Florida Estate Planning: 16 States You Don't Want To Die In

Forbes.com has an article on where not to die.

Sixteen states and the District of Columbia (shaded in red) impose their own estate taxes. The dollar amount exempted from tax (in black) and the top tax rate (in yellow) vary by state. Eight states (shaded in orange) levy an inheritance tax, meaning the tax rate (in black) depends on who gets the money. New Jersey and Maryland levy both types of tax. For help with Florida's laws, you should consult with a reputable Florida estate planning attorney.

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-- Stuart Morris, JD

Common Asset to Review with Special Needs Trusts

The following fifteen common assets and applicable beneficiary designations should be reviewed to make sure they will not be paid (or given) directly to the special needs child:

(1) IRA, 401(k) and other retirement benefits.
(2) Life insurance (including employer-provided life insurance) benefits.
(3) Accidental death and travel insurance benefits provided through credit cards when a person purchases a plane ticket, etc. using that credit card.
(4) Annuities.
(5) Savings Bonds.
(6) Any property not subject to the parents’ will or trust.
(7) UGMA or UTMA accounts.
(8) TOD, POD, ITF designations on accounts, savings bonds, or securities.
(9) Inheritances, gifts, or bequests through another person’s will or trust (if not paid to a third-party created and funded SNT).
(10) Deeds.
(11) Joint accounts.
(12) Jointly owned property, including jointly owned real estate.
(13) Final paycheck (including unused vacation and sick pay).
(14) Collectibles, antiques and family heirlooms.
(15) Personal injury and wrongful death proceeds payable to a parent’s estate (in contrast to personal injury and wrongful death proceeds payable, by law, directly to the special needs child).
(16) Homestead laws that give the surviving spouse a life estate and the minor children a vested remainder interest (as does Florida law in certain instances).

Florida Estate Planning: How Do You Find an Attorney

Recently, a friend pointed out an ad on Craiglist for a Californian Estate Planning Attorney who was offering 25% off on Estate Planning.

This is not something we would do, and maybe we're different than other Florida Estate Planning Lawyers. Here at Morris Law Group, our clients already get great value for the service they receive. But I am interested: would you ever check Craigslist.com for a Florida tax planning or estate planning attorney?

If you are looking for a Florida estate planning attorney, let us know. We'll be glad to put in you in touch with some of our clients for a real referral you can trust.

Are Adopted Adults Considered "Decendants"?

A common question with Florida Estate Planning is whether an adult who is adopted is considered a child. We often recommend that our clients place language in their Florida Wills or Florida Revocable Trusts that deal with these issues. The typical language deals with adopted children above or below a certain age. Most people want to consider children adopted at a young age the same as a child who is naturally born.

Occasionally it is necessary for an adult to be adopted. This can happen to provide medical coverage or for other reasons. In these cases, individuals may not want to consider these adopted individuals the same as their naturally born or younger adopted children.

Gerry Beyer wrote an article on a Texas case where the court found that an adopted adult is not treated as a descendant. Mr. Beyer points out that this case seems to be one where the court struggled with the facts and created bad case law to deal with the facts.

The moral is one that should be used in all estate planning documents. When making gifts to classes such as “children,” “grandchildren,” and “descendants,” settlers and testators should indicate whether adopted children are included; and if adopted children are included, the age by which they need to be adopted should be included in the class.