Lawyer-Humans®
Lawyer-Humans® treat clients like people, not case files. We protect you from lawsuits so nothing stands in the way of your success in life.
A problem with DIY legal planning
This is not our first rant about online DIY legal planning. Here are some good reasons why generic legal documents are no good. This post, specifically, is about generic operating agreements for your business. If you own an LLC, you should have an operating agreement for your company.
How to protect your home equity
As an asset protection attorney I get a lot of questions about how to protect home equity. For a lot of people that is one of their most valuable assets. And its no surprise that home owners are building more equity and are concerned about keeping it safe and sound. Reading some recent news headlines you’ll see home prices are rising faster in Washington than any other state and Seattle home prices continue to rocket up and break record prices. [Read more…] about How to protect your home equity
Asset Protection Attorney Definitions: Domestic Asset Protection Trust
A Domestic Asset Protection Trust (DAPT) provides one of the highest levels of asset protection planning without going “offshore” (planning in a foreign country). The DAPT is an irrevocable trust with spendthrift provisions. In regular English, this is a legal fiction (the trust) allowing a person to shield their assets from lawsuits and creditors. Unlike most irrevocable trusts, you are not completely giving up the use or benefit of the assets in the trust. [Read more…] about Asset Protection Attorney Definitions: Domestic Asset Protection Trust
Asset Protection Attorney Definitions: Irrevocable Trust
An irrevocable trust is a part of most serious, asset protection strategies. In the business of estate planning and asset protection, there are countless categories of trusts. And they all sound very serious. When Lawyers create new categories of trusts, they often create names that are very similar, often using many of the same words, as trusts by a different name. There are a number of main features or characteristics that differentiate every trust or every category of trust, and one such characteristic is whether a trust is revocable or irrevocable. [Read more…] about Asset Protection Attorney Definitions: Irrevocable Trust
“What are the 5 pillars of estate planning?”
At a recent Estate Planning Workshop, a parent asked what I considered to be the 5 main pillars of estate planning. If one parent is asking, then I guessed that other parents are wondering, so here goes:
- Trustee or Personal Representative. This is choosing a person to manage your money and other assets. This person handles the distribution of your estate by serving as Trustee (if you have chosen to avoid probate) or as Personal Representative through the probate process. Most people choose a trusted friend or family member who is well-organized and responsible.
- Beneficiaries. Beneficiaries are the people or organizations you choose to inherit your estate. SO, by choosing beneficiaries, you are choosing who will receive your money and other assets when you die. You choose these beneficiaries in a last will or trust, or if you don’t have either of these documents, state law will determine who gets your stuff.
- Guardians. Choosing guardians to care for your children. If you are a parent to minor children you should nominate an individual or couple to serve as guardian/s (i.e., a person or a family to care for them in the way that you would want them to be cared for) in case you are incapacitated or die unexpectedly. It’s good practice to choose one or two alternate guardians after your first choice.
- Power of Attorney. Many people think that personal representative and power of attorney are the same, but they are not (see here). Financial Power of Attorney is choosing who will make financial decisions if you are incapacitated. This allows another person to make financial and legal decisions on your behalf if you are unable to speak for yourself. Choose wisely, my friends.
- Healthcare. Choosing who will make healthcare decisions if you are incapacitated. If you are unable to speak for yourself, for example while unconscious in surgery or after a car accident, you may designate a person to advise your doctors and make decisions for you.
Those are the top 5 for most people and families. Some close runners-up are 1) properly completing beneficiary designation forms, tax avoidance (capital gains or estate) and business succession planning.
Colin Ley is a Seattle estate planning attorney. He is also the co-founder of LayRoots along with his wife, Shreya.
