Planning for You and Your Family

As an Elder Law Attorney, I handle many issues involving chronic long-term illness, dementia, and the dying process.  Some issues are very complex, while others are not. Some issues involve health crises, and asset protection from nursing home care that exceeds $8,000 per month.  Some involve pre-planning and trusts, wills, and other legal documents.  But all clients need good solid legal advice with a plan, as well as a clear explanation of the plan, and how it benefits the client and their family.  For our clients, planning and analysis generally focuses on the following:
Making it: Tax Planning
Keeping it: Asset Protection Planning
Caring for it: Paying for dementia/stroke care without going broke
Passing it on: Estate Planning to pass assets to the next generation easily
Tax planning is important — we must look at income tax, estate tax, capital gains tax, and other types of taxes.  Uncle Sam won’t give you a free pass — you must plan and use their rules to your benefit.  Most people don’t understand the tax rules, and unknowingly make mistakes that can be easily corrected — with the right information.
Asset Protection Planning is critical for those with dementia, history of stroke, or other chronic illness.  Skilled nursing facility costs now exceed $100,000 per year — the ability to apply for Medi-Cal and protect the home and other assets is critical.
Paying for Care:  Many seniors are independent one day, and in the hospital the next. Strokes are a game changer, and put many seniors in skilled nursing facilities – permanently.  Alzheimer’s and dementia are now at epidemic proportions, and as the disease progresses, expensive care outside the home is required.  Medi-Cal, VA benefits, and other resources are important to help pay for the high cost of care.  Knowing the options is very important, so wise choices may be made.
Passing it on:  I often see ambiguous or poorly written trusts needing court interpretation after the person dies.   Many of these trusts are written by non-lawyers, who don’t understand many details of correct estate planning.  Understanding your options, and having your wishes in proper legal and tax form, is extremely valuable.
For more information, please call the McNamara Law Firm at 661-287-3260, or visit www.themcnamaralawfirm.com.