MVP Law Group, P.A. makes available the information and materials in this forum for informational purposes only. The information is general in nature and does not constitute legal advice or any contractual obligations. Further, the use of this site, and the sending or receipt of this information, does not create an attorney-client relationship between us. And, therefore, your communication with us through this forum will not be considered as privileged or confidential.
Question #1 – Power of Attorney
My nephew executed an advance directive directing his mother to serve as his agent. She has since taken advantage of this POA, how can my nephew revoke this POA, can he?
Answer #1
Your nephew may revoke the POA. If the POA was filed with the Clerk of Court, then he will need to draft and sign a statement revoking his POA, have it signed by two witnesses and notarized and filed with the court. He should also serve this revocation letter to his mother as notice of revocation of her power to act as Agent, and he should provide a copy of this revocation letter to his bank/financial institutions, so that no further unauthorized actions are taken.
Question #2 - Wills
Do I really need a will? I have less than 1M in assets, no children, been married but now divorced; but I own two homes and two rental properties?
Answer #2
Anyone who owns property, whether personal or real should make a will. There is absolutely no need to have a large estate to plan and prepare a will. Individuals with cash, vehicles, jewelry, furniture (personal property) should make a will to distribute their assets. Additionally, individuals owning land and/or houses (real property) should make a will.
If married, each spouse should make a will distributing their assets. Widows and single parents should also make a will to dispose of their most valuable possessions.
Question #3 – Prenuptial Agreement
I own my own business, never been married, no children, and just got engaged. I am considering a prenuptial Agreement, any advice?
Answer #3
You should consider entering into a prenuptial agreement if you have children from a previous marriage, you own significant amounts of property, have previously been married, have a salary over $100,000, or own a business and/or family business. There are four main purposes of a prenuptial agreement: to avoid costly litigation, to protect family and/or business assets, to protect against creditors, and to give you assurance that marital property will be disposed of properly. If you do not have a prenuptial, the State of Maryland will divide the assets of the marital union based on an equitable distribution, equitable does not necessarily mean “equal,” in the event of a divorce.
Question #4 – Wills
Can I just use a self-help kit to draft my will or should I hire legal counsel to take care of this?
Answer #4
There are many self-help kits on the internet that allow individuals to prepare and plan their own wills; however, certain situations may require the expertise of a licensed professional who has experience in the estate planning process. It is always better to have the assistance of an experienced attorney to guide you through the challenging process. There are certain formalities that must occur when signing the will and without an attorney or real-life guidance, these formalities may not occur which can invalidate the will.
Question #5 - Wills
Do you normally include an alternate Personal Representative in your Last Wills?
Answer #5
Yes, it is our standard policy to include a provision naming a personal representative and in the event that they cannot so act or are precluded from acting for a specific reason, the provision allows you to appoint a second/alternate Personal Representative.
Question #6 – Power of Attorney
Why would I prepare a Power of Attorney?
Answer #6
A POA allows an individual who may be elderly, sick, planning to be out of state or the country, or otherwise unable to act on their own behalf to authorize another to act in their best interests in regards to their property and business transactions
Question #7 – Wills
I heard that if I do not draft a will, my property/belongings could go to the state. Is this true? How is that possible?
Answer #7
If you die without a will, you will have died intestate; meaning your property and belongings will be distributed through the strict intestacy laws of the State. (Please check out our website to view the intestacy laws for the State of Maryland). In other words, without a will, your possessions will be dispersed to your closest relatives, and if you have no living heirs, to the State. Therefore, in order to protect your family and your belongings, it is extremely important that everyone makes a valid will; otherwise the State may get to determine how your property is distributed.
Question #8 – Advance Directive
Why would I prepare a Living Will/Advance Directive/Health Care POA?
Answer #8
You should prepare an Advance Directive because life is full of unexpected events and issues. With an Advance Directive in place, your health care directions will be carried out in the event that you are unable to communicate with your doctor, hospital, and/or loved ones. Having an Advance Directive will save your family time and money.
Question #9 – Advance Directive
If I have changed my mind about receiving life support, can I change my Advance Directive?
Answer #9
You may revoke your Advance Directive at any time. You are completely in control of your health care directions, and if your desires change at any time, you should destroy the original and execute a new Advance Directive to reflect your wishes. You should also inform all who have a copy to return it to you to be destroyed, and let them know that you have revoked it, as your health care directions have changed, and if possible, provide them with a copy of the new Advance Directive.
Question #10 – Wills
My husband and I have not updated our wills in twenty years; our children now have their own children. What is your recommendation on updating the will(s)?
Answer #10
You may make changes to your will whenever desired and should when your current situation changes. For instance, if you move to a new state, get married or divorced, have a baby, have step children or adopt, and if you acquire or dispose of substantial assets, you should change your will to reflect your current situation.
You may make changes by adding a codicil to your existing will or by creating an entirely new will. Depending upon the changes that have occurred in the last twenty years, you may want to consider creating an entire new will.
MVP Law Group would like to thank everyone who contributed a question or comment.
Our next “Estate Planning Q & A Forum” is scheduled for Friday, October 7th, 2011!
Please remember to submit your questions/comments on our Website, Facebook or Twitter.
Monday, September 26, 2011
Tuesday, September 20, 2011
Next Estate Planning Q&A Forum - Friday, September 23, 2011
MVP Law Group is excited to announce the launch of our “Estate Planning Q & A Forum.” Every other Friday, we will post the 10 most frequently asked questions received during the week from our Facebook/Twitter followers and website visitors. We will answer those questions on our Estate Planning Blog.
Our next “Q & A Forum” will take place this Friday, September 23, 2011. Act now and submit your questions!
Our next “Q & A Forum” will take place this Friday, September 23, 2011. Act now and submit your questions!
Friday, September 9, 2011
MVP LAW GROUP – Estate Planning Q&A Forum, Friday, September 9th, 2011
MVP Law Group, P.A. makes available the information and materials in this forum for informational purposes only. The information is general in nature and does not constitute legal advice or any contractual obligations. Further, the use of this site, and the sending or receipt of this information, does not create an attorney-client relationship between us. And, therefore, your communication with us through this forum will not be considered as privileged or confidential.
Question #1 – Wills
What are the Intestacy rules/laws for Maryland?
Answer #1
In the State of Maryland, if you die without a will, your property will be distributed as follows:
IF THE DECEDENT IS SURVIVED BY-
Spouse and minor children of the decedent- spouse receives one-half, children share remaining one-half;
Spouse and children (all adult) of the decedent-spouse receives $15,000 plus one-half of remaining estate-children divide balance (the interest of a predeceased child passes to issue of that child);
Children only of the decedent-children (does not include step-children) divide entire estate (the interest of a predeceased child passes to issue of that child);
Spouse and parents of the decedent- spouse receives $15,000 plus one-half of remaining estate-both parents divide balance or surviving parent takes balance;
Spouse of the decedent without other heirs listed above-spouse receives entire estate;
Parents of the decedent without other heirs listed above-both parents divide entire estate or surviving parent takes all;
Brothers/sisters of the decedent without heirs listed above-brothers and sisters divide estate equally (share of deceased sibling goes to their issue-nieces and nephews of the decedent);
Grandparents without other heirs listed above-grandparents divide entire estate or, if deceased, to their issue (see applicable law for details);
Great-grandparent without other heirs listed above-great-grandparents divide entire estate or, if deceased, to their issue (see applicable law for details);
Step-children-if there are no heirs listed above;
No living heirs or step-children-If decedent was a recipient of long-term care benefits under the Maryland Medical Assistance Program at time of death, net estate is paid to Department of Health and Mental Hygiene. Otherwise, the net estate is paid to the Board of Education.
Question #2 - Wills
Trying to determine what the best estate planning tool is for me. What can a will not do?
Answer #2
A will cannot cover property held as Joint Tenants/ or Tenants by the Entireties, or property transferred to a living trust. A will cannot cover proceeds of a Life Insurance Policy, money in a pension plan, IRA, 401(k) plan, or other retirement plan. However, you may on your own change the name of the beneficiary on the forms provided by the insurance agency, financial institution, etc. A will cannot cover stocks and bonds held in beneficiary forms. Additionally, a will cannot cover money in a payable-on-death bank account, as a simple form can be obtained from your bank to change the beneficiary listed.
Question #3 – Advance Directive
I had a colonoscopy last week and Nurse asked if I had an Advance Directive, I said no but went home and looked it up on the internet. If I have one drafted, who do I give it to and will they listen to it?
Answer #3
You should distribute copies of your Advance Directive to your health care agent, family, doctors and/or medical facility most likely to treat you, otherwise it will be wasted time, money and words on a sheet of paper. Your Advance Directive should be in the hands of the people who need to know about it, so that your health care directions are carried out in accordance with your wishes.
If your Advance Directive is valid (signed by the appropriate amount of witnesses, and the person whom you have listed as your health care agent is not in violation of State law), then your health care agent, doctors and medical facility most likely to treat you must follow your wishes regarding your health care treatment.
Question #4 – Power of Attorney
My sister-in-law has appointed me to be her Agent. I do not know the first thing about these legal documents. Do I need to consult with an Attorney?
Answer #4
If someone has appointed you or asked you to be their agent/attorney in fact, we advise you to consult with a licensed Attorney if you are unsure about your responsibilities/liabilities as an agent/attorney in fact.
Question #5 - Wills
My wife and I need to get our wills drafted. Do I need to come to your office or is this something that you can do over the telephone?
Answer #5
If you wish to have your will drafted by our office, we will need to arrange an initial client meeting. Below you can find – what to expect, what to bring and timeframes.
Although the Last Will & Testament will be unique to your individualized situation, the initial client meeting and the preparation stages are basically the same for all applicants.
Before determining which estate planning tools would be best suitable for your particular situation, we will need to schedule an initial client meeting to determine and identify (1) your goals; (2) your family situation; (3) your property (real and personal) and (3) your finances. At the initial client meeting, we will go over very general information, and any specific questions that you may have. You will not need to bring anything with you to this meeting. Also, if applicable at that time I will discuss with you the dual representation agreement, which explains how I, as the Attorney, can represent both you and your spouse with the preparation of your Estate Planning Documents, and how the information that either of you share with me, will be communicated to and shared with the other. We will also discuss the legal agreement and any questions that you may have. Nothing will need to be signed at this time; however, if you do choose to retain our office for your Estate Planning, the dual representation agreement and legal agreement will need to be signed and returned to our office to proceed. Additionally, at the end of our initial client meeting, I will provide you with a lengthy questionnaire that asks for specific information about your life including your property (real and personal), family, and finances. Please be as specific as possible, in the event that a court does get a hold of your will, we do not want any inconsistencies or unclear statements. Once you have completed the questionnaire, we will schedule another meeting where you will bring your financial documents, deed(s), etc., to our office so that we can review them and plan for the preparation of your Last Will & Testament. Generally, it takes about two (2) weeks’ time from the time we receive your completed questionnaire and background documents until your will is ready for your first review. We will have another client meeting to review your will, so that we can thoroughly review each provision and make any changes if needed. At the close of that meeting we will schedule for the final drafting and signing, which is when you must bring two witnesses with you to our office to sign your Last Will & Testament. If you do not have any witnesses, we can arrange for witnesses to be present.
Question #6 – Prenuptial Agreement
I am planning on getting married in February 2012. My partner and I have discussed drafting a prenuptial agreement. What type(s) of information needs to be included in this agreement?
Answer #6
Certain information must be provided by both parties to the agreement, that particular information is provided below:
• Checking accounts
• Certificates of Deposit, Savings Accounts
• Stocks & Bonds
• Mutual Funds
• Real Estate
• Business Interest/Ownership
• Retirement Benefits (IRA, 401(k), other retirement benefits)
• Life Insurance policies/annuities
• Other Trusts, Anticipated Inheritance
• Personal Property (cars, boats, etc)
• Other Personal Property (home furnishings, jewelry, collections, etc)
• Liabilities (home mortgage, debts, etc)
• Other Assets
• Most recent personal federal income tax return
Question #7 – Prenuptial Agreement
Similar question, what type of things can/cannot be included in this agreement?
Answer #7
A prenuptial agreement can include a wide array of things. It may include the following types of provisions:
• Alimony/Spousal Support or Waiver thereof
• Use or nonuse of Joint Bank Accounts
• Filing of Tax Returns
• Agreements about specific purchases or projects
• Purchasing a home/starting a business
• Use/nonuse/limited use of Credit Cards
• How to settle future disagreements
• Lifestyle clauses
• Right to inherit
• Right to be named beneficiary of life insurance policy and/or retirement benefits
However, personal agreements as to household chores, exercising, cooking, etc should be kept out of the agreement, as they are not binding in court, and may cause a Judge to take your pre-martial agreement less seriously.
Question #8 – Wills
Do I need a will? I am single -never married, no kids, decent salary, own my home and its paid off, sufficient stocks and bonds, over 50.
Answer #8
We recommend that everyone should have a will, especially anyone who owns property, whether personal or real. There is absolutely no need to have a large estate to plan and prepare a will. Individuals with cash, vehicles, jewelry, furniture (personal property) should make a will to distribute their assets. Additionally, individuals owning land and/or houses (real property) should make a will.
Question #9 – Trusts
My sister is the trustee of my mother’s Trust and I don’t think she is doing what she should to maintain the Trust…. Can you let me know what a trustee does/is responsible for?
Answer #9
A trustee has a fiduciary duty to protect the assets of the trust, and to make sure that the purposes of the trust are carried out. Accordingly, by having possession and control of the trust assets the trustee must preserve the trust assets; control the investment of the trust assets; keep an accounting of the trust assets; keep the assets separate; make accurate distributions and keep beneficiaries fully informed.
Question #10 – Advance Directives
My son lives in MD, my daughter lives in PA. My son is very busy with his own life and very frugal and my daughter single, a workaholic and a spendaholic. Who should I serve as my health care agent?
Answer #10
You should appoint someone who you trust, who is reliable, and who you have shared your medical care concerns and/or wishes with, as your Health Care Agent. You may appoint your Attorney as your Health Care Agent, an immediate family member, or even a trusted friend. You may not name an owner, operator, or employee of a health care facility where you are/or have received care to be your health care agent. We recommend that you name two Health Care Agents in the event that your first choice is unavailable for some reason to act in your best interests. Accordingly, you could name your son as your first choice and your daughter as the second choice in the instance that he is unable to serve; ultimately it is a decision that must be made by you.
MVP Law Group would like to thank everyone who contributed a question or comment.
Our next “Estate Planning Q & A Forum” is scheduled for Friday, September 23rd, 2011!
Please remember to submit your questions/comments on our Website, Facebook or Twitter.
Question #1 – Wills
What are the Intestacy rules/laws for Maryland?
Answer #1
In the State of Maryland, if you die without a will, your property will be distributed as follows:
IF THE DECEDENT IS SURVIVED BY-
Spouse and minor children of the decedent- spouse receives one-half, children share remaining one-half;
Spouse and children (all adult) of the decedent-spouse receives $15,000 plus one-half of remaining estate-children divide balance (the interest of a predeceased child passes to issue of that child);
Children only of the decedent-children (does not include step-children) divide entire estate (the interest of a predeceased child passes to issue of that child);
Spouse and parents of the decedent- spouse receives $15,000 plus one-half of remaining estate-both parents divide balance or surviving parent takes balance;
Spouse of the decedent without other heirs listed above-spouse receives entire estate;
Parents of the decedent without other heirs listed above-both parents divide entire estate or surviving parent takes all;
Brothers/sisters of the decedent without heirs listed above-brothers and sisters divide estate equally (share of deceased sibling goes to their issue-nieces and nephews of the decedent);
Grandparents without other heirs listed above-grandparents divide entire estate or, if deceased, to their issue (see applicable law for details);
Great-grandparent without other heirs listed above-great-grandparents divide entire estate or, if deceased, to their issue (see applicable law for details);
Step-children-if there are no heirs listed above;
No living heirs or step-children-If decedent was a recipient of long-term care benefits under the Maryland Medical Assistance Program at time of death, net estate is paid to Department of Health and Mental Hygiene. Otherwise, the net estate is paid to the Board of Education.
Question #2 - Wills
Trying to determine what the best estate planning tool is for me. What can a will not do?
Answer #2
A will cannot cover property held as Joint Tenants/ or Tenants by the Entireties, or property transferred to a living trust. A will cannot cover proceeds of a Life Insurance Policy, money in a pension plan, IRA, 401(k) plan, or other retirement plan. However, you may on your own change the name of the beneficiary on the forms provided by the insurance agency, financial institution, etc. A will cannot cover stocks and bonds held in beneficiary forms. Additionally, a will cannot cover money in a payable-on-death bank account, as a simple form can be obtained from your bank to change the beneficiary listed.
Question #3 – Advance Directive
I had a colonoscopy last week and Nurse asked if I had an Advance Directive, I said no but went home and looked it up on the internet. If I have one drafted, who do I give it to and will they listen to it?
Answer #3
You should distribute copies of your Advance Directive to your health care agent, family, doctors and/or medical facility most likely to treat you, otherwise it will be wasted time, money and words on a sheet of paper. Your Advance Directive should be in the hands of the people who need to know about it, so that your health care directions are carried out in accordance with your wishes.
If your Advance Directive is valid (signed by the appropriate amount of witnesses, and the person whom you have listed as your health care agent is not in violation of State law), then your health care agent, doctors and medical facility most likely to treat you must follow your wishes regarding your health care treatment.
Question #4 – Power of Attorney
My sister-in-law has appointed me to be her Agent. I do not know the first thing about these legal documents. Do I need to consult with an Attorney?
Answer #4
If someone has appointed you or asked you to be their agent/attorney in fact, we advise you to consult with a licensed Attorney if you are unsure about your responsibilities/liabilities as an agent/attorney in fact.
Question #5 - Wills
My wife and I need to get our wills drafted. Do I need to come to your office or is this something that you can do over the telephone?
Answer #5
If you wish to have your will drafted by our office, we will need to arrange an initial client meeting. Below you can find – what to expect, what to bring and timeframes.
Although the Last Will & Testament will be unique to your individualized situation, the initial client meeting and the preparation stages are basically the same for all applicants.
Before determining which estate planning tools would be best suitable for your particular situation, we will need to schedule an initial client meeting to determine and identify (1) your goals; (2) your family situation; (3) your property (real and personal) and (3) your finances. At the initial client meeting, we will go over very general information, and any specific questions that you may have. You will not need to bring anything with you to this meeting. Also, if applicable at that time I will discuss with you the dual representation agreement, which explains how I, as the Attorney, can represent both you and your spouse with the preparation of your Estate Planning Documents, and how the information that either of you share with me, will be communicated to and shared with the other. We will also discuss the legal agreement and any questions that you may have. Nothing will need to be signed at this time; however, if you do choose to retain our office for your Estate Planning, the dual representation agreement and legal agreement will need to be signed and returned to our office to proceed. Additionally, at the end of our initial client meeting, I will provide you with a lengthy questionnaire that asks for specific information about your life including your property (real and personal), family, and finances. Please be as specific as possible, in the event that a court does get a hold of your will, we do not want any inconsistencies or unclear statements. Once you have completed the questionnaire, we will schedule another meeting where you will bring your financial documents, deed(s), etc., to our office so that we can review them and plan for the preparation of your Last Will & Testament. Generally, it takes about two (2) weeks’ time from the time we receive your completed questionnaire and background documents until your will is ready for your first review. We will have another client meeting to review your will, so that we can thoroughly review each provision and make any changes if needed. At the close of that meeting we will schedule for the final drafting and signing, which is when you must bring two witnesses with you to our office to sign your Last Will & Testament. If you do not have any witnesses, we can arrange for witnesses to be present.
Question #6 – Prenuptial Agreement
I am planning on getting married in February 2012. My partner and I have discussed drafting a prenuptial agreement. What type(s) of information needs to be included in this agreement?
Answer #6
Certain information must be provided by both parties to the agreement, that particular information is provided below:
• Checking accounts
• Certificates of Deposit, Savings Accounts
• Stocks & Bonds
• Mutual Funds
• Real Estate
• Business Interest/Ownership
• Retirement Benefits (IRA, 401(k), other retirement benefits)
• Life Insurance policies/annuities
• Other Trusts, Anticipated Inheritance
• Personal Property (cars, boats, etc)
• Other Personal Property (home furnishings, jewelry, collections, etc)
• Liabilities (home mortgage, debts, etc)
• Other Assets
• Most recent personal federal income tax return
Question #7 – Prenuptial Agreement
Similar question, what type of things can/cannot be included in this agreement?
Answer #7
A prenuptial agreement can include a wide array of things. It may include the following types of provisions:
• Alimony/Spousal Support or Waiver thereof
• Use or nonuse of Joint Bank Accounts
• Filing of Tax Returns
• Agreements about specific purchases or projects
• Purchasing a home/starting a business
• Use/nonuse/limited use of Credit Cards
• How to settle future disagreements
• Lifestyle clauses
• Right to inherit
• Right to be named beneficiary of life insurance policy and/or retirement benefits
However, personal agreements as to household chores, exercising, cooking, etc should be kept out of the agreement, as they are not binding in court, and may cause a Judge to take your pre-martial agreement less seriously.
Question #8 – Wills
Do I need a will? I am single -never married, no kids, decent salary, own my home and its paid off, sufficient stocks and bonds, over 50.
Answer #8
We recommend that everyone should have a will, especially anyone who owns property, whether personal or real. There is absolutely no need to have a large estate to plan and prepare a will. Individuals with cash, vehicles, jewelry, furniture (personal property) should make a will to distribute their assets. Additionally, individuals owning land and/or houses (real property) should make a will.
Question #9 – Trusts
My sister is the trustee of my mother’s Trust and I don’t think she is doing what she should to maintain the Trust…. Can you let me know what a trustee does/is responsible for?
Answer #9
A trustee has a fiduciary duty to protect the assets of the trust, and to make sure that the purposes of the trust are carried out. Accordingly, by having possession and control of the trust assets the trustee must preserve the trust assets; control the investment of the trust assets; keep an accounting of the trust assets; keep the assets separate; make accurate distributions and keep beneficiaries fully informed.
Question #10 – Advance Directives
My son lives in MD, my daughter lives in PA. My son is very busy with his own life and very frugal and my daughter single, a workaholic and a spendaholic. Who should I serve as my health care agent?
Answer #10
You should appoint someone who you trust, who is reliable, and who you have shared your medical care concerns and/or wishes with, as your Health Care Agent. You may appoint your Attorney as your Health Care Agent, an immediate family member, or even a trusted friend. You may not name an owner, operator, or employee of a health care facility where you are/or have received care to be your health care agent. We recommend that you name two Health Care Agents in the event that your first choice is unavailable for some reason to act in your best interests. Accordingly, you could name your son as your first choice and your daughter as the second choice in the instance that he is unable to serve; ultimately it is a decision that must be made by you.
MVP Law Group would like to thank everyone who contributed a question or comment.
Our next “Estate Planning Q & A Forum” is scheduled for Friday, September 23rd, 2011!
Please remember to submit your questions/comments on our Website, Facebook or Twitter.
Tuesday, September 6, 2011
Next Estate Planning Q&A Forum - Friday, September 9, 2011
MVP Law Group is excited to announce the launch of our “Estate Planning Q & A Forum.” Every other Friday, we will post the 10 most frequently asked questions received during the week from our Facebook/Twitter followers and website visitors. We will answer those questions on our Estate Planning Blog.
Our next “Q & A Forum” will take place this Friday, September 9, 2011. Act now and submit your questions!
Our next “Q & A Forum” will take place this Friday, September 9, 2011. Act now and submit your questions!
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