Posted on September 11, 2019 in Estate Planning

When the average person thinks about the concept of estate planning, they tend to think about wills, trust funds, inheritances, and other methods for passing assets down to the next generation. While these images are not really incorrect, they do not tell the whole estate planning story. In fact, there are many good reasons to create an estate plan that have almost nothing to do with possessions or money. With this in mind, estate planning is an important consideration for any family, regardless of their wealth or overall net worth.

Reason 1: Privacy Considerations

Unless you plan ahead, Illinois law will likely require your estate to go through probate. Probate is the legal process through which an estate is settled when there are no alternative plans for doing so, and the process can be unpredictable, time-consuming, and cumbersome. You should also know that probate proceedings are usually matters of public record, which means that your affairs are available to be reviewed by the public at large. Through estate planning, you can minimize the effects of probate or even avoid it completely, thereby keeping your family’s personal matters private.

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 Posted on September 11, 2019 in Divorce

A person will likely experience many changes after getting a divorce. One spouse may move to a different city or state to get a fresh start. If children are involved, a parenting plan will be created to allocate parental responsibility and scheduled parenting time, among other things. Also, finances will be affected, since the spouses will no longer be sharing incomes. Another adjustment for a newly single person will be how he or she files taxes at the end of the year. An individual’s tax filing status will be different after a divorce, especially if children are involved.

Filing Status

Depending on when the divorce is finalized will determine how a couple can file. If the divorce is final before December 31 at 11:59 p.m., each party must file their own individual tax return for that year. However, if the couple remains married at this time, they may choose whether to file taxes jointly or individually. A single person often can only claim one allowance, but a married couple has access to several.

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 Posted on September 10, 2019 in Divorce

When a married couple decides to divorce, they have two options for property division: the couple can decide how to split their marital estate or the courts can make this decision. Usually, court intervention is reserved for couples who cannot come to an agreement about how assets and debt should be divided. Illinois courts use a methodology called “equitable distribution” to fairly divide assets and debt between the parties in a divorce.

When one spouse wastes or recklessly depletes marital funds, this is referred to as “dissipation.” If you have concerns that your spouse has dissipated assets, you may be able to recover the cost of these assets during property division.

What Are Dissipated Assets?

In the realm of family law, the term “dissipation” generally means to waste by misuse or to spend extravagantly. The Illinois Supreme Court has defined dissipation as one spouse using marital funds for purposes not related to the marriage while a marriage is in the midst of an “irretrievable breakdown.” Not just any spending is considered dissipative; the spending must take place during a certain timeframe. The superfluous spending must be substantial, not beneficial to the marriage, and it must take place after the irretrievable breakdown of the marriage has begun. This “breakdown” is generally considered to be the time when the couple has ceased attempts at reconciliation and when divorce is inevitable.

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 Posted on September 05, 2019 in Estate Planning

Have you ever sat down with a member of your family and helped him or her apply for government-funded assistance programs? If so, you have probably seen firsthand that many of these programs have eligibility criteria that often include limits on income and owned assets. These requirements, in most cases, were established in order to ensure that those with the greatest need were served by these programs. However, the limits have also created unintended consequences for many people.

Such is often the case when an individual who receives benefits through Social Security, Medicaid, or other income-based programs is named as an heir in someone else’s will. It turns out that even a one-time transfer of property-which is generally what happens in inheritance situations-could have an effect on the heir’s eligibility to continue receiving benefits on which he or she may rely.

Understanding Government Aid Programs

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 Posted on September 04, 2019 in Divorce

Any person who grew up with divorced parents will tell you it is not easy. Although the divorce rate in the United States has decreased, slightly less than half of all marriages still end in divorce. Traditionally, two people get married and then start a family, so children are often caught in the crossfire of a divorce. Studies have shown that children of divorce are more likely to marry another person with divorced parents, and those couples are more likely to get a divorce themselves. If the cycle of divorce continues, it is important for parents to learn how to communicate with their children about the end of their marriage.

Open Communication

How the discussion of divorce should be handled will depend on the age and emotional maturity of a child. If there are multiple children with significant gaps in age, it may be best to individualize these discussions. Some of the most important aspects of these conversations include being open and honest while talking to children about divorce. Expect a wide range of reactions and emotions, which could go on for a period of time, even after the divorce is final. Some tips for discussing divorce with children of different ages include:

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 Posted on August 29, 2019 in Estate Planning

As we all know, not all marriages stand the test of time, and a divorce can be a messy undertaking. In previous posts, we have discussed in a fair amount of detail how a divorce can affect a person’s already existing estate plan. In most cases, the divorce will nullify any provisions that pertain to the person’s spouse. But, did you know that the terms of a divorce settlement agreement could create obligations for a person to meet in his or her estate plan in the future? A recent ruling by an Illinois appeals court shows how such a thing could happen.

A 33-Year Old Divorce Agreement

In the case in question, a couple got married in 1963, had six children together, and got divorced in 1982. As part of their divorce settlement agreement, which was entered as part of their divorce judgment, each party agreed to create a will that left 50 percent of their estate to be divided equally among their six children.

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 Posted on August 25, 2019 in Family Law

Modern technology has assisted with the creation and growth of many families. Originally, natural conception and adoption were the only two options available to those who wish to have children or increase the size of their existing family. While adoption is a great option for couples to use, some parents wish to have a biological connection with their child and care for them through conception as well. Thankfully, medical advances have allowed families to have children through in vitro fertilization (IVF) using donor eggs. Egg donation is a treatment for infertile women who wish to physically bear a child. While this is not a brand new technology, it has continued to improve over the years. According to data from the Society for Assisted Reproductive Technology (SART), there was a 50.7% success rate for live births using donor eggs in the U.S. in 2017, proving that this version of IVF is a valid option for many families.

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 Posted on August 23, 2019 in Divorce

Before a divorce, most parents care for their children together under one roof. Once a divorce is finalized, parents will need to continue providing the same level of care for children while living in separate households. This can be a difficult adjustment for parents, especially if there is bad blood between them. The goal for successful co-parenting is for a child to be minimally affected by a divorce, and a parenting plan can help achieve that.

What Is a Parenting Plan?

In Illinois, when adults with children get divorced, how the child is taken care of after the split is determined by a parenting plan. This plan is a court order signed by a judge, to which both parents agree. The parenting plan dictates who has parental responsibilities for the child (custody), as well as parenting time with the child (visitation). For example, a parenting plan may state that the child will spend the weekdays with one parent, and the weekends with the other. No matter how it is organized, a judge will only sign off on the plan if it is believed to be in the best interests of the child.

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 Posted on August 21, 2019 in Estate Planning

There are almost countless ways that drafting a last will and testament can benefit you and your loved ones. With that in mind, it may surprise you to learn that only about 40 percent of Americans currently have a will or other estate planning document in place.

There are many reasons that people choose not to create a will. Some may not understand exactly what the purpose of a will is. Others may inaccurately assume that only wealthy people need a will. Perhaps the biggest reason that people procrastinate estate planning is because it deals with what happens if they become incapacitated or pass away. Although it can be an uncomfortable subject to consider, it is very important for everyone to have a will – regardless of wealth or age. When someone dies without a will, it is often their surviving loved ones who are most negatively affected.

You Relinquish Control Over Significant Financial and Personal Decisions

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 Posted on August 19, 2019 in Child Custody

In every divorce involving children, parenting plans must be formulated. Parenting plans, commonly known as custody arrangements, divide responsibilities between each parent. They define responsibilities such as the time each parent is scheduled to spend with their child, who should be the one taking the child to medical visits, and which house the child will reside in. These are just a few of the many responsibilities required of a parent as well as those that are defined under parenting plans. While parenting plans are legally in place until the child turns 18 years old, it is almost impossible for them to last that long without a need for adjustments – situations change and so do children’s needs.

Which Situations Warrant an Adjustment?

As with any legally-binding contract, there must be legitimate proof that an adjustment is necessary. Judges do not simply change parenting plans for the convenience of the parent. There are certain situations that will allow, and even prompt, judges to modify a family’s arrangement. The following are common examples:

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