I Need A Will...Or Do I?

Wilsonlf: Do I Need a Will?

The first thing most parents say when they call us is "I need a will!"  When we sit down with them to talk about their family's goals, what most families realize is that they don't really want a will---they want a family trust.  So, we thought we would explain why so you can make an educated decision for your family about what is best for you and, ultimately, for them.

What is the Difference Between a Will-based plan and a Trust-based plan?

A Will-based plan is an estate plan that does not include a Living Trust to hold title to your assets.  If you work with us and choose our Family Plan, which is a will-based plan, your legal documents will include a Will, Durable Power of Attorney, Health Care Proxy, Advance Directive, HIPAA Release, Homestead Declaration (if you own a home), and, if you have minor children, a Kids Protection Plan® organized in a custom, comprehensive Family Affairs Legal Manual. 

A Trust-based plan is an estate plan that does include a Living Trust to hold title to your assets during your lifetime and to provide for ease of transfer of those assets in the event of your incapacity or death.  If you work with us and choose our Trust Plan or Wealth Plan, your legal documents will include all of the documents included in the Family Plan PLUS one or more Living Trusts.

So, what’s the practical difference?

The difference between a Will-based plan and a Trust-based plan  is that without a Trust in place your family would have to go to Court to get access to your assets in the event of your incapacity or death.

Your Will indicates WHO you want to have access to those assets and how you want them distributed, but it does not keep your family out of the Court process.  Going through probate (or guardianship in the event of incapacity) is expensive, time-consuming, totally public and unnecessary.  And that’s what happens when you have only a Will in place and not a Trust.

When you have a Trust in place, there is a bit more work for you to do upfront because you need to make sure that all of your assets are owned in the Trust throughout your lifetime (or insurance assets are beneficiary designated to the Trust), but we help you with that or even do it for you.  However, the Trust also provides valuable estate tax planning provisions and asset protection to provide for and protect your family for generations.

And, with our regular review process or membership plan, we continue to make sure your assets are owned the right way throughout your lifetime, while also ensuring your plan stays up to date as your life changes, your assets change and even the law changes.

During your Family Plan Session, we will walk you through an assessment of whether a Will-Based Plan or Trust-Based Plan is right for you based on the specifics of your family circumstances, what you own now and where you are going in the future.  One thing you can be sure of is that we will help you make the right decisions every step of the way.  Call to schedule a Family Plan Session at (978) 296-4140 or email info@wilsonlf.com.

Wilson, lf is a family-focused boutique law firm specializing in estate planning located in Andover, Massachusetts and Washington, DC.  We help parents like you organize your affairs, in style, to protect your investments and provide for your loved ones.  We are so passionate about providing "a plan for every family" that we meet families throughout Massachusetts and DC in their homes or offices and have some evening and weekend appointments available every month for utmost convenience. www.wilsonlf.com

What Is The One Thing You Didn't Do To Prepare For the Birth Of Your Child?

As a soon-to-be new parent you probably read "What to Expect When You Are Expecting" cover to cover, right?  Along with baby name books, Parenting Magazine, nutrition books, "The Happiest Baby on the Block," and the list goes on.  Then you were probably busy taking prenatal yoga, birthing and breastfeeding classes.  You had the hospital bag packed before you took the hospital tour too?

• Decorated the nursery
• Secured the carseat in the car with some help from the local safety police class
• Hung all the baby clothes by size & color
• Had every diaper, cream, and lotion all ready on the changing table 

You did it all - or as much as you could while carrying around an extra 30 pounds and taking bathroom breaks every 20 minutes because there was a foot kicking your bladder.

However, for all the "prep" work parents do, very few do one of the MOST important things every parent needs when they have a child....put a Kids Protection Plan in place.

It is hard to think about you not being there for your child, but it is even harder for you to think about and your child to try and survive without you if you didn't have the foresight to plan.  At the very least, name trusted family and friends to act as your child's guardian in the event you are not able to do so even for a short period of time.

It may seem sad or too difficult, but a Kids Protection Plan will actually give you an immense feeling of peace and relief knowing your child will always be taken care of by someone you choose after careful consideration.  It is also really easy and you can get started right NOW from the comfort of your home.  

It is our mission to provide "a plan for every family" and here is a great way to get started for FREE.  Visit http://wilsonlf.kidsprotectionplan.com and name legal guardians with us walking you through the process virtually.  You will end up with legally binding documents nominating your chosen guardians.

If you need even more help and guidance, call (978) 296-4140 or email info@wilsonlf.com with questions or to schedule a Family Plan Session to design a complete estate plan.  If you are one of the first 2 families to book this week for the last week of August we will be able to waive the session fee!  You have nothing to lose and everything to gain.  Good luck and we would love to hear how your virtual Kids Protection Plan turns out!



Wilson, lf is a family-focused boutique law firm specializing in estate planning located in Andover, Massachusetts and Washington, DC.  We help parents like you organize your affairs, in style, to protect your investments and provide for your loved ones.  We are so passionate about providing "a plan for every family" that we meet families throughout Massachusetts and DC in their homes or offices and have some evening and weekend appointments available every month for utmost convenience. www.wilsonlf.com

You're Gonna Miss Me When I'm Gone

Listen to Song...

Have you heard the Anna Kendrick cups song from the movie, Pitch Perfect?  The lyrics resonate for a firm always trying to preserve family memories.  What would you miss most if you lost someone you loved?  If you had to preserve a memory of yourself, how would you want to be remembered?

Some simple things you can do today are make family photobooks, record videos talking about things you want your family to remember, and gathering small items to place in a special memory box.  Anything you can do to preserve lasting memories will be appreciated and treasured more than you know.

I've got my ticket for the long way 'round
Two bottle whiskey for the way
And I sure would like some sweet company
And I'm leaving tomorrow. What d'you say?

[2x]
When I'm gone, when I'm gone
You're gonna miss me when I'm gone
You're gonna miss me by my hair
You're gonna miss me everywhere, oh
You're gonna miss me when I'm gone

I've got my ticket for the long way 'round
The one with the prettiest of views
It's got mountains, it's got rivers
It's got sights to give you shivers
But it sure would be prettier with you

[3x]
When I'm gone, when I'm gone
You're gonna miss me when I'm gone
You're gonna miss me by my walk
You're gonna miss me by my talk, oh
You're gonna miss me when I'm gone

If you've ever experienced losing a loved one, the lyrics "you're gonna miss me when I'm gone" ring too true.  Call us today at (978) 296-4140 or email info@wilsonlf.com if you would like to preserve your memories.  If you mention this Family Post Blog we will include a "Family Legacy Conversation" in your estate planning package at no cost.

Wilson, lf is a family-focused boutique law firm specializing in estate planning located in Andover, Massachusetts and Washington, DC.  We help parents like you organize your affairs, in style, to protect your investments and provide for your loved ones.  We are so passionate about providing "a plan for every family" that we meet families throughout Massachusetts and DC in their homes or offices and have some evening and weekend appointments available every month for utmost convenience. www.wilsonlf.com

Getting Your Affairs In Order: One of the Best Things You Can Do For Yourself & Your Family

Wilson, lf Featured in Woman's Day Magazine

Have you been meaning to put a will in place, but just never seem to find the time or the motivation?  There is no better time than the present, especially since you never know if and when something will happen to you or your family!

Woman's Day Magazine recently consulted with and featured Wilson, lf in an article noting the importance of getting your affairs in order.

The overall benefit is the peace of mind knowing that you have taken the necessary steps to protect and provide for your family.


Here are the key takeaways:

1. Don't procrastinate!  Yes, these are hard decisions to make, it may seem overwhelming and expensive, but it doesn't have to be.  The worst plan is no plan!  Have you thought about what would happen to your family if something happened to you today?
2. The Key Documents You Need to Put In Place: Everyone knows they need a will, but that is only one piece of the estate plan (and not the best option for most families who own a home and have young children).  You should also have a Power of Attorney, Health Care Proxy, Advance Directive/Living Will, HIPAA Release, Homestead Declaration (in MA), and a Family Trust.
3. Take Stock:  While it is critical to have your estate plan documents in place, it is also very important to organize your financial assets, instructions, and legacy into an easy to comprehend manual for your family and trusted friends to be able to reference when you are not there to tell them where everything is.
4. Choose Your Key People:  You need to have trusted family and friends help you and your family if something happens to you.  You will rely on them to care for your children, handle your finances, and make medical decisions for you.

Wilson, lf is a family-focused boutique law firm specializing in estate planning located in Andover, Massachusetts and Washington, DC.  We help parents like you organize your affairs, in style, to protect your investments and provide for your loved ones.  We are so passionate about providing "a plan for every family" that we meet families throughout Massachusetts and DC in their homes or offices and have some evening and weekend appointments available every month for utmost convenience. www.wilsonlf.com

6 Cases When a Trust is Better Than a Will in Massachusetts

Andover, Massachusetts

A will is one of the most basic Massachusetts estate planning documents, and everyone should have one to make sure that there is no question about what would happen to your assets and kids if something happens to you.  But there are some cases when having a trust in addition to a will is imperative; here are six of them:

Avoiding probate or conservatorship.  A trust will bypass the probate process, saving the people you love time and money.  To carry out instructions in a will, a probate must be opened in the county court (in Lawrence, MA if you live in Andover, MA) and that means your family is stuck dealing with the Court if you get hospitalized or after you die.

Providing for a person with special needs.  If you have a child or another dependent with special needs, a trust commonly known as a Special Needs Trust can protect assets for a special needs person without jeopardizing their qualification for government benefits.  A will allows you to transfer assets to a special needs person, but will not protect those assets.

Privacy.  Since a will undergoes probate in court, it becomes public record.  A trust is private.

Blended families.  If you are part of a blended family, a trust can give you the flexibility you will want to make sure that children from prior marriages are provided for in the way you want.

Out-of-state property.  If you own property in another state besides Massachusetts, you can more easily transfer ownership via a trust than a will.  Transferring out-of-state property in a will usually means additional legal expenses because you could have probate in multiple states and that is no fund for the people you love.

Asset protection.  If you want to protect the assets you leave your loved ones from creditors (including bankruptcy and divorce) a trust is the way to do it. It’s a gift you can give your loved ones that they could not easily (or at all) give themselves.  

If you would like to learn more about the use of trusts in Massachusetts to pass on what you care about to the people you love, call our office today to schedule a time for us to sit down and talk. We normally charge $750 for a Family Plan Session, but because this planning is so important, I’ve made space for the next two people who mention this article to have a complete planning session at no charge. Call 978-296-4140 today and mention this article.

Wilson, lf is a family-focused boutique law firm specializing in estate planning located in Andover, Massachusetts and Washington, DC.  We help parents like you organize your affairs, in style, to protect your investments and provide for your loved ones.  We are so passionate about providing "a plan for every family" that we meet families throughout Massachusetts and DC in their homes or offices and have some evening and weekend appointments available every month for utmost convenience. www.wilsonlf.com

Is Your Employee Really An Employee?

Is That a Real Employee or a Common-Law Employee?

The IRS and the Department of Labor are cracking down on businesses that use contractors but treat them like real employees – or, as the IRS calls them, “common-law employees.”  Before you misclassify that contractor, ask yourself these 5 questions:

1.  Do you control the work?  If you direct how and where and at what time someone works for you, then the government says you have an employee, not a contractor.

2.  Do you furnish the equipment?  If you have given someone a computer or other equipment on which they will perform work for you, they are likely to be classified as your employee.

3.  Are you in one of these industries?  Some industries are audited at a higher rate than others when it comes to employee misclassification, including nail salons, restaurants, cleaning services, security guards, landscaping companies, property management and drywall.  If you are in one of these businesses, you need to educate yourself on employment law with the help of a Creative Business Lawyer™.

4.  Is there anything in writing?   Most contractors operate with a contract that spells out the work they will provide and the compensation they will get for it.  We can help you prepare a contract to ensure your contractors are not deemed common law employees.

5.  Do they just work for you?  Most contractors are free to work for other people, not just you.  Even if they don’t actually have other clients, it should be clear that they are free to pursue other work without your permission.

If you’re a small or mid-size business owner, call us today to schedule your comprehensive Small Business Audit Session.  Normally, this session is $1,500, but if you mention this article and we still have room on our calendar this month, we will waive that fee.  

Do you need help determining what your team members should be classified as?  If you’re a small or mid-size business owner, call us today to schedule your comprehensive Business Planning Starter Session if you are just starting out or a Business Planning Audit Session if you are up and running.  Normally, this session is $1,500, but if you mention this article and we still have room on our calendar this month, we will waive that fee.

Wilson, lf is a family-focused boutique law firm specializing in small business planning located in Andover, MA and Washington, DC helping small business owners organize their business affairs, in style, to protect their investments and provide for their loved ones.  Call (978) 296-4140, email info@wilsonlf.com, or visit our website at www.wilsonlf.com, for more information.

The Talk You Need To Have With Your Parents: It is Not The Birds & The Bees, But Maybe Just As Uncomfortable

When you were a kid, your parents dreaded the talk they had to have with you.  You know the one.  Well, now that you are an adult, there’s a talk you need to have with your parents that is likely to be just as squirm-worthy – which is why so many of us put it off.  

It’s about money.  Specifically, your parent’s money.  The money that may become yours one day. Or may not. 

Whether you or your parents think it’s none of your business, it is.  You are most likely the one(s) who will need to deal with all the financial issues your parents leave behind when they become incapacitated or after they die. 

Not knowing anything about their finances will place you at an immediate disadvantage, making what will be a hard job almost impossible.  

So how do you get the conversation started?  Here are some tips from a recent New York Times column on the subject:

Think about what you need to know.  You need to know more than where to find the will, you need to know if parents have executed powers of attorney, advance health care directives or a trust as well.  You need to know if they have life insurance or other assets and, if so, where the policy is located.  You need to know if they keep a list of all their debts and, if they bank and pay bills online, you need their log-in information for each account.  

Bring in a support team.  Your parents may feel more comfortable discussing financial issues with their attorney or financial planner present to facilitate the conversation. They may also feel more comfortable talking with all their children at once, or to only one – take family dynamics into consideration.  And call us in at the beginning of the process.  We can help ease the way tremendously.

Make a plan.  Chances are you will need immediate access to cash in order to pay expenses related to a parent’s passing.  Since probate can be a lengthy process, you may want to plan for this eventuality by having parents establish a revocable living trust, which allows assets to pass outside probate.  

Document storage.  Be sure your parents do NOT store their important documents in a bank safe deposit box  without taking precautions because getting at them could require you to obtain a court order.  First, make sure they have instructions on where the box is and who has permission to open it if anything happens to them.  Maybe even make sure you are a signer (and there are back-ups besides you) on the safe deposit box.  Or just use a strongbox or safe that is kept in the home instead. 

If you would like to have a talk about estate planning for your family, call our office today to schedule a time for us to sit down and talk. We normally charge $750 for a Family Plan Session, but because this planning is so important, we’ve made space for the next two people who mention this article to have a complete planning session with your parents at no charge. Please call, (978) 296-4140, email info@wilsonlf.com, or visit our website www.wilsonlf.com to learn more about how we can help you give yourself and your parents peace of mind.

Wilson, lf is a family-focused boutique law firm specializing in estate planning located in Andover, Massachusetts and Washington, DC.  We help parents like you organize your affairs, in style, to protect your investments and provide for your loved ones.  We are so passionate about providing "a plan for every family" that we meet families throughout Massachusetts and DC in their homes or offices and have some evening and weekend appointments available every month for utmost convenience. 

Happy Father's Day! Want to Know The Gift He Will Cherish Forever?

One of the best ways for you to show your husband you love him and your family is to help put all of your family's financial ducks in a row and make sure your kids are taken care of by the people you love...no matter what!

If you own a home and have minor children, a Family Plan Session, valued at over $750, is essential to your family.  And while most men are resistant to coming to this planning session, they absolutely love it after they've gone through it.

During the Family Plan Session you and your husband will:

1. Choose the right guardians for your kids and avoid making any of the "6 Common Mistakes" most parents make.
2. Get your financial house in order and keep it that way!  Believe it or not, the second part is what most parents fail to do since once they go over their finances with a financial advisor, check it off their list and fail to maintain the plan.
3. Learn how to prepare your kids for life without you!  You are always teaching your children how to do things for themselves and be independent, but how much have you really prepared them to do so if they could no longer depend on you or your husband?
4. Learn how to legally avoid all estate taxes!  If you had the choice to give money to your kids or give it to Uncle Sam, who would you choose?  Exactly!
5. Learn the secret to protecting your kid's inheritance from lawsuits and divorce!  Giving money outright to your kids is not the most responsible choice.  Why not protect their money from themselves and those who would go after their money?
6. Discover how to leave your loved ones a far greater gift than all the money in the world!  Do you know the #1 gift people ask for when they lose a loved one?  Well, we can help you give that gift to each other and your kids!

The Family Plan Session is absolutely free for Father's Day and there is no obligation and no pressure; think of it as the parenting session you didn't get at the hospital.  Please call, (978) 296-4140, email info@wilsonlf.com, or visit our website www.wilsonlf.com to learn more about how we can help you give your husband the gift of a lifetime.

Wilson, lf is a family-focused boutique law firm specializing in estate planning located in Andover, Massachusetts and Washington, DC.  We help parents like you organize your affairs, in style, to protect your investments and provide for your loved ones.  We are so passionate about providing "a plan for every family" that we meet families throughout Massachusetts and DC in their homes or offices and have some evening and weekend appointments available every month for utmost convenience. 

Scammers, Hackers, & Your Business: Protecting Your Small Business from Cybercrime

The Association of Certified Fraud Examiners has reported that companies with fewer than 100 employees lost an average of $155,000 annually as a result of fraud, identity theft and cybercrime.  Here are some tips for protecting your small business from becoming a victim:

Protect bank accounts and credit cards.  First, be sure that your personal banking and credit accounts are kept separate from business accounts.  Be stingy with issuing company credit cards and pay bills online.  Use a secure mailbox for sending and receiving mail.  Check your bank accounts daily online for any suspicious activity.

Firewall protection.  Be sure your business computers are fully protected with a firewall and have anti-virus, malware and spyware detection software installed on every computer.  Have a robust back-up system for all your business data.

Dedicated banking computer.  Use a dedicated computer for all online banking activities and make sure it is never used for web surfing or other online activities that could make it more vulnerable to a cyber attack.  

Password policy.  Invoke a password policy company-wide that is changed every 30-60 days.

Educate employees.  Educating employees on threats and prevention methods is your best defense.  Hold regular training sessions and be sure to educate new hires.  Before hiring anyone, conduct a background check to ensure you are hiring the right people – but check with a Creative Business Lawyer™ to be sure your checks are in compliance with local laws.

Insurance.  Get an insurance policy that protects you against any loss or liability suit that could arise from cybercrime.  

A comprehensive asset protection plan for both your business and personal assets is a must for any business owner.  If you’re a small or mid-size business owner, call us today to schedule your comprehensive Business Planning Starter Session if you are just starting out or a Business Planning Audit Session if you are up and running.  Normally, this session is $1,550, but if you mention this article and we still have room on our calendar this month, we will waive that fee.

Wilson, lf is a family-focused boutique law firm specializing in small business planning located in Andover, MA and Washington, DC helping small business owners organize their business affairs, in style, to protect their investments and provide for their loved ones.  Call (978) 296-4140, email info@wilsonlf.com, or visit our website at www.wilsonlf.com, for more information.

Is Your Retirement Plan in Good Shape? Here are 5 Easy Fixes...

It’s no secret that a majority of Americans are ill-prepared for retirement.  A recent Forbes.com post detailed the 5 steps you can take now to being repairing the hole in your retirement plan:

1.  Pay yourself first.  Set up an account that is not easy for you to access and start filling it with a significant percentage of your pay (10% or above).  You can accomplish this by participating in your company’s 401(k) plan and making sure you contribute at least the minimum amount to get the employer match (free money!).

2.  Load up on tax breaks.  Another benefit of participating in a 401(k) is that it lowers your taxes without you having to do all the paperwork.  A 401(k) is also portable if you change jobs.

3.  Estimate your retirement needs.  Don’t believe that you will be able to sustain your current lifestyle on Social Security alone; it won’t happen.   Experts say you need to have enough saved to match at least 70% of your pre-retirement income.  Not sure how you will get there?  A Personal Family Lawyer can help advise you on strategies, depending on your current age, income and estimated retirement age.

4.  Plan conservatively.  Don’t think you can count on a bull market to fund your retirement.  Estimate a reasonable return on your investments when planning your retirement, and balance risk and reward as you near your retirement date.

5.  Take charge.  You need to take charge of your retirement plan by checking regularly to see if you’re on track to retire with the amount of income you need to support the lifestyle you want.  Know exactly how your plan is – or is not—working and adjust accordingly by considering how you can create an income stream for yourself that you can count on throughout the rest of your life, instead of relying on savings or your retirement account at all.

If you would like to learn more about retirement planning, call or email Wilson, lf today to schedule a time for us to sit down and talk. We normally charge $750 for a Family Plan Session, but because this planning is so important, we’ve made space for the next two people who mention this article to have a complete planning session at no charge. Call today and mention this article.

Wilson, lf is a family-focused boutique law firm specializing in estate and small business planning helping parents organize their affairs, in style, to protect their investments and provide for their loved ones.  We are located in Andover, Massachusetts and Washington, DC.  Call (978) 296-4140, email info@wilsonlf.com, or visit our website, www.wilsonlf.com, for more information.

Past Due? How to Make Sure Your Business Gets Paid and Doesn't Get Stiffed By Customers

Sooner or later, you are going to have a client who doesn’t pay you for services or products provided.  Customers who do not pay are a fact of life for every business, so what are your alternatives?  Here are some options:

In-house collections – Designate someone in your firm to contact the buyer personally to see if the invoice was lost or if there were other reasons for nonpayment that you can work out.

Attorney – An In-House Business Counsel can help you collect if your own efforts have failed.  Sometimes all it takes is a stern letter on attorney letterhead to get action.

Collection agency – You won’t get the full amount – a collection agency generally takes 25-40% of a collection – but sometimes something is better than nothing.

Small claims court – You can file a claim in small claims court if the amount due is within the limits for courts in your area.  This will take more of your time than money, but could pay off.

Tax write-off – You may be able to take a bad business debt deduction if all your collection efforts have failed.

If you find yourself getting stuck with accounts receivable on a regular basis, you very likely need to review your invoicing practices.  We can help you with that.

There are also new technologies that allow you to get paid on the spot, on your smart phone or tablet device.  

If you are still sending out paper invoices, consider changing to electronic invoicing and be proactive about following up once a payment is even one day late.

We proactively monitor and review these kinds of matters for our clients.  Let us know if we can do so for you.

A comprehensive asset protection plan for both your business and personal assets is a must for any business owner.  If you’re a Massachusetts or District of Columbia small or mid-size business owner, call us today at 978-296-4140 to schedule your comprehensive Small Business Structure Audit.  Normally, this session is $1,500, but if you mention this article and we still have room on our calendar this month, we will waive that fee.

Wilson, lf is a family-focused boutique law firm specializing in small business planning; helping small business owners organize their affairs, in style, to protect their investments and provide for their loved ones.  We are located in Andover, Massachusetts and Washington, DC and we frequently meet at our clients' businesses for true "In-House" Business Counsel service.

10 Common Errors When Naming Life Insurance Beneficiaries That Will Hurt the People You Love – and How to Fix Them

If you make a mistake in naming beneficiaries for your life insurance policy, the people you love will end up being hurt.  Insure.com recently provided a list of the 10 life insurance beneficiary mistakes to avoid.  We elaborate on how they’ll affect you and how to fix them.

1.  Naming minor children.  If proceeds of your life insurance are directed to your minor child (instead of to a trust for his/her benefit), a Judge will decide who controls the proceeds and when your child receives them.  And your child could get access to all of that money at 18! That’s bad news. And unnecessary.  A Personal Family Lawyer® can counsel you on the best way to leave life insurance proceeds to minor children.

2.  Naming a person with special needs.  By naming a child with special needs child or other person eligible for government benefits as a beneficiary, you could unwittingly disqualify them from receiving those benefits. Instead, you could name a special needs trust. We can help you with that.

3.  Not considering community property and/or spousal rights.  You don’t have to name your spouse as a beneficiary, but if you live in a community property state, your spouse will need to sign a waiver before you can name someone else as beneficiary. And, if you name a married adult child as the beneficiary of your policy (without a trust), you could be putting your child’s inheritance at risk inadvertently.

4.  Ignoring tax consequences.  While life insurance proceeds are usually income tax-free, they are subject to the estate tax.  Talk to us about these issues so we can identify any traps for the unwary.

5.  Trying to use your Will.  A properly executed beneficiary designation form always trumps your Will, so don’t make the mistake of thinking you can change beneficiaries by naming someone else to receive insurance proceeds through your Will.  

6.  Failing to update.  Many ex-spouses are enriched by a life insurance benefit because their ex forgot to update the policy’s beneficiary form.  Review your beneficiary designations every time you have a significant life change, or at least every three years.

7.  Not being specific.  You should name your beneficiaries in as specific a manner as possible, which means using their legal names, not just a designation such as “my spouse” or “my children.”

8.  Not informing family or losing track of policies.  If you have a life insurance policy, tell your family about it.  Otherwise, it may be overlooked and the benefit never claimed.  We track our clients’ assets using a Family Wealth Inventory that is updated regularly so no assets are lost after your passing.

9.  Not considering individual circumstances.  If you leave a large sum of money to an adult child with a substance abuse problem or someone not equipped to handle money, this can lead to more problems.  Consider establishing a trust that can protect your beneficiaries’ inheritance.  We can even protect these assets from bankruptcy, creditors and divorce, for multiple generations.

10.  Naming only one beneficiary.  If you name only one beneficiary and that beneficiary dies at the same time, or before you, the proceeds of your insurance could go end up directed by State law or a Judge.  To prevent this from happening, name secondary and tertiary beneficiaries. 

If you would like to learn more about protecting the inheritance you’ll leave behind, call (978) 296-4140 or email info@wilsonlf.com today to schedule a time for us to sit down and talk. We normally charge $750 for a Family Plan Session, but because this planning is so important, I’ve made space for the next two people who mention this article to have a complete planning session at no charge. Don't forget to mention this article when you call or email!

Protecting Your Business From Personal Legal Liabilities

Most small business owners are aware of the importance of protecting their personal assets from business liabilities.  However, the reverse is just as necessary – protecting your business assets from personal legal troubles.  

For example, if you are at fault in a serious auto accident that injures someone and you own a business, the assets of that business could be under attack in a personal injury lawsuit unless you have undertaken the proper steps to insulate your business from personal liabilities.  Here are three things you can do to shelter your business today:

List all your assets.  Make a list of all of your personal assets – both business and personal – including any debt that is secured by the asset.  This list will be the beginning of your process helping you to evaluate your exposure to risk.   

Look into Umbrella insurance coverage.  An umbrella insurance policy covers any claims against you in excess of your basic insurance coverage limits.  By having umbrella coverage, which is typically, not very expensive, you can ensure any judgments against you are paid before your business is put at risk to satisfy a judgment creditor.   Beware though, this type of insurance typically does not cover actions that are negligent, reckless, fraudulent or criminal.  

Consider whether your business entity has extra built in protection. If your business has been set up as a limited liability company (LLC) in a state with charging order protection (and there are 13 states that have LLC Charging Order Protection), you may have extra protection for your business.  If you have an LLC formed in a state with this extra protection and a judgment creditor tries to take your business, they cannot. Instead, all they will receive is a charging order against the business.  This means that they would get distributions only when the other members do, but they would still need to pay taxes on undistributed profits AND they couldn’t even force any profits.  Many creditors would prefer to settle for pennies on the dollar rather than receive a charging order against a business entity. 

Best Form of Protection. If asset protection is extremely important to you, consider irrevocable trust planning.  A properly set up irrevocable trust could protect your business from divorce, creditors or even bankruptcy.  

If you’re a small or mid-size business owner, call us today at (978) 296-4140 to schedule your comprehensive Small Business Structure Assessment and we’ll consider the best asset protection strategies for you and your business. Normally, this session is $1500, when you mention this article and we still have room on our calendar this month, we will waive your session fee.

Wilson, lf is a boutique family-focused boutique law firm specializing in small business planning located in Andover, MA and Washington, DC.  We help small business owners organize their affairs to protect their investments and provide for their loved ones.  www.wilsonlf.com

How to Avoid Family Conflict When Making an Estate Plan

Unfortunately, money has a habit of bringing out the worst in people, even in the best of families.  One of the most important reasons to get your estate plan handled is to keep your family out of conflict.  And, yet, without the right counsel, your estate plan could actually cause conflict! 

Here’s what to do to make sure that’s not the case for your family:

• Communicate Your Plans Ahead of Time.  In our office, we recommend inviting adult children into the planning process and let them know ahead of time why you have made the decisions you have made.  This can be a difficult conversation and one we are extremely skilled at handling.  We don’t recommend doing it without the guidance of trusted counsel.

• Do Not Put One Sibling In Charge of Another Sibling’s Inheritance.  Unless agreed to ahead of time by both siblings, putting one sibling in charge of another will almost always lead to resentment and disagreement.  You can avoid this with strong communication and agreement ahead of time. Or you can appoint someone else to care for your child’s inheritance. We can help you think that through, so call if a child in your family will need inheritance protection. 

• Transfer Some Now Instead of All Later.  Consider how you can begin to transfer assets to your children during your lifetime when you can influence how they use those assets and you can pass on your values right along with them, instead of waiting until you are gone to pass on everything you’ve worked so hard for.

• Make Changes When Necessary.  Estate planning is an ongoing process, and when changes occur in your life – even if it’s the divorce of a child or a new grandchild – your plan needs to change as well.

• Pass On More Than Just Your Money.  Most estate plans focus only on your tangible assets, but your most valuable assets are your values, insights, stories and experience. We have a unique process in our office for passing on these assets that are most often lost when someone dies. And, honestly, they are what will keep your family focused on what really matters after you are gone.

• Choose the right advisor.  Developing a strong working relationship with your Wilson, lf In-House Family Counsel will allow you the freedom to frankly discuss your family dynamics, plan accordingly and keep the family involved every step of the way.  

If you would like to create or update your estate plan, call (978) 296-4140 or email, info@wilsonlf.com, Wilson, lf today to schedule a time for us to sit down and talk. We normally charge $750 for a Family Plan Session, but because this planning is so important, we’ve made space for the next two people who mention this article to have a complete planning session at no charge.

Wilson, lf is a boutique family-focused law firm located in Andover, Massachusetts and Washington, DC.  We specialize in estate planning, helping parents organize their affairs, in style, to protect their investments and provide for their loved ones.  We meet many of our clients in their homes across Massachusetts and in DC for utmost convenience. www.wilsonlf.com

The Family Post Blog

Welcome to The Family Post, a blog by Wilson, lf; a boutique family-focused law firm specializing in estate and small business planning.  We help parents and small business owners organize their affairs, in style, to protect their investments and provide for their loved ones.  We are located in Andover, Massachusetts and Washington, DC.  Please feel free to call us at (978) 296-4140, email info@wilsonlf.com, or visit our website www.wilsonlf.com.  We look forward to meeting you!