Estate Planning
Estate planning is not just planning for distribution of assets after death; it’s making arrangements in the event of illness or physical and mental incapacitation. Such arrangements may include designating someone with power of attorney who can handle your financial affairs, and designating someone durable power of attorney, who can make decisions regarding medical treatment, and act as patient advocate.
DeMent and Marquardt will develop a plan appropriate to your situation, which will increase and maintain your and your family’s financial security by arranging for the conservation and transfer of wealth in the most tax-efficient way.
As a component of your estate plan, DeMent and Marquardt will establish a process for administering the trust and settling your estate, including marshalling assets, paying final expenses, and distributing wealth according to your wishes after you have passed away.
Trusts
Trusts can help you accomplish many of your long-term goals for the successful transfer of your estate to your heirs and beneficiaries. DeMent and Marquardt can develop a trust designed to meet your specific goals, whether you want to provide a regular income to your surviving spouse and children, safeguard assets until your children reach a certain age, or create a trust specifically for a charitable organization. A few of the many trust options include:
- A Revocable Living Trust is a legal document similar to a Will. It includes directions for managing your property while you are living, and distributing your assets upon death. It also contains instructions for the management of your assets, even in the event of disability.
- An Irrevocable Trust contains much of the same information, however this Trust is final and binding, and cannot be rescinded, withdrawn, or changed in any way.
- A Credit Shelter Trust is designed to minimize taxes by most effectively applying the federal estate tax exemption to both spouses, sheltering the maximum amount allowed by law.
Business Succession
A business, regardless of size, is a significant portion of an individual’s estate, and passing it from one generation to the next, or transferring it to another party, can be complicated.
Business Succession is an area in which DeMent and Marquardt is particularly well-versed. We can help you make provisions for passing your business to the next owners, whether family or not, ensure there are sufficient funds to pay any taxes due, as well as ensure there is sufficient liquidity in your estate to both run business and meet provisions of the estate plan. Or, if your estate plan calls for selling the business upon your death, we will draw up the appropriate and necessary buy/sell agreements.
Charitable Giving
Most people would like their charitable wishes fulfilled, regardless of the tax consequences. With careful planning, a person can make charitable donations—either during their life or at death—and both provide for their favorite charity, and also receive estate and income tax benefits for themselves. Charitable donations reduce the size of the estate, thereby lowering estate tax liability, resulting in a lower effective cost of giving.
DeMent and Marquardt can develop a strategy that makes it possible for you to realize your philanthropic objectives, while lowering your liability. Options include:
- A Charitable Remainder Trust lets you continue to enjoy income from assets placed in trust, with the balance of the trust assets going to the charity when the trust terminates.
- Charitable Lead Trusts allow you to provide income to a charity for a specific period of time, with the remaining assets passing to your beneficiaries—or even you—at the end of the trust’s term.
- Wealth Replacement Trusts can provide your family with an inheritance while you retain the income and charitable deduction advantages of a Charitable Remainder Trust.
- Establishing a Private Foundation gives you maximum control of your gift of charitable assets, allowing you to pursue charitable purposes, support innovative organizations and leverage the value of contributions to multiple organizations.
Elder Law
This recent development in estate planning, allows individuals to make financial arrangements for their care, or the care of others. Such care arrangements include long-term medical care, care in a residential nursing home, or at home assisted living.
Will
Regardless of the size of your estate, everyone needs a Will. This legal document expresses your individual wishes regarding distribution of your solely-owned property after your death.
Conservatorship
If you are judged to be incapable of handling your own affairs, a court will name an individual or institution to manage your property, unless you name someone while you are still capable.
Guardianships
Guardianships are established to care for a minor or incompetent person’s well-being. A Guardian of the Person is in charge of the care of their physical well-being, while a Conservator is in charge of the care of a minor or incompetent person’s financial well-being.
Probate
Probate is the process of interpreting a decedent’s last Will and Testament, or determining whether a Will is valid. It can also include the process of determining distribution of assets if the decedent passes without a Will (intestate).