Gifts To Grandchildren

Gifts given to grandchildren by grandparents can be a great blessing.  Kelly Greene wrote an article in the Wall Street Journal September 14, 2012, titled "Are You Coddling Your Grandkids?"  In her article, Ms. Greene indicates five ways to give to a grandchild something and at the same time not creating a sense of entitlement from a grandchild.
First, Ms. Greene says you must, "Pare your gifts to offset the pain."  In other words, don't give to the extent that you jeopardize your own financial care.
Second, Ms. Greene say you might consider making a gift a loan rather than an outright gift.  If the loan is handled properly, it might be a good way to help the grandchild and at the same time allowing them to make their own way in the world.
Third, Ms. Greene says a grandparent can create teaching moments.  Gifting stock or investments rather than cash can be a way of teaching grandchildren the value of money as an example.
Fourth, Ms. Greene says it is a good idea to delay a grandchild's gratification.  Gifting money at certain dates or events rather than on a regular basis can help grandchildren rely on their own resources first.
Fifth, Ms. Greene counsels to practice equality.  One of the most common reasons for litigation between family members if perceived favoritism. 
As you choose to gift assets, it is wise to take into account the feelings of family members and how said gifts will affect them in the long run.

Book Review: "The Parent Care Conversation"

Dan Taylor experienced an emotional five years caring for his father who had developed Alzheimer's. After Mr. Taylor's father's death, Mr. Taylor developed a plan with ways to talk to parents about their financial and health care concerns before the parents actually need help. His book, The Parent Care Conversation: 6 strategies for dealing with the emotional and financial challenges of aging parents is a good book to read before sitting down with loved ones and discussing financial and health care concerns.

Mr. Taylor's plan presents six conversations that need to be made between children and parents. The six conversations are:

• The Big Picture Conversation




• The Money Conversation




• The Property Conversation




• The House Conversation




• The Professional Care Conversation




• The Legacy Conversation

It is not always easy to talk about the future especially when discussing parents financial and health care needs. But it is really crucial for the peace of mind of both the children and parents to be prepared for the inevitable. Therefore, we recommend reading Mr. Taylor's book.

How Can I Regain My Identity Once It Has Been Stolen?

The most important thing you can do if you find unexplained charges on credit cards, bills on your credit report, an unexplained notice you are being sued, or even an arrest warrant, is to take action quickly. Below are the starting steps of reclaiming your name:

• File a report with the police.


• Place a fraud alert on your credit reports.


• Close any accounts that you know or even think might have been tampered with or opened by someone else.


• File a complaint with the Federal Trade Commission.


• Put a Freeze on Your Credit.

Joke of the Week

An older couple was watching TV. The man stretches and says, "Honey, I think I'll go to the kitchen and get some ice cream. Would you like some?"

"Believe I would thanks."

"Would you like some chocolate sauce on it?"

"Yes, I would . . . but now be sure and write that down so you won't forget."

Her husband glares, shakes his head, and marches off to the kitchen. Twenty minutes pass as the husband rustles about. Finally, he reappears, carrying a plateful of scrambled eggs.

"Why," exclaims the wife, "I told you to write it down. Here you've come back and forgotten my bacon!"

Book Review: "Preparing Heirs"

Preparing Heirs by Roy Williams and Vic Preisser gives five steps in transferring family wealth successfully. The fives steps are as follows:

• Assessing Your Wealth Transition Plan


• Taking Action on Plan Deficiencies


• Preparing the Heirs


• The Heir's Self-Preparation Responsibilities


• Continuing Evaluation and Measurement

The book also gives examples of families that have successfully transferring wealth to future generations and those who were not successful. A good read. You can find the book here.

The Phases of Grief

Grief is the physical, emotional, and mental condition brought on by a loss, such as the death of someone you love. Grief is the body's natural ability to heal emotional injury. Grieving can be hard. Lack of understanding makes it harder. Grief is a personal process characterized by three phases:

Phase 1--Shock (Denial)
This begins with the news of the death, but the reality of the death may occur in a few minutes, a few days or even several months later. This phase "protects" the survivor from the emotional impact of the death. Common characteristics of this phase iclude a need to stay busy, confusion, an inability to express emotion, inability to function and an overwhelming sense that somthing is wrong without grasping the reality of the loss.

Phase 2--The Expression of Grief
Anger, bargaining, and/or depression may last for several days to several years. They are mental, physical and emotional manifestations that may come and go or appear in any combination.

• Mental: Preoccupation of the death: how it happened, the person that died. Inabilities to focus, to remember or to be productive are mental expressions of grief. You may have paranoid or inconsistent thoughts. You may even want to make radical changes in all aspects of your life, but it is imprerative that you take time to think clearly and not make impuslive decisions that you may later regret.



• Physical: Fatigue, weakness, insomnia, weight gain or loss, headaches, the tendency to catch stress-related illnesses, a sense of vulnerability, discomfort with too much activity or stimulation are all physical expressions of grief.



• Emotional: Intense sadness, fear, anxiety, anger, depression, loneliness, confusion, helplessness, isolation and guilt are emotional expressions of grief. The inabilities to feel love or give love, compulsive behavior, thinking that you are "crazy" are often felt by those in grief.

Experiencing these symptoms is quite normal and in many ways are a necessary part of the healing process of grief. If you feel, however, that you are not able to handle your grief on your own, you may want to consider professional help.

Phase 3--Acceptance
You will know when you have reached this stage when you are able to recall memories of your deceased loved one fondly and pleasantly instead of painfully. Once acceptance has been reached, planning for the future becomes more realistic. A new and wiser you will have emerged.
The rate of acceptance often depends on your ability to feel and express your grief openly. Take time out from your usual standars of behavior. Surround yourself with people that you feel comfortable with, tell them how you feel and what you need from them. Feel and express your emtions. It is okay to cry, to laugh, or to be silent. Write things down about your feelings, your wishes, regrets and joys. Give yourself breaks from grieving to rest, have fun and be nurtured. Try to eat well. Try to get your sleep. Above all, give yourself time.

Response To The Editor

Yesterday, August 22, 2011, we reviewed an article in the Wall Street Journal titled, "Time to Deregulate the Practice of Law." You can read the full article here. We responded to the article with a letter to the editor. This is our full response to the article:

August 22, 2011

Editor:

In regard to Winston and Crandall's essay "Time to Deregulate the Practice of Law" (WSJ 8/22/2011). A will is a simple document indicating how you want your assets distributed at your death. Simple. Anybody can write on a napkin, "Distribute my assets equally to my children." Simple.

Then you die. Your children are now faced with the processes of actually transferring your home, your bank account, your investment or retirement accounts, your life insurance policy, your car to themselves. The children must deal with county recorders and deeds, bank managers and signature cards, investment firms and contracts, life insurance companies and policies, the division of motor vehicles and titles. Dealing with these entitites may also be simple . . . or not.

To think that a will is the beginning and end of the legal issues involved in transferring assets at death exhibits a gross ignorance of reality, let alone the law, exactly the level of gross ignorance companies like LegalZoom (praised by the authors) deeply rely upon in selling their wares, but the kind of gross ignorance I did not expect from senior fellows at the Brookings Institution.

Craig E. Hughes
Hughes Estate Group, Attorneys

Lost Inheritances

The Sacramento Bee reports that California's unclaimed property program is sitting on billions in forgotten money owed to thousands of businesses and individuals. It's from dozens of sources: overlooked bank accounts; stocks, bonds and dividends; uncashed paychecks; abandoned safe deposit boxes; misplaced insurance policies; utility bill refunds; or even that security deposit from your first college apartment.

In the last five fiscal years, California's unclaimed property office has returned $1.37 billion from more than 1.4 million accounts held by individuals and businesses, according to state controller's spokesman Jacob Roper.

How could so many lose track of so much?

"A lot of larger assets we're holding are inheritances that people don't know about," said Ruth Holton-Hodson, who oversees the state's unclaimed property program. "Older generations were very private about their incomes and often didn't share that with their children. They search our site and find, 'Oh, my goodness, Grandma had a bank account or Aunt Sally had 15 shares of GM.' "

In California you look at www.claimit.ca.gov or call 800-922-4647. In other states and Canada the National Association of Unclaimed Property Administrators has a site at missingmoney.com.

At Hughes Estate Group, we see unclaimed property issues as a sign of extraordinarily poor or nonexistent estate planning. Even for those with plans in place, the lesson here is simple: COMMUNICATE. You must communicate with your beneficiaries and fiduciaries where a complete list of all your assets and your will and trust can be found when you are gone.

Financial Abuse by Caretakers

The New York Times reports that estate battles are breaking out all over, on estates large and small, and oh boy are they nasty.

One story tells of a 99 year-old man who married his caretaker. Even though she wasn't in his will, his 48-year-old wife is suing for her statutorily defined share of his estate. His sons say he suffered from severe dementia.

Another caretaker is being accused of tricking a woman she took care of for eight years. Three years after the woman was diagnosed with dementia the caretaker drained the bank accounts and transferred the home into her name.

A good probate and estate planning attorney can ensure these types of situations do not occur. The way to do so is with comprehensive powers of attorney, thorough caregiver agreements, very tight amendment and revocation procedures in documents, complete funding of trusts, and clear and appropriate communication with beneficiaries and fiduciaries while you are competent. For Utahns, contact Hughes Estate Group, Attorneys, (800-422-0627) if anything mentioned in this article strikes close to home.

What you talkin' bout Willis?

Keep It Simple Stupid Me!

Keep it simple. Make it clear. Provide information in easy-to-understand language so it's easy to make an informed decision.

That's the message, according to a new survey from Siegel and Gale. "People are desperate for clarity and simplicity in order to make informed decisions,” said Alan Siegel, founder and chair of the New York City-based branding firm.

A survey of 1,214 American homeowners and investors between Dec. 29 and Jan. 5 found consumers are frustrated by the complexity of laws, regulations and documents—and blame the current financial crisis at least in part on confusion based on misunderstanding.

· 84% of all consumers are more likely to trust a company that uses jargon-free, plain English in communications
· 79% think it is “very important” that President Obama “mandate that clarity, transparency, and plain English be a requirement of every new law, regulation and policy.”
· 75% said complexity and lack of understanding played a significant role in the current financial crisis.
· 63% feel “banks, mortgage lenders and Wall Street intentionally make things complicated to hide risks or to keep people in the dark.”

Arguendo, ceteris paribus, res ipsa loquitur. Vel non.

Bryan A. Garner's (editor in chief of Black's Law) What's hot and what's not.

Garner believes that if the latin phrase has a clear English translation and is not a legal term of art it shouldn't be used.

Here's is a what's hot; what's not list for 2009.

In
habeas corpus: “you have the body.” Written orders for bringing someone into a court, most frequently related to ensuring a person’s imprisonment or detention isn’t illegal.

res ipsa loquitur: “the thing speaks for itself.” A rebuttable presumption of negligence.

respondeat superior: “let the superior make answer.” A principal or employer is liable for the acts of an agent or employee within the scope of agency or employment.

corpus delicti: “body of a crime.” Physical evidence of a crime and objective proof a crime has been committed.

Out

Arguendo: use “for the sake of argument”

inter alia: use “among other things”

ceteris paribus: use “other things being equal”

sua sponte: use “on its own motion”

ab initio: use “from the beginning”

vel non: use “or not”

Clarity

On writing . . .

A sentence should contain no unnecessary words, a paragraph no unnecessary sentences, for the same reason that a drawing should have no unnecessary lines and a machine no unnecessary parts. ~William Strunk, Jr., The Elements of Style, 1918

Also from an article in the May edition of the ABA Journal on the new book by Antonin Scalia and Bryan A. Garner "Making Your Case, The Art of Persuading Judges"

Value clarity above all and make your points and ask for relief in a blunt, straightforward manner.

Example:

Wrong:

The undersigned counsel do hereby for and on behalf of their clients, for the reasons explained hereinbelow, respectfully request that this Honorable Court consider and hereby rule that no issues of material fact do exist in the instant controversy, and that a final judgment be entered in favor of the client of the undersigned counsel (sometimes herein referred to as “Defendant” or “Cross-Plaintiff”) and against Plaintiff.

Right:

Johnson requests entry of summary judgment.

Clarity is amply justified on the ground that it ensures you’ll be understood. If your arguments are clear it will be harder for your opponent to mischaracterize them.

Whereas this seems to make lots of sense, I heretofore and hereinafter will strive to above all else be clear.

Writing

A sentence should contain no unnecessary words, a paragraph no unnecessary sentences, for the same reason that a drawing should have no unnecessary lines and a machine no unnecessary parts. ~William Strunk, Jr., The Elements of Style, 1918.

Make your points and ask for your relief in a blunt, straightforward manner.

Wrong:

The undersigned counsel do hereby for and on behalf of their clients, for the reasons explained herein below, respectfully request that this Honorable Court consider and hereby rule that no issues of material fact do exist in the instant controversy, and that a final judgment be entered in favor of the client of the undersigned counsel (sometimes herein referred to as “Defendant” or “Cross-Plaintiff”) and against Plaintiff.

Right:

Johnson requests entry of summary judgment

From a May 2008 ABA Journal Article on Making Your Case, The art of Persuading Judges by Antonin Scalia and Bray A. Garner.