Search found 3253 matches

by bsteiner
Wed Jun 20, 2018 10:05 pm
Forum: Personal Finance (Not Investing)
Topic: Will or Trust?
Replies: 41
Views: 2282

Re: Will or Trust?

There seems to be some cognitive dissonance on this board, regarding trusts. It seems to recommend everyone leave their assets to their kids in an irrevocable trust, even when their assets are well below the estate tax exemption. Yet, it almost never recommends that people establish DAPTs to protec...
by bsteiner
Wed Jun 20, 2018 9:40 pm
Forum: Personal Finance (Not Investing)
Topic: Will or Trust?
Replies: 41
Views: 2282

Re: Will or Trust?

,,, 1. Do I have to pay for a trustee? What if it's a family member or a friend who would do it for free? 2. Spouse and I are doing our wills and we want to include in our wills that if we both die, a separate trust will be set up for our children. Our children are under 5 yo. So for three kids, sh...
by bsteiner
Wed Jun 20, 2018 4:54 pm
Forum: Investing - Help with Personal Investments
Topic: Charitable Remainder Trust and Rentals
Replies: 4
Views: 266

Re: Charitable Remainder Trust and Rentals

A charitable remainder trust (CRT) doesn't avoid the tax on the gain from the sale. It spreads it out over time. The CRT would have to specify the percentage that you receive each year (at least 5%), and whether it's based on the initial value (an annuity trust) or on the value each year (a unitrust...
by bsteiner
Wed Jun 20, 2018 4:01 pm
Forum: Personal Finance (Not Investing)
Topic: Planning for long-term care of a brother with Autism? (Financial aspect)
Replies: 17
Views: 833

Re: Planning for long-term care of a brother with Autism? (Financial aspect)

You would leave your assets to him in trust just as you would for a child. As others have pointed out, you would actually provide for him in two separate trusts, one for your retirement benefits and one for you other assets. Since no one knows what the future will bring, you would give the trustees ...
by bsteiner
Wed Jun 20, 2018 10:43 am
Forum: Personal Finance (Not Investing)
Topic: Missed RMD - IRS penalty waiver process?
Replies: 12
Views: 854

Re: Missed RMD - IRS penalty waiver process?

That's surprising. The IRS usually grants the waiver for missed required distributions. It would seem that they would grant the waiver for an elderly person who was 2 hours late.

The notice should contain instructions telling you what to do if you disagree.
by bsteiner
Tue Jun 19, 2018 9:28 pm
Forum: Investing - Help with Personal Investments
Topic: Charitable Remainder Trust and Rentals
Replies: 4
Views: 266

Re: Charitable Remainder Trust and Rentals

A charitable remainder trust (CRT) is very different from a donor advised fund. You contribute an appreciated asset to a CRT. You receive annual payments equal to a percentage of the value of the trust. The payments can be fixed based on the initial value (a charitable remainder annuity trust (CRAT)...
by bsteiner
Tue Jun 19, 2018 7:40 pm
Forum: Personal Finance (Not Investing)
Topic: Avoiding SALT limitations via non-grantor trusts
Replies: 1
Views: 293

Re: Avoiding SALT limitations via non-grantor trusts

Complicated for a small amount. Too early to know whether anyone will want to do this.
by bsteiner
Tue Jun 19, 2018 7:37 pm
Forum: Personal Finance (Not Investing)
Topic: Will or Trust?
Replies: 41
Views: 2282

Re: Will or Trust?

Something I don't understand in reading this thread. Some have stated their wills are written to direct their assets into trusts after they die. Why? One of the advantages of a trust is to avoid probate. But taking the approach they're using won't the wills need to be probated before the assets can...
by bsteiner
Tue Jun 19, 2018 10:58 am
Forum: Personal Finance (Not Investing)
Topic: Dealing with a trust in Florida
Replies: 27
Views: 1006

Re: Dealing with a trust in Florida

I usually don't like TOD accounts. They can defeat the estate plan. There may not be enough money available to pay cash bequests. One child may resist contributing his/her share of the money needed to pay debts, taxes, funeral expenses, the cost of preparing the decedent's final income tax return, t...
by bsteiner
Mon Jun 18, 2018 9:26 pm
Forum: Personal Finance (Not Investing)
Topic: Will or Trust?
Replies: 41
Views: 2282

Re: Will or Trust?

Revocable trusts make sense in some cases and in some states, mainly California. But they're overhyped and oversold, and for most people, in most states, aren't necessary. But you already have one. So you could keep it, without regard to whether it was appropriate to begin with. You used the word "...
by bsteiner
Mon Jun 18, 2018 9:23 pm
Forum: Personal Finance (Not Investing)
Topic: Wills & Trust Lawyer
Replies: 8
Views: 839

Re: Wills & Trust Lawyer

OP, I feel your pain. I'm going through the same process. I was advised to screen using the Martindale site https://www.martindale.com/ but I have not found it very easy to use. It links to the attorney's website but almost all attorneys in my area list trusts and estates as one of their practice a...
by bsteiner
Mon Jun 18, 2018 5:09 pm
Forum: Personal Finance (Not Investing)
Topic: Will or Trust?
Replies: 41
Views: 2282

Re: Will or Trust?

People are conflating two different issues: whether to create a revocable trust, and whether to provide for your children outright or in trust. You can put the same dispositive provisions (who gets what, and under what terms) either in a Will or in a revocable trust. Revocable trusts make sense in s...
by bsteiner
Mon Jun 18, 2018 4:43 pm
Forum: Personal Finance (Not Investing)
Topic: Wills & Trust Lawyer
Replies: 8
Views: 839

Re: Wills & Trust Lawyer

Just as you can buy a car for $1,000, $10,000 or $100,000, or you can buy a dress for $50, $500 or $5,000, there's a wide range of prices for Wills, depending on your situation and the level of lawyer and law firm.
by bsteiner
Mon Jun 18, 2018 4:39 pm
Forum: Personal Finance (Not Investing)
Topic: Dealing with a trust in Florida
Replies: 27
Views: 1006

Re: Dealing with a trust in Florida

It will be the same as if the dispositive provisions were in the Will.

You should focus on the substantive (whether she leaves the assets to the persons she wants in a way that's tax-efficient and protects the assets from the beneficiaries' creditors and spouses) rather than the procedural.
by bsteiner
Mon Jun 18, 2018 2:20 pm
Forum: Personal Consumer Issues
Topic: Help Buying Mens Shoes for Work and Dating
Replies: 97
Views: 8229

Re: Help Buying Mens Shoes for Work and Dating

... guys judge other guys by their watch or their car. ... My co-workers don't know what kind of car I have or whether I have a car. I don't bring my car to work. ... I believe many of you talk about your wives not noticing such things. Try talking to some 30 something single gals in the market for...
by bsteiner
Sun Jun 17, 2018 2:55 pm
Forum: Personal Finance (Not Investing)
Topic: new thinking under 2018 tax law?
Replies: 21
Views: 3207

Re: new thinking under 2018 tax law?

Some of the joint return brackets were widened to twice the width of the single brackets. So married IRA owners can convert up to $315,000 within the 24% bracket.
by bsteiner
Sun Jun 17, 2018 8:06 am
Forum: Personal Finance (Not Investing)
Topic: Partial Owner of Inherited Family Farm/Land
Replies: 15
Views: 1860

Re: Partial Owner of Inherited Family Farm/Land

One of the things the lawyer does in an estate administration is to make a recommendation to the executors as to whether to obtain an appraisal, and if so, whom to hire to do the appraisal. It's a judgment, based on the particular situation. If the lawyer is in a firm with a good trusts and estates ...
by bsteiner
Sat Jun 16, 2018 10:25 pm
Forum: Personal Finance (Not Investing)
Topic: A relative has named me in a trust
Replies: 6
Views: 1202

Re: A relative has named me in a trust

Not really. We have a revocable trust in place of a will to simplify things for our kids (at a very emotional time). All they need to know is the lawyer’s contact information. They call the lawyer and the lawyer takes care of the asset transfer(s). Michigan is a Uniform Probate Code state, which me...
by bsteiner
Fri Jun 15, 2018 3:03 pm
Forum: Personal Finance (Not Investing)
Topic: Help with beneficiary language for term policy
Replies: 1
Views: 126

Re: Help with beneficiary language for term policy

Their language is typical. The insurance company needs to fill the gap in case you die without a Will, or with a Will that doesn't contain a trust. I would prefer a longer window than 90 days. While most people probate the Will soon after the decedent's death, some people don't get to it right away....
by bsteiner
Fri Jun 15, 2018 10:28 am
Forum: Personal Finance (Not Investing)
Topic: Special Needs Trust
Replies: 20
Views: 1368

Re: Special Needs Trust

... A primary purpose of a special needs trust is to not affect any governmental assistance (medicaid, etc.) with the trust. I would want to make sure the trust is written so the person is not disqualified from government services because of the trust assets and income. That's the easy part (in the...
by bsteiner
Fri Jun 15, 2018 7:55 am
Forum: Personal Finance (Not Investing)
Topic: Special Needs Trust
Replies: 20
Views: 1368

Re: Special Needs Trust

I think some people are confusing two different types of special needs trusts. Medicaid payback/first party trusts (funded with the beneficiary's own money One is the Medicaid payback trust (or first party trust in Medicaid parlance), funded with the child's own money, often the proceeds of a person...
by bsteiner
Thu Jun 14, 2018 11:07 pm
Forum: Personal Finance (Not Investing)
Topic: Inherited IRA: Using it for kids college
Replies: 31
Views: 1839

Re: Inherited IRA: Using it for kids college

If you're in the top bracket, your taxable income is over $600,000, so you'll probably have other money to pay for your children's education. So why not stretch the IRA and take only the required distributions each year? She may also want to consider disclaiming the IRA if your children are the cont...
by bsteiner
Thu Jun 14, 2018 4:40 pm
Forum: Personal Finance (Not Investing)
Topic: Is anyone familiar with Connecticut Gift and Estate Tax rules? my son) tax rules?
Replies: 11
Views: 695

Re: Is anyone familiar with Connecticut Gift and Estate Tax rules? my son) tax rules?

As others have noted, the Connecticut exempt amount is $2.6 million in 2018 and will be $3.6 million in 2019. Connecticut allows a state-only QTIP election if you don't otherwise make a Federal QTIP election. Someone with a large estate would shelter the Federal exclusion amount at the first spouse'...
by bsteiner
Thu Jun 14, 2018 11:20 am
Forum: Personal Finance (Not Investing)
Topic: Special Needs Trust
Replies: 20
Views: 1368

Re: Special Needs Trust

The trust for the child with special needs is for the most part the same as the trust for the child without special needs. The difference is that, depending on the nature of the disability, the child with special needs may have a lesser degree of control (or no control at all) over his/her trust. Wh...
by bsteiner
Wed Jun 13, 2018 10:28 pm
Forum: Investing - Help with Personal Investments
Topic: Role of Annuity For Savers Who have 20+ years until Retirement
Replies: 32
Views: 2258

Re: Role of Annuity For Savers Who have 20+ years until Retirement

Out of curiosity, I do hope someone familiar with this type of product responds. Just last week, a co-worker talked about a Met Life annuity that he was considering. He cited an 8% guarantee for 6 years and no surrender charge at that point. While I was sure Met Life was not giving guaranteed money...
by bsteiner
Wed Jun 13, 2018 8:50 pm
Forum: Personal Finance (Not Investing)
Topic: House that was in trust is actually in estate
Replies: 22
Views: 2213

Re: House that was in trust is actually in estate

You probate the Will, not the assets. Unless you're in a state like California where probating a Will is said to be difficult, what's the problem with probating a Will? In most states it simply means filing some forms with the court together with the Will and a death certificate. I've only ever hea...
by bsteiner
Wed Jun 13, 2018 8:43 pm
Forum: Personal Finance (Not Investing)
Topic: Is anyone familiar with Connecticut Gift and Estate Tax rules? my son) tax rules?
Replies: 11
Views: 695

Re: Is anyone familiar with Connecticut Gift and Estate Tax rules? my son) tax rules?

If you can get to the right people at the Connecticut Department of Revenue Services, they'e pretty good.

You could post your question here and perhaps someone will be able to help, or at least point you in the right direction.
by bsteiner
Wed Jun 13, 2018 9:04 am
Forum: Personal Finance (Not Investing)
Topic: Cost-basis step-up at death
Replies: 9
Views: 966

Re: Cost-basis step-up at death

It depends. What does the lawyer for your father's estate say?
by bsteiner
Wed Jun 13, 2018 8:06 am
Forum: Personal Finance (Not Investing)
Topic: House that was in trust is actually in estate
Replies: 22
Views: 2213

Re: House that was in trust is actually in estate

Well, then, it is in the trust. Show the will to the title company. My will has a provision like this, anything I own that is not in the trust when I die, goes into the trust. You do not have a problem. No problem except probate. Sure, the will says that the trust is the beneficiary, but assets not...
by bsteiner
Wed Jun 13, 2018 8:04 am
Forum: Personal Finance (Not Investing)
Topic: Estate Planning- Trusts
Replies: 4
Views: 631

Re: Estate Planning- Trusts

I wish I understood this better as it is a question we Minnesotan's ask as well. We too have a spousal exemption, an estate tax exclusion that is significantly lower than the federal (headed to 3M in 2020 if memory serves me correctly) and no state portability. For those couples with assets only sl...
by bsteiner
Tue Jun 12, 2018 10:18 pm
Forum: Personal Finance (Not Investing)
Topic: Estate Planning- Trusts
Replies: 4
Views: 631

Re: Estate Planning- Trusts

As you noted, the Illinois estate tax exempt amount is $4 million. Illinois allows a state-only QTIP election. Someone in Illinois with a large estate would shelter the Federal estate tax exclusion amount (presently $11,180,000) and pay the Illinois estate tax on the $7,180,000 difference between th...
by bsteiner
Tue Jun 12, 2018 5:40 pm
Forum: Personal Finance (Not Investing)
Topic: House that was in trust is actually in estate
Replies: 22
Views: 2213

Re: House that was in trust is actually in estate

I am venting about a frustrating situation that I just discovered. My father had cancer and died in 2014. He and my mom took care of a lot of things, and most everything was moved into a trust in my mom's name. Mom died unexpectedly last year. We are selling her Florida home and have a buyer. I am ...
by bsteiner
Tue Jun 12, 2018 3:13 pm
Forum: Personal Consumer Issues
Topic: For Sale By Owner (FSBO) purchase - how much discount can I expect?
Replies: 22
Views: 1608

Re: For Sale By Owner (FSBO) purchase - how much discount can I expect?

If there's a broker and the contract price is 500, the buyer pays 500 and the seller gets, say, 470. If there's no broker, the buyer and seller might end up somewhere between 470 and 500. But I think they would end up closer to 500 since the buyer would have to pay 500 to buy a similar house, wherea...
by bsteiner
Mon Jun 11, 2018 4:07 pm
Forum: Investing - Help with Personal Investments
Topic: Large inheritance -- looking for advice
Replies: 56
Views: 6530

Re: Large inheritance -- looking for advice

... I've never done any kind of estate planning, but that's on the to-do list. At least I know what not to do after going through all this! (Hey everybody -- make sure you have a designated beneficiary on all your accounts!! Oy) ... You need to name beneficiaries for retirement benefits and life in...
by bsteiner
Sun Jun 10, 2018 11:54 am
Forum: Personal Consumer Issues
Topic: House sale by owner - Problems & Pitfalls?
Replies: 30
Views: 1581

Re: House sale by owner - Problems & Pitfalls?

A broker may be able to better market the property. You have to decide whether you think a broker will be able to produce a buyer at a sufficient price to make it worth hiring him/her.
by bsteiner
Sun Jun 10, 2018 9:48 am
Forum: Investing - Help with Personal Investments
Topic: Inherited IRA within Trust- Can you roll over to personal Inherited IRA
Replies: 5
Views: 331

Re: Inherited IRA within Trust- Can you roll over to personal Inherited IRA

Trust accounts are used in Florida to avoid probate. There are no terms to the Trust within the will other than everything is split 5 ways and naming the executor. Unlike some states, probating a Will in Florida is not particularly difficult, expensive or burdensome. We probate lots of Wills in Flo...
by bsteiner
Sun Jun 10, 2018 9:23 am
Forum: Investing - Help with Personal Investments
Topic: Inherited IRA within Trust- Can you roll over to personal Inherited IRA
Replies: 5
Views: 331

Re: Inherited IRA within Trust- Can you roll over to personal Inherited IRA

Perhaps, depending on the terms of the trust. But it wouldn't change the required distributions. What are the terms of the trust? Why did the IRA owner leave his IRA to a single trust for 5 children the youngest of whom was 57? Occasionally someone provides for young children in a single trust that ...
by bsteiner
Fri Jun 08, 2018 2:34 pm
Forum: Investing - Help with Personal Investments
Topic: IRA' s and separate beneficiaries
Replies: 5
Views: 260

Re: Ira' s and separate beneficiaries

Why create unnecessary complexity? If you name a trust for your spouse as beneficiary, you might jeopardize the rollover. Even if it doesn't destroy the rollover, there will be additional work, including possibly an opinion or counsel or a private letter ruling, to accomplish the rollover. If you wa...
by bsteiner
Fri Jun 08, 2018 11:49 am
Forum: Investing - Help with Personal Investments
Topic: Estate Planning--Trust Fund Investments
Replies: 10
Views: 501

Re: Estate Planning--Trust Fund Investments

I am revising my will. It will contain a trust for one of my children. Does anyone have suggestions about the instructions I should leave for how the money should be invested and paid out? Right now, the language the lawyer drafted just leaves it up to the manager of the trust. It's usually best to...
by bsteiner
Fri Jun 08, 2018 9:55 am
Forum: Personal Finance (Not Investing)
Topic: long term care insurance
Replies: 112
Views: 5429

Re: long term care insurance

Ideally there would be a policy that covers an unlimited time Actually they typically do cover an unlimited time. Instead of time, money is what's limited, and in two ways: the policy limit (total number of dollars that they'll pay no matter how long it takes), and maximum monthly benefit. These ar...
by bsteiner
Fri Jun 08, 2018 9:53 am
Forum: Personal Consumer Issues
Topic: Found an FSBO home for sale. How to avoid Realtor?
Replies: 42
Views: 3353

Re: Found an FSBO home for sale. How to avoid Realtor?

It's up to the seller whether he/she hires a broker. In the original poster's case, the seller is selling the house without a broker. So there's no broker.
by bsteiner
Fri Jun 08, 2018 9:27 am
Forum: Personal Finance (Not Investing)
Topic: long term care insurance
Replies: 112
Views: 5429

Re: long term care insurance

... because LTC is a high probability and insurance companies have to invest very conservatively it’s unlikely over time that your premium payments to them will be any more then just pre-paid medical. ... Agreed. Most of what's called long-term care insurance is really short-term care insurance, an...
by bsteiner
Thu Jun 07, 2018 9:36 pm
Forum: Personal Finance (Not Investing)
Topic: Trust as Beneficiary OF ROTH and Traditional IRA
Replies: 6
Views: 589

Re: Trust as Beneficiary OF ROTH and Traditional IRA

It would be easier to name a trust for child A as the beneficiary of 50% and a trust for child B as the beneficiary of 50%. Alternatively, you could name a trust for child A as the beneficiary of the traditional and a trust for child B as the beneficiary of the Roth (with appropriate adjustments eit...
by bsteiner
Thu Jun 07, 2018 9:31 pm
Forum: Personal Finance (Not Investing)
Topic: How to legally avoid a bank levy?
Replies: 16
Views: 2111

Re: How to legally avoid a bank levy?

Does anyone have advice about how to legal avoid a bank levy, esp. one that would result in actual funds being frozen? My thoughts are that using an esoteric independent bank (no subsidiaries or parent company) that is far from home would be one's best bet? Yet, I wonder if there is a database wher...
by bsteiner
Thu Jun 07, 2018 2:33 pm
Forum: Personal Finance (Not Investing)
Topic: Trust: Execute "at death"
Replies: 6
Views: 664

Re: Trust: Execute "at death"

The book you mentioned is interesting, but it's geared to community property states, mainly California where the author is. It also focuses on the two end points (providing for children outright or in trusts that the children don't control), whereas most people opt for a middle ground (providing fo...
by bsteiner
Thu Jun 07, 2018 2:26 pm
Forum: Investing - Theory, News & General
Topic: Why Edward Jones?
Replies: 76
Views: 12286

Re: Why Edward Jones?

I had a meeting with my Edward Jones guy today. ... He pulled up numerous funds, within my American Funds, that beat the index going back 20 years, AFTER EJ fees were deducted. ... You can have American Funds without Edward Jones in the middle. If you invest at least $1 million, you won't pay the l...
by bsteiner
Thu Jun 07, 2018 10:20 am
Forum: Personal Finance (Not Investing)
Topic: Trust: Execute "at death"
Replies: 6
Views: 664

Re: Trust: Execute "at death"

Absent any other reason to create a revocable trust, it would depend on what state you're in. You would probably create one if you're in California or Delaware (though perhaps not yet if you're only 46), but as retiringwhen pointed out, not if you're in New Jersey (or most states). Where are you? .....
by bsteiner
Wed Jun 06, 2018 9:25 am
Forum: Personal Finance (Not Investing)
Topic: Can a Retired 60 yo MD, MBA Start a Law Career?
Replies: 273
Views: 12437

Re: Can a Retired 60 yo MD, MBA Start a Law Career?

I had 3 distinct careers and there were many naysayers. By the time I decided to go to med school in my early 40s I knew enough not to ask for advice. I didn't tell anyone I was applying except for those writing recommendations until I was accepted. I even had people who told me at age 20 I couldn'...
by bsteiner
Tue Jun 05, 2018 9:23 am
Forum: Personal Finance (Not Investing)
Topic: Can a Retired 60 yo MD, MBA Start a Law Career?
Replies: 273
Views: 12437

Re: Can a Retired 60 yo MD, MBA Start a Law Career?

You can probably get accepted to law school. Law schools might prefer someone not right out of college. It's hard to predict what will happen after law school. While it would be unusual, there have been some law professors who didn't go to law school, such as David Cay Johnston: https://en.wikipedia...