’ll also need to update your driver’s license and other ID cards to reflect your new personal information.

4. Last Will and Testament

Most married couples leave their estates to each other and their children. Updating your will is inexpensive, fast, and easy compared to writing a new one, and you can remove an existing beneficiary and change the executor in the blink of an eye.

5. Beneficiaries

You’ll need to go through all of your financial accounts and change your beneficiaries. While you’ve likely already changed your bank accounts, you’ll still need to change your investment and retirement accounts. If you plan on changing your name after a divorce, update your accounts with your new personal information.

6. HIPPA Forms

HIPPA forms authorize the release of your medical information to select individuals, and if you received medical treatment while married, you likely designated your ex-spouse as your contact. You’ll need to contact each hospital and medical practice individually to change every HIPPA form you’ve ever signed.

7. Medical Authorization and Treatment Forms

These forms allow doctors to provide medical treatment to your underage children if they’re not accompanied by you or another legal guardian. You’ll want to update them to make sure babysitters, teachers, and other caretakers have the legal authority to seek medical treatment if necessary.

In addition, you’ll want to change your utility, television, Internet, and other personal accounts to give yourself sole ownership. If you’re moving out, you won’t want to pay your ex-spouse’s bills. Most of these accounts can be changed quickly with minimal paperwork.

Updating legal documents should only take a month or two after completing your divorce. This simple step will make your life much easier. The fewer loose ends you leave, the fewer headaches you’ll need to deal with in the future.

 

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Ttrust Decanting Power to Appoint in Further Trust

Trust Decanting: Power to Appoint in Further Trust

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Whenever an Independent Trustee may distribute assets to or for the benefit of a beneficiary, our Trustee may appoint the property subject to our Trustee’s power of distribution in trust for the benefit of one or more beneficiaries of any trust created under this instrument under the terms established by the Independent Trustee. Any trust established by the Independent Trustee and funded by the exercise of the power granted under this Section must meet these requirements:

  • The trust must not reduce any fixed income, annuity, or unitrust right provided by this trust instrument to any beneficiary.
  • The trust must provide for one or more of the beneficiaries of a trust created under this instrument.
  • The interests of remainder beneficiaries of the trust created under this instrument must not be accelerated under the terms of the new trust.

We request the Independent Trustee consider including a provision in the new trust that permits our Trustee to distribute as much of the trust principal to the beneficiary of the trust as an Independent Trustee advises so that the beneficiary’s estate can utilize the basis increase allowed under Internal Revenue Code Section 1014 after the beneficiary’s death without causing an increase in the federal estate tax.

An Independent Trustee may not use the powers granted under this Section to extend the term of the new trust beyond the period of perpetuities provided under the governing law of this instrument.

Any trust created under this provision must not contain any provision that, if applicable, would cause the trust to fail to qualify for the marital deduction or charitable deduction, fail to qualify any gift to the trust for any gift, estate, or generation-skipping transfer annual exclusion, or disqualify the trust as a qualified subchapter S corporation shareholder.

If any beneficiary holds a presently exercisable right to withdraw property from this trust, that right may not be defeated by the exercise of the Independent Trustee’s powers granted under this Section.

The Independent Trustee’s powers granted under this Section are not diminished by the revocability or subsequent irrevocability of the trust created under this trust.

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Income tax reduction trust

Income Tax Reduction Trust

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The Income Tax Reduction Trust is a type of trust specifically authorized by the Internal Revenue Code. These irrevocable trusts permit you to transfer ownership of assets to the trust in exchange for an income stream to the person or persons of your choice (typically you, your spouse or you and your spouse) for life or for a specified term of up to 20 years. With the most common type of Income Tax Reduction Trust, at the end of the term, the balance of the trust property (the “remainder interest”) is transferred to a specified charity or charities.

Income Tax Reduction Trust also reduce estate taxes because you are transferring ownership to the trust of assets that otherwise would be counted for estate tax purposes.

An Income Tax Reduction Trust can be set up as part of your revocable living trust planning, coming into existence at the time of your death, or as a stand-alone trust during your lifetime. At the time of creation of the this trust you or your estate will be entitled to a charitable deduction in the amount of the current value of the gift that will eventually go to charity. If the income recipient is someone other than you or your spouse there will be gift tax consequences to the transfer.

Income Tax Reduction Trusts are tax-exempt entities. In other words, when a Income Tax Reduction Trust sells an asset it pays no income tax on the gain in that asset. Therefore, after a sale the trust has more available to invest than if the asset were sold outside of the Income Tax Reduction Trust and subject to tax. Accordingly, Income Tax Reduction Trust are particularly suited for highly appreciated assets, such as real estate and stock in a closely held business, or assets subject to income tax such as qualified plans and IRAs.

While the Income Tax Reduction Trust does not pay tax on the sale of its assets, the tax is not avoided altogether. The payments to the income recipient will be subject to tax.

At the end of the term of an Income Tax Reduction Trust, the remainder interest passes to qualified charities as defined under the Internal Revenue Code. Generally, any charity that has received tax-exempt status through an IRS determination qualifies, but this is not always the case. It is also possible for you to name a private foundation established by you as the charitable beneficiary.

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3 Ways to Have an Amicable Divorce

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Divorce is not the most pleasant experience. It represents an end to something that was once, presumably happy, and the process can lead to hurt feelings. When there are children involved, they may feel isolated and confused.

There is often times heartbreak and there may be a lot of pain, but going through a divorce doesn’t need to be a battle or leave both parties feeling frustrated and overwhelmed.

There are three divorce options in the State of Florida that are designed to make getting a divorce easier. Most importantly, having an amicable divorce can protect your children through an otherwise difficult time and save you time and money.

The three types of amicable divorce options are:

1. Divorce Through Mediation

Mediation helps each spouse to come up with their own unique resolutions rather than seeing what the court imposes. This type of divorce is a cost-effective and time-saving alternative to formal litigation, which costs a lot more money and can take a few months or more.
Divorce through mediation can assist with different kinds of disputes, such as child custody arrangements and co-parenting or dealing with dividing marital property. The benefits of mediation include:

  • A more time-efficient and cost-effective process than a traditional divorce
  • A less-expensive alternative to court trials and hearings
  • A confidential process with no public record of the mediation session

2. Uncontested Divorce

Terminating the marriage within days instead of weeks and months, is a benefit of an uncontested divorce. It costs much less than a contested divorce, and both parties can create agreements that work for their situations rather than leaving it up to the judge to decide. Both parties must agree with every issue of their marriage, such as custody and visitation, alimony and child support. The parties sign a Marital Settlement Agreement, which must then be approved by the court before it becomes part of the divorce decree.

Collaborative Divorce

Similar to the uncontested divorce, is the collaborative divorce. Both parties have to agree to the issues of their marriage and decide to bypass a typical litigation. This type of divorce places the children’s best interests first, and both spouses work together with their attorneys and a mediator to reach an agreement on all the issues related to the divorce. A collaborative divorce is obtained by the following steps:

  • Both spouses must agree to the collaboration before starting the legal portion of the process. Afterward, the parties establish a participation agreement, which outlines the commitments in the divorce.
  • The spouses and their attorneys sign a contract that commits to resolving the issues related to the termination of marriage without going to court. Everyone involved works together to arrive at a mutually acceptable settlement.
  • Both parties act in the best interests of the children to promote positive relationships with the divorcing spouses and to minimize any emotional effects.

If either spouse ignores the participation agreement and pursues outside legal representation or court, the collaborative attorney must end his or her representation of the client.

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Charitable Planning

Charitable Planning

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Estate planning increasingly includes some form of charitable giving. During the last three decades, wealth ballooned in the United States, but affluent clients tended to increase their charitable transfers more than their family inheritances. According to John Havens of the Boston College Center on Wealth and Philanthropy: “Reports from the IRS indicate that charitable giving increases at every level from the lowest level estate to the highest level.” He also notes: “When an estate’s value exceeds $20 million, the percentage going to charity virtually doubles and the percentage given to heirs goes down.”

A few statistics (with their sources) will highlight the depth of charitable involvement and its impact on estate planning:

  • 65% of American households give to charity.
  • Americans gave $298.3 billion to charities in 2011, a 3.9% increase over 2010.
  • 98% of high net worth households give to charity.
  • In 2010 there were 161,873 donor-advised funds that held $30 billion.

Not only are charitable transfers increasing, but also wealthier Americans are getting more involved in philanthropy themselves. According to a 2003 study, 83% of affluent Americans did volunteer work. The increased involvement of affluent Americans in charitable work also seems to be increasing their lifetime charitable gifting. Affluent Americans also are encouraging their heirs to become involved in charitable work.

These wealthy taxpayers are not just giving to charity. They are making sure that the gifts are handled in ways they approve. As a consequence of the scandals in numerous charities and the increasing “hands-on” management style of many donors, clients increasingly want to retain in themselves and/or their family the future direction of charitable transfers. Clients want to provide for charitable transfers that will leave a legacy for society and a legacy that will impact their heirs.

The common bond between today’s donor and the 20th century philanthropists is the desire to transmit family values and social responsibility to successive generations. This dual goal has resulted in not only a dramatic growth in charitable donations but also the development of “retained control” charitable-giving approaches.

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Who should be your successor trustee

Who Should Be Your Successor Trustee?

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If you have a revocable living trust, you probably named yourself as trustee so you can continue to manage your own financial affairs. But eventually someone will need to step in for you when you are no longer able to act due to incapacity or after your death. Because successor trustees have a lot of responsibility, they should be chosen carefully.

If you become incapacitated, your successor will step in and take full control of your finances for you—paying bills, making financial decisions, even selling or refinancing assets. Your successor will be able to do anything you could with your trust assets, as long as it does not conflict with the instructions in your trust document and does not breach fiduciary duty.

After you die, your successor acts just like an executor would—takes an inventory of your assets, pays your final bills, sells assets if necessary, has your final tax returns prepared, and distributes your assets according to the instructions in your trust.

Your successor trustee will be acting without court supervision, which is why your affairs can be handled privately and efficiently—and probably one of the reasons you have a living trust in the first place. But this also means it will be up to your successor to get things started and keep them moving along. It isn’t necessary for this person to know exactly what to do and when because your attorney, CPA, and other advisors can help guide him or her, but it is important that you name someone who is responsible and conscientious.

Successor trustees can be your adult children, other relatives, a trusted friend and or a corporate trustee (bank trust department or trust company). If you choose an individual, you should name more than one in case your first choice is unable to act. They should be people you know and trust, people whose judgment you respect and who will also respect your wishes.

When choosing a successor, keep in mind the type and amount of assets in your trust and the complexity of the provisions in your trust document. For example, if you plan to keep assets in your trust after you die for your beneficiaries, your successor would have more responsibilities for a longer period of time than if your assets will be distributed all at once.

Also, keep in mind the qualifications of your candidates. Consider personalities, financial or business experience, and time available due to their own family or career demands. Taking over as trustee for someone can take a substantial amount of time and requires a certain amount of business sense.

Be sure to ask the people you are considering if they would want this responsibility. Don’t put them on the spot and just assume they want to do this. Finally, trustees should be paid for this work; your trust document should provide for fair and reasonable compensation.

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Businesses That Benefit From the LLC Structure

Businesses That Benefit From the LLC Structure

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LLCs generally work best for:

  • Businesses with a limited number of owners, that are actively up and running. At about 35 owners of the business, at a maximum, the logistics of making collective business decisions are manageable.
  • New small businesses. Sometimes, new businesses want to pass early-year losses along to it’s owners to deduct against their other income, which may be a salary earned working for another company or income earned from investments.
  • People or business owners who have been considering forming an S corporation. S corporations provide limited liability protection to its owners and allow profits and losses to be taxed at individual shareholder rates, just like LLC’s. But these benefits come at a pretty high price: S corporations are significantly restrictive and a business can inadvertently lose its eligibility.
  • Existing partnerships. Only the LLC provides partnership-style pass-through tax treatment of business income while covering all of its owners, not just limited partners as in a limited partnership, from personal liability for business debts.
  • Businesses planning to hold property that will appreciate, as in real property. C corporations and their shareholders are subjected to a double taxation on appreciation when assets are sold or liquidate. Taxation occurs at both the corporate and individual level. S corporations that were originally organized as C corporations may also be subject to double tax on gains from appreciated assets. There can also be a penalty tax on passive income, which is money from rents, royalties, interest, or dividends, if it gets too high. Because the LLC is a true pass-through tax entity, it allows a business that holds appreciating assets to avoid double taxation.
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How Do Parents Keep Control Irrevocable Trusts

How Do Parents Keep Control: Irrevocable Trusts?

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When it comes to the division of their assets to their children, many parents want to be in complete control. One way to accomplish this is through the creation of a trust, which is a formal arrangement made with a trusted person, or trustee, which conveys property as directed by the creator(s) of the trust, or the trustor.

However, certain trusts must be irrevocable for estate tax and asset protection planning purposes. An irrevocable trust, just as it sounds, refers to any trust where the grantor cannot change or end the trust after its creation. Many people get turned off when the word “irrevocable” is raised, as they are unable to change or revoke the trust after it has been created. However, very often, a parent or grandparent will create an irrevocable trust for the benefit of a child or grandchild. There are several benefits to this, and several ways that an irrevocable trust allows parents to maintain control over the division of their assets to their children.

Magic Formula. The goal of planning is to “own nothing and control everything.” The magic formula is “control.” “Own” looks and sounds like an English word, but it is not. It is a legally defined concept. By contrast, “control” is what it seems to be. To paraphrase U.S. Supreme Court Justice Potter Stewart, you know it (control) when you see it.

Children’s Trust. How can parents maintain control of how their assets are divided, especially if they have multiple assets and/or multiple children? The first element of any estate planning for this purpose is a children’s trust. A properly structured children’s trust will give parents continuing control over the administration of their estate.

Choosing the Right Trustee. As with any trust, your decision as to who you will name as trustee is incredibly important, as they will maintain a significant degree of control over the trust and its assets after you have passed away. You will want to make sure that you take the necessary time to consider who is the best choice to serve as trustee, and you will need to ensure that the person you select is trustworthy, reliable, and willing and able to perform the duties required of them as set in the trust.

The best trustee is often the clients’ own parents, but it can also be one of your children. One positive of this is that your children will often be motivated to follow their parents’ wishes for fear of getting disinherited, ensuring that you maintain control over how your trustee performs their duties.

Trustee Removal Power. The parents must maintain the right to remove the trustee and name a new one. Rev. Rul. 95-58 provides that such a power does not result in estate tax inclusion if the new trustee is not “related or subordinate” as defined in IRC §672(c).

State Law. Section 411 of the Uniform Trust Code allows the settlor and all beneficiaries to petition the court to modify an irrevocable trust. Clients typically do not want to go to court, nor do they want to rely on getting cooperation from their children. However, again, children may cooperate if they know that the alternative is disinheritance. California has gone beyond the Uniform Trust Code: the settlor and all beneficiaries can modify an irrevocable trust without going to court.

Protectors. The broadest method to allow the parents to change an irrevocable trust is to name one or more protectors. Only a few states have codified provisions regarding Protectors, e.g., NRS 163.5547. Protector powers are limited only by your imagination, but generally include the power to change the allocations among the children and to change the manner of distribution. We often tell clients to not tell someone that they are named as a Protector until they need that person to act. In that situation, they should then float a trial balloon: “What would you think if I wanted to allocate 70% of the children’s trust to my daughter Sally, and only 30% to my son Jimmy?” Depending upon the Protector’s response, the parents will know whether to inform the respondent of his or her capacity as a Protector (or to move on to the next named Protector).

Single Member LLCs. Clients love the idea that they can continue to make 100% of the investment decisions. The single member LLC – with the irrevocable trust as the member and the parents as the non-member managers – is a terrific structure to provide both flexibility and control. Also, this makes it easier for the trustee, who may not want to be involved in picking stocks and bonds.

Miscellaneous. There are many structures that can help the parents keep control, both while they are alive, and even after they have passed away. Be prepared to discuss (i) private trust companies; (ii) grantor trust flip switches; (iii) powers of appointment; (iv) decanting powers; (v) trustee’s powers to terminate the trust and change it due to changes in the law; (vi) distribution advisors; (vii) selling assets from one trust to another; (viii) T-CLATs; (ix) charitable foundations; and (x) extended distribution clauses.

The attorneys at The Orlando Law Group can assist you in selecting the best structure for your trust, which will ensure that your wishes are followed and that your children or grandchildren are cared for after your passing. We represent and prepare estate planning documents for individuals throughout Orlando, Waterford Lakes, Altamonte Springs, Winter Garden, Lake Nona, St. Cloud, Kissimmee, and throughout central Florida.

If you are dealing with an estate planning issue or are looking to establish your own estate plan, please reach out to our office at 407-512-4394, fill out our online contact form.

If you have questions about anything discussed in this article or other legal matters, give our office a call at 407-512-4394 or fill out our online contact form to schedule a consultation. We have an office conveniently located at 12301 Lake Underhill Rd, Suite 213, Orlando, FL 32828, as well as offices in Seminole, Osceola and West Orange counties to assist you.

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Lien Property Disputes

Lien Property Disputes

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One huge reason homeowners are unable to buy and sell property are title defects which cause fights over lien priority. An experienced lawyer can help you work through lien priority disputes through quiet title actions, negotiations, or litigation.

Income Taxes: When you forget to pay your taxes, an IRS tax lien arises automatically. This lien stays until it is paid or until the tax assessment expires, which is 10 years. The tax lien lacks priority against listed classes of creditors until the Notice of Federal Tax Lien is filed. Holders of security interests, mechanic’s lien and judgment lien creditors have priority over federal tax liens if they are filed first.

State Taxes: State Tax Liens must be filed before IRS tax liens to have priority, even if the state lien arose automatically because the state taxes were unpaid.

IRS Tax Liens Eliminated:

  1. Certificate of Release where the tax is fully paid or compromised.
  2. Certificate of Discharge which only affects the specific property listed and does not affect taxpayer’s other   property.
  3. Certificate of Subordination where the IRS can subordinate its lien in specific property if the IRS is paid the value of its interest or the IRS believes it will realize more money by issuing the subordination.
  4. Withdraw of the IRS lien can be due to a prematurely filed lien or a lien in violation of IRS procedures or where the taxpayer has entered into an installment agreement where the agreement provides for the withdraw of the lien.

Lis Pendens: The purpose of recording this document is to give claimants constructive notice of a potential lien. The filing of a lis pendens does not perfect a lien. Once determined by a court, the filing may result in a perfected lien.
A document that shows the transfer of a deed of trust from one person or entity to another is an assignment. Some common assignment errors are:

  • Data Errors: Recording an incorrect book or page, or leaving blank the name of the assignee. You cannot fill in the blanks after the document has already been signed and notarized. Missing chain of assignment.
  • Not Recording Assignments: Recording assignments is not required by law, but it does cause title issues. Spend the money and record your assignment.
  • Not Having Uniformity in Recording: With more than 3,600 recording districts in the United States, you need to know the county recording requirements before creating a template. Many have different recording requirements, regulating font size, margins and signatures.
  • MERS: Mortgage Electronic Registration Systems no longer commences legal actions in its name. As a result assignments must be prepared. There is a backlog. There are times when the MERS number is not on the assignment when it is recorded or the wrong number is attached to the loan or MERS forgot to deactivate the number after it has been assigned.
  • Release Not Timely: Once the loan is paid off, a release is required to be recorded.
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Social Security Disability Benefits for Younger People

Social Security Disability Benefits for Younger People

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Most people do not realize how common disability is, or how likely it is that they will become disabled at some point during their working career. In fact, studies show that one in three 20-year-old workers will become disabled at some point before they reach their full retirement age. For those workers who do become disabled, Social Security disability benefits may be available. Unfortunately, however, many people do not understand how the get the benefits they deserve.

Social Security disability benefits are reserved for more serious disabilities. For example, if you catch a virus and are out of work for a week, you are not eligible for benefits. However, for those who suffer a medical condition that is expected to keep them out of work for one year or result in death, Social Security disability benefits are available.

Not only must you have a qualifying disability, but you must also meet rigid earnings requirements. These requirements employ two tests, the “recent work” test and the “duration of work” test, to determine whether your employment history entitles you to benefits. If the tests reveal that you have not worked close enough to your disability date, or long enough before you became disabled, you will not qualify. For example, if you become disabled at age 44, you will not receive disability benefits unless you have worked for 5.5 years.

If you are applying for Social Security Disability benefits in Florida, or have been denied Social Security Disability Insurance (SSDI) or Supplemental Security Income (SSI), please contact The Orlando Law Group at 407-512-4394. A Social Security attorney will review your claim and determine whether you are eligible for benefits and/or an appeal.

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When Should You Tell Your Children About Their Inheritance

When Should You Tell Your Children about Their Inheritance?

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Not many parents like to talk to their children about their wealth. How much money people have is usually considered a private matter, something it’s not polite to talk about. But not talking to your children about how much they may inherit can leave them unprepared to handle even a modest amount.

This is becoming especially important because children of baby boomers are due to inherit more wealth than ever before. It has been estimated that baby boomers will inherit $12 trillion from their parents, and they will leave an additional $30 trillion to their own children over the next 30 to 40 years.

Many who have substantial wealth are concerned that letting their children know how much they have will take away any motivation for the children to be productive and involved citizens. If a child knows he is going to inherit millions some day, he might just be a beach bum on Maui and wait for Mom and Dad to die. Wealthy parents often want their children to learn how to live in the world as “normal” people, to be productive and successful in their own right, and may be reluctant to let their children know how wealthy they are so their children don’t start to think they are better than others.

Even those who are not as wealthy may not want to let their children know how much they have. They may be concerned that all of their savings will be needed for retirement, medical expenses and end-of-life expenses. If that turns out to be the case, their kids would not receive an inheritance they may have been counting on.

But not knowing what they may inherit leaves children in the dark and can actually hinder their ability to handle money wisely. Those who inherit a substantial amount may be unprepared for what to do with that much money. Many find they suddenly feel separated from their friends, isolated, even confused about how to handle relationships; some will be wasteful and lazy. Those who inherit even a modest amount are likely to be just as irresponsible; stories of inheritances being squandered on an expensive sports car, lavish vacations and fast living are all too common.

Experts agree that it is important to talk to your children about money and wealth, at least in generalities. You don’t need to show them bank and financial statements. Instead of concentrating on money and material things, you can talk to them about your values, the opportunities money can provide and what you want to accomplish with it. Most parents want their children to think about others, and many want to encourage entrepreneurship. Some give their children a small amount of money at a young age, and teach them how to save and invest, give a certain amount to charity, and spend wisely.

But the most effective way to teach your children about your views on money and your values is to be an example and model. Let them see you using your money in ways that reinforce your values toward it. Many parents show how they value family relationships by spending their money on family vacations or buying a second home where the entire family can gather for summers and holidays. If your children see you being charitable and helping others, chances are they will become charitable, too. If they see you comparison shopping and looking for value, they will likely not be wasteful with their own money…or with yours when they inherit it.

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Estate Planning When You Are Single

Estate Planning When You are Single

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These days, more people are living single than ever before. In 1970, just about one- third of Americans 15 and older were single, according to U.S. census data. Today, that number’s closer to 50 percent.

Whether never married, divorced or widowed, singles need to pay just as much attention to their estate planning as married folks, as highlighted in a recent Wall Street Journal article. Single people face unique estate planning issues that require advanced planning, time and the help of an experienced professional.

Some of the most complicated estate planning issues for singles include:

Heirs: When married people die without a will, their assets typically pass to their spouse. But what about single people? Assets are usually distributed along bloodlines, so children (if any), followed by parents, siblings or other relatives, would be the default heirs. If a single person has no living relatives, his or her assets might wind up with the state.

To ensure their assets wind up with the relatives, loved ones and charitable organizations that they’d prefer, single people should create a will and/or an irrevocable trust that specifically states how they’d like their assets to be distributed.

Decision makers: A health event or other incident could leave any of us incapacitated. For single people, it’s important to designate a trusted loved one or friend to manage assets and health care decisions in case of an emergency. Without proper directives, those decisions could fall to distant relatives or state-appointed strangers.

Single people should sign a general power of attorney, an advance health care directive, and a HIPAA authorization allowing a loved one of choice to make financial and medical decisions on their behalf.

Beneficiaries: Certain accounts, like retirement plans, require account holders to designate a beneficiary when they enroll. That beneficiary designation is typically upheld when the account holder dies, even if he or she gave the account to someone else in a will.

Previously married or widowed singles should reevaluate all of their beneficiary designations to ensure accounts won’t be given to former spouses if that’s against their wishes.

Those are just a few of the ways estate planning can be complicated for singles. It’s wise for single people to contact an estate planning professional as soon as possible, in order to make sure all their bases are covered and their assets are distributed according to their wishes.

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Holidays after Divorce

Holidays after Divorce

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We are now in the holiday season. Think of that Norman Rockwell perfect Christmas, family and friends getting together. Chestnuts roasting on an open fire. That is the ideal. What is the reality? Actually, the holidays are very stressful times. I have found over the years that many people will come to me to file for divorce after the Christmas holidays. People have these unrealistic expectations that are rarely met by the holidays.

The holidays are a stressful time for in-tact marriages, and it is even more stressful for people who are already divorced. Fights are common over who has Christmas Eve, and who has Christmas Day. How is Thanksgiving handled?

What about New Years? How is the Christmas vacation divided? These are issues that lawyers often deal with in their practices. There are often last minute phone calls where someone has failed to produce the children for the holiday.

Some suggestions for handling the holidays after a divorce, when it comes to who has the children are:

  • In an in-tact marriage, there are issues as to whether you spend the holiday with one set of relatives or the other, and you often alternate them.
  • After a divorce, if the tradition was one where Christmas Eve was with one family, and Christmas Day with the other family, then follow that tradition.
  • If there was no tradition, then typically a schedule will be one where one parent has the children on Christmas Eve one year until perhaps noon on Christmas Day, and then it is rotated.
  • Thanksgiving is handled with some people alternating just the day, and others alternating the entire Thanksgiving holiday weekend from perhaps Wednesday after school until Sunday evening.
  • Christmas breaks are often divided with one parent having the children from the day after school lets out until noon on Christmas Day in even years, and from noon on Christmas Day until the day school begins in odd years. There are many, many ways to handle these holidays. If people communicate well, then a simple arrangement will work. Where people have a failure to communicate and cannot agree on anything, then every detail must be spelled out. Holidays become more complicated and stressful. Even though you thought you got rid of those pesky in-laws, guess what? Divorces don’t end these relationships.
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Estate Planning for Blended Families

Estate Planning for Blending Families

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Divorced, Remarried, or Widowed? Why Your Estate Plan Needs Extra Attention

Blended families are more common than ever. According to the U.S. Census Bureau, about 2.4 million stepchildren lived in American households in 2021. That number highlights just how many families are navigating remarriage, stepchildren, and extended family ties, and why careful estate planning is so important.

For divorced, remarried, and widowed individuals, there are simply more opportunities to get it wrong. Without careful planning, assets might end up with an ex instead of a current spouse, or your children and stepchildren may not be treated the way you intend.

On top of that, spouses, past and present, don’t always agree. Who cares for the children if a parent dies? How should assets be divided? These aren’t just legal questions, they’re emotional ones that can impact family harmony for years to come.

What Are the Most Common Estate Planning Issues for Blended Families?

  • Unintended heirs. If you don’t update your will or beneficiary designations after a divorce or remarriage, your assets could pass to an ex-spouse or exclude stepchildren you want to include.

  • Guardianship confusion. Who takes care of minor children, the surviving spouse or the biological parent? Without clear instructions, this can create painful disputes.

  • Fairness questions. Do all children inherit equally, or should biological and stepchildren be treated differently? These decisions need to be spelled out clearly.

  • Conflicting expectations. Former and current spouses may not agree on how assets or responsibilities should be divided.

What Estate Planning Tools Can Help Blended Families?

Estate planning isn’t just about having a will,it’s about making sure every detail reflects your wishes. Some common tools families use include:

  • Wills – Direct how your property should be distributed and name guardians for minor children.

  • Trusts – Can help you set aside assets for specific people (such as biological children) while still providing for a current spouse.

  • Beneficiary designations – Retirement accounts, insurance policies, and some bank accounts pass directly to the person you name, regardless of what your will says.

  • Powers of attorney – Allow someone you trust to make financial or medical decisions if you can’t.

Each family’s situation is unique, but these tools can help create structure and reduce uncertainty.

What Questions Should You Ask Before Creating a Blended Family Estate Plan?

When you sit down to think through your estate plan, consider:

  • What do you want to happen when you pass away?

  • Who should make decisions for you if you can’t make them yourself?

  • How do you want to provide for your surviving spouse?

  • Who will care for your children, and should they have a say?

  • Do you and your former/current spouse share any objectives, or will you need separate attorneys?

  • Are there wealth or age differences that affect how assets should be handled?

How Can Communication Prevent Estate Planning Disputes?

One of the biggest mistakes blended families make is avoiding the conversation. These discussions can feel uncomfortable, but having them now prevents bigger conflicts later. When expectations are clear, it helps preserve family harmony and reduces the chances of painful disputes.

Why Should Blended Families Work with an Estate Planning Attorney?

Free online templates may be tempting, but they rarely account for the complexities of blended family dynamics. An experienced estate planning attorney can help you:

  • Clarify your goals.

  • Structure your plan so it’s legally sound.

  • Update existing documents to reflect your current family situation.

A strong estate plan is more than paperwork, it’s peace of mind for you and stability for the people you love most. Meet our Estate Planning attorney here 

Frequently Asked Questions About Blended Family Estate Planning

Can a stepchild inherit without a will?
In most cases, stepchildren do not automatically inherit unless they are legally adopted. You need to include them in your estate plan if you want them to receive assets.

Does a surviving spouse automatically inherit everything?
Not always. It depends on your state’s laws and whether you have children from a previous relationship. A clear estate plan avoids unintended outcomes.

Do I need a trust if I have children from a prior marriage?
A trust isn’t always required, but many blended families use trusts to balance providing for a spouse while ensuring biological children also inherit.

How often should I update my estate plan?
Anytime you experience a major life change—such as divorce, remarriage, or the birth of a child—you should review and update your plan.

👉 Bottom line: Estate planning for blended families takes extra care, but it’s worth the effort. The right plan ensures your wishes are honored, your assets are protected, and your family relationships are preserved for the future.

The attorneys at The Orlando Law Group help with Estate Planning in Orlando, Waterford Lakes, Altamonte Springs, Winter Garden, Lake Nona, St. Cloud, Kissimmee, and throughout Central Florida.

If you have questions about anything discussed in this article or other legal matters, give our office a call at 407-512-4394 or fill out our online contact form to schedule a consultation to discuss your case. We have an office conveniently located at 12301 Lake Underhill Rd, Suite 213, Orlando, FL 32828, as well as offices in Seminole, Osceola and West Orange counties to assist you.

The articles on this blog are for informative purposes only and are no substitute for legal advice or an attorney-client relationship. If you are seeking legal advice, please contact our law firm directly.

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Lawyers Have to Be Mindful When Computing in the Cloud

Lawyers Have to be Mindful When Computing in the Cloud

Lawyers can use “cloud computing” to provide software and store records but must take reasonable steps to ensure than information remains confidential, according to a suggested Bar ethics opinion. As the proposed opinion notes:

“Because cloud computing involves the use of a third party as a provider of services and involves the storage and use of data at a remote location that is also used by others outside an individual law firm, the use of cloud computing raises ethics concerns of confidentiality, competence, and proper supervision of nonlawyers.”

Cloud computing gives lawyers the ability to access records from laptops, tablets, and smartphones and also protects records from being lost if a law office is damaged by a hurricane or fire. But because the records and software are stored by a third party at a remote location, lawyers must work to see that the information and client confidences are protected.

Several other states, the proposed opinion says, have found that the use of cloud computing is ethically acceptable as long as precautions are taken. The opinion notes, for example, that the Iowa Bar described the goal as: “Lawyers must be able to access the lawyer’s own information without limit, others should not be able to access the information, but lawyers must be able to provide limited access to third parties to specific information, yet must be able to restrict their access to only that information.” New York listed three obligations for attorneys: Ensuring that the provider can preserve confidentiality and security, including informing the lawyer if there is a subpoena seeking information in those records; reviewing the provider’s security procedures; and using available technology to protect “against reasonably foreseeable” attempts to infiltrate the offsite records.

Cloud computing involves use of an outside service provider which provides computing software and data storage from a remote location that the lawyer accesses over the Internet via a web browser, such as Internet Explorer, or via an “app” on smart phones and tablets. The lawyer’s files are stored at the service provider’s remote server(s). The lawyer can thus access the lawyer’s files from any computer or smart device and can share files with others.

Software is purchased, maintained, and updated by the service provider. Many lawyers and others are computing “in the cloud” because of convenience and potential cost savings.

The main concern regarding cloud computing relates to confidentiality. Lawyers have an obligation to maintain as confidential all information that relates to a client’s representation, regardless of the source.

Rule 4¬1.6, Rules Regulating The Florida Bar. A lawyer may not voluntarily disclose any information relating to a client’s representation without either application of an exception to the confidentiality rule or the client’s informed consent. Id. A lawyer has the obligation to ensure that confidentiality of information is maintained by nonlawyers under the lawyer’s supervision, including nonlawyers that are third parties used by the lawyer in the provision of legal services.

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