Author: Lockhart Gardner

You probably aren’t surprised to learn that all attorneys are not created equal, which makes trying to find the right one an important, yet hard, decision. There are two kinds of lawyers in this country: general purpose and special purpose. If you live in a big city or urban area, you won’t have any trouble finding someone who focuses on estate planning. If you live in a rural setting, it may...

Understanding Long-Term Care Addressing the potential threat of long-term care expenses may be one of the biggest financial challenges for individuals who are developing a retirement strategy.The U.S. Department of Health and Human Services estimates that 70% of people over age 65 can expect to need long-term care services at some point in their lives.1 So understanding the various types of...

 Your Children with Disabilities Will Become Ineligible for Benefits… Unless You Act! Parents of children with mental or physical disabilities face a variety of challenges in ensuring their children can successfully navigate life with and without them. Because people with disabilities are living longer due to advances in healthcare and other enabling strategies, they are increasingly...

Is the AB Trust Still Part of Your Estate Plan? Should It Be? An AB trust is a joint trust commonly created by a married couple to minimize estate taxes prior to the considerable increase in federal estate tax exemption. This trust is funded with assets of each spouse and divides into two separate trusts (Trust A and Trust B) upon the death of the first spouse. The AB trust plan results in the...

Proposition 13: How Not to Lose it Proposition 13 has saved many homeowners from losing their homes by keeping property taxes low. Passed by voters in 1978, Proposition 13 lowered property taxes to 1% (from 2.67%) of the full value of the property. Equally as important, Proposition 13 capped the increase in taxes to a maximum increase of 2% per year regardless of the value of the property. A...

An estate plan is important for people of all ages and wealth levels. Yet many people avoid estate planning because they do not want to think about the end of life, the possibility of failing health, or potential for an unfortunate disability. There is no time like the present to overcome those fears, stop procrastinating and start planning for your future. Pulling back the curtain on what...

The Benefits of a 529 Education Savings Plan Named after a section of the tax code enacted two decades ago, 529 education savings plans are a tax-advantaged plan that encourages parents to save money for their children’s education. Although contributions are not deductible, the invested assets can grow free of federal and state taxes. There are two types of 529 plans – one lets you pre-pay...

Stretching an inherited IRA is extremely valuable to the beneficiary. Learn what that means. An inherited IRA, or “beneficiary IRA”, is an account that gets opened when someone inherits an IRA after the death of its owner. The beneficiary may open an inherited IRA from any variety of eligible IRAs, from Roth and rollover to Simple IRAs and SEPs. This IRA beneficiary is subject to required...

In California, a full probate is not necessary if someone dies with under $150,000 in assets. For example, say, Joe Client dies owning a bank account in his name worth $130,000 and no other assets. The beneficiaries (i.e., the ones getting Joe’s stuff under his will or intestacy if there is no will) complete what is called a “Small Estate Affidavit” and give it to the bank. Upon receiving the...

If you are a resident of Grass Valley, Nevada City, Lake Wildwood, Penn Valley or Alta Sierra, you now have more choices when selecting your Estate Planning attorney. The areas in and around Grass Valley and Nevada City already have living trust attorney’s in town, but just a short drive down Highway 49, in beautiful, historic Auburn, you will find CunninghamLegal. For those who are not...