Inherited IRAs Are Naked

The U.S. Supreme Court ruled that children with inherited IRAs from their parents will not be able to keep the IRA in bankruptcy.  What does that mean for your children?  If your child has either a bankruptcy, lawsuit, divorce or IRS problems then those creditors can take all or a part of the IRA your child inherited from you. The solution is simple: the ...

Married? Your Trust is Probably Too Complicated!

Many married folks with a Revocable Living Trust (“RLT”) have a complicated planning tool commonly referred to as the (“A/B Trust”). In 2001, an estate paid a 55% estate tax on any assets valued at more than $675,000 (“the exemption”). Married couples were not guaranteed to each get the $675,000 exemption so they often created the A/B Trust to double ...

Humans Should Never Own Real Estate

I've been teaching attorneys, CPAs and Realtors for the past 12 years that title to real estate should never be owned by individuals.  Why? When an individual owns real estate the Probate Court must determine who will become the beneficiary when the individual dies.  This probate cost is approximately 5% of the fair market value of the real estate. If the ...

Yellow Dot Program

Nevada introduced a life-saving program that alerts “first responders” at a car accident scene that an occupant of the vehicle has special medical issues. This information is critical in the “golden hour” following an accident. Emergency workers can now increase the chance of survival for a victim who may be incapacitated. A yellow dot decal is placed on the rear ...

Why Everyone Should Have A Will

In our first episode of Family Stuff You Should Know, Gary and Christine Fales discuss why everyone should have a will.  If you have children under 18, the will can name permanent guardians for your minor children.  We discuss probate, heirs and why this should be a document every parent creates.

Why Have Powers of Attorney?

My perfect client is someone who cares deeply about the future. Yes, we are taught that living in the present brings peace and contentment. For me, however, that peace comes from knowing that I have done all I can to make the future bright for me and the ones I love. One strategy that shouldn’t be overlooked when preparing for ...

Simultaneous Death

A simultaneous death is a situation where both spouses die at the same time.  When I say "at the same time," I'm referring to spouses dying within one year of each other.  It happens a lot more often than I would expect. The scariest simultaneous death is a situation with little children and the parent's death results in orphans.  However, in ...

Will He Get the House if There’s a Divorce

There's a lot of confusion out there on how assets are divided upon death and divorce.  Although I'm not a divorce attorney, my clients get divorced and we have to deal with the division of assets held in their trusts. In this post, I will share with you 3 simple rules I learned from a judge to pass the Bar ...

Seven Reasons Why Parents Need to Name Guardians

1.  You never know when you might die. 2.  You never know when you might lose your mind. 3.  You don't want your family fighting over who gets the kids. 4.  You can't guarantee that your child's other parent will always be able to take care of the children. 5.  You may not want your child's other parent to care ...