An elderly person wants to make a Will or Trust, but there is a question about his capacity. Maybe he was recently diagnosed with dementia, suffered a stroke or is on significant medications. Under Ohio law, in order to have testamentary capacity, that is the capacity to sign a Will or Trust, you must meet a specific standard.
The person making or modifying the will or trust must have sufficient mind and memory to:
1. Understand the nature of the business in which he in engaged;
2. Comprehend generally the nature and extent of his property;
3. Hold in his mind the names and identities of those who have… Read the rest
The Ohio Legacy Trust is an estate planning instrument (also known as a Domestic Asset Protection Trust), created by Ohio law effective March 2013, that allows a person to protect assets from future creditors.
What is an Ohio Legacy Trust?
An Ohio Legacy Trust (OLT) is a tool used to protect assets from future creditors. Anyone (adult, business, corporation, out of state resident or out of state business) can create an OLT, by funding the trust with his or her own assets. An OLT does not replace your will, power of attorneys, living wills, or revocable trusts. Further, you must ensure that you coordinate… Read the rest
For the majority of Americans, most net worth is held in the home and/or tax deferred retirement accounts. Estate planning for the home was covered in our previous post, http://www.perlalaw.com/blog/estate-planning-for-your-home-simple-will-transfer-on-death-affidavit-or-revocable-trust/. This post will focus on planning for tax deferred retirement accounts.
What is a Tax Deferred Retirement Account?
A tax deferred retirement account is a financial account where your contributions can grow tax deferred until they are withdrawn. Traditional IRAs, Annuities and 401(k)’s… Read the rest
A gift to a charity can be made in a Will or Trust. If you already have a Will or Trust, a charitable bequest can be added by means of a codicil to a will or an amendment to a trust.
Prior to making any gift, it is important to know the correct name of the organization to ensure that the money goes to its intended beneficiary and to avoid confusion.
Bequests come in different forms.
• Specific Bequests: A specific bequest is a gift of a particular item. For example,” I give my diamond engagement ring to Charitable Organization.” If you dispose of your diamond ring before death, … Read the rest
In Ohio, the general rule of thumb is that in the event of a divorce, a spouse will be able to retain his separate property. For a more full explanation of separate and marital property and property division, see http://www.perlalaw.com/blog/how-does-a-domestic-relations-court-in-ohio-divide-property-in-a-divorce/ However, there is a particular exception to the rule that some practitioners may overlook.
In Ohio, a spouse can convert separate property to marital property by making a gift of the separate property to their spouse. There are two essential elements to effectuate a gift.… Read the rest