Friday, October 28, 2011 Long-Term Care Awareness Month: Facing the Facts and Being Prepared
Long-term care is an issue most people avoid like the plague. No one likes to think about getting old, losing their independence or having to spend any length of time in a nursing home or other long-term care facility.
Because of these fears, many people tune the issue of long-term care planning out all together. They plug their ears to the warnings of their financial advisors, doctors and even close family and friends that the time to plan for the inevitable is now.
I believe that’s why a national observance was dedicated to this very topic: far too many people are in denial, and therefore unprepared, for the transitions that quickly happen in the later stages of life.
We all know that sickness, mobility issues, disability or even incapacity can strike without warning. Even degenerative diseases like Alzheimer’s can progress so rapidly that your family’s hands could be tied regarding your care.
For example, you may not want to go into a nursing home, but have you provided your family with any legal and financial tools that give them any other choice?
Have you investigated exactly what type of coverage Medicare or Medicaid provides, and whether you will even be eligible for such coverage should an immediate need for long-term care present itself (99% of people are shocked by these findings).
Most importantly, have you put the right legal documents in place that allows someone to quickly step in and handle your finances and medical needs in an emergency, or will your loved ones be blocked by strict HIPAA laws, ultimately leaving you in the lurch?
These are all important issues that must be addressed sooner, rather than later, if you want some control and flexibility during the final years of life.
With that said, I encourage you to take some time this week and weigh your options about things such as long-term care insurance, financial planning and supplemental government aid. Talk to your attorney about documenting your choice of health care agent, power of attorney and additional steps you can take to protect your assets should the need for long-term care ever arise.
Just start by getting the facts. Then once you are armed with the right information, take proactive steps to make a plan. The independence and quality of life you enjoy in the golden years depends on it.
Friday, September 23, 2011 Will Lawyer In Houston Explains the Basics of Estate Planning and What That Means For YOU
When a person with assets over $100,000 passes away, their assets will be handled in one of three ways:
(1) if they had no will, their assets will be distributed as mandated by the Texas probate code through a court proceeding called probate;
(2) if the person had a valid will, the estate will still have to go through the Harris County probate process, but the court will carry out their wishes as stated in their will; or
(3) if the person had a valid living trust (and their assets were re-titled in the name of their living trust), their wishes would be carried out in private, without the court's involvement.
So ... why does it matter to you?
The answer to this question depends on how much you care about what your loved ones have to deal with after you are gone and how much control you want to have as to who gets what, and when and how they get it.
If you do nothing, you get no input on any of these questions and the court and one of your eager family members/friend/creditor who petitions the court will make these decisions on your behalf through a process called probate. Why do you care about probate? Often, the probate process can take 6-12 months, can be extremely costly, and the process is completely public. The probate process can often lead to squabbling between family members and airs the family's dirty laundry.
If a person leaves a valid will, it will still have to go through the probate process described above, but the court will have the benefit of knowing how you want your affairs handled. Instead of relying on the laws of intestate succession (which is the law that distributes your assets to your family members in the order of their relation to you), the court will pass on your assets to the specific people you have identified in your will.
Through a valid will, you can control WHO gets your assets, but you will have no control as to HOW and WHEN they get it.
A living trust (that has been properly funded), on the other hand, gives you more control. If you are working with an attorney who has expertise in this field, you can control WHO gets your assets, and WHEN and HOW they get it without the court's involvement. Even better--with a living trust, it is a private administration and can generally be handled in a short period of time.
You may be asking yourself: why would someone in Texas ever do a will instead of a living trust? Typically, a person will choose a will over a living trust for one of two reasons:
(1) they don't know the difference between the two, or
(2) the "cost" of doing a living trust.
There are some obvious advantages to doing a living trust over a will, but starting with something is better than nothing. If you are not yet ready to make a leap into the world of living trusts, a basic, will-based estate plan is a starting point. In addition to giving the court direction about how you want your assets distributed, a will-based estate plan should also include your advance health care directive (which identifies the person(s) that will make health care decisions for you, if you are incapacitated) and a durable power of attorney (which identifies the person(s) that will make financial and legal decisions, when you can't).
While we all care about what happens to our assets, every person over the age of 18 needs to have an advance health care directive and durable power of attorney. Monday, July 18, 2011 Houston Wills and Trusts Lawyer Offers Ways to Approach “Tough Conversations” With Mom or Dad
When meeting with a wills and trusts lawyer in Houston for the first time, many adult children realize that they have no idea where their parents stand in terms of having the right plans in place to protect their assets and wishes if something happens to them.
Do their parents have a will or trust and, if so, where are these and other important documents located? Should assisted living or nursing home care become necessary, what plans are in place to cover the costs? Will mom or dad even have enough money after these costs to carry them through retirement?
These are some very important questions that need to be asked, and an experienced Houston wills and trusts lawyer can steer you in the right direction. That being said, no matter how good your relationship is with mom or dad, the subject can be a difficult one to approach.
Perhaps the best place to start is timing. Holidays such as Christmas, Hanukkah and Thanksgiving are known to be stressful times, so avoid these occasions. Current events often present the perfect opening, as there is always some Hollywood legend or financial mogul who dies leaving a fortune for the heirs to squabble over.
Or, the personal experience of a friend or relative can be worked into a dialogue. “So-and-So’s mother was admitted to the hospital recently and no one knew where to find her important papers.” For the adult child who is doing estate planning of their own, it would only be natural to want to discuss their parents’ plans with them during this time.
For some families, several conversations over a longer period of time might be a better approach. No one wants to feel like they are being told what to do, and money matters are often emotionally charged conversations to begin with.
Remember, advance preparations are in the best interests of the parents, sothattheir wishes can be carried out upon death. Be sure to communicate this from the start to avoid your parents shutting down or getting defensive about the questions you are asking.
Finally, don’t forget to include the topic of long-term care in your conversations with mom or dad. While no one likes to think about the possibility of becoming disabled or incapacitated by something like a stroke or Alzheimer’s disease, it does happen and it’s something that must be planned well in advance for. If you start early enough, an Houston wills and trust lawyer can help you put the right plans in place to ensure mom or dad’s wishes during incapacity are honored and that they won’t be forced to sell or give away all of their assets in order to qualify for state or federal assistance.
Are you now ready to help your parents put a rock-solid plan in place that ensures their end-of-life wishes are honored to the fullest? Then be sure to call our Houston wills and trusts lawyers for assistance. With the mention of this article, you may qualify for a Lifetime Legacy Planning Session ($750 value), at no-charge. Simply call (281) 218-0880 to find out more. Friday, June 03, 2011 A Houston Wills and Trusts Lawyer Offers Advice for Newlyweds
By: Kim Hegwood, Houston Wills and Trusts Lawyer
In the midst of finding the perfect dress, choosing a venue, and tasting countless cakes, Houston newlyweds often overlook the importance of finding a reputable wills and trusts lawyer. It’s easy to get caught up in planning for the wedding and to forget about planning for the marriage! Really, though, the beginning of your new life together is exactly the right time to start your estate planning.
Perhaps you think it’s unnecessary because you don’t have what you would consider an “estate.” Wills are not just about leaving property to your (potentially not-even-born-yet) children, however. They help protect you and your new spouse, as well as other family members, should something unexpected happen.
Living Wills
Living wills are a powerful example of why newlyweds need a wills and trusts lawyer. A living will declares your wishes in case you are unable to make them clear on your own. Would you want to live on life support? Do you wish to donate your organs? Are there medical procedures that you absolutely would not want to undergo? Your attorney can help you draw up the paperwork that makes your wishes clear and relieves your new spouse of trying to make those very difficult decisions in what would likely be the worst time of his or her life.
Along with a living will, you will likely also need to create powers of attorney. These will designate who is able to make decisions for you, both medically and financially. In many cases, this will be your spouse, but what would happen if you were both unable to make quick decisions for yourself? A Houston wills and trusts lawyer will help you create these important documents according to our local laws and regulations.
Probate
If you should suddenly pass away, would your spouse or other family members have access to your insurance? Your bank accounts? Your property? The answer is not as obvious as it seems. Your estate could easily end up in Harris County probate, meaning that those who should inherit from you are denied access for months or even years. Putting an estate plan in place can help relieve some of this burden while speeding up the process for your loved ones. It can also save them considerable amounts of money.
A Houston wills and trusts lawyer will help you make sense of what needs to be done, and the process is actually far easier than many people imagine. It’s also less expensive than you might think, and certainly less expensive than having your new spouse or family denied inheritance that should rightfully be theirs. Just consider it one more administrative task that needs to be taken care of as you add your spouse’s name to your accounts, get a driver license with your new name, or take care of the other paperwork that comes along with being a newlywed.
At Hegwood & Associates, PC, we often work with newly married couples to create a plan that works now, but also takes into consideration your wishes and plans for the future (i.e. children, acquisition of new assets, business growth). To get started, simply call (281) 218-0880 and request a free Lifetime Legacy Planning Session ($750 value). However, these sessions are limited to 10 per month so call today! Thursday, May 26, 2011 Updating Your Will with an Estate Planning Attorney in Houston
As an estate planning attorney in Houston, I commonly see people who understand the importance of the initial estate planning but then forget that they need to keep their wills and trusts up-to-date. These documents aren’t something that should just be done once and then tucked into a safety deposit box never to be visited again. Actually, there are several times in the course of your life that you need to dig out your wills and trusts and make changes.
·Marriage – Obviously, when you get married, you will have a new spouse to consider when it comes to things like inheritance, living wills, and powers of attorney.
· Divorce – If you don’t relish the thought of your ex receiving your estate, you may want to meet up with your Houston estate planning attorney to make some changes.
· Children – The addition of a child should trigger a need to reevaluate your will and other documents. Estate planning is often thought of as a way to care for your children after your death, and that can only be done if you keep your documents current with the birth of each child.
· Purchases – If you acquire new assets, whether in the form of real estate or something else of value, you will want to call your estate planning attorney to be sure it is covered in your will.
· Health – You may find that certain health conditions cause you to reconsider the wishes outlined in your living will. This ensures that your loved ones and healthcare providers are apprised of your decisions.
· Insurance – Over the course of your insurance policy’s life, you may find that you want to change the terms, such as the type of coverage you have or the beneficiaries of your policy. When changes like this occur, it is important to have an estate planning attorney reflect that in your legal documents.
A Houston estate planning attorney will be current on federal, state, county, and city laws and will be able to guide you as you keep your wills and trusts up-to-date. This protects you and your beneficiaries and can actually keep your will from being invalidated after your death.
So if it’s been awhile since you’ve updated your estate plan, I invite you to give our office a call and schedule a complimentary Lifetime Legacy Planning Session to have your documents reviewed ($750 value). Simply call (281) 218-0880 to get started. Thursday, May 19, 2011 Houston Living Will Attorney Helps Clients Plan for an Unexpected Disability
Here in Houston, living will attorneys know full-well the ramifications of not planning ahead for an unexpected disability. Even those clients who understand the importance of estate planning tend to overlook what would happen if they should become unable to care for themselves. It’s not the happiest thought, but the reality of not having a living will can make the situation considerably worse for both you and your family.
A major disability can be devastating to an entire family, both emotionally and financially. Pre-planning for the possibility can reduce some of the heartache that often accompanies these situations.
Medical Concerns
You may assume that your spouse would simply make decisions for you if and when a major problem takes place. Ask yourself, if he or she really wants to be responsible for some of those decisions. For example, if you were in a coma, how would your spouse react to making the choice of whether or not to stop life support? Even if your loved ones know your wishes, simply having them in a formal document can remove a considerable burden and amount of potential guilt.
A living will attorney can help you to draw up these documents so that your family does not have to make these choices. The attorney can also assist by offering insight into situations you likely wouldn’t have considered. Are you opposed to a blood transfusion? Are you adamantly against ending life support? What needs to happen if you become mentally disabled? Who should be given power of attorney over your other health-related issues?
Financial Concerns
Having a major illness or injury is very expensive and can keep you from working during and after hospitalization. Your Houston living will attorney will also advise you on what needs to happen financially if you are unable to take care of your own needs. For example, you will likely set up a power of attorney, as well as to determine how long-term care will be paid for. Will you need to sell your house? Will you be eligible for disability insurance? These are all questions that the living will attorney will go over with you.
There are plenty of other considerations that need to be addressed by a <insert city> living will attorney. From what will happen to your children to where you might end up in nursing care, there are choices that need to be made. Planning in advance with your attorney in Houston will ensure that your wishes are being followed if the time should come.
If you are ready to get started in creating a plan that will protect you and your family should incapacity or disability occur, give our office a call at (281) 218-0880 and ask to schedule a Lifetime Legacy Planning Session. These sessions are normally $750, but you can come in free with the mention of this article. However, these sessions are limited to 10 per month so call today! Thursday, February 17, 2011 Harris County Estate Planning Attorney Answers, ‘What Does a Heath Care Agent Do’ and ‘How to Choose?’
Today I want to tackle 2 very important questions I receive all the time, and that’s “What is a Heath Care Agent?” and “How do I Choose the Right Person for the Job?”
Yet before I answer these questions, let me start by saying that as a Harris County estate planning attorney, I work with families all the time who are literally barred from making medical decisions on their loved one’s behalf because they didn’t have the proper documentation in place when an accident or incapacity occurred.
It’s a devastating situation, and unfortunately something we are seeing more and more of as strict privacy and HIPPA laws are put into place.
For that reason, I always advise every adult (including 18-year-olds who can no longer rely on mom or dad for help!) to educate themselves on this important subject and ultimately put a health care directive in place so someone always has legal permission to act on your behalf in an emergency.
What Does a Health Care Agent Do?
If you’re not familiar with the role of a health care agent, this is essentially the person who will carry out your wishes regarding things like life-support, resuscitation and feeding tubes if you are incapacitated and unable to speak for yourself. Your health care agent will also handle the day-to-day decision making regarding your medical care including (but not limited to):
- Medication administration
- Blood and blood products
- Diagnostic tests
- Dialysis
- Surgery
- Long-term care (i.e. nursing home assistance, home health care)
- Hiring and firing medical personal
- Determining who can (and cannot) visit you during your hospital stay
- Getting court authorization to obtain or withhold treatment if your wishes are not honored by a doctor or other healthcare professionals
How to Choose a Health Care Agent
The choice of a health care agent requires very serious consideration. While it may initially seem like an easy choice, this is actually one of the most common areas people get stuck on when trying to complete their Harris County estate plan.
Remember, your health care agent could be called on to make some of the most difficult and heart wrenching decisions they’ve ever faced in their life. The job could also be time consuming, stressful and emotionally draining depending on the nature of the emergency.
For these reasons, I would advise you as a Harris County estate planning attorney to really take your time and thoroughly evaluate all possible candidates for the job. Here are the top three qualifications I ask my clients to consider when narrowing their search:
-
Location- In a true medical emergency, your health care agent may be called upon to make round-the-clock decisions until you are stable. If that occurs, you’ll want someone who lives close enough to meet with doctors and visit the hospital whenever necessary (which of course may also mean excluding people who travel a lot on business or have demanding jobs).
-
Medical Understanding- While your healthcare agent certainly doesn’t need a phD in science, you do want someone who is capable of understanding your medical condition and the choices presented to him or her by the doctors overseeing your care. That may also require you to weed out candidates who are overly squeamish or emotional about medical subjects to ensure the best decisions are made on your behalf.
-
Loyalty- The person you choose as health care agent should feel a sense of loyalty to you and your wishes to ensure your preferences are fully carried out in the face of emotional stress, personal disagreement or pressure from other family members to make decisions contrary to those you have specified.
Of course if after going through this brief checklist you still have questions about how to choose a health care agent, what an agent can do for you or even how to limit the scope of your agent’s power during a medical emergency, I invite you to call our office at (281) 218-0880 and schedule a Lifetime Legacy Planning Session (normally $750).
During this session we can discuss your options and make sure you truly have the right documentation in place to protect your medical wishes if the unthinkable occurs. However, these sessions are limited to 10 per month so call today! |