In the fall of 2015, Congress voted down the Social Security strategies known as “file and suspend” and “restricted filing” which were collectively called “claim now, claim more later.” These practices allowed couples to increase their benefits by thousands of dollars. However, because of the Bipartisan Budget Act of 2015, spousal benefits could cost Americans millions of dollars.
File and Suspend
File and suspend was a strategy utilized by married couples about to retire. One spouse would apply for Social Security upon retirement and then ask to suspend their benefits. The other spouse would then be eligible for a spousal benefit, which is half the normal benefit. While this process is happening, the spouse with suspended benefits would watch their Social Security benefit increase at 8% each year until the spouse turned 70.
However, now due to the changes enacted in Congress, spousal benefits may only be received when the spouse whose financial record is being used for the application is currently receiving their own benefit.
Disaster preparedness is important for everyone, but especially for those who reside in Florida and experience the hurricane season. For seniors, it is imperative that they create plans with family members and know who to contact during times of emergency.
A good first step is to discuss the risks in the area where you reside. Depending on your location, it may be necessary to make multiple plans for different emergency situations.
Make arrangements with family, friends, and neighbors before an emergency. Make sure to exchange important keys, phone numbers, and addresses. Also, share copies of emergency documents, evacuation plans, and health information.
For families offering assistance to their elderly loved ones, show them where their emergency supplies are located. In addition to showing them, periodically check with them to see if they remember the location. Your supplies should include items like water, nonperishable food, important medications, extra glasses, hearing aids, and batteries. It is also a good idea to store documents and information on a flash drive to have access to digital copies.
See the attached form from the Federal Emergency Management Agency to fill out a family plan: https://www.ready.gov/sites/default/files/documents/files/Family_Emegency_Plan.pdf. The form includes spaces to fill out relevant phone numbers, insurance information, and social security information.
As of July 20, 2015, the federal Veterans Identification Card Act allows veterans to apply for a Department of Veterans Affairs identification card. This card differs from a Veteran Health Identification card or a retiree ID card in that it demonstrates proof of service for discounts at private businesses.
Although the VA is still in the process of implementing the law and creating the program, which should occur by 2017, there are still ways to obtain an identification card:
- You can print a free veterans ID card through the VA/DoD portal eBenefits. To get a free eBenefits veteran account, go to https://www.ebenefits.va.gov/ebenefits/homepage.
- In 49 states, with the exception being the state of Washington, your driver’s license or state ID card can demonstrate a veteran designation. This designation grants veterans many benefits. To learn more, you can contact your state’s department of motor vehicles or department of veterans affairs at http://www.va.gov/statedva.htm.
- Veterans who are enrolled in VA health care can acquire a free Veterans Health Identification Card. Go to http://www.va.gov/HEALTHBENEFITS/vhic/index.asp to learn more.
In the last few blogs, we discussed the process of finding and claiming lost property. However, there are safeguards and steps to follow in order to prevent your property from getting lost.
Because property goes unclaimed due to the absence of communication between the financial institution and the owner of the account, you should contact the institutions each year and notify them of any changes to your address, financial matters, or marital status.
It is also imperative to maintain detailed and accurate financial records. These records should also include records of bank account numbers, types of accounts, insurance policies, and stock certificates.
After receiving checks such as for wages, dividends, and insurance settlements, make sure to cash them without delay. Also, if you have a safe deposit box, record its number, bank name, and provide the extra key to a person you trust.
Lastly, you should prepare a Last Will and Testament that sets up the distribution of your assets. To create or update these documents, contact our office at (941) 906-1231 to schedule an appointment with one of our attorneys.
To claim lost property, go to your state’s unclaimed property administrator’s office. There you will find the proper instructions and forms. If you are a Florida resident, go to https://www.fltreasurehunt.org/.
The claim forms may require certain documentation such as a copy of current identification and proof that you are the owner of the account. The Florida Department of Financial Services may take up to 90 days to make a determination about the claim.
If you are a guardian or acting as an agent for someone under a durable power of attorney, you can complete a search on behalf of the individual for whom you advocate, if you are authorized to do so. To claim the property as a guardian, you may be required to provide a copy of the documents appointing you as guardian or power of attorney to ensure you actually have the authority to do so.
And for executors of an estate or personal representatives, you should also search for any unclaimed property of the deceased individual. Unlike the process for guardians and agents, the search process may be more difficult for executors and personal representatives due to the documents that you must produce. However, Bach & Jacobs, P.A. represent and assist executors and personal representatives in the administration of estates, including ancillary administration, and can guide you through the process.
Attorney Babette Bach, Esq. will be a keynote speaker at an event at JFCS of the Suncoast entitled “A Legal & Financial Presentation & Discussion with The Alzheimer’s Association & Babette Bach, Esq”. This event will take place on March 31st, 2017 from 10:30am to 12:00pm and is presented by the Alzheimer’s Support & Education Network. Please see the event flyer and call 941-364-7508 for more information.
caregiver-education-march-2017
Companies and financial institutions are required under law to returns the money from abandoned accounts to the state of the owner’s last address.
To find missing funds, you could begin your search at http://www.missingmoney.com/ which is endorsed by the National Association of Property Administrators. Some companies and institutions also assist you in finding your property for a percentage of the value they help recover.
However, some of these offers are not always legitimate. In Florida, the state’s unclaimed property administrator gives a free online search at to https://www.fltreasurehunt.org/. Contact our office at (941) 906-1231 meet with an attorney regarding the transfer of your deceased loved one’s assets and to ensure that your lost property search is conducted properly.
When you create a Will, you must obtain signatures from at least two witnesses at the time you sign it for it to be considered valid. The purpose of having two witnesses is so that, if the validity of your Will is ever challenged, they can both attest to your state of mind. These witnesses do not have to read your Will or even be aware of its contents, they just have to be able to certify that you were competent when you signed it. If you are working with an attorney, they should make you aware of this information and help explain the process of having a document witnessed. However, it is good to know some general information regarding rules for witnessing so that you feel more prepared when the time comes to make your Will official or update it.
If you would like to choose your own witnesses, be careful who you pick. Select individuals that are credible and will likely live longer than you, in case they are later asked to testify about the validity of your Will. If possible, avoid having beneficiaries of your Will also be witnesses, as this could be considered a conflict of interest. However, having a beneficiary or interested person witness the Will does not automatically invalidate the Will. If you would rather not choose witnesses, the attorney that you have been working with will likely have paralegals or legal assistants on-hand that can serve as credible witnesses. This eliminates the added stress of having to choose your own witnesses and bring them to the signing. At Bach & Jacobs, members of our team generally serve as witnesses during Will and trust signings.
Make sure you have the right number of witnesses, as every state requires that you have two individuals sign your Will in order for it to be legally binding. Additionally, these witnesses must sign your Will in front of you. Generally, your witnesses will sign the Will immediately after you do.
Unclaimed properties are the assets in accounts that have remained inactive for more than a year. This unclaimed property includes assets in checking and savings accounts, stocks, dividends, trust distributions and more.
The financial institutions where these accounts are located are required under state law to return these accounts to the state’s unclaimed property administrator. In Florida, if the rightful owner never makes a claim for the assets being held by the administrator, then the unclaimed property goes into the State School Fund for public education. The process of claiming property is simple and at no cost.
Assisting in the search for unclaimed property is part of the services that Bach & Jacobs, P.A. provide to personal representatives, trustees, and families of those who have passed away. Bach & Jacobs is a full services probate and trust firm that can assist you in recovering any unclaimed assets titled in the name of your deceased loved one.
