Welcoming a new baby to the family

Did Pop Entertainer Pink Change Estate Plan because of COVID-19?

Pink and her four-year-old son, Jameson, tested positive for the virus in March 2020, but her husband, Carey Hart, and daughter, 9-year-old Willow, did not contract the coronavirus.

MSN’s recent article entitled “Pink Reveals She Rewrote Her Will Because She Thought ‘It Was Over’ Amid COVID-19 Battle” reports that the entertainer did change her will.

“It was really, really bad, and I rewrote my will,” she said. “… At the point where I thought it was over for us, I called my best friend and I said, ‘I just need you to tell Willow how much I loved her.’ It was really, really scary and really bad. ”

The experience inspired her single, “All I Know So Far.” Pink described the song as “a letter to my daughter.” The single was released May 7, and a documentary and album of the same name will follow on May 21.

“As a parent, you think about, ‘What am I leaving for my kid? What am I teaching them? Are they going to make it in this world, this crazy world that we live in now? What do I need to tell them if this is the last time that I get to tell them anything?’” she said. “So, that was kind of the song.”

Pink first announced that she and Jameson were fighting the coronavirus in April 2020. That same month, she described “the scariest thing” she has ever been through on The Ellen DeGeneres Show, sharing that her son was the first one to get sick.

“[It] started with a fever for him and it would come and go, and he would have stomach pains and diarrhea and chest pains and then a headache, sore throat,” she said. “It sort of was just all over the place. Every day was just some new symptom. His fever stayed it did not go. It just started going up and up and up and up and then at one point it was at 103.”

As for herself, Pink said, “I woke up in the middle of the night and couldn’t breathe and I needed to get to a nebulizer for the first time in 30 years. I have this inhaler that I use, this rescue inhaler, and I couldn’t function without it, and that’s when I started to get really scared.”

In a December 2020 Instagram post, Pink, whose real name is Alecia Beth Moore, called 2020 a “poop sandwich of a year.” She also had a staph infection and a broken ankle.

See your estate planning attorney about changing your will based on current events.

Reference: MSN (May 4, 2021) “Pink Reveals She Rewrote Her Will Because She Thought ‘It Was Over’ Amid COVID-19 Battle”


Inheritance and Children

What Is the Best Way to Make Sure Children Can Handle an Inheritance?

One strategy to prepare your children for what they will inherit in the future, is to have them meet with your professional advisors now. They can explain what you’ve been doing. Reach out to us at Nance Law Firm to see how we can assist with your children and their inheritance.

FedWeek’s recent article entitled “Preparing Your Heirs for Their Inheritance” suggests that your children should meet with your accountant for an explanation of any tax planning tactics that you have been implementing. That way those tactics can be continued after your death. If you have a broker or a financial planner, your heirs should meet with this adviser for a review of your portfolio strategies. All of this can help preserve your legacy and values and may stem future surprises and conflicts.

Know that if you hold investment property, it might pose special problems.

While your investment portfolio can be split between your children, who can follow their individual inclinations, it’s tough to divide physical property. Your kids might disagree on how the property should be managed.

With any assets—but especially rental property—you have to be realistic. Ask yourself if your children can work together to manage the real estate.

If they cannot, you may be better off leaving your investment property to the one child who really can manage real estate and leave your other children non-real estate assets instead. You might also provide that some of your children can buy out the others at a price set by an independent appraisal.

Another way you can help is by proper handling of appreciated assets, such as stocks.

If you purchased $20,000 worth of XYZ Corp. shares many years ago, those shares are worth $50,000. If you sell those shares to raise $50,000 in cash for retirement spending, you’ll have a $30,000 long-term capital gain.

You might raise retirement cash, by selling other securities where there’s been little or no appreciation.

That will allow you to keep the shares and leave them to your children. At your death, your shares may be worth $50,000, and that value becomes the new basis (cost for tax purposes) in those shares. If your children sell them for $50,000, they won ‘t owe capital gains tax.

All of the appreciation in those shares during your lifetime will not be taxed.

Reference: FedWeek (March 31, 2021) “Preparing Your Heirs for Their Inheritance”


Should I Discuss Estate Planning with My Children?

US News & World Report’s recent article entitled “Discuss Your Estate Plan With Your Children” says that staying up-to-date with your estate plan and sharing your plans with your children could make a big impact on your legacy and what you’ll pay in estate taxes. Let’s look at why you should consider talking to your children about estate planning.

People frequently create an estate plan and name their child as the trustee or executor. However, they fail to discuss the role and what’s involved with them. Ask your kids if they’re comfortable acting as the executor, trustee, or power of attorney. Review what each of the roles involves and explain the responsibilities. The estate documents state some critical responsibilities but don’t provide all the details. Having your children involved in the process and getting their buy-in will be a big benefit in the future.

Share information about valuables stored in a fireproof safe or add their name to the safety deposit box. Tell them about your accounts at financial institutions and the titling of the various accounts, so that these accounts aren’t forgotten, and bills get paid when you’re not around.

Parents can get children involved with a meeting with their estate planning attorney to review the estate plan and pertinent duties of each child. If they have questions, an experienced estate planning attorney can answer them in the context of the overall estate plan.

If children are minors, invite the successor trustee to also be part of the meeting.

Explain what you own, what type of accounts you have and how they’re treated from a tax perspective.

Discussing your estate plan with your children provides a valuable opportunity to connect with your loved ones, even after you are gone. An individual’s attitudes about money says much about his or her values.

Sharing with your children what your money means to you, and why you are speaking with them about it, will help guide them in honoring your memory.

There are many personal reasons to discuss your estate plans with your children. While it’s a simple step, it’s not easy to have this conversation. However, the pandemic emphasized the need to not procrastinate when it comes to estate planning. It’s also provided an opportunity to discuss these estate plans with your children.

Reference: US News & World Report (Feb. 17, 2021) “Discuss Your Estate Plan With Your Children”

Congratulations on Graduation… Now What?

Congratulations to you, the Class of 2021, the thousands of new high school graduates in our area this year, and your families! Whether you are heading to college, a first apartment, a new job or the military, there are important legal documents everyone over 18 should have. A Forbes magazine article – “You’ve Turned 18, Now What?” — explains what you need now.

That’s right. Part of “Adulting” is talking to a lawyer.

That’s because once you are eighteen, your parent is no longer able make health care decisions for you, or even talk to a doctor or other medical provider without your specific authorization. Not even if you are in an accident, an assault, or come down with a sudden serious illness. Not to freak you out, but when the Virginia Tech mass shooting took place in 2007, the closest hospitals were quickly overwhelmed, and victims were carried to other trauma centers miles away. Even when families found their loved ones, some relatives were told they could not get any information due to privacy laws designed to protect health confidentiality. You can address this with a basic legal document everyone over 18 needs, as the article outlines.

And, not to be “Debbie Downer” here, but medical decisions aren’t the only ones hamstrung in the event of a serious injury or illness. I know a man in Richmond who was having the time of his life as a young adult on a skiing trip when he accidentally skied into a tree, causing a serious head injury. He was unable to make any business or financial decisions on his own for a time until someone he chose – his mother – was legally authorized to act for him. That’s what a power of attorney can do for you – allow a trusted person such as a parent, legal guardian or older sibling to make important decisions if you become incapacitated. This is one of the essential documents every adult should have. Lacking one is one of the big mistakes people make legally.

Here’s another shocker. The Family Educational Rights and Privacy Act (FERPA) is a Federal law that protects the privacy of student education records. The law applies to all schools that receive funds under an applicable program of the U.S. Department of Education – and that’s most of them.

FERPA gives parents certain rights with respect to their children’s education records. These rights transfer to you, the student, when you turn 18 or attend post-secondary education. Discuss this with a parent or responsible adult in your life. Without a FERPA release, your parents may be authorized to send many thousands of dollars to your school, but may not be able to discuss your status at the school with officials there, or ask your school to correct records which they believe are inaccurate.

These forms are more than something you just download off of the internet. They are important legal documents that impact you as a new adult, and you deserve a chance to be counseled about their meaning and in many instances, customized to your particular situation. If possible, speak to an experienced estate planning attorney about them.

If you have a family lawyer who is experienced in these matters, by all means ask to talk to her or him. If not, ask around for someone who is an estate planner. The process doesn’t have too difficult or expensive. Many attorneys will do them for young people at a very modest cost, especially for the children of existing clients. Ask your attorney about this.

And remember: under state bar ethics rules, no matter whether you or your parent pays the fee, you are the client. The attorney will need to respect your wishes and confidentiality.

Whoever you use, you or your parent can stay up on this and other areas of the law but signing up for out newsletter or following our blog at www.nancelawfirm.net/blog.  And if we can help, give us a call.



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