Trusts are often thought of in association with large estates, especially those of celebrities whose lives and finances are constantly under public scrutiny. You should know, however, that trusts can be used by anyone interested in estate planning and anyone committed to ensuring the best possible outcome for his or her family and beneficiaries.

Naming a financial power of attorney, known in New York as an attorney-in-fact, is an important element of a good estate plan. If you become injured or ill or are for any reason unable to handle your finances, your attorney-in-fact has the power to act on your behalf. This individual can, for example, pay bills,…

An estate plan is made up of living documents. Legal documents such as Wills, trusts, and powers of attorney are flexible and, therefore, can and should be reviewed on a regular basis. Most estate planning professionals advise that an estate plan be reviewed, and if necessary, updated every three to five years, or more frequently…

A durable power of attorney is one of the most important estate planning instruments available. It is extremely important that a trusted individual be named to make financial decisions on your behalf should you become unable to speak for yourself. Since this is such an important decision, it is also important to understand that if for any reason you should become unhappy with the person you have appointed to be your agent, you may revoke the power of attorney at any time.

The unexpected death of former NFL quarterback Steve McNair has raised a lot of questions about fidelity and domestic violence. Putting McNair’s personal life aside, however, we can use his situation as an example of what can happen when one does not engage in estate planning.

We have commented on Michael Jackson’s death and the professional estate plan he created during his lifetime. Jackson protected his children and his assets through a Will, trusts, guardianship appointments, and trustee appointments, making his intentions for his estate clear and legally binding.

A lot media attention has been paid to the drama and speculation surrounding Michael Jackson’s estate. After the dust began to settle, however,and the facts about Jackson’s estate emerged, it became apparent that he had, in fact, created a solid estate plan. Several lessons can be learned from Jackson’s estate planning.

The first critical thing that Michael Jackson did was draft a Last Will and Testament (a “Will”). Everyone, especially people with young children, as was the case with Jackson, should have a Will. Although a Will is a basic element of any estate plan, approximately two-thirds of Americans neglect this task.

Unexpected illness or injury can intrude upon an individual’s life at any time, preventing work and cutting off valuable sources of income. Social Security disability benefits are available to those unable to work due to illness or injury, but many who apply for benefits have their initial claim denied. There is a process for appeal of a denial of claim that can be taken advantage of, improving the chances of receiving important benefits.

According to Mr. Krooks, everyone should have basic estate planning elements in place, such as a Will and trust documents, all of which should be evaluated on a regular basis. Even as economic circumstances change, these documents remain valid. But, says Krooks, “valid” may not be optimal. Long-term planning must take into account both current circumstances and projected changes in personal finances and the overall economy.

In 2009, any assets below the amount of $3.5 million can be bequeathed to heirs with no federal estate tax penalty. However, assets left to one’s heirs over this estate tax exemption amount will be taxed. Barring any changes by Congress, in 2010 the estate tax will be repealed entirely. However, in 2011, it will be reinstated with an exemption of $1 million and a maximum unified rate of 50%.

New York is one of the only three states that allow for the option of spousal refusal. Spousal refusal is an asset protection tool used wherein a spouse living the the community refuses turn over his or her assets or income to an ailing or incapacitated spouse for the purpose of seeking nursing home Medicaid…