Invest in a Good Estate Plan Now, and Save Your Family Trouble and Money Later

In this uncertain economy, everyone wants to save money. Maybe you've started taking the bus, cutting coupons, or overseeing projects you would usually have left to a professional. While fixing that clogged drain without a plumber may have been a great way to cut costs, there are some tasks you shouldn't try to tackle alone.

Developing an estate plan is one project you shouldn't try at home, or even with an online service. Even if you don't have a large estate, you should still consult with a qualified estate planning attorney to ensure your estate is protected. A homemade estate plan can lead to unintended consequences and as a result your heirs may end up paying legal fees in excess of what it would have cost to have an attorney draw up your documents in the first place. 

Take, for example, the case of "John." John drafted his own will. He left to his domestic partner, Fiona, different assets including several bank accounts, his individual retirement account, and a percentage of a corporation. At John's death, his family challenged Fiona's inheritance. They first challenged the bank accounts John had left to Fiona. The bank had failed and had been taken over by another bank, so the bank accounts no longer existed. Therefore, John's family argued that no bank accounts should be transferred to Fiona. Also, John's IRA had titled his sister as the beneficiary, contrary to the will, so the money was paid to her. Finally, at John's death the family alleged that the will was ambiguous regarding the aforementioned corporation. They claimed John only meant to leave Fiona a percentage of his share, rather than his entire share. Needless to say, the family and Fiona ended up in a court battle.

You may think, my family gets along great with my partner or fiancé; this would never happen to us. However,  in the shock and uncertainty following a loved one's death relationships can become very strained. Had John taken the time to consult a qualified estate planning attorney for a soundproof estate plan, his family and partner could have avoided the resultant lawyer's fees and multiple trips to court.

Let's look at the case of "Simon" for another example of a problematic estate plan. Simon split his property evenly amongst his three children. However, his eldest son "Jim" died before Simon passed away. This raised some questions when Simon's estate was being settled. Should Jim's share be redivided amongst his siblings, or should it go to his heirs? Jim had two children and a step-son. Should the inheritance go partially to his step-child? Should all his children be treated equally, or should his biological children receive a larger share? Things can get complicated when situations such as this arise, and unless you've planned for contingencies like this your wishes may not be followed.

At the Law Offices of Daniel O. Hands, P.C., when we hand someone a completed estate plan we don't just hand them a piece of paper. They leave with a thick book and a variety of different documents to cover all their needs. We take time to go over the documents with our clients to ensure everything is drafted according to their wishes. Most importantly, our estate planning documents provide for contingencies. That's why they're so thick. Unborn children, the death of a beneficiary, divorce, and special needs are just a few contingencies that can be accounted for with a properly created estate plan.


Make sure your estate plan is up to date, and remind your friends and family that spending the money now to preserve their estate will save their loved ones money and troubles further down the road.

Estate Planning Can Be Fun(ny)!

Estate planning forces us to consider many unpleasant possibilities and realities we often don't like to think about. However, estate planning doesn't have to always be serious. Below are a series of estate planning "funnies" to help lighten the mood.





Why women are superior estate planners:

Carl was a 35-year old bachelor who worked for his father's extremely successful business. When he learned his father was very ill, and that he would inherit a large sum of money, he decided he needed a wife with whom to share his wealth. 

One night, at an investment meeting, a stunning woman walked through the door. Carl was speechless; she was by far the most beautiful woman he had ever seen. After the meeting he approached her. "I may not be much to look at," he said, "but my father is very ill and in a few years I will inherit 20 million dollars." The woman was very impressed. She took his card, and agreed to call him. 

A few days later she called as promised.

"Guess what?" she said. "I'm your new stepmother."

How to solve the deficit: 

Obama Befriends Rich Elderly Widow In Hopes She'll Put Nation In Her Will

Click the link above to view this comic video from the Onion News Network. (The Onion is a fictitious news source.) In this story, newscasters speculate on Obama's friendship with billionaire widow, Adelia Scott. Sources say he has spent time with Mrs. Scott, watching countless hours of "Pride and Prejudice," bringing her chocolates, and listening to stories about woman's baseball in order to secure a place for the US Treasury in her will. The White House Deputy Press Secretary denies the accusation that the president has any ulterior motives for befriending Mrs. Scott other than their mutual enjoyment of activities such as cross-stitching, visiting the doctor, and growing prize-winning petunias. Watch this video for a chuckle.

Why You Should Never Let Your Pet Plan Your Estate:


Dilbert's Advance Health Care Directive


Click the above link to view this recent Dilbert comic by Scott Adams. In this comic strip, Dilbert reads over the Advance Health Care Directive his megalomaniac dog Dogbert has prepared for him. Dilbert says he might have some changes to make, as it states that he should be killed if he has a headache, itch, or complaint.

 Why You Should Never Let Your Pet Plan Your Estate, Part II:


 Dogbert Amends Dilbert's estate plan

Then, a few days later, Dogbert hands Dilbert an amended estate plan. It's not much better. Follow the above link to view the comic.

(We promise we won't draw up documents that look like this at the Law Offices of Daniel O. Hands, P.C.!)

Daniel Hands Invited To Speak at Event

Real-estate agents from Realty Executives on the Move in Cary have invited Mr. Hands to speak at a seminar on Saturday, April 16 at the Sun City Meadow View Lodge in Huntley. He will be presenting on wills and estate Planning. Other topics presented will be reverse mortgages and independent and assisted living. This event is hosted by the Frits Team (http://www.fritsteam.com). The seminar includes lunch and will run from noon until two. To make a reservation call 847-516-8282 by April 14.

Special Needs Trusts

When their daughter Jill was born, Carrie and Tom were no different than any other parents. They displayed pictures on their phones, computers, cubicle walls, Facebook profiles, and anywhere else they could. However, Carrie started to notice that Jill wasn’t developing the same way her nephews had. Tom wondered why it was so difficult for Jill to speak as she passed two. And when Jill started daycare, it became clear something was different.

When Jill was diagnosed with autism, Carrie and Tom suddenly had very different worries than other parents. Would Jill ever find a job? Would she be able to take care of herself if something happened to them? How much would she be affected by the autism? How could they prepare for Jill’s future when they didn’t know what her future would look like? Would the money they had saved be enough?

Every year hundreds of thousands of families struggle with the same questions as Carrie and Tom. Families plan and save for their children, but what if that child requires more special care, medical attention, and assistance then they had prepared for? Not just autism, but many other disabilities can cripple families. While some children may become only mildly impaired other children may ultimately need assisted living if they are unable to care for themselves.

There are ways families can plan for their special needs children, though. Families can start planning for their child’s future by setting up a Special Needs Trust. A Special Needs Trust ensures that its beneficiary (in this case the child with special needs) can maintain their government benefits even while they are receiving the benefits of the asset in the trust. The special needs child is only the beneficiary and not considered the owner of the property, so they will be able to collect their government benefits as well as have access to the funds in the trust.

Special Needs Trusts can help ensure a special needs child will be taken care of financially throughout their life. Under the terms of a Special Needs Trust, a Trustee will manage the trust to ensure it will last the lifetime of the beneficiary. The Trustee can make distributions to the beneficiary to cover expenses not taken care of by their government benefits. The Special Needs Trust also allows for flexibility. Parents can set up the trust at any point in their child’s life, and once it is established the funds in it can be used immediately or stored for future expenditures.

A qualified estate planning attorney can help you determine if a Special Needs Trust is best for a member of your family. The Law Offices of Daniel O. Hands, P.C. has been helping families with this unique situation plan for their child’s future for over thirty years.

Our Digital Estates

When we die, we leave behind a legacy of pictures, letters, books, and other possessions for our family to remember us by. In today’s digital age, we also leave behind a legacy of emails, blogs, Twitter posts, Facebook pages, and other online traces. We know that in our will we should detail specific requests for our physical possessions, but what should we do about our digital legacy? What happens to our online presence after we die?

John Romano and Evan Carroll have written a book, “Your Digital Afterlife” answering these, and many more, questions about our digital estates. (You can buy the book or read a sample chapter at http://www.yourdigitalafterlife.com/.)

Romano and Carroll bring up some important factors in arranging your digital estate. You can find some of their important tips on NPR's website, which ran a segment on the authors of the book: http://www.npr.org/2011/01/10/132617124/after-death-protecting-your-digital-afterlife. They recommend making sure your executor has a list of your online accounts, as well as your passwords. They also recommend naming a digital executor in addition to your main executor, to ensure that the person handling your online estate has the technological know-how to handle your various accounts.

Each website has its own unique policy for deceased users, and sifting through all of them can be a chore. Some websites require a death certificate while others require a working link to an obituary in order to prove the user has passed. Likewise, websites such as Facebook allow the user’s page to be memorialized while Yahoo closes and deletes the user’s account permanently. You can make the task of unearthing all your online material easier by ensuring any photos you have on Photobucket or similar websites are backed up onto a disk or hard drive. Some websites are non-transferable and after your death those pictures may be deleted.

For more information on the policies of websites such as Facebook, Yahoo, and Twitter check out the Digital Beyond:  http://www.thedigitalbeyond.com/2010/12/so-what-does-happen-to-your-digital-assets-after-you-die/#facebook.

Remember, your digital legacy is only a portion of your entire estate. Only a qualified estate planning attorney can ensure your estate will pass on to your loved ones quickly and easily. To find out more about estate planning visit our website or contact your estate planning attorney.

Estate Planning Seminar at the Oak Brook Marriott!

On Saturday, January 22, 2011 the Law Offices of Daniel O. Hands, P.C. will be hosting a FREE public seminar at the Marriott in Oak Brook.


Estate Planning Seminar
Saturday January 22, 2011
10 am-12 pm
Chicago Marriott Oak Brook
1401 W. 22nd Street
Oak Brook, IL 60523
Refreshments will be provided

Register online: www.handslaw.com
Or call: 630-574-0123

This seminar is an opportunity to learn the ins and outs of basic estate planning. Topics covered will include: the 2011 estate tax laws, avoiding probate court, planning for long term nursing care, protecting your estate from the IRS, and planning for your special needs relatives.

We hope to see you there!