Life Insurance: A Component of Estate Planning

By Nicholas Vanikiotis

Life Insurance is one of the many components when planning your estate. It plays a slightly different role than the other assets in your estate. It is intended to make sure your estate has value at the time of your death. Thus, it is important to understand the different options available and to make sure it is included and given the proper attention when planning your estate.

The two main types of life insurance are whole life and term life insurance. The main difference is that whole life is permanent while term life is not. Term life insurance is a short-term option, which is usually taken by people who are younger since it is inexpensive relative to whole life insurance. Term insurance is taken out for a specific purpose and only last for five to ten years. This may be a good option for a young doctor going to work overseas in a hostile area where death is more likely than at home. Another aspect of term insurance is the premiums increase over time.

Whole Life is the other option of insurance. This one is a lifetime commitment and attached by a savings component, which you have the opportunity to invest in different investment vehicles of your choosing. There are variations of whole life insurance that give you more freedom regarding the terms of the policy and how the savings component is handled.

http://www.investorguide.com/igu-article-348-life-insurance-types-of-policies-and-provisions.html

http://www.rhondasherwood.com/pdfs/EstatePlanning.pdf

http://www.newyorklife.com/nyl/v/index.jsp?vgnextoid=c4bc2f5a919d2210a2b3019d221024301cacRCRD

Estate Planning Help

In these economic times more and more people are worried about their money and what will happen to it. There are a few options for you to explore. One of these is to visit a financial planner or specialized estate planner. Another option is to go to a seminar to learn what you can or should be doing.
The seminars have lawyers and professional planners who speak and answer your questions. They speak on topics from your estate to long term care (and LTC Insurance). Many seminars are free, while some are at a cost. It is a smart idea to attend one to get some basic information to mvoe you on the right track, but visiting a planner is still a must to ensure your estate and needs are met in the most efficient manner.


Posted by Chris Keeler






http://www.bristolpress.com/articles/2009/09/13/news/doc4aadb6a03741a150155695.txt

http://www.themorningsun.com/articles/2009/09/13/business/srv0000006367756.txt

http://pr-usa.net/index.php?option=com_content&task=view&id=262441&Itemid=33

Estate Costs

Probate Planning To Minimize Estate Costs
Mon, Sep 14, 2009 12:00 AM EST

What is Probate?

When an individual dies intestate, the person's estate is divided among that person's relatives, and where there are no relatives, the entire estate falls to the government. Where there is a Will, all authority and property rights are governed by that Will and it takes effect upon the moment of death.

In principle, a properly drawn Will requires no further act to justify its legal existence. However, as a result of the often secretive nature of Wills, and the fact that the deceased is no longer available to verify the terms of his or her Will, third parties, such as financial institutions and land registry offices, will often require a higher level of certainty when dealing with the property of a deceased person. This certainty is provided through a process traditionally referred to as "probate", now called a "certificate of appointment of estate trustee". The process involves submitting the Will to the courts for verification. If there is no Will, the courts must appoint an individual called an "estate trustee without a will". With applications to the courts, both with or without a Will, it is necessary to pay the required court fees commonly known as "probate fees". With the exception of assets that were held jointly with a right of survivorship, court fees are calculated on the value of all personal property owned by a deceased anywhere in the world and all real property situated within the province. The basis for calculating the fees varies from province to province. In Ontario, the rate is calculated as $5 per $1000 of the first $50,000 of the estate and $15 per 1000 for the value of an estate over $50,000. It works out to approximately 1.5 percent.

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Posted by Chris Keeler

Planning for Boomers

Posted by: Janielle Viggiano

For the vast majority of us who won't have taxable estates, the planning process should involve not just "financial planning" or "estate planning" but also "life planning," "long-term care planning (nursing home planning)," "death planning," "burial planning," and even "pet planning" if we own animals.

Recent times, however, don't bode so well for our progeny. When you couple a frail economy, a schizophrenic stock market, and the "running-on-empty" Social Security and Medicare systems with the rising costs of living, medical care, prescriptions and long-term care--then add in the prospect of fewer jobs--it's a good bet that boomers will inherit little, if anything, from their parents. And boomers' children may get even less.

At the same time, boomers live much differently than their parents. Many have incurred significant debt and live beyond their means, skip from job to job and wait for the retirement ship that may never come. In addition, because they have been marrying and having children later in life, boomers are still writing checks for children's college educations and incurring debt well into late middle age and beyond. And divorce and remarriage are further thinning assets and available cash flow.

What all this means is that seniors and boomers must develop plans for life, for the possibility of incapacity and for death. Creating and implementing this plan must be a multidisciplinary effort through a qualified team of professionals.

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Choosing the Right Estate Planner

Posted by: Janielle Viggiano

When choosing an estate planner, there are four main things you look for. The first being trustworthiness. When it comes to choosing someone that is dealing with your finances and assets it is important to trust that person to not only deal with your stuff but to also steer you in the right direction of your planning. The next is professionalism. Your estate planning lawyer should be someone that is highly trained and recognized and that typically hold a certification or advanced legal degree. Thirdly is ethics. According to Donald West, “An ethical estate planning lawyer should consider all your needs and best interests above everything else. An ethical planner will always provide sound and legal advice and never recommend faddish or illegal scams to save or hide money.” Lastly, is commitment, your estate planning lawyer should have no problem staying late at work finishing the job and working with your accountant, insurance professional, and even your financial advisor. Below are some tips for choosing the best estate planner:

• Referrals from friends


• Check with banks


• Look for names that repeat


• Contact your state bar association


• Interview candidates
  

According to About.com, “When it comes to estate planning, a fiduciary is a person or institutions given the power to act on your behalf if you become disabled and on behalf of your beneficiaries after you die. This includes personal representatives, successor trustees, health care agents, attorneys in fact, and guardians.” Choosing a fiduciary is similar to choosing an estate planner because you want to pick someone that you can trust, is honest, and loyal.

Sources: http://ezinearticles.com/?How-to-Choose-the-Best-Estate-Planning-Attorney-For-You-and-Your-Family&id=1092208

http://wills.about.com/od/choosingfiduciaries/How_to_Choose_Fiduciaries_for_Your_Estate_Plan.htm

http://www.estateretirementplanning.com/attorney.html

Step One When it Comes to Estate Planning

Posted By: Laura Reginelli

DYING without a will can be a nightmare for those left behind.

If you have young children, it can be much worse if you have not stated who you wish to be their guardian in the event that both you and your partner die.

A will is a must even if you are young and invincible with not many assets, otherwise your mother-in-law may become the new owner of your stuff.

Scott Whitla, partner at McCullough Robertson Lawyers in Brisbane, says even though Michael Jackson's untimely exit sparked an outpouring of grief from around the world, his estimated $US1 billion ($1.2 billion) estate is posing a real legal thriller.

Click here to read full article.

Start Planning Now: Create your own Will

By: Laura Reginelli

Nowadays making a will seems like common sense, right? False. Only around half the population creates one prior to their death. So what does this mean for you? Although many go without them, start planning now to ensure that your estate is handled the way you intended. It’s even possible to create your own will if you choose to.

A will has several different, yet equally important parts. If you were to have small children at the time of your death, a will would designate who would be the legal guardian. Wills also specify how ones’ assets will be dispersed after passing away. By creating your own will you will be able to appoint executors who will follow out the wishes stated in your will.

An individual who passes away without making a will is known as an intestate. When one is an intestate, the reality of your estate being divided up may not exactly follow your intentions. It is possible that if you have a spouse that not all of your property will go directly to him or her. Instead, this is limited up to a certain amount.

In order to avoid becoming an intestate, make a will by either consulting a lawyer, solicitor or even yourself. From there you must include general information yourself and where you live, names of family members, spouses and beneficiaries, a list of your assets, names of guardians and executors and signatures from both yourself and witnesses.

All in all, it pays to plan ahead for the future of your estate and your assets.

Sources:http://www.metlife.com/individual/life-advice/retirement-planning/making-a-will/
http://www.moneyextra.com/guides/making-a-will.html
http://www.legal-advice-centre.co.uk/private/making-a-will.html

Understanding the Importance of Estate Planning

By: Jessie Bruyn

With today's economy in distress, it is becoming more and more important for us to think about our future and the future of our loved ones. No one wants to leave their friends and family with mountains of debt or unfinished business to take care of in addition to grieving for their loss. Many people think that estate planning is only for rich individuals. But as Heidi Brown comments in her recent Forbes article, it doesn't matter your age or how much money you h ave, creating a will cuts down on confusion and chaos after your passing.

There are currently new federal laws being under examination for change based on regulations applied to estate taxes which will be repealed in 2010. Roy Adams, professor at Northwestern University School of Law says "What happens in the next few months could cause some of the biggest changes we've seen in the trusts and estates field."

Often times people avoid creating wills and other estate planning documents (such as trusts and long-term care agreements) because of the sensitive questions and concerns that arise from related discussions. But it is especially important to get past the uncomfortable feelings to make this less stressful and run smoothly when a death does occur. Having a well planned will helps eliminate further stress caused after a death of a loved one and will be greatly appreciated by those you left behind.

http://www.forbes.com/2009/09/02/estate-financial-planning-forbes-woman-net-worth-guide.html

http://ifawebnews.com/2009/09/07/biggest-changes-weve-seen-coming-to-trust-and-estate-planning/

http://www.24-7pressrelease.com/press-release/planning-for-the-future-can-save-families-additional-grief-down-the-road-115199.php

Estate Planning: Online Information

By Nicholas Vanikiotis

Let’s face it, pretty much everyone and everything today is online, whether it is banking information or social networking sites. Who will control such sites and gain access to them when you pass away? This is a question people should ask themselves, especially when we are living in a digital age. Putting account IDs and passwords in either a safety deposit box or a virtual deposit box is not a bad idea.

Imagine if you did not have any of your accounts or passwords stored for your beneficiaries. This would make it very tough for them to gain access to money and any other delicate information. In most cases they will have to get a court order that will cost your beneficiaries time, money, and the hassle of going through the process.

There are many online deposit options available. For example, Wells Fargo offers an online protection service of all your financial documents, which can include your will and any other estate plan documents you may have. They are also not very expensive at all. For example, keepyousafe.com only costs $50 per year for up to 5 gigabytes of storage. Thus, placing your account information in a secure place is a valuable investment and will ensure that your beneficiaries can gain access to your accounts after you pass away.

http://online.wsj.com/article/SB124796142202862461.html?mod=relevancy

http://www.atelier-us.com/consumers-and-ecommerce/article/wells-fargo-to-offer-online-safe-deposit-box-for-the-security-minded

http://www.nolo.com/legal-encyclopedia/checklist-29472.html;jsessionid=2CC16BF05710149684C5A4BCBDB28D42.jvm1

http://www.keepyousafe.com/pricing.php

Your Go-To Guide to Estate Planning

BY: Jessie Bruyn

As many of us watch our portfolios dwindle and bills add up, it's tempting to put off planning for the future. Experts caution, though, that everyone--no matter their age or family status--needs to sit down and plan their estate.

Whether you are wealthy or debt-laden, you should tell loved ones and put into writing how you want your estate to be handled, says Debbie Whitlock, co-owner of Sound Financial Partners, a financial-services practice in Seattle.

Easy Organizing: Plan Your Estate

She says women often assume that such after-death planning is something only rich people need to do. Perhaps it's the word "estate." That's wrong.

"It doesn't matter how much money is in your bank account" or what age you are, says Whitlock, who works mostly with female clients. "Everyone needs to do estate planning. Without it there's a lot of confusion and chaos."

Estate planning isn't just about distributing cash. If you don't have a will, your children could end up guardians of the state. Heirs could end up liable for your debts. Loved ones will be saddled with your funeral costs with no hope of reimbursement until after a lengthy court process that can take years.

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Estate Planning Without Anxiety

by nicholas Vanikiotis

WITH THE MARKETS in constant turmoil, planning for the here and now seems daunting enough; planning for the after-I-die is even less appealing. Nobody likes talking about death, telling relatives what they’re going to inherit or wading into jargon like terminable interest property. But if you haven’t figured out where you ultimately want your investments and property to go, you won’t control what happens to your savings when you die—and your family will be forced to make hard decisions without your guidance. The stretch between Thanksgiving and New Year’s is a great time for reflection and resolution. Here’s how to get on the ball.

First, take stock of everything you own: Your estate includes not just your personal belongings and investments but also your home, life insurance and retirement savings plan assets, as well as your share of any jointly owned property. You must not only decide where you want each piece to go after you die but also inform your loved ones. If this sounds difficult, start by literally cataloging how you have piled up your most important possessions; connect the work you’ve done with the things in your life that hold the most meaning. Using your life story as a narrative, write down what you’ve accumulated and develop a list of your most significant purchases and investments. Then when you divide up your estate, you will be working from a sense of pride in your accomplishments, not anxiety about death—and your heirs may be fascinated by the details that emerge.

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Estate Planning

By Chris Keeler


There are several elements in the estate plan. A few of the core pieces include you will, power of attorney, health care proxy and a trust. These elements help to protect you and your family in the event of sickness or death. You will have a handle on your assets and how they are to be distributed or maintained. When planning you must keep in mind tax laws, both state and federal. There are many ways to find tax favorable options in planning. Having a well thought out plan makes it easier on family and friends in the event of death and can avoid long legal issues to settle a non planned estate through probate. When going into plan your estate have your goals and objectives in mind as this makes it easier for an attorney to help you plan and draw up your estate plan.
IT is important for your plan to be in place to help both your children and their children. In the event of sickness it can put a strain on family who may have to take care of you. A plan in place can avoid this. If you are taking care of an elderly parent make sure to keep your finances in check first before worrying about the parent. Most times it takes a death or illness for people to realize the importance of planning. The earlier the better.








http://money.cnn.com/magazines/moneymag/money101/lesson21/

http://www.nmfn.com/tn/netserv--personal--page_estate_plng_intro

http://www.smartmoney.com/personal-finance/estate-planning/new-strains-for-the-sandwich-generation-21298/

Estates of disarray

By Chris Keeler

Wealthy people who spend their careers building complex portfolios, with investments and assets all over the world, often overlook one key area of financial planning: how their estate will be passed on when they die.

Advisers say that no matter how closely engaged some investors are in their financial affairs during their lifetime, many are woefully unprepared when it comes to structuring their estate for their death. This partly reflects a reluctance to face the reality of death, but also time-pressed entrepreneurs and business owners often find the process of making a will a burden they can do without.

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Estate Planning & Why You Must Start Now

By: Janielle Viggiano

According to PriceWaterhouseCoopers there are several elements when it comes to estate and gift tax planning—“including gifting policies, the amount of property involved, resident or domicile status, the availability of deductions, and exclusions and credits. It’s important to understand US federal rules in this area; proper planning should also include a review of the rules in the state of residence, as those rules may also influence planning.” With estate planning you can determine:

• How and by whom your assets will be managed for your benefit during your lifetime if you ever become unable to manage them yourself.
• When and under what circumstances it makes sense to distribute your assets during your lifetime.
• How and to whom your assets will be distributed after your death.
• How and by whom your personal care will be managed and how health care decisions will be made during your lifetime if you become unable to care for yourself.
  

It is extremely important to plan ahead so that there is no question or doubt as to the future of your assets and estate. It doesn’t matter how much money you have or how old you are, everyone needs to plan their estate. If you’re married you need to sit down with your spouse and discuss your wills together and how you want distribute your assets. Although planning for your future can be somewhat scary and depressing you must take matters into your own hands, not only for yourself but for your loved ones.

Sources: http://www.calbar.ca.gov/state/calbar/calbar_generic.jsp?cid=10581&id=2206
http://www.forbes.com/2009/09/02/estate-financial-planning-forbes-woman-net-worth-guide.html
http://www.pwc.com/en_US/us/private-company-services/pdf/gyb_vol_60_estate_planning.pdf

Planning for the Future Can Save Families Additional Grief Down the Road

Posted by Janielle Viggiano


It is estimated that as much as 10 percent of the elderly population live on wages at or less than the national poverty line -- in 2009, $10,830 for a single person; $14,570 for two people for 2009. Even those who are living above the poverty line may not have the financial resources to pay for much needed care, especially if they need long-term care in an assisted living community or nursing home. This leaves the financial burden falling to their families, who also may not have the means to cover all of the costs.

One of the ways families can help ease any future financial stress is by sitting down with their loved ones and creating a comprehensive estate plan. This plan can include setting aside resources to pay for not only any possible long-term care needs, but also the day-to-day expenses loved ones may need in their golden years.


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Social Security Benefits See No Rise on the Horizon

Economists are famed for the phrase “on the other hand,” and the sobriquet fits in looking at the most recent report on the Consumer Price Index.

While Friday’s report on the CPI was benign -- no change in the overall price index and a modest change in the “core” index -- it nonetheless could be a downer to millions of people collecting Social Security payments

Under provisions of a 1975 law, Social Security benefits are adjusted each year based on the year-to-year change of the Consumer Price Index for Urban Wage Earners (known as CPI-W). For every year since the law was enacted, benefits have been adjusted upward each January, with a 5.8% boost at the beginning of this year, the largest since 1982.

Click here for full article.

Posted By: Laura Reginelli

Estate Planning: Planning for a Safer Tomorrow

By: Laura Reginelli



No one obviously likes to think about their death; however, sometimes it is necessary to plan ahead for the day that you will no longer be around. According to www.bloomberg.com , estate planning is “the preparation of a plan to carry out an individual's wishes as to the administration and disposition of his/her property before or after his/her death.” With proper planning, your wishes about how your assets should be divided up will be followed properly when the time comes.

Some helpful tips to tackle estate planning include:

· Go through and create a list of all your assets. Then estimate a monetary value associated with each of the assets.
· Plan accordingly for how any sort of debt you may have had in your life will be taken care of in the case of an event where you would die.
· Create a will and determine how your assets will be divided up. This will include naming a guardian for your possible children as well as an executor who will be given the duty to carry out the will.
· Purchase life insurance as a safety blanket for the future.
· Make sure to update this information if need be.

Sources: http://www.bloomberg.com/invest/glossary/bfglose.htm
http://wills.about.com/b/2009/02/09/estates-planning-tips-for-2009-do-you-have-a-debt-plan.htm
http://www.pueblo.gsa.gov/cic_text/money/estateplan/planning.htm

Estate Planning Softwares

By Yulun Hung

Estate planning software can be a smart way for people to save thousands of dollars on lawyers but it is not for everyone. Estate planning software is usually more suited for people that have estates worth less than $2 million, which is the amount federal estate tax is involved. Another recommendation is that people who have more than one marriage should not use estate planning software. Basically, if your estate plan is going to be complicated, a lawyer will be the better at handling your case. Estate planning softwares usually only cover the basics. If you think software can be right for you, here is a list of programs I got from The CPA Technology Advisor website that you can consider:

CCH Tax and Accounting - ViewPlan Advanced
"CCH Tax and Accounting’s entry into the estate planning market, ViewPlan Advanced, runs under Windows 95 or newer operating systems and requires a Pentium processor, VGA display, CD-ROM drive and a minimum of 14MB of hard disk space. I interviewed several users who were happy with the product."

BNA Software - BNA Estate & Gift Tax Planner
"The BNA Estate & Gift Tax Planner is the leader in estate tax planning, which is something we have come to expect from a recognized name and leader in all types of tax planning. This spreadsheet program is driven by solid foundations. The BNA Estate & Gift Tax Planner is a consistent application, enabling confident presentations. If you have used any other BNA program, you will immediately be ready to use the BNA Estate & Gift Tax Planner."

Thomson Fast-Tax — zCalc Tool Box Suite
"Thomson Fast-Tax offers the zCalc Tool Box Suite, a collection of analytical programs and other tools that act as an add-on to Microsoft Excel, providing additional assistance to estate planning professionals through features that enhance tax and estate planning strategies. "

Emerging Information Systems, Inc. ' NaviPlan Extended
"EISI introduced NaviPlan in 1996 and boasts a user base of more than 70,000. NaviPlan is another product in this review lineup that takes a broader approach to the planning process, including both goal-based financial planning as well as cash flow-based estate planning, which focuses on tax reduction and maximizing the amount of assets that can be passed to heirs. Since this review series features Estate Planning software, only the estate planning features will be highlighted. However, this package includes a lot more that you can learn about by reviewing the company's online information or by requesting a 30-day demo."

Sources:
http://www.cpatechnologyadvisor.com/article/article.jsp?id=731&pageNum=2
http://www.getrichslowly.org/blog/2007/10/31/a-brief-overview-of-estate-planning-software/
http://www.cpatechnologyadvisor.com/print/The-CPA-Technology-Advisor/Estate-Planning-Software-Review---2004/1$269

What are the components of an Estate Plan?

Written by: Liwin Troy Lee


Even though most estate plans are different from one another, they have similiar components. They include a will, a living will, a letter of last instruction and any trust instruments deemed necessary.

Will
The most imporant part of the estate plan is the will. A will is a legal document that transfer property when the property owner dies. The person who receives something from the estate is the heir. The will can also specify who will care for the minor children or dependent of the person who died.
In most states it is required that the assets be distributed after the person has died. If the person dies intestate, that is without a will, there are rules within each state to decide how the assets of the deceased will be distributed. If a person dies without a will and no living relatives, the assets of the deceased will become property of the state government through a legal rule called escheat.

Living Will
A living will is a document that specifies a person's preferences as to the medical care he or she would want to receive is they are unable to make the decision for themselves due to terminal illness, physical or mental disability.
The most difficult part in drafting the will is deciding what limitation to place on the medical care you're willing to receive.
A durable power of attorney is a legal document which designates that another person makes a decision for you in an event that you are unable to do so.

Letter of Last Instruction
The letter of last instruction is not a legal document. It provides useful information for the survivors of the deceased. The letter could be used to communicate the funeral arrangements, identify people to notify and important information such as bank account information. The letter should be copied and be distributed to everyone so everyone can find it when the deceased dies.

Trusts
Trust is an entity that holds and manages assets on behalf of someone else.

Sources
Top things to know
Estate Planning for Everyone
The Estate Plan

Estate Planning for Owners

Posted by Yulun Hung
Written by Burns Associates

If you’re a business owner, you probably have plenty on your plate just meeting each day’s challenges, but you’d be well advised to do some longer-range planning. About 70 percent of family-owned businesses fail to make a successful transition into the second generation. About 90 percent fail to be successfully transferred to a third generation of family members. These statistics reveal both the difficulty of transferring from one generation to the next and the lack of planning for successorship.

Small business owners have a host of special needs. Who will take over the business after you die? Do the surviving spouse or the children get control of the stock? Which ones run the company, and which merely share in the profits?

This article will look at some of the issues that you and your lawyer should discuss if you want the business to continue after your death. In a later article, we’ll look at some of the issues involved in selling your interest in the business and the best way to transfer ownership to the new owners.

Click Here to Read More.

The Trump tells us how it is done

By: Xavier Guerrero

Estate Planning: What You Need to Know

Posted by: Liwin Troy Lee
BY: Paul Sullivan

Estate planning rarely gets the attention it should get.

Saving for your children’s education, purchasing a second home, deciding when and how to retire — these are all topics that people talk about with their friends and their financial advisers. But deciding what happens to whatever is left of your money when you die is often passed over. It shouldn’t be, though, because it is crucial to a financial plan.

But not discussing something that is going to happen will not stop it from happening. And at some point, someone is going to have to sort out your estate — regardless of how big or small it is. Here are some of the key issues that should be addressed:

WILLS Everybody should have a will, and people who are married and/or have dependent children are inexcusably foolish if they do not. There are significant issues that only a will can clarify. One of the biggest is who will take care of the people you love, and how? You may have told your best friend that he will be the guardian of your children if you and your spouse die in a plane crash, but unless you spelled out your wish in a will, there is no guarantee this will happen. If both parents die, it will be up to the state to decide, and they will chose based on family.

If you say this is what you wanted anyway, you’re missing the point. Which parents would you want to raise your children — yours or your spouse’s? Or if it is a sibling, do you care if your children go to the wealthy one in Seattle whom you always fought with or to the financially strapped but loving one in Memphis with two children of his own?

Some may argue that wills are expensive. But there are plenty of online sites to help write a legally binding one for little cost. Two popular destinations are RocketLawyer and LegalZoom.

If you are wondering what will happen to your money if you die without a will, go to mystatewill.com. It shows what happens to your assets in each state if you die without a will. The picture it paints can be scary and may convince the holdouts that paying a fee online or spending $1,000 for an actual lawyer to draft a basic will is well worth it.

Click here to read more

How to become an estate planner?

Written by: Liwin Troy Lee

An estate planner is someone who plan for individual or corporate estates. Estates are collection of assets a person or entity obtained during their lifetime. Estate planning include drafting a will or trust fund, tax planning and planning for the amount of money you contribute to charity after you die.

1) Complete an advanced degree in law, finance or accounting. All three of those degrees gives you an education to make you qualify to work as an estate planner.

2) Enroll in a Certified Estate Planner Program. One of the most prestigious programs is National Institute of Certified Estate Planners.

3) Complete the course work to receive your Certified Estate Planner Degree. Some of the coursework will cover estate planning, gifting, joint ownership accounts.

4) One you pass all your coursework, you are qualified to sit for the Certified Estate Planner Exam. the exam consist of 100 multiple that covers all the material you have learned in your course work. You can take the test as many times a you want. There is, however, a $10 retesting fee.

5) After you get your certification. You must meet all the degree requirements. Generally you have to take 8 to 16 CPE credits every two years. An example of a CPE course includes advanced estate planning.

6) Agree to follow ethics set by the National Institute of Certified Estate Planners. This includes reading issues on professional ethics held by the organization such as not revealing you client's confidential information or engage in illegal activities. You have to sign a statement saying you have read the document.

7) Start promoting yourself as a certified estate planner.


Sources
National Institute of Certified Estate Planners
How to become an estate planner
Accredited Estate planners

A little story about estate planning 101

Posted by: Liwin Troy Lee
Written by: Chelsea Victor

LYONS – A guy walks into a bar. He recently found out that his elderly father will be passing away in a few years and leaving him a very large inheritance. Using this new information as leverage in the dating market, he decides it’s time to find someone to settle down with.

So guy looks around the room and locks eyes with this stunning young woman. He figures she’s probably out of his league, but walks up to her with his new boost of confidence and says, “I may not look like much now, but in a few years my father will pass away and I will have millions. Would you be interested in going to dinner sometime?” She’s interested, and gets his name and number. A week later, she became his step-mom.

What does this story illustrate? Sometimes women are better estate planners than men. Or, more appropriately, effective estate planning can protect your children’s inheritance. According to recent statistics, seven out of ten Americans do not have a will. This is a staggering amount considering the importance of having a will and medical durable power of attorney, the incentive to simplify the probate process, and the overwhelming availability of estate planning attorneys.

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Plan Ahead

By Yulun Hung

It is very important for people to take action on estate planning ahead of time. A lot of people tries to avoid the topic until something bad happens when they end up in the hospital. By then, it might already be too late. Even if they are still able to make their wills, the legal system of United States might prevent you from doing so!

For example, if a person is send to a nursing home and has symptoms of dementia from Alzheimer's, there is a law that states in order to sign legal documents, one must be able to think clearly and understand the nature of his or her actions. To have the mental capacity to sign a will, one must know simple things such as the who, what, and where.

If a person is not qualified to sign his or her will, a family member, relative, close friend, the attending doctor, or a court appointed guardian may be asked to make the decision on your behalf! Most people will probably not want someone else make such an important decision for them, so planning ahead is a very smart move. It will give the person a peace of mind to know that your wishes will be carried out.

Sources:
http://www.url.biz/Articles/Article-3498.html
http://www.thetimesherald.com/article/20090405/NEWS01/904050317
http://wiserwomen.blogspot.com/2008/02/estate-planning.html

Estate Planning for Pets

Posted by Yulun Hung

Written by Jessica Rivelli

St. Petersburg, FL -- Many people will remember the infamous recent story of heiress Leona Helmsly and her dog "Trouble," who inherited a fortune when Ms. Helmsly died.
In the real world, when everyday pet owners become incapacitated or even worse, pass away, what becomes of their pets? Without estate planning, the pets may be taken to shelters or even left for dead.
Starting at around $250, some tax and estate attorneys can help plan pet trusts and pet care. In this planning, an attorney can help designate a "backup person" who will care for a pet, which includes feeding, housing and paying for medical expenses. Usually a caretaker is a family member for friend.

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Do I need Estate Planning?

Written by: Liwin Troy Lee

What is Estate planning?

Estate planning is a long process. It involves your family, people close to you and possibly a charitable organizations. Estate planning deals with your assets (property) and determining the owner of the assets after you die.

From real estate planning, you determine how and whom will manage your asset when you are not able to manage it, when to distribute the assets, who receives your assets after death, and how your healthcare decisions will be managed when you are not able to take care of yourself.

Many people think that estate planning is just writing a will. Estate planning involves more than that. It involves financial, tax, medical and business planning. Writing a will is just the beginning. You need documents to support your will.

What is involved in estate planning?

The first thing you need to determine is your assets and their approximate value. Second, you need to determine who will receive those assets. Third, you need to determine who will manage those assets after you pass away. Fourth, you need to determine how you should be care when you are in old age and sick. Finally, you want to determine what happens to your remains when you die. Once you have all the answers to those issues, it is then time to see your lawyer.

Who needs estate planning?
You do. You need to have someone manage your assets whether it is big or small when you are unfit to do so. If you asset is small, you should decide who will get your assets after you die. If you assets are big, you should speak with your lawyer and decide how your assets should be handled.


Sources

Estate planning
Estate planning- what you need to know
estate planning

Unusual Trusts Gain Appeal in Unusual Time

Posted by: Liwin Troy Lee

By: Mike Spector and Anne Tergesen

It may seem hard to come up with a financial product with a name as unattractive as an "intentionally defective grantor trust." Yet these days, in the world of estate planning, those words denote one sexy vehicle.

That's because this aggressive strategy -- which can be used to move money out of taxable estates and transfer gains to heirs tax-free -- is especially appealing at a time like now, when asset values have fallen sharply and interest rates are near historic lows.

Many estate planners warn that these trusts carry more risks than other accepted planning vehicles. The Internal Revenue Service hasn't blessed defective grantor trusts, and has challenged their authenticity in the past. What's more, if your assets perform poorly in this type of trust, you could get hit with greater losses than you would suffer with some other popular wealth-transfer techniques.

Still, most defective grantor trusts have withstood IRS scrutiny, and many estate-planning lawyers report seeing increased interest in them this year, in the wake of the tumble in the real-estate and stock markets. Neil Kawashima, a partner at McDermott Will & Emery LLP, says he expects he'll increase the number of these transactions he executes this year by nearly a third. Carl Waldman, an estate-planning attorney in Westlake Village, Calif., says he has set up about 25 of these trusts in the past 12 months, versus "probably no more than six" in the prior year.

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Do I Need Life Insurance?

By Yulun Hung

Life Insurance can be extremely beneficial to some people, but it is not necessary for many people. Life insurance can be expensive, and people have to consider his or her current financial position and loved ones as well before deciding to buy life insurance.

Here is a list of questions people should ask themselves before buying a life insurace:

How many people that I care about depend on my financial support?

How much money do people that depends on me need?
How long will it take for people that depends on me become self sufficient?

After deciding how many people and the amount of money for a life insurance, people should start figuring out the assets that will be avaliable for loved ones after they pass away. It is important to figure out an approximation of time these assets will transfer over to inheritors. Make sure these assets do not have substantial debts on them. Also, avoid probate and estate taxes as much as possible.

Sources:

http://www.nolo.com/article.cfm/pg/5/objectId/8B3B468D-B586-4653-BCA59430C001C6D6/catId/359CBC3A-078B-4DB7-A9F02D9E25A13D84/309/140/ART/

http://money.cnn.com/magazines/moneymag/money101/lesson21/

http://www.calbar.ca.gov/state/calbar/calbar_generic.jsp?cid=10581&id=2206

Your 5-minute guide to estate planning

By MSN Money staff

Posted by Yulun Hung

Even though most estates won't owe Uncle Sam, estate planning is essential for protecting you and your loved ones.

Most important? Providing for minor children. Your will should name both a guardian and a financial trustee for your kids in case you and your spouse die.

To provide checks and balances, the guardian and the trustee should not be the same person.
Don't name a couple as guardian. They could split up or disagree about what's right for your child.

Your child's other parent, even if you're divorced, will get custody if you die, unless that person is unfit because of mental illness or addiction.

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How to Prepare for Real Planning

Written by: Liwin Troy Lee



1. Discuss with your spouse how you want your estate to be handled if you both die or one dies before the other. You should map out both scenarios.

2. Determine if you want your estate to stay within the family. That is, do you want your children's spouse or their children to inherit any part of your estate.

3. Determine if you want you children to inherit everything. That is, do you want to give everything to your children when you die or do you want to provide the income over a period of time. If you pick the latter, you have to decide how much to give out each period.

4. Discuss what will happen to the estate if you and your spouse gets divorced later in life. That is, will the estate still include your current and children or would you include your future spouse and future children as well.

5. Decide whether you want to include charities as part of your estate planning. If so, start looking for charities you would give to and for how much.

6. Look for a reliable financial adviser and trustee to handle your affairs. This is especially important if your children are minors when you die.

7. When you have all this information. You can then prepare your will.


Sources
How to Prepare for an Estate planning Meeting
12 Easy Steps to preparing your estate plan
Preparing for an estate plan

You'll want to read this before you die

By Kimberly Matas
Posted By: Liwin Troy Lee

Businesswoman Belinda Mossor was reeling from the unexpected death of her father, Harry, in 1998.

"It was total chaos," Belinda Mossor said. "My father was ex-military and ex-civil service, and he retired with 32 years in the military and 20-some in civil service. When he died, he had absolutely nothing in place. There was no will, there were no directives and it was extremely hard.

"He had not stipulated whether there was a life- insurance policy to help with the financial burdens," Mossor said. "He did not have anything in place for what he would want for burial or cremation. He just felt that Social Security or Medicare and the value of the house that they lived in would take care of her (Marjorie Mossor) and take care of everything."

It took three years for Mossor and her mother to sort out Harry Mossor's finances, insurance and other assets. Eleven years later, Marjorie Mossor is still learning new things about her late husband's finances. Recently, she received a letter from an insurance company informing her of dividends from a policy that belonged to him.

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The Smartest Investment During a Recession

By Ryan Dennin

In desperate times like these everyone is focused on where they can squeeze and extra penny or two. While it may be wise to cut down on trips that take up a lot of gas, or that extra trip to star bucks, it is important to not lose focus on the one thing that is guaranteed to happen. It may sound harsh but everyone will die someday and it is important that an estate plan be completed to ensure the people most important to you are taken care of. The recession may be the ultimate time to take care of the Estate Planning process that so many people have put off for all those years. While writing a sound estate plan may be an added expense it is not something that you don’t want to have in place. The government has a plan for you if you die “inestate” (without a will or trust) and having a plan ensures that YOU make the decisions to what happens to your assets not them. Another important point is putting a plan together for what happens to your assets isn’t an investment that will lose money during this time. It will ensure those items you own are there for the ones you love the most when you pass away. While many people may ignore investing and saving during a recession, an estate plan is not something I recommend passing on during these tough economic times.

Sources:

http://www.michiganestateplanninglawyerblog.com/2009/03/estate-planning-in-a-recession.html

http://ezinearticles.com/?Dont-Let-a-Recession-Control-Your-Estate-Plan&id=1982625

http://www.familybusinessinstitute.com/index.php/recession-planning?c65a6b5fa5030f7344292032b2ced578=a316e3ef6babba5ecdaacbfc37d06ae2

Choosing an Executor

Posted by: Ryan Dennin

For the most part, you're free to choose virtually anyone that you want to act as executor of your estate – within certain limits, of course. As long as your choice resides within these limits, the court is obliged to follow your preference in most cases. Generally speaking, the limits are these: you may not appoint a minor, an incompetent person or, in many states, a convicted criminal. Click here to read more

An Outdated Estate Plan is a Worthless One

by Greg Lipinski

There are a number of things that can occur in a person’s life that effect your estate planning. Obviously, death is one of them; hence the purpose of this blog. In that situation, the most notable effect is the need to implement your plan. However, people might have the misconception that because they have thoroughly completely their estate planning, that everything is safe. The only thing left is to kick the bucket and have it go into effect. That couldn’t be further from the truth.

It is extremely important to update your estate planning with any major happenings in your lifetime. If you don’t, there could be a number of problems that are run into when it comes time to allocating your assets to the necessary parties. Some events might include:

• Getting married, divorced, remarried, or any other legally recognized change in relationships
• The purchase of new major assets. These might include new cars or property.
• The birth of (or discovery of) children
• Changes in laws and regulations

Essentially, any major even that occurs can have an effect. With the ones above, you are simply solidifying the fact that your new wife becomes your heir, or that your ex-wife no longer inherits. Any change in your legal status or purchase of major assets need to be allocated. It won’t be assumed that because one of your cars is going to your wife that the new car purchased a few months before your death immediately goes to her.

As for laws and regulations, changes in the economic environment might cause you to either protect or take advantage of new tax rates, rules, etc. The idea isn’t only to leave your heirs with your assets, it is to leave them with as much of the assets as Uncle Sam will allow.

Above are just a few examples of why you should constantly stay updated on your estate planning. If you’re not sure if an event in your life is worth changing your estate plan over, err on the side of caution and review it. Take a look at it and ask yourself if it has even a miniscule effect on it. If it doesn’t, then you’re in the clear. If it does, augment it as soon as possible. You never know when the worst could happen.

Resources:
http://money.cnn.com/magazines/moneymag/money101/lesson21/
http://speculationrules.com/philosophy/estateplan.php
http://www.walletpop.com/retirement/article/_a/bbdp/estate-planning-and-taxes/92726