Blog & Resources

From our “Ask a Question” mailbag: My wife and I updated our wills several years ago, when our kids were younger. How often should we update them?

We were recently hired by an executor to probate the will of a client whose Will was signed in the 1970s. That will was over 40 years old, but it was the last will the client ever signed, and it was never revoked. Therefore, that Will was accepted for Probate. So, a will does not have to be updated if it still reflects your wishes.

From our “Ask a Question” mailbag: Last year, my mother died in Bucks County and named me as beneficiary of her life insurance. As my children were the contingent beneficiaries, I decided to disclaim the inheritance, so the insurance money passed to my children. I was recently in a car accident. If I am sued can they claim that life insurance money?

No one can force you to take an inheritance.

If you properly disclaimed your interest in the life insurance, then you never received it. If you never received it, then any future creditor that you may have cannot claim the asset.

From our “Ask a Question” mailbag: My husband died several years ago, so I now own the family house. My children get along fairly well, but they should not own this house together. It would cause conflict. There is little else that I own, so I want to make sure that the house is sold and that there is no fight about it. How do I do that?

Two things come to mind.

First, in circumstances like this, I will place specific language in the will instructing the executor to sell the property for fair market value. A child may buy the property, but it must be without any loan from the estate. Therefore, the child is treated like any other buyer.

From our “Ask a Question” mailbag: Last year, my mother died in Montgomery County and named me as beneficiary of her life insurance. As my children were the contingent beneficiaries, I decided to disclaim the inheritance, so the insurance money passed to my children. I was recently in a car accident. If I am sued, can the plaintiffs claim that life insurance money?

No one can force you to take an inheritance. If you properly disclaimed your interest in the life insurance, then you never received it.

From our “Ask a Question” mailbag: I live in Bucks County, and my Will names my two children as co-executors. I thought this was a natural thing to do, but my children have not been getting along recently. What are my options?

Naming your children as co-executors when they don’t get along is a bad idea. Co-executors have to work well together and cooperate. Children who are having a dispute can transform a small family squabble into a feud that could last for generations.

You should investigate changing your Will to name another family member or, if you have none that you trust, to name your Bucks County Estate Planning Attorney.

Our Ask a Question mailbag often includes reader submissions wondering about whether long term care insurance makes financial sense.

As with all insurance policies, long term care coverage works out to be a great deal — if you actually use it. On the other hand, you could argue that you wasted money if you never have to claim your benefits.

Over the years I have had many Gloucester County clients who died without using their long term care insurance benefits. But there have also been clients who fell ill and, without strong policies in place, would have been forced to leave their homes.

From our “Ask a Question” mailbag: I am a resident of Burlington County, New Jersey and want to modify my will. My two children are older and I want to name them as co-executors. Is naming my children as co-executors a good idea?

Naming your children as co-executors (or “personal representatives”) of your Will can be a fine idea, or a terrible idea, depending on your children. You need to be honest with yourself about how well your children’s personalities work (or do not work) together.

Many readers have submitted questions recently about long term care insurance, especially from Atlantic County, New Jersey. Despite all the attention that Atlantic City gets in the news, Atlantic County’s core population mostly lives inland—with over 43,000 residents in Egg Harbor Township alone.

That population’s getting older all the time, too. Compare the 2010 Census results with its predecessor and you’ll see that, as in many parts of the country, citizens aged 65 and older make up a growing percentage of the population.

From our “Ask a Question” mailbox: My father wants to transfer a rental property he owns in Delaware County into my name. If he does, will this gift avoid Pennsylvania Inheritance Tax?

As a Delaware County resident, at your father’s death, all assets he leaves you at death (except life insurance) will be subject to the Pennsylvania Inheritance Tax at the 4.5% children’s rate.

Since more than 1 in 5 Gloucester County households include residents over age 65, Long Term Care should be a serious consideration in your personal financial plan.