Elder Law Articles, Uncategorized

Elder Law Update – At Large Edition September 2009 Vol II

August 12, 2010

IT’S ABOUT PROTECTING WHAT YOU HAVE–   NOT THE ECONOMY OR HEALTH CARE I am hoping to get your attention by paraphrasing a well-worn phrase—“It’s the economy, stupid”—often heard during the 1992 presidential election and since then. What I have taken from the ongoing debate about the economy and health care that is going on nationally is not what kind of insurance coverage Congress is going to make available to every American or what type of cost reductions in care costs can be obtained, but rather, that it’s all about what kind of protection can be afforded to you and me.  Yes, it’s all about protection. The good news is – at least they are talking about the economy and health care protection. The bad news is — there is nothing you or I can control about what Congress will do about the economy and health care protection. There is more good news, however, and that is that we can create our own type of protection. The Threats The three biggest threats to most Americans are the effects of:

1. Taxes;
2. Inflation; and
3. Long-Term Care.

  The Solutions Taxes are going to continue to go up and, therefore, careful tax planning in both the estate and income tax areas will be essential. Inflation is relatively tame right now, with the exception of two major areas:  health care costs, as I mentioned above, and the escalating costs of college.  Hopefully, whatever Congress does will help us contain the costs of health care.  With respect to college costs, taking advantage of tax incentives such as 529 plans can help reduce the effect of such costs somewhat. With regard to Long-Term Care, the most important thing that we can do to rein in the costs of Long-Term Care is to engage in preplanning.  Preplanning will deal with: 1) repositioning your estate plan and assets, and 2) looking to place the right kind of insurance or financial  product with your family in order to plan for Long-Term Care when there is still enough time to plan.  However, there are crisis situations where Long-Term Care Insurance or other insurance is not going to be available and, therefore, crisis planning is necessary, which requires more aggressive and creative solutions.  Please remember that, with regard to long-term care planning, the question is not what happens when you die, but rather the question is what happens if you don’t die and suffer a long period of disability. There is Hope With all of the fallout in the stock market and real estate markets, there is still an oasis of safety and protection that can be obtained by taking control of your long-term care matters. Don’t let the assets that took you a lifetime to accumulate be lost in a moment due to a health emergency. Remember, Medicare will cover acute care matters such as surgeries and hospitalizations, but Medicare will not cover long-term care for the effects of Dementia, Alzheimer’s, Parkinson’s and long-term debilitating diseases. To Do Contact us to set an appointment about what protective measures we can create for you in order to provide your family not only with as much financial security as possible, but also with the gift of peace of mind.  We invite you to bring your Financial Advisor and CPA with you.  To all that come in for an appointment, we will give a free copy of our new CD “Consumer’s Guide to the Basics of Long-Term Care Planning” and also our new booklet “Consumer’s Guide to Planning for Long-Term Care”.  P.S.      Also, don’t miss our free new workshops: 1) “Don’t Go Broke in a Nursing Home”, beginning this fall, and 2) “The Top 9 Stumbling Blocks for Financial Advisors, CPA’s and Lawyers to Know about Elder Law”.   Anthony B. Ferraro Attorney-CPA The Law Offices of Anthony B. Ferraro, LLC The Estate & Trust, Elder and Asset Protection Law Firm Columbia Centre I 5600 N. River Road, Suite 764  Rosemont, IL 60018 PH (847) 292-1220 FAX (847) 292-1221 Website:  abferrarolaw.com Email:  abferraro@abferrarolaw.com Long-Term Care Planning Attorneys The “3 Phase” Lawyers   Legal Counsel Assisting You in the 3 Phases of Your Life:   –           Maturing Years – Will, Trust, Taxes, and Asset Protection –           Senior Years – Long-Term Care and Nursing Home Protection –           Post Death Years – Estate, Probate, and Trust Administration     “Educate to Motivate”   NOTE: The information contained in this message is confidential and may be protected by the attorney-client privilege and/or the work product doctrine.  If you have received this electronic message in error, please reply to the sender and destroy this message. Pursuant to federal regulations imposed on practitioners who render tax advice (“Circular 230”), we are required to advise you that any tax advice contained herein is not intended or written to be used for the purpose of avoiding tax penalties that may be imposed by the Internal Revenue Service.   The Illinois rules of Professional Conduct require attorneys to identify unsolicited communications to prospective clients as Advertising Material.  If the context requires, please consider this letter and the enclosed literature to be Advertising Materials. To unsubscribe, please reply to this email.  In the subject line, please write your name and the word “unsubscribe.”  If you are responding on someone else’s behalf, please also include the email address that our message was sent to.  Thank you. This document is for discussion purposes only and is not intended to be, nor should it be, considered as legal advice.  You should never attempt Medicaid planning, Estate Planning, Probate, or Estate and Trust Administration without the advice of competent legal counsel.