Jan
28
2014
0

Financial Durable Powers of Attorney for Baby Boomers and Seniors Can Now Provide for Long Term Care Planning and Asset Protection

Financial Durable Powers of Attorney (Fin. DPA’s) for Baby Boomers and Seniors can provide for asset protection and government benefits planning. The language we use in Fin. DPA’s for long term care planning for baby boomers and seniors is very different from the language we see in the plain vanilla Fin. DPA’s which most people have.

Baby Boomers and seniors usually want to get our ducks in a row for possible qualification for Medi-Cal, which can help pay for our skilled nursing home stay if we run out of Medicare days. In addition, for wartime veterans, we want to get our ducks in a row for possible qualification for the VA Aid & Attendance Pension Benefit which can help pay for in home care and the cost of assisted living facilities. If we lose mental capacity, these extraordinary powers will allow your attorney in fact in your Fin. DPA, such as your spouse or child, to follow through with asset protection and government benefits planning according to your wishes.

The Uniform Statutory Form Power of Attorney that many people already have, does not contain the required language for asset protection. And, the majority of attorney created Fin. DPAs do not have this requisite language. As a result, if you become incapacitated and you do not have the requisite language in your Fin. DPA, your agent may be powerless to follow your wishes for asset protection.

For instance, we may want to transfer (transmute) the title of our home from the ill spouse to the well spouse, or to a child, during our lives, for asset protection purposes. For many of our clients, the home is their largest asset. Most of our clients want their home to ultimately transfer to their children without government liens attaching. They also want their children or heirs to receive the home with a full step up in basis when they die, so that there will be no capital gains to pay if the home is sold upon the death of the maker of the Fin. DPA.

Most Fin. DPAs do NOT have this specialized language which is required to accomplish these goals . In addition, for long term care planning, the language in the Fin. DPA is coordinated with the language in the revocable living trust, to provide additional options for asset protection. You should contact your elder law attorney for advice for long term care planning and to review your existing estate plan.

This information is not to be taken as legal advice, and you are encouraged to see your elder law attorney. At the Law Offices of Michael J. Young, at 1931 San Miguel Dr., Ste. 220, Walnut Creek, CA www.WalnutCreekElderLaw, 925-256-0298, lawyoung1@gmail.com we practice Elder Law and we help Baby Boomers, Seniors and families through their Elder Care Journey. We help families with long-term care planning, asset-protection plans, comprehensive estate planning, wills, trusts and powers of attorney. We also help Baby Boomers and families get their “Ducks in a Row” in order help them qualify for Medi-Cal and the VA Aid & Attendance Improved Pension benefit.

Jan
20
2014
0

7 Practical Considerations To Take Into Account When Choosing an Assisted Living Facility

Here are 7 Practical Considerations to take into account when you are choosing an assisted living facility, either for yourself or a loved one. We have developed this list  after having first hand experience with assisted living facilities that my father lived in, and after having interacted with our clients regarding these issues over many years.

  1. Is the facility well regarded in the community? Has it been recommended to you by someone who has had a loved one or friend there?
  2. Would the friends and family members of the resident be able to visit at any time, or are there restrictions in this regard?
  3. Is the facility in close proximity to the hospital and medical offices that the resident may need to visit?
  4. How were you treated by the staff and the administrator when you visited the facility? Did you feel welcome and were you comfortable with the experience?
  5. Were all of your questions answered satisfactorily when you visited the facility? Were you left in doubt or were you confused about any of their answers?
  6. Did you feel that you or your loved one would fit into the community for an extended period of time?
  7. Could you imaging yourself or your loved one living there?

* This information is not to be taken as legal advice, and you are encouraged to see your elder law attorney. At the Law Offices of Michael J. Young, at 1931 San Miguel Dr., Ste. 220, Walnut Creek, CA www.WalnutCreekElderLaw, 925-256-0298, lawyoung1@gmail.com we practice Elder Law and we help Baby Boomers and families through the Elder Care Journey. We help families with long-term care planning, asset-protection plans, comprehensive estate planning, wills, trusts and powers of attorney. We also help Baby Boomers and families get their “Ducks in a Row” in order help them qualify for Medi-Cal and the VA Aid & Attendance Improved Pension benefit.

Jan
10
2014
0

FIVE THINGS BABY BOOMERS AND SENIORS CAN DO TO GAIN PEACE OF MIND FOR SURVIVING THEIR RETIREMENT YEARS

Many Baby Boomers and seniors are concerned about surviving their retirement years. Many have not been able to save adequately, have suffered losses in the stock market, and do not have pension funds sufficient to meet their future needs. Most are concerned about health care issues, and how their nursing home costs would be paid for if needed. They also want to leave a legacy to their loved ones.

First: Update your estate plan to a Long Term Care Plan. Most of our clients do not have long term care insurance to pay for a stay in a nursing home. Fortunately however, California has Medi-Cal, which will pay for a stay in a nursing home provided that you qualify. You can now set up a long term care plan, as part of your estate plan, to provide for asset protection and qualification for Medi-Cal. within the state regulations. For veterans, the plan will also help for qualification for the VA Aid & Attendance Pension Benefit to help pay for in home care and assisted living facilities. Your plan will also confirm your overall desires regarding  how your assets will be spent for your care at home and otherwise.

Second: The home is often our clients’ largest asset. You can take steps now through your estate planning documents to assure that your home will pass to your loved ones as a legacy, without a Medi-Cal lien, so that the state will not be able to recoup any nursing home payments it has made for you.

Third: Change your life style just a little bit, and try to keep more of what your earn. I recommend reading The Millionaire Next Door by Thomas J. Stanley in this regard. Stanley gives examples of how changing your lifestyle somewhat, and giving up certain luxuries, will allow you to put more money into your retirement accounts on an ongoing basis. As you get older, cut back on certain expenditures, and put what you save into your retirement accounts. Go out to fancy dinners less often, put off buying a new car, and put those savings into your retirement account.

 Fourth: We still have Social Security. Some analysts say that the program can pay for benefits for the next 25 years for the general populace. There also seems to be a consensus of opinion, that any changes in the law should not affect Baby Boomers. Although you can begin taking benefits at age 62, this could be a 25% reduction of what you would receive if you waited until you are 66. If you wait until age 70, this could raise your benefit by another 8% per year, so wait longer if possible.

 Fifth: Stay physically active and you will most likely remain healthier and live longer. Try to increase the number of steps you take every day. It has been said that sitting is the new smoking. Get up and walk around for ten minutes every hour. This will also make you more productive. 

* This information is not to be taken as legal advice, and you are encouraged to see your elder law attorney. At the Law Offices of Michael J. Young, at 1931 San Miguel Dr., Ste. 220, Walnut Creek, CA www.WalnutCreekElderLaw, 925-256-0298, lawyoung1@gmail.com we practice Elder Law and we help Baby Boomers and families through the Elder Care Journey. We help families with long-term care planning, asset-protection plans, comprehensive estate planning, wills, trusts and powers of attorney. We also help Baby Boomers and families get their “Ducks in a Row” in order help them qualify for Medi-Cal and the VA Aid & Attendance Improved Pension benefit.

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