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Estate Planning

Preventing financial institutions from refusing to honor POA’s

By Asset Protection Planning, Elder Law, Estate Planning

In the last blog, we discussed the issue of financial institutions refusing to honor powers of attorney and making clients sign their own institutions’ legal forms.

In order to prevent this from occurring, here are some suggested steps to take:

  • Draft your durable power of attorney with a trusted and experienced Florida elder law attorney who will prepare comprehensive documents for you.
  • Show your DPOA to your financial institution to ensure that it will accept the document in the future. Make sure to have this agreement signed and in writing. If the institution does not approve of the DPOA, go back to your attorney for assistance.
  • If the institution is difficult to work with, ask your elder law attorney to speak with them or move your assets to a new financial institution.

While it is important to have a durable power of attorney, it is also critical to take the extra steps to ensure that it will be honored at other institutions. If you have more questions on this topic or wish to prepare end-of-life documents, contact our office at (941) 906-1231 to schedule an appointment with one of our attorneys.

December 23, 2016
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Financial institutions refusing to honor POA’s

By Asset Protection Planning, Elder Law, Estate Planning

In a recent New York Times article titled “Finding Out Your Power of Attorney Is Powerless,” the author discusses an issue that frustrates families and elder law attorneys alike —financial institutions refusing to honor powers of attorney. Some banks and brokerage firms have reportedly failed to accept powers of attorney out of fear of elder exploitation or concerns over liability.

Due to these reasons, the financial institutions have required their clients sign new forms with their institution. The banks have reportedly argued that some power of attorney documents were signed too long ago (“stale”) or even that it lacks the proper language.

Florida’s Durable Power of Attorney Act includes provisions aimed at preventing banks and financial institutions from refusing to honor a power of attorney, although they may legally require an opinion of counsel from a Florida lawyer that the document is valid.

The attorneys at Bach & Jacobs, P.A. can assist you in both the creation and enhancement of a durable power of attorney to ensure that it complies with Florida law.

December 20, 2016
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Death with Dignity: Appointing a Health Care Surrogate

By Estate Planning

For individuals who believe they have a right to die on their own terms, there are certain ways to set up end-of-life documents to reflect your wishes and values. Despite being a resident in states like Florida, which do not have laws legalizing assisted suicide for terminally ill patients, residents can create living wills and appoint health care surrogates to act in their interests if they wish to have life-prolonging treatment withheld in certain situations. If you believe in the right to die, there are a few things you should discuss with your appointed surrogate.

You and your health care surrogate should have a conversation about your values. Because your surrogate has the authority to make decisions for you when you are incapacitated, it is imperative that he or she knows how to act in your interest. You should also discuss life-sustaining treatments, and when and how you wish to use or withhold them. Lastly, your surrogate should have a copy of your living will in order to guide decision-making.

Your surrogate should be comfortable answering several medical questions. Make sure to discuss hypothetical medical situations such as the occurrence of a stroke, head injury, or progressive debilitating disease. Also, the surrogate should know whether you want to receive artificial nutrition and fluids, resuscitation attempts, or other life-sustaining treatment.

If you have further questions on this topic or wish to set up end-of-life documents, contact our office at (941) 906-1231 to schedule an appointment with one of our attorneys.

December 16, 2016
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Death with Dignity: How do I withhold life-prolonging treatment in my end-of-life documents?

By Estate Planning, Long-Term Care

With the technological and medical advancements of the 21st century, life-sustaining treatment in end-of-life care has become more widespread and affordable. However, many individuals are against the idea of being kept alive by artificial means, especially when suffering from a terminal ailment. For those who are against such treatment, there are ways to withhold life-prolonging treatment in end-of-life planning documents.

Living Will

Crafting a living will allows you to communicate your wishes for end-of-life care. In this document, it is important to specify whether you plan on using life-prolonging treatment when you are incapacitated or denying the treatment.  Your doctors and family are required to honor the document.

Health Care Surrogate

Also sometimes referred to as a healthcare proxy, healthcare agent, and attorney-in-fact, your healthcare surrogate is responsible for making medical decisions for you when you are unable to do so yourself. By appointing a trusted health care surrogate, you can ensure that if you are temporarily or permanently incapacitated and unable to give informed consent, you will not be given life-prolonging treatment. The health care surrogate is only authorized to make medical decisions and does not have the capacity to access and use your funds unless you provide for that in another kind of document. It is important that you meet with your surrogate and clearly communicate your wishes and values so he or she can make the best decisions for you if need be.

It is wise to both draft a living will and appoint a health care surrogate. Your health care surrogate can use the living will as a guide in making decisions, including large decisions such as continuing or ending medical treatment. Also, if for some reason your health care surrogate is unavailable to advocate for you, your living will can help guide other caregivers.

If you have further questions on this topic or wish to set up end-of-life documents, contact our office at (941) 906-1231 to schedule an appointment with one of our attorneys.

December 13, 2016
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Death with Dignity: Using Advance Directives

By Elder Law, Estate Planning

While the debate about proposed death with dignity laws continues in Florida, it is important to know that current Florida law prohibits assisted suicide, which is allowed in several other states. However, there are still ways that you can have autonomy in directing your own medical care within the parameters of Florida law. In a living will document or advance directive, you can specify your refusal of life-sustaining treatments such as feeding tubes, chemotherapy, and artificial nutrition. Doctors, caregivers, and other health care providers are required to honor these documents.

If you have further questions about this topic or setting up your end-of-life documents, contact one of our experienced estate planning attorneys at (941) 906-1231.

December 9, 2016
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Death with Dignity in Florida

By Elder Law, Estate Planning

A movement that is spreading throughout this country is the death with dignity initiative, or laws that allow terminally ill patients to use prescribed medications to end their lives on their own terms. Also known as the right to die, death with dignity is only legal in Washington, Oregon, California, and Vermont. Although Florida and several other states have not adopted such laws, there are still ways to direct your own end-of-life medical care.

The death with dignity movement is a controversial one. Advocates posit that the laws minimize suffering for terminally ill patients, grant individuals authority, and lessen the burden on family, friends, and caregivers. Opponents of death with dignity believe that some patients could be pressured into making the decision, the regulatory authority over who can administer the pills is too lax, and the cheap cost of the assisted suicide could improperly affect the decision-making of doctors and patients.

This week, we’ll be blogging about what options you have as a Florida resident with regard to end-of-life planning.

December 6, 2016
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How to Use Advance Directives to Stop Financial Abuse of Seniors

By Asset Protection Planning, Elder Law, Estate Planning

Advance directives are documents that allow individuals to express their preferences and instructions regarding their healthcare and finances. Some advance directives include living wills, appointment of health care surrogates, and durable power of attorney documents. These documents are helpful in specifying your wishes for when you are unable to make decisions for yourself. By creating advance directives you can help prevent others from taking advantage of you and your assets in the event of incapacity.

When designating someone to fill these roles, it is recommended that you appoint someone trusted like a spouse, child, or a long-term friend. This person will make medical decisions for you, have access to records and finances, and will be given powers to act on behalf of you.

Living Will

A living will allows you to specify your wishes for life-prolonging procedures and end-of-life medical care.

Appointment of Health Care Surrogate

In this document, your health care surrogate has the authority to make medical decisions for you when you become incapacitated.

Durable Power of Attorney

A DPOA is used for making financial and legal decisions. While you are competent, you should designate an “attorney-in-fact” who will be given powers to act on your behalf.

Creating these documents is an important step in protecting you and your estate, and for ensuring safety and stability during times of incapacitation.

November 29, 2016
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What are alternatives to joint bank accounts?

By Asset Protection Planning, Estate Planning

While joint bank accounts can be a convenient and appropriate way for some individuals to title their bank accounts, joint ownership is not the best option for others. There are alternatives to joint accounts that can allow a trusted individual to have access to and properly manage your assets while you are alive.

One alternative to joint accounts is a durable power of attorney (DPOA). By signing a DPOA and filing it with the institutions where your accounts are held, your agent that you appoint in the DPOA can manage your finances for you, within the scope of your DPOA document. Your agent can still write checks and make withdrawals without your permission but they are legally obligated to make decisions in your best interest.

If your goal is to transfer the account to someone after your death without going through the probate process, then you can designate beneficiaries. The money from your accounts will pass directly to the individuals you designated without involving them in ownership while you are alive.

To review the title of your assets and whether it is consistent with your estate planning, contact our office at (941) 906-1231 to schedule an appointment with one of our attorneys.

November 25, 2016
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Changes in Estate Tax Law Alter Use of Bypass Trusts

By Asset Protection Planning, Elder Law, Estate Planning, Tax Law

In 2013, changes were made to estate taxes and now few people are subject to federal estate taxes. For those who die in 2016, the first $5.45 million of an individual’s estate is exempt from federal estate taxes, which means that up to $10.90 million is exempt for a married couple’s estates.

With these changes it now may be that a bypass trust is unnecessary for someone’s estate. Due to the restrictions put in place on the bypass trust, the surviving spouse has less control over the assets.

However, a bypass trust is still useful for estates larger than the current estate tax exemption. Additionally, even married couples who have less than the exempt amount of assets may still choose to use a bypass-style trust in order to provide for a surviving spouse’s income needs during their remaining life while still protecting an inheritance for children from a prior marriage.

To see a bypass trust would be appropriate for your family and financial situation, call our office at (941) 906-1231 to schedule an appointment with one of our attorneys.

November 15, 2016
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What is a Bypass Trust?

By Asset Protection Planning, Estate Planning, Tax Law

An estate planning tool that couples have utilized for years is the bypass trust. The trust is a long-term planning device that allows a spouse to leave property that will not be subject to estate taxes when he or she passes away.

For couples that plan their estates together, they can make sure that the property will be taxed only once between the two of them by leaving it in a bypass trust. In order to keep the trust from being taxed when your spouse dies, you must ensure two provisions in your documents—you must limit your spouse’s power to access the trust during his or her lifetime and you must restrict your spouse’s power to distribute assets upon his or her death.

These conditions must be in place to satisfy the rules set up by the IRS. However, you may give your spouse the right the withdraw principle for his or her health, education, and support. You can also appoint him or her as trustee of the bypass trust. While your spouse is not allowed to give the assets to himself, his estate, or his estate’s creditors, you can grant him the right to name specific individuals in his will who will succeed to the trust upon his death.

November 11, 2016
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