Orange County Estate Planning Blog

The unlimited marital deduction is part of the United States Federal Estate and Gift Tax law.  The law allows married U.S. citizens to transfer an unlimited amount of property and money to their spouse at any time free of any taxation (both estate and gift taxes).  These spouse-to-spouse transfers are not taxed.  The largest transfers…

Some states have surviving spouse elective share laws.  These laws provide that a certain portion of a married individual’s property and money be given to his spouse upon death regardless of whether the spouse is named in the decedent’s (the spouse who died) will.  The amount of the elective share varies by district and several…

A HIPAA authorization is a document authorizing another person or entity to access your medical records.  What is HIPAA? The Health Insurance Portability and Accountability Act of 1996 (or “HIPAA”) was enacted to ensure the privacy and security of consumers’ protected health information (“PHI”).  Protection health information or PHI is information about you including, but…

A power of attorney (“POA”) is a legal document where you (the “Principal”) authorizes another person (your “Agent”) to handle your affairs—typically in the estate planning context—when you are incapacitated.  The type and amount of power given to an Agent depends on the terms of the POA.  An Agent can be authorized through a POA…

A revocable living trust is a type of trust that can be modified during the creator’s lifetime.  California residents commonly use revocable living trusts to: Name the individuals who will inherit your property (your “beneficiaries”). Avoid probate (a time consuming and expensive court proceedings where a judge determines who inherits your money and property). Avoid…

An advance health care directive or “Advance Directive” is a legal document that authorizes an individual to make decisions regarding health care, medical attention and personal care for you in the event that you cannot.  An Advance Directive is an important component of a well-drafted comprehensive estate plan that should also include, at a minimum,…

A pour-over will is a type of will that transfers ownership of your property to your living trust.  A living trust is one of the best ways to avoid the expense and delay of probate court in California.  In California, if at the time of your death you own certain property and money worth—at the…

A trust is a contract. The person who creates a trust is called a grantor. The person who carries out the terms of the trust is called the trustee.  The persons or organizations who receive property or money from a trust are called beneficiaries.    The trust is, in essence, an agreement between the grantor…

How Does a Living Trust Work? A living trust is one of the most efficient estate planning tools available but there are some common misconceptions. According to a survey made by Caring.com only 42% of responders have created or prepared an estate plan. There are three reasons why someone may put off their estate planning:…

Common Mistakes with Living Trusts One of the first things we tell our clients is that the key to better protection for your assets is to prepare and fund your trust correctly. If you do not take the right steps, your family may end up in probate court. Failing to properly prepare will cost you…