Posted on July 29, 2020 in Divorce

Each week, month, and year, new social media trends get released and new platforms begin to surface. What was popular last week, may not mean much once another Monday rolls around. As smartphones and social media have become more integrated into our lives, it can be easy to forget that there are still personal boundaries when it comes to what should and should not be posted online. Studies have shown that social media content has affected people’s views on their relationships, including romantic ones, sometimes causing issues that could be mitigated without the high usage of social media. With Facebook’s option to list your relationship status, Instagram’s ability to post photos with your new significant other, and Twitter’s propensity to elicit Tweets venting about your ex, your social media posts can greatly impact your Illinois divorce.

Using Your Spouse’s Posts to Your Advantage

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 Posted on July 23, 2020 in Estate Planning

When considering estate planning, it is wise to have some of your assets set aside as liquid assets. Liquid assets are easily turned into cash, the most obvious form being a checking or savings account. Mutual funds, stocks, and money market assets are also considered to be liquid. Non-liquid assets include physical property, which can take months to sell, or ownership in a company.

Immediate Access to Liquid Funds After Your Death

There are specific expenses that will come up very quickly after your death and your survivors may or may not be prepared to pay for these costs without using the funds from your estate. These costs may include:

• Funeral and Burial Costs - According to Lincoln Heritage Funeral Advantage, the average funeral costs between $7,000 and $12,000. Even a cremation can cost $6,000 to $7,000.

• Taxes - Aside from the final individual income taxes that will be due on April 15 after a person dies, there will be federal and state estate taxes to pay as well. The Internal Revenue Service (IRS) can cease the distribution of assets during an audit. If there is a gross misrepresentation of income in a return, the IRS can audit a return up to six years later. If there is evidence of fraud or of trying to evade taxes, the IRS can conduct an audit at any time, even decades later. It is crucial to ensure that your loved ones have enough liquid assets to cover your income taxes for the tax year in which you pass.

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 Posted on July 20, 2020 in Estate Planning

With coronavirus hitting the United States hard, many people are realizing the importance of estate planning. Not only are people worried about their financial future, but they are also concerned about what would happen if they became gravely ill from COVID-19. Luckily, Governor Pritzker determined at the beginning of the pandemic that legal services were still an essential business in Illinois. There is no better time to consider what will happen to your assets after death. Moreover, it is extremely important to get your affairs in order so that your children and grandchildren are properly taken care of.

What Happens to the Home?

Having a will and testament is not enough to keep your property out of probate, which is a long and costly process. Furthermore, if you do not designate beneficiaries and complete the proper legal paperwork to transfer your property after your death, it is possible that any family members who live with you could lose their home. One way to ensure your family stays in your home after your death is by setting up a transfer on death instrument which allows you to designate a beneficiary who will receive interest on the property and avoid probate. Other options include creating a living trust, joint tenancy, or life estate. A knowledgeable estate planning attorney can guide you through which option is best for you and your family.

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 Posted on July 20, 2020 in Wills and Trusts

Generation-skipping trusts, also known as dynasty trusts, are a way of avoiding estate taxes on an individual’s property and assets after death. It is a legally binding agreement that skips the children’s generation and leaves the inheritance to the grantor’s grandchildren to avoid an estate being taxed twice. With a generation-skipping trust, the children can still access the funds to pay for education, health, maintenance, and support, but upon their death, it automatically goes to their children. Generation-skipping trusts are a type of irrevocable trust, which means they cannot be changed or canceled. For this reason, it is wise to speak with a knowledgeable estate planning attorney who can assist in creating the trust before attempting to do so yourself.

Who Can Be the Beneficiaries?

The fact that this type of trust is called a generation-skipping trust leads many people to believe that the only beneficiaries can be grandchildren. However, the trust can be set up for anyone who is 37.5 years younger than the grantor. If the beneficiary is not a relative, he or she is called a "skip-person." According to Internal Revenue Code 2651, if the parents die before the grandchild, then the grandchild moves into his or her parent’s place in line and a generation-skipping trust is no longer applicable to them.

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 Posted on July 15, 2020 in Child Support

A divorce involves many issues that need resolving, especially when children are involved. When determining child support, the financial status of both parents is seriously considered. If the non-custodial parent is providing support, the child’s medical expenses may cause an additional financial burden. These additional expenses could cause the judge to lessen the amount of support given to the custodial parent. Whether you are the non-custodial or the custodial parent, it is important to consult with a skilled family law attorney if you have any questions or concerns regarding your child support payments.

Determining Support

Child support calculations can be incredibly complex. Within the state of Illinois, child support payments are usually paid by the non-custodial parent to the custodial parent to provide additional financial support for the child’s basic needs such as food and clothing. Payments can also be used to fund tuition, transportation, housing expenses, extracurricular activities, and medical care costs. These factors, as well as the net income of both parents, will be used to determine the amount of support the custodial parent will receive from the non-custodial parent.

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 Posted on July 08, 2020 in Divorce

During a divorce, one or both spouses may seek counseling or therapy. Due to the universal Doctor-Patient Confidentiality Agreement, patients are reassured that the sessions are private. However, it is possible your therapy records could end up in the courtroom during your divorce proceeding. When this occurs, it is important to hire a family law attorney to protect your rights.

Record Contents

Typically, if you are attending therapy or seeking the help of a professional counselor, you may have overwhelming issues that affect you psychologically and hinder your daily activities. Discussing them with an unbiased individual can be comforting and allow you to process your emotions. Problems may involve alcohol/drug addiction, a tragic event, or mental health issues. Within a divorce proceeding, these issues may negatively affect spousal support, and/or the allocation of parental responsibilities.

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 Posted on July 02, 2020 in Estate Planning

Many of our clients would like the benefits of using a trust but want to retain control over their property while living. For them, a pour-over will might be exactly what they need to accomplish their estate planning goals.

This type of will transfers all remaining assets to a living trust when the testator, or creator of the will, dies. In other words, the will does not identify who will be the beneficiary of each asset. Instead, that information is contained in the trust, and assets are "poured" into the trust when the testator passes away. The successor trustee collects property and then distributes it according to the trust document.

If you would like to discuss whether this type of will is right for you, contact a DuPage County estate planning attorney for more information.

Why Would You Need a Pour-Over Will?

Not every client benefits from a pour-over will. However, we have found that some of our clients like to retain control of their assets while living, so they keep them out of the living trust. Using the pour-over will is a convenient way to move assets into the trust upon death.

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 Posted on June 30, 2020 in Estate Planning

Probating an estate can be difficult work for the designated party. The legally assigned representative of the deceased person’s estate is known as the executor. He or she has many responsibilities, including safekeeping estate assets and determining the validity of claims. After paying off claims, the executor needs to distribute assets according to the will.

Certain estates are so small or simple that an executor might not even need to probate the estate. But for others, probate can take months of detailed, grueling work. If you have been named as an executor, you may be wondering if you can get paid. The answer is "Yes," but the amount can be difficult to calculate.

No Percentage of the Estate

In some states, the executor can claim a percentage of the estate. For example, in Florida, the executor is entitled to a particular percentage based on the estate’s size. If extraordinary service was required, the executor can request additional compensation.

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 Posted on June 29, 2020 in Divorce

When a couple decides to call it quits, one or both spouses may file for divorce. However, in some cases, one spouse may walk out without an explanation, leaving the other spouse to wonder about his or her whereabouts. If you wish to get a divorce but are unsure where your spouse is, be sure to contact a knowledgeable family law attorney to help resolve this complex situation.

Publication Divorce

If a spouse would like to get a divorce but is unable to find their spouse, Illinois law allows “divorce by publication.” Publication divorce occurs only after a judge has been convinced that the divorcing spouse is unable to find the missing spouse after extensive searching. Extensive searching may include:

• Trying to contact your spouse through text, phone call, social media, email, or letter

• Posting a missing notice in your local paper, on cork boards in grocery stores, or on telephone poles within your community

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 Posted on June 26, 2020 in Wills and Trusts

The world of estate planning can be complicated, to say the least. If you have started researching your estate planning options, you may understandably be feeling overwhelmed. It can be challenging to know which types of estate planning tools will best help you meet your financial goals. You may have already decided to create a last will and testament but worry that a will alone will not satisfy all of your needs. One option to consider is a testamentary trust or "will trust." For help determining which estate planning tools are best for your unique situation, speak with an experienced estate planning attorney.

What is a Testamentary Trust?

A testamentary trust is a trust that is in conjunction with a will. If an individual decides to create a testamentary trust, he or she will assign a trustee to manage and distribute his or her assets to the designated beneficiaries as per the directions in his or her will. Unlike a living trust, a testamentary trust does not go into effect until the trust maker, also called the trustor or grantor, passes away. Upon the trustor’s death, the executor of the estate is instructed by the trust provision in the will to create the trust. Although trusts typically avoid probate, the will must still go through the probate process in order for the authenticity of the will to be confirmed.

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