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In the first part of our series on practical steps to take to ensure a comfortable retirement, we discussed estate planning, passing on legacy, and planning for long-term care. This week, we continue with 5 more steps, from adapting your home for comfort and safety to harnessing technology for independence. Taking these steps will give you comfort in your later years. Read more… 10 Steps to Take Now to Secure a Comfortable Retirement: Part 2 Welcome back to our discussion on securing a comfortable retirement! In the first part of this series, we explored essential steps including estate planning, preparing for long-term care, and passing on your legacy. As we continue with the second part of our series, we'll delve into additional areas that are crucial for ensuring your golden years are not only financially stable but also enriched with independence, health, and continued personal growth. So let's pick up where we left off. Step 6: Consider Your Housing Needs Why It’s Important: Adapting your living environment to meet your changing mobility and health needs can enhance your independence and quality of life (and who doesn’t want that?!). As physical abilities change with age, a home that accommodates these changes can help maintain a higher level of independence, reduce the risk of accidents, and potentially delay or avoid the need for an assisted living facility. Moreover, comfortable and accessible living conditions contribute significantly to happiness and well-being in your later years. Practical Steps: Assess Home Accessibility: Evaluate your home for potential mobility issues and consider modifications like ramps, wider doorways, or bathroom grab bars. Explore Senior-Friendly Housing Options: If extensive modifications are too costly or impractical, consider moving to a senior-friendly community that offers additional amenities and services. Find a Personal Family Lawyer in Your Community Who Offers Elder Care Planning. A Personal Family Lawyer (“PFL”) who offers elder care planning can help you navigate your options and create a plan that preserves your assets for your loved ones, rather than draining them for housing and health care costs. Go to personalfamilylawyer.com to find the nearest PFL who offers elder care planning and make an appointment on their website. Many PFLs have virtual offices for your convenience, so if there isn’t a PFL listed in your locality, choose the closest one. Step 7: Embrace Technology for Independence Why It’s Important: Modern technology can significantly improve the convenience and safety of daily life for seniors. Technologies that assist with daily tasks can extend independence, reduce caregiver burden, and enhance your overall quality of life. Additionally, health-monitoring technologies can alert caregivers and medical professionals to potential health issues before they become severe, ensuring timely medical intervention. Practical Steps: Consult with a PFL and Join Their PFL FamilyCare Program. A PFL who has a FamilyCare Program in place has, as one of the benefits of membership, a subscription to a secure, online system that houses your important legal and health care documents so they’re immediately available to doctors, hospitals, and caregivers. This is really important! Most people who have estate plans with health care documents have them stored on a shelf and aren’t accessible when they need them. That’s no good in the event of an emergency. But a PFL has your back. Health Monitoring Technologies: Employ devices that can monitor vital signs and remind you to take medications. Your doctor may be able to help with this. Consider Using Smart Home Devices: You can automate lighting, heating, and security to manage your home environment easily. If you aren’t technologically savvy, ask a younger family member to help. Gen Z can figure that out in a heartbeat! Step 8: Stay Active and Engaged Why It’s Important: Active engagement in physical, social, and mental activities can significantly enhance your quality of life and health in retirement. Maintaining an active lifestyle helps prevent common age-related health problems, improves mental health, and provides valuable social interactions that can combat loneliness and depression. When you engage in a variety of activities you also keep your mind sharp and gain a sense of accomplishment and happiness. Practical Steps: Join Community Groups or Clubs: Engage in activities that match your interests, such as book clubs, gardening, or volunteering. If you’re active on Facebook, you can find groups there that meet in your local community. Joining online groups counts too! Regular Exercise: Participate in senior-friendly exercise programs to maintain health and mobility. Pursue New Learning Opportunities: Consider taking classes at local community colleges or online to keep your mind sharp and learn new skills. Step 9: Develop a Sustainable Retirement Budget Why It’s Important: A well-planned budget is crucial to ensure that your savings last throughout your retirement years. A sustainable budget helps you manage your finances effectively, avoiding overspending and ensuring that you have funds available for unexpected expenses. A good budgeting practice can also help you maintain a comfortable lifestyle while safeguarding against market volatility and economic downturns. Practical Steps: Identify Essential vs. Non-Essential Expenses: Consider making adjustments to your spending habits if needed to ensure you can cover necessary costs while still enjoying your retirement. Plan for Unexpected Costs: Include a buffer in your budget for unforeseen expenses to avoid financial strain. Consult with a PFL. A PFL, as part of their unique PFL Life & Legacy Planning process, will help you get more financially organized than you’ve ever been before. Together, you’ll create a complete asset inventory (we call it a “personal resource map”, so you know exactly what you have and how long it will last. The inventory also ensures that your loved ones will be able to find your assets after you’re gone, so nothing is lost to the government. Check out your State’s Department of Unclaimed Property website and prepare to be shocked to see how much money has been lost! Traditional estate planning attorneys will not help you, but a PFL includes the inventory as part of every estate plan. Step 10: Review and Adjust Your Estate Plan Regularly Why It’s Important: Life changes, and so should your estate plan to ensure it continues to meet your evolving needs and circumstances. Regular reviews ensure your plan works when you and your family need it to, keeping them out of court and conflict after you’re gone. If your estate plan is current with the ever-changing estate and tax laws, chances are it will work and your wishes will be honored if you become incapacitated or when you die. Practical Steps: Work With a PFL and Join Their PFL FamilyCare Program. All PFLs have, as part of the Life & Legacy Planning process, a built-in cadence of reviewing your plan every 3 years at no charge. However, if your PFL has a FamilyCare Program in place, join and you’ll receive an annual review at no cost. You’ll also receive membership benefits that include special, members-only pricing for updates to your plan. Regular Financial Reviews: As part of the PFL FamilyCare program, your PFL will also review your asset inventory annually so that it stays up to date. This ensures your family will receive your assets, not the government. If your PFL does not have a FamilyCare Program yet, they will review your asset inventory every 3 years with you. And now we’ve come to the end of our 2-part series on how to enjoy your retirement with ease and peace of mind. I hope you’ve found this information helpful and inspired you to take action right away because what matters most to me is your ability to live a fulfilling life and give your loved ones a legacy they will treasure. We Can Help Secure Comfort in Your Retirement At our firm, we do more than just assist with your immediate retirement planning needs; we ensure that your future is as vibrant and secure as possible. The intricacies of adapting your living space, integrating modern technology for better health and independence, staying socially and physically active, and managing your finances can make retirement seem overwhelming. As your Personal Family Lawyer Firm, we simplify these aspects and tailor solutions to fit your lifestyle and aspirations, all within your time and budget.  If you want to explore how we can help you develop a retirement plan that not only safeguards your finances but also enriches your daily life, we encourage you to book a complimentary 15-minute call with us. Together, let's make your retirement years as fulfilling and carefree as possible. This article is a service of Zellar & Zellar Attorneys at Law, Inc., a Personal Family Lawyer® Firm. We don’t just draft documents; we ensure you make informed and empowered decisions about life and death, for yourself and the people you love. That's why we offer a Life & Legacy Planning Session™, during which you will get more financially organized than you’ve ever been before and make all the best choices for the people you love. You can begin by calling our office today to schedule a Life & Legacy Planning Session™.

Retirement is more than just an end to the working years; it's an exciting new phase of life that requires thoughtful preparation and strategic planning. This Older Americans Awareness Month is the perfect opportunity to explore 5 practical steps you can take now to ensure a comfortable and fulfilling retirement. Read more… 10 Steps to Take Now to Secure a Comfortable Retirement: Part 1 Retirement is more than just an end to the working years; it's an exciting new phase of life that requires thoughtful preparation and strategic planning. Since May is Older Americans Awareness Month, it's the perfect opportunity to explore 10 steps you can take now to ensure a comfortable and fulfilling retirement. In this article, we’ll discuss the first 5 steps, why they’re important, and how to implement them. Next week, we’ll continue with the remaining 5 steps. Let’s dive in, shall we? Step 1: Plan for the Transfer of Your Assets Why It’s Important: Effective estate planning ensures that your assets are distributed according to your wishes, potentially reduces estate taxes, and can prevent a lot of legal complications for your heirs. Proper estate planning also helps to avoid the public, often lengthy and costly process of probate, ensuring that your heirs have quicker access to the assets you leave behind. Moreover, clear directives in estate planning can prevent family disputes (sometimes resulting in irretrievably broken relationships) and ensure that your specific instructions are followed, preserving your legacy exactly as you intend. Practical Steps: Consult with a Personal Family Lawyer. A Personal Family Lawyer (“PFL”) always starts the client relationship with education about your options that align with your specific family dynamics, assets and wishes. From there, your PFL will help you create a tailored Life & Legacy plan that works when you and your family need it to, keeping you and them out of court and conflict. Importantly, a PFL can also help you avoid unnecessary taxes before and during retirement (and who doesn’t want that?). Life Insurance: Having adequate coverage to handle any debts and funeral expenses can provide a financial cushion for those who depend on you. As part of the PFL Life & Legacy Planning process, your PFL can educate you about how much insurance you need and how to pass the funds to the people you want, while avoiding unnecessary taxes and ensuring the funds are available as soon as possible. Find a PFL in Your Community. Go to personalfamilylawyer.com to find the nearest PFL and make an appointment for a 15-minute consult call on their website. Many PFLs have virtual offices for your convenience, so if there isn’t a PFL listed in your locality, choose the closest one. Step 2: Prepare for Long-Term Care Expenses Why It’s Important: As we continue to live longer, so does the probability of needing some form of long-term care. These services, whether in-home care, assisted living, or nursing facilities, can be costly and are not typically covered by Medicare. Without proper planning, the high costs of long-term care can quickly deplete retirement savings, potentially leaving less financial support for spouses or other family members. Furthermore, preemptive financial planning can significantly ease the emotional and logistical challenges of arranging for long-term care. Practical Steps: Research Long-Term Care Insurance: Investigate different policies early, ideally in your 50s or early 60s, before premiums rise significantly. Compare benefits, coverage limits, and the reputation of insurance providers. Learn About Government Programs: Understand what Medicare covers and explore Medicaid eligibility for long-term care, which varies by state but generally requires spending down your assets. Find a PFL in Your Community Who Offers Elder Care Planning. Preparing for long-term care can be tricky because the laws are quite complicated. However, a PFL who offers elder care planning can help you navigate your options and create a plan that preserves your assets for your loved ones, rather than draining them for health care costs. Go to personalfamilylawyer.com to find the nearest PFL who offers elder care planning and make an appointment on their website. Step 3: Pass on Generational Wealth Why It’s Important: By ensuring that wealth passes effectively to future generations, you can secure their financial future and teach them how to manage and grow that wealth responsibly. Furthermore, generational wealth can enhance the lives of future family members and their communities by providing educational opportunities, fostering entrepreneurship, and supporting philanthropic efforts. It also instills a sense of responsibility and stewardship, which are crucial for maintaining family wealth over generations. Practical Steps: Educational Trusts: A PFL can help you set up trusts that release funds for your children or grandchildren based on milestones such as graduation from college. These trusts also have tax benefits, and a PFL can educate you about how they work. Create a Family Investment Plan: Include younger family members in discussions about family investments to educate them about financial principles. Find a PFL in Your Community. A PFL can not only help you create an educational trust but also asset protection trusts so you can create generational wealth for your family. Go to personalfamilylawyer.com to find the nearest PFL and make an appointment on their website. Keep in mind that many PFLs have virtual offices for your convenience, so if there isn’t a PFL listed in your locality, choose the closest one. Step 4: Leave a Legacy Why It’s Important: What your family will treasure most is not the financial gifts you leave, but your life lessons, values, and memories that define your family heritage. A well-planned legacy can inspire and guide future generations, providing them with a sense of identity and belonging to a greater family story. You can ensure that your philosophical and ethical beliefs continue to influence even when you're no longer present, helping to shape the character and choices of your descendants. Practical Steps: Record Life & Legacy Interview with a PFL: All PFLs include an interview as an important part of their unique Life & Legacy Planning process. The interview ensures your family has a piece of their family history they can hold onto long after you’re gone. They’ll also treasure being able to see you and hearing your voice whenever they want. Step 5: Cultivate and Share Family Values and History Why It’s Important: Continuing the idea of leaving a legacy, know that strengthening family bonds through shared history and values helps maintain a sense of continuity across generations. This cultural and historical continuity enhances their psychological resilience and emotional well-being. Additionally, a well-documented family history can serve as a valuable asset for educational and genealogical purposes, enriching the lives of current and future generations. Here are some steps you can take outside of recording a Life & Legacy Interview with a PFL. Practical Steps: Create a Family Archive: Gather photos, letters and important documents in a digital format to ensure preservation and easy sharing. Enlist the help of a younger family member (Gen Z, anyone?) if you need to. Also consider writing down recipes, stories, and holiday traditions that can be passed down as family legacies. Compile Family Histories: Write or record stories about family elders, significant events, and the origins of family traditions. Note that writing these down the “old school” way, i.e., pen and paper, will be meaningful to younger generations. They’ll love having a piece of paper with your handwriting on it. Host Family Reunions: Regular gatherings not only help reinforce family bonds but also allow older generations to impart wisdom and traditions firsthand. So whether you're a few years away or are about to retire now, it’s never too early (or too late!) to start planning. Be sure to check back next week for even more steps you can take to ensure peace of mind when the time comes. Let Us Help Secure Comfort in Your Retirement At our firm, we do more than just guide you through estate planning; we provide you with peace of mind, knowing you are free to enjoy retirement. However, understanding the complexities of retirement—from estate planning to ensuring long-term care and preserving generational wealth—can be daunting. That's why, as your heart-centered Personal Family Lawyer Firm, we streamline the process, making it as easy on you as possible. If you're interested in learning more about how to create a Life & Legacy Plan that secures your comfort in retirement, we invite you to schedule a complimentary 15-minute call with our office. Let us help you live your best life, every step of the way. This article is a service of Zellar & Zellar Attorneys at Law, Inc., a Personal Family Lawyer® Firm. We don’t just draft documents; we ensure you make informed and empowered decisions about life and death, for yourself and the people you love. That's why we offer a Life & Legacy Planning Session™, during which you will get more financially organized than you’ve ever been before and make all the best choices for the people you love. You can begin by calling our office today to schedule a Life & Legacy Planning Session™.

Whether it’s a breakup, divorce, or the death of a loved one, every relationship eventually comes to an end. Whether you have planned for that ending or not will have a real impact on you, your partner, and your assets. Read more… Till Death or Divorce: Why You Need to Plan Now for Your Relationship’s End After the excitement of Valentine's Day fades away and the last indulgence of chocolate is savored, it's crucial to turn our attention to a topic that may not be as thrilling as the idea of everlasting love: the reality that all relationships come to an end one day. Before you stop reading, hear me out. Whether it’s a breakup, divorce, or the death of a loved one after a lifetime together, every relationship eventually will come to an end. The most important thing is how you have planned for that ending, or whether you haven’t at all, as your planning (or lack of it) will have a real impact on you, your partner, your children, and your assets. The silver lining? While we can't prevent the end, we can prepare for it with a blend of compassion and strategic planning that makes the end the best possible foundation for a new beginning. Understanding the Intersection of Love and Law Love is wonderful—joyful moments, shared dreams for the future, and yes, some legal considerations too. For married couples, the law has default provisions in place for what happens to your assets if one of you dies, but those default plans may not align with your personal preferences or the life you’ve built with your partner. If you’re an unmarried couple, the absence of a plan could leave you vulnerable, risking the loss of assets or the inability to make crucial decisions about your property or your medical choices. To better understand how a lack of planning can leave you and your partner out in the rain, let’s look closer at these important areas that are affected when a relationship ends. 1 | Property Ownership Let's say you and your partner purchase a home and other assets together. Without clear documentation outlining ownership rights, a dispute can arise if the relationship ends in a breakup. But breakups aren’t the only danger. If you aren’t married and one of you passes away, the other partner might find themselves without a rightful claim to the property, potentially facing homelessness or a significant financial loss. If you own any property with anyone else or if you want to ensure your property lands in the hands you choose in the event of your death, contact us to plan for that property now.  2 | Healthcare Decisions In the unfortunate event of a medical emergency where one partner becomes incapacitated, lacking appropriate legal documentation could impede the other partner's ability to make critical healthcare decisions on their behalf. This can lead to delays in medical treatment or disagreements among family members over the person’s treatment, causing unnecessary stress and complications during an already challenging time. 3 | Guardianship for Children For couples with children, failing to establish guardianship arrangements in the event of both parents' incapacity or death can have devastating consequences. Without a designated guardian, children may be placed in the care of individuals who may not align with your wishes or values, leading to potential custody battles and emotional upheaval for the children and your extended family. If you and your partner end your relationship without coming to a mutual agreement on a guardian for your children, things could get even more chaotic - especially if one of you has documented your desired guardian and the other partner hasn’t. Worst of all, typical wills don’t cover planning for the needs of minor children sufficiently. It’s why we offer the Kids Protection Plan®, specifically designed to ensure your children are never raised by anyone other than people you know, love and trust, and are never taken from your home, into the care of strangers. 4 | Business Interests If you and your partner share business interests or investments, the lack of a solid plan could jeopardize the future of these assets. Without clear instructions, the surviving partner may face challenges in managing or transferring ownership of these assets, potentially leading to financial instability or the dissolution of the business. Be Proactive, No Matter What the Future Holds In each of the scenarios above, the absence of proactive estate planning measures leaves individuals vulnerable to legal and financial uncertainties. By taking proactive steps that consider what will happen when your relationship ends, couples can safeguard their assets, ensure their wishes are honored, and provide peace of mind for themselves and their loved ones. Not sure how to start the conversation with your partner? Start by explaining to your partner your desire to safeguard the life you’re building together. Just as relationships evolve over time, your wishes and how they are documented should too. Continuously engaging in dialogue and revisiting your plans ensures they remain aligned with your evolving needs and aspirations. Let Us Make It Easy to Plan Ahead Whether you’ve already started the conversation with your partner or need more guidance, planning for the future of your relationship can feel overwhelming. We can help. At our firm, we don't merely dispense legal counsel; we safeguard your love story. We comprehend the profound significance of your relationship and are dedicated to ensuring its protection. And whenever (and however) your relationship ends, we’ll work with you to create a plan that considers these contingencies ahead of time so you and your loved ones can avoid the stress, conflict, and chaos that comes with incomplete planning. To learn more about how we approach estate planning from a place of heart, schedule a complimentary 15-minute call with our office.

This week we look at a real-life cautionary tale about what can happen in any blended family when the parents leave decisions about their children’s care and inheritance up to their surviving spouse and the state’s laws. PARENTS, STEP-PARENTS AND CHILDREN, OH MY! BLENDED FAMILIES + DEATH = A POTENTIAL NIGHTMARE Anyone who’s seen an episode of “Modern Family” knows that families these days come in many different shapes and sizes. Long gone are the days when a “family” was defined as a mother, father and two children (or was it 2.5 children? Where does the .5 come from anyway?). In this article, we’ll focus on one of the types of families that’s common in our modern culture: the blended family. The Unique Dynamics At Play in Blended Families A “blended family” comes into being when parents divorce, and at least one remarries. While everyone may get along effortlessly while the parent is alive, that too-often doesn’t happen once the parent dies. Why? Because the law still hasn’t caught up to our modern definition of “family.” The law often favors the spouse, which works well when the spouse and the deceased have children together. But when the deceased parent has children from another marriage, the children can - indeed, often are - cut out of their inheritance. Other than the law being slow to catch up, there are a few more reasons why this happens: The parent trusts the new spouse completely and can’t comprehend the spouse ever doing anything to harm the children; The new spouse may place his or her own interest ahead of the children - or have children from a first marriage and want them to benefit instead; or The parent has not been educated about what could happen when he or she dies, and hasn’t consulted with a competent attorney to get educated. A True (and Common) Story That Became a Nightmare In a recent marketwatch.com article , a woman wrote about her own nightmare scenario. Her father (we’ll call him “Dad”) owned several properties, including the house she lived in as a child. He remarried, and when his health started to decline, her stepmother (we’ll call her “Stepmom”) made financial moves so he could qualify for government health care benefits under the Medicaid program. Whereas Medicaid is a needs-based program (meaning, you only qualify if you can’t afford to pay), many people with means are able to take advantage of legal maneuvers and set their assets aside so they qualify. Doing this keeps assets protected for the next generation(s). So far, so good. It seems as if Stepmom has the children’s interests at heart, right? Not so fast. In order to qualify for Medicaid, Dad had to transfer his assets to someone else while he was alive. That “someone else” was Stepmom. Apparently, she convinced Dad it was the right move and that she could be trusted with his properties. Dad eventually died, and so at the time of his death, Stepmom owned all his properties, including the childhood home. Stepmom went on a selling spree, cashing in on them all. And guess where the money went? If you guessed Stepmom and HER daughter, you’d be right. Dad’s children from his first marriage got nothing. Wait - Surely That’s Not Legal! You may be thinking that’s a horribly unfair outcome - so bad that it has to be illegal. But it’s not. It’s completely legal. Once Stepmom owned the properties, she was free to do anything she wanted with them. She chose - deliberately – to give her stepchildren none of the proceeds and under the law, she had the absolute right to do this. The children had no recourse. They’d lose in court every day of the week - and twice on Sundays. And so we’re left to wonder: is this the outcome Dad wanted? Could he have foreseen Stepmom was capable of cutting out his children? And did he know there was another way he could have protected them and still qualified for government benefits? With education from a trusted lawyer, would he have done anything differently? How to Ensure Your Children Are Spared From the Potential Consequences If you want to avoid the same tragic consequences, there are some steps you can take right away: 1. Don’t Be Afraid of the Inevitable: Benjamin Franklin is quoted as saying, “Nothing is certain but death and taxes,” and he was half right (you can avoid taxes with careful estate planning but that’s a topic for another article). Death is certain. Yet we’re all uncomfortable talking about death, much less planning for it. Accept death as a reality then make plans while you can. 2. Hold a Family Meeting: Having a heart-to-heart about your wishes, values and goals can go a long way in preventing misunderstandings after you pass away. 3. Educate Yourself: Hands down the single most important thing you can do is educate yourself, and educate yourself now. Don’t rely on the internet. Laws are different from State to State, families are different, assets are handled in different ways, and the internet won’t take all this into account. 4. Work With a Lawyer Who Understands Your Family Dynamics: One size doesn't fit all when it comes to planning for life & death matters like these! What works for one family might not work for yours. You need a tailored plan to fit your unique needs. You deserve, and your family deserves, to have a plan that works when your family needs it. That’s why you need a trusted, heart-centered attorney who will appreciate your unique situation and educate you so you’re empowered to put the right plan in place. Your family’s future literally depends on it. Your loved ones don’t have to face tragic circumstances when you pass. With honest conversations, proper education, and guidance from a trusted attorney, you can put together a plan that keeps the peace and makes sure your loved ones are taken care of just the way you want. To learn more about how we approach estate planning from the heart and yet with all the strategies you need to keep your assets in the family, schedule a complimentary 30-minute call with our office.

When your child turns 18, they’re legally considered an adult even though they have a lot more growing to do (though they may not think so!). Just like any other adult, their health and financial information is protected by privacy laws.

While purchasing life insurance may seem pretty straightforward, it’s actually quite complex, especially with so many different types available. In order to offer some clarity on the different types of policies out there, we’ve broken down the most popular kinds of life insurance here and discussed the pros and cons that come with each one. Term life insurance Term life insurance is the simplest—and typically least expensive—type of coverage. Term policies are purchased for a set period of time (the term), and if you die during that time, your beneficiary is paid the death benefit. Terms can vary widely—10, 15, 25, 30 years or longer—and if it’s a Level Term policy, the premium and death benefit remain the same throughout the duration. If you survive the term and want to retain coverage, you must re-qualify for a policy at your new age and health status. In addition to Level Term, other variations include “Annual Renewable Term,” in which the death benefit is unchanged throughout the term, but the insurance is renewed annually, often with an increase in premiums. With a “Decreasing Term” policy, the death benefits decrease each year until they reach zero, but the premium remains the same. Decreasing Term life insurance is often used to cover a mortgage, student loan, or other long-term debt, so the policy expires at the time the mortgage/debt is paid off. Whole life insurance Whole life, or permanent, insurance pays a death benefit whenever you die, no matter how long you live. With a whole life policy, both the death benefit and premium stay the same for your entire life span. However, depending on when you purchase coverage, the premium can vary widely depending on how much the policy’s death benefit is worth. So, for example, purchasing whole life in your senior years can be extremely expensive and possibly not even available at all. What’s more, your whole life policy premiums will be much higher than your term life insurance premiums because the insurance company knows the policy will pay out when you die, no matter how long you live. Indeed, the premium for whole life policies can be among the most costly of all types of life insurance coverage, including similar types of “permanent” policies discussed below. This is simply the price paid for the guaranteed death benefit and a level premium. Universal life insurance Universal life is a variation on whole life—it covers you for your entire lifespan, but also contains a “cash-value” component. Rather than putting 100% of your premium toward your death benefit, part of your premium is put into a separate cash-value account that earns interest and is tax-deferred. The insurance company invests the cash-value funds in various investment vehicles of its choice, and provided the market performs well, you can access those extra funds for things like paying the policy’s premiums, paying off debt, or supplementing your later-in-life fixed income. Some insurance companies will even let you take tax-free loans against the policy’s cash value. That said, the cash-value account is set at an interest rate that can adjust to reflect the market’s current rates, so if the interest rate of the cash value account decreases to the minimum rate, your premium would need to increase to offset the account’s reduced value. While universal life premiums are typically more costly than term policies, universal life also allows you to adjust the death benefit within certain guidelines. This added flexibility allows you to choose how much of one’s premium funds will go toward the death benefit and how much goes into the cash value, offering you the ability to adjust the death benefit as your financial circumstances change. Variable universal life insurance Variable universal life insurance is quite similar to normal universal life except that variable policies allow you to choose how your cash-value funds are invested, rather than the insurance company. This offers you more control over the cash-value investment and potentially higher returns. However, if the invested cash-value funds perform poorly or the market tanks, your policy could be at risk. Given a major drop in the cash-value account investments, you may have to pay increased premiums just to keep the policy in force. Moreover, the fees and expenses associated with the cash value investments for variable policies may be much higher than you would pay if you simply invested the funds on your own. Because understanding life insurance can be confusing, it’s best to get the advice of a trusted advisor before you meet with an insurance agent, who might try to talk you into more coverage than you need in order to earn a larger commission. By sitting down with us as your Personal Family Lawyer®, we can work with you and your insurance advisors to offer truly unbiased advice about which policy type is best for your family and life circumstances. Contact us today, and we’ll walk you step-by-step through the different life insurance options and help you with your other legal, financial, and tax decisions to ensure your family is planned for and protected no matter what happens. This article is a service of Crystal I. Zellar, Zellar & Zellar, Attorneys at Law, Inc., Personal Family Lawyer®. We don’t just draft documents; we ensure you make informed and empowered decisions about life and death, for yourself and the people you love. That's why we offer a Family Wealth Planning Session, ™ during which you will get more financially organized than you’ve ever been before, and make all the best choices for the people you love. You can begin by calling our office today to schedule a Family Wealth Planning Session and mention this article to find out how to get this $750 session at no charge.

A comprehensive estate plan can protect the things that matter most. For many, this means their property and their family. Including provisions for the care of your children in your estate plan is essential for peace of mind. But many parents struggle with including such provisions as naming a legal guardian for their child in their plan. Indeed, even the fictional parents in the popular television sitcom Modern Family struggled with this issue in a recent episode. While Jay and his new and much younger wife Gloria agonized and argued about who they should name as a legal guardian for their children, their children were left at risk that if something happened to Jay and Gloria before they decided and properly named guardians in a legal document, a judge would make the decision for them. Not ideal, under any circumstances. When naming a legal guardian for your minor children, there are many factors to consider, such as whether the guardian has similar values to yours or can provide a welcoming home environment. But the toughest decisions are often the most important. Consider the outcome if you died without having legal protections for your children in place. Your children could be subject to conflict between relatives or they could be raised by someone you would never want, or in a way you wouldn’t want. They could even temporarily be taken into the care of strangers. Identifying and naming a legal guardian for your children in your estate plan is a difficult and important task. Don’t put off naming a legal guardian for your child. While thinking about what will happen to your child if you die is difficult even for fictional parents, your kids deserve the protection and you deserve the peace of mind that a legal guardian can provide. Unfortunately, even if you have made the hard decisions and worked with a lawyer to name legal guardians in a Will, your kids could still be at risk, because that would not take into account what happens if you become incapacitated, or if your named guardians all live far from your home, and it wouldn’t protect against anyone who may challenge your decisions. The only way to ensure your kids are raised by the people you want, in the way you want, never taken into the care of strangers (even temporarily) and that your kids would never be raised by anyone you wouldn’t want, is by creating a comprehensive Kids Protection Plan®, which only a select few lawyers, like us, are trained to prepare. We have set up a special site that you can start drafting important documents to protection your children. Click here to start for free! If you are ready to take that step, start by sitting down with us. As your Personal Family Lawyer®, we can walk you step by step through creating a comprehensive Kids Protection Plan® that not only names a legal guardian for your child in your Will, but also ensures your kids care is fully provided for, in the short-term and the long-term, and in the event of your incapacity. Working with a trusted Personal Family Lawyer® will ensure your entire family is protected and cared for no matter what. This article is a service of Crystal I. Zellar, Zellar & Zellar, Attorenys at Law, Inc., Personal Family Lawyer®. We don’t just draft documents, we ensure you make informed and empowered decisions about life and death, for yourself and the people you love. That's why we offer a Family Wealth Planning Session™ during which you will get more financially organized than you’ve ever been before, and make all the best choices for the people you love. You can begin by calling our office today to schedule a Family Wealth Planning Session and mention this article to find out how to get this $750 session at no charge.

Investing in life insurance is a foundational part of estate planning. However, when naming your policy’s beneficiaries, there are a number of mistakes you can make that could lead to potentially dire consequences for the very people you’re trying to protect and support. The following four mistakes are among the most common we see clients make when selecting life insurance beneficiaries. If you’ve made any of these errors, contact your agent right away, so they can amend your policy to ensure its proceeds provide the maximum benefit for those you love most. 1. Failing to name a beneficiary Although it would seem like common sense, whether intentional or not, far too many people fail to name any beneficiary at all. Others make the mistake of naming “my estate” as the beneficiary, rather than listing a specific person. Both of these errors will mean your insurance proceeds will have to go through the court process known as probate. Which is expensive and time consuming and unnecessary. During probate, a judge will determine who gets your insurance death benefits, and this process can tie the benefits up in court for months or even years, depending on who the beneficiaries of your estate are under the law. Moreover, probate opens up the proceeds to creditors, which can seriously deplete—or even totally wipe out—the funds. To prevent this, make certain you name—at the very least—one primary beneficiary. In case your primary beneficiary dies before you, you should also name a contingent (alternate) beneficiary. For maximum protection, name more than one contingent beneficiary in case both your primary and secondary choices die before you. This way, there will never be a void in the beneficiary designation. 2. Failing to keep beneficiaries updated While failing to name any beneficiary at all is a huge mistake, not keeping your beneficiary designations up to date can be even worse. This is particularly true if you are in a second (or more) marriage and fail to remove an ex-spouse as beneficiary, which can leave your current spouse with nothing when you die. To prevent this, you should review your beneficiary designations annually as part of an overall review of your estate plan, and immediately update your beneficiaries upon events like divorce, deaths, and births. When you are a client of ours, we have built-in systems to ensure your beneficiary designations (along with all other documents in your plan) are regularly reviewed and updated. 3. Naming a minor as beneficiary Though you are technically allowed to name a minor child as beneficiary, it’s never a good idea. Minor children cannot receive insurance benefits until they reach the age of majority—which is age 18 in Ohio. If a minor is listed as the beneficiary, the proceeds of your insurance will be distributed to a court-appointed custodian, who will be in charge of managing the funds (often for a fee) until the age of majority, at which point all benefits are distributed to the beneficiary outright. Worst part yet, your 18 year old received all of the money when he or she turns age 18-far too young in most instances to successfully manage a large sum of money. This is true even if the minor has a living parent. A child’s living parent could petition to the court to be appointed custodian, but there is no guarantee that a parent would be appointed as custodian, especially if the parent cannot qualify or pay for a bond. In many cases, a court could deem a parent unsuitable (if they have poor credit, for example) and instead appoint a paid fiduciary to control the funds. Rather than naming a minor as beneficiary, you should set up a trust to receive the insurance proceeds, and name a trustee to hold and distribute the funds to a minor child you would want to benefit from your insurance proceeds. By doing so, you get to choose not only who would manage your child’s money, but also how and when the funds are distributed and used. 4. Naming an individual with special needs as beneficiary Although a loved one with special needs is likely one of the first people you’d think of naming as beneficiary of your life insurance policy, doing so can have tragic consequences. If you leave the money directly to someone with special needs, it could disqualify that individual from receiving much-needed government benefits that typically pay for housing and medical needs. Rather than naming someone with special needs as beneficiary, creating a “special needs trust” to receive the insurance proceeds is a better plan. This way, the money won’t go directly to the beneficiary upon your death, but instead, would be managed by the trustee of your choice and dispersed according to the trust’s terms, without affecting benefit eligibility. The rules governing special needs trusts are complicated and vary greatly from state to state, so if you have a child with special needs, meet with us today to discuss your options. In the end, special needs planning involves much more than just life insurance—it’s about providing for a lifetime of care and protection. Don’t create problems While naming life insurance beneficiaries might seem like a simple task, if you’re not careful, you can create major problems for the loved ones you’re trying to benefit and protect. Meet with your Personal Family Lawyer® today to be certain you’ve done everything properly. We will review all of the elements of your plan and your assets and assist you in ensuring they are properly designated to accomplish your goals. We can also assist you in putting in place planning tools like trusts—special needs or otherwise—to ensure the proceeds provide the maximum benefit for your beneficiaries without negatively affecting them in any way. Schedule a Family Wealth Planning Session with our Personal Family Lawyer to get started! This article is a service of Crystal I. Zellar, your Personal Family Lawyer®. We don’t just draft documents; we ensure you make informed and empowered decisions about life and death, for yourself and the people you love. That's why we offer a Family Wealth Planning Session, ™ during which you will get more financially organized than you’ve ever been before, and make all the best choices for the people you love. Contact us today at mail@zellarlaw.com or by phone at 740-45208439, to set up a consultation! Zellar & Zellar, Attorneys at Law, Inc. (c) 2021. All Rights Reserved.

Although digital technology has made many aspects of our lives much easier and more convenient, it has also created some unique challenges when it comes to estate planning. If you haven’t planned properly, for example, just locating and accessing all of your digital assets can be a major headache—or even impossible—for your loved ones following your death or incapacity. And even if your loved ones can access your digital assets, in some cases, doing so may violate privacy laws and/or the terms of service governing your accounts. You may also have some online assets that you don’t want your loved ones to inherit, so you’ll need to take measures to restrict and/or limit access to such assets. Given the unique nature of your online property, there are a number of special considerations you should be aware of when including online property in your estate plan. Here are a few of the steps you should take to help ensure your digital assets are properly accounted for, managed, and passed on. 1. Make an inventory: Create a list of all your digital assets, along with their login and password information. Some of the most common digital assets include cryptocurrency, online financial accounts, online payment accounts like PayPal, websites, blogs, digital photos, email, and social media. Store the list in a secure location, and provide your fiduciary (executor, trustee, or power of attorney agent) with detailed instructions about how to locate and access your accounts. To make them easier to manage, back up any cloud-based assets to a computer, flash drive, or other physical storage device. Review this list regularly to account for any new digital property you acquire. 2. Include digital assets in your estate plan: Just like any other property you want to pass on, detail in your plan who you want to inherit each digital asset, along with your wishes for how the asset should be used or managed. If you have any assets you don’t want passed on, include instructions for how these accounts should be closed and/or deleted. Do NOT include passwords or security keys in your planning documents, where they can be read by others. This is especially true for your will, which becomes public record upon your death. Instead, keep this information in a separate, secure location, and provide your fiduciary with instructions about how to access it. Consider using digital account-management services, such as Directive Communication Systems, to help streamline this process. If you have particularly complex or highly encrypted digital assets like cryptocurrency, consider including provisions in your plan allowing your fiduciary to hire an IT consultant to deal with any technical challenges that might come up. 3. Restrict access: Include terms in your plan detailing the level of access you want your fiduciary to have to your digital accounts. For example, do you want your fiduciary to be allowed to view your emails, photos, and social media posts before passing them on or deleting them? If there are any assets you want to limit access to, we can help you include the necessary provisions in your plan to ensure your privacy is respected. 4. Include relevant hardware: Don’t forget to include the physical devices—smartphones, computers, tablets—upon which your digital assets are stored in your plan. Generally, non titled assets are considered personal property. Enabling quick access to these devices will make it much easier for your fiduciary to manage your digital assets. And since the data can be transferred or deleted, you can even leave these devices to someone other than the individual who inherits the digital property stored on them, if you wish. 5. Review service providers’ access-authorization functions: Some service providers like Google, Facebook, and Instagram allow you to give specific individuals access to your accounts upon your death. Review the terms of service for your accounts, and if these functions are available, use them to document who you want to access your accounts. Double check that the people you named to inherit your digital assets using these access-authorization tools match those you’ve named in your estate plan. If not, the provider will likely give priority to the person named with its tool, not your plan. Keep pace with technology As technology evolves, you’ll need to adapt your estate plan to keep pace with the ever-changing nature of your digital and other assets. As your Personal Family Lawyer®, we know just how valuable your online property can be, and our planning strategies are specifically designed to ensure these assets are preserved and passed on seamlessly in the event of your death or incapacity. Contact us today to schedule a Family Wealth Planning Session at mail@zellarlaw.com , or call (740) 452-8439 to schedule your Family Wealth Planning Session. This article is a service of Crystal I. Zellar, Personal Family Lawyer®. We don’t just draft documents; we ensure you make informed and empowered decisions about life and death, for yourself and the people you love. That's why we offer a Family Wealth Planning Session, ™ during which you will get more financially organized than you’ve ever been before, and make all the best choices for the people you love. Contact us at mail@zellarlaw.com or by phone at 740-452-8439 for more information or to schedule now! Zellar & Zellar, Attorneys at Law, Inc. (c) 2021. All Rights Reserved.