KR Hess Law - San Diego Estate Planning

Join us for the "Truth About Estate Planning" Seminar... why everyone needs an estate plan at the La Jolla Community Center June 14th at 6 p.m.

Merry Christmas for those who cekebrate! From all of us at KRHess Law we are grateful for you and wish you a wonderful holiday!

💜Grandparents: you have a far greater gift to give than just your money

When we think of legacy, our minds usually picture materialistic things.

But grandparents can leave far greater things than, well, things.

There is a very special bond between grandparents and grandchildren, a kind of love that only grandparents can give.

You can harness the power of that relationship and live your legacy now to leave an amazing legacy later on:

✅ Be their role model - give them values and morals
✅ Be their teacher - give them your time
✅ Be their historian - give them stories
✅ Be their playmate - give them memories
✅ Be their student - give them your attention

Living a legacy starts while we are still alive, so get out there and have fun!

❓ “Can I protect my house from nursing home costs?”

That’s a big question we get daily.

Shoot us a message and we will be happy to answer any questions (just like the one above) anytime.

⛰ In your opinion, what is the most beautiful place on earth?

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🤨 Can’t make a decision on who will be guardian for your kids?

It’s a pretty big choice, after all.

You and your spouse love your children more than anything.

But you feel that Uncle John is the best fit, while your spouse feels Aunt June would be better for your kids.

A whole lot of emotion is tied to this decision, and you both feel strongly about your opinions.

Want to know how to get “unstuck” and get the decision made quickly?

Take a piece of paper, split it in two.

Write one guardian candidate’s name on one piece, and the other name on the other piece.

Put the two pieces of paper in a hat and get someone else to draw a name for you.

Or you could flip a penny. Or play rock-paper-scissors, you get the picture.

The point here is to have something else make that quick decision for you.

And here’s what’ll happen: over the course of a few days, you both have to think about whether you are really okay with that choice.
Align your values with the person(s) who are best able to love your child/children according to your values.

And if you’re agonizing over it, then you can have a conversation about it. But if you’ve come to terms about it and forgotten all about the squabble, then chances are, you’re happy with the choice that has been made.

Send us a message anytime if you have a question about estate planning!

We cannot control the actions of others, but we can certainly control our own.

🏝 You’re on a desert island and you can bring only three items with you to keep you happy while you wait for your rescue.

What would you bring?

Parents, here is actually what happens if you die without a plan 👇

😵 A judge (who doesn’t know you) will decide who will raise your kids.

😵😵 That person that the judge picks may also be responsible for their financial well-being.

😵😵😵 All your money may go to your kids when they turn 18.

As if the first two aren’t scary enough, think about that last one for a minute.

What would you have done if someone gave you that much money when you were 18?

It’s not a pretty picture.

Please don’t hesitate to shoot us a question here in messenger, we are always happy to help.

Your kids deserve it.

These are the couples that are truly the most blessed.

🔥 Tornadoes, floods, fires...are your finances disaster-proof?

Here are four steps to make sure they are:

1️⃣ Review (and possibly increase) your insurance - make sure you have enough coverage to rebuild your home if need be.

2️⃣ Scan documents into the cloud - this not only enables you to have instant access to your important documents when you are on the go, but this also ensures that you have a second copy that won’t get burned up or flooded out.

3️⃣ Perform a home inventory - it’s easy, just grab your smartphone and take a video of everything on the inside and outside of your home. Then upload that video to the cloud.

4️⃣ Give your passwords emergency access - get a password management program (like 1Password) to store all of your passwords. This also allows a trusted person to take over your account if you become unable to handle them yourself.

Side note: aim to do these four steps once a year.

Want help getting your finances in order? Send us a message here and we’d be happy to answer your questions.

Have questions about estate planning? Send us a message here anytime.

❓ Does Little Suzie’s guardian have a backup?

The guardian you have planned to step in for you if you die...do you have someone to step in for them if they die unexpectedly?

It happens.

And the last thing you want is to have a judge who doesn’t know you, your family, to be in control of who takes care of Little Suzie.

Especially after all the preparation you already did to get the first guardian lined up.

We know, it’s a lot of work and it isn’t easy.

But it’s worth it, don’t you think?

Our recommendation is to have at least two sets of guardians lined up and ready.

If you have questions on how to select the right guardians for your children, swing us a message here anytime - we are happy to help.

❓ Question: What is estate planning?

Answer: It’s the preparation to take your assets (everything that you own) and pass them on to your loved ones with the least consequences.

It’s a pretty big deal.

Have questions about your end-of-life planning? We’d be happy to answer, send us a message anytime.

☕️ How do you take your coffee?

💰 “How do I make sure my kids get my money/property when I die?”

That’s a question we get on a daily basis.

Here’s your options (with their pitfalls), and our own recommendation:

Option 1: You could do nothing.

Pitfall: This is risky because you have no control. The property will have to go through probate (a process where a judge will control the timing and manner of all your distributions).

Option 2: You could leave the money directly to your kids.

Pitfall: Although this does ensure your kids get money, it does create problems. For instance, if your kids are under 18, they won’t be able to inherit until they are of age. In the meantime, the judge will appoint a conservator to look after those assets until that time. The cost for this will be out of the money you are leaving for the kids. Not to mention, this conservator will have no connection with your family therefore will not have your wishes top of mind.

Neither of those options are sounding top-notch, are they?

Here’s what we recommend 👇 :

Leave your assets in a trust for your kids.

You won’t have to worry about the age of your kids AND you get to pick who will distribute your funds to the kids. That person is called a trustee.

Plus, you avoid the probate process altogether.

Want to learn more about trusts? Send us a message anytime!

Or a wine!

❓ “My husband just passed away. What do I do?”

Taking action after your loved one passes can be tough and confusing.

So we made this simple checklist of what needs to be done within 30 days.

Please share with anyone who you feel might need it, or is going through the grieving process right now.

📌 At the time of death:

🔸 Contact the police
🔸 Contact all known friends and family (if your spouse was in the military, contact The American Red Cross)
🔸 Contact their employer if necessary
🔸 Find their final instructions (did they have a burial plan?)

📌 Within 5 days of death:

🔹 Prepare for burial/funeral/memorial service
🔹 Contact their estate planning attorney, if they had one
🔹 Delegate tasks (ask close friends and relatives to answer the phone, collect their mail, care for the pets, etc.)

📌 Within 15 days of death:

🔘 Order death certificates
🔘 Contact the rest of the essential contacts (contact life insurance to locate life insurance policies, contact tax preparer to determine the filing of final income tax, cell phone company to cancel subscription, etc.)
🔘 Read the Will, Trust or other estate plan documents

📌 Within 30 days of death:

If you haven’t by now, hire an estate planning attorney to help you through this confusing process.

We are here to help you every step of the way.

⏰ Stuck waiting at the doctor’s office again?

If you’re trying to kill some time, these games will not only sharpen your mind but bust that boredom too:

Citytopia - build and manage your own city!

Diner Dash Adventures - put on your chef’s hat and micromanage your restaurant!

Puzzle Page - it’s word searches, sudoku, and crossword puzzles all in one!

Words with Friends 2 - a virtual board similar to Scrabble, with a chatbox available so you can chat with friends!

1010! - all about making squares fit together to make the board disappear (think graph paper).

Happy gaming!

🤓 What are you learning about right now?

There are a lot of tax related issues on the ballot this November. Locally, many of my clients apply for the "Exclusion from Reassessment" on parent to child transfers of real estate. This prevents the property taxes from going way up when you inherit real estate from your parents. Prop 19 would take this exclusion away... Be sure to research the issues.

👨‍👩‍👧 Nobody will ever love or know your children better than you do.

And it’s going to be really hard finding a guardian who matches all of your opinions when it comes to religion, money, values, etc.

So how do you make sure that your guardian knows how you want your children to be raised?

📝 Document everything. Write all of it out. 📝

You can start brainstorming with these questions:

What are my values on education?
What are my values on religion?
Do I want my kids to continue on to college?

These are just a few examples. But take some time to brainstorm the important things and write them down.

We talk to parents all the time about this.

If you want help brainstorming for this document, swing us a message and we can send you more ideas of what to put in this document for your child’s guardian.

For me, it was after my father died suddenly with his legacy incomplete. At that time, I became passionate about assisting families create lasting legacies through estate planning and beyond.

❓ Question: What did they all have in common?
Answer: They died without wills.

Sonny Bono: Died in a skiing accident. Because he didn’t have a will, his estate was placed into the California probate process. And many (including Cher) chimed in to try to get their own slice.

Pablo Picasso: Thanks to not having a will, it took over six years of bitter negotiations for his estate to be settled.

Prince: He died years ago and yet, his estate is still unsettled. Why? You guessed it. He didn’t have a will.

And the list goes on and on.

Turns out, it doesn’t matter how much money you have -- if you don’t plan ahead, your family is going to pay the price for it.

Have questions about setting your family up? We are happy to answer.

🤓 What topic do you love to geek out about?

🧐 Did you know...

These two documents sound the same, but they are completely different legal documents that serve separate purposes…

😡 Worried your kids are going to fight over inheritance?

We see this too often, and it’s painful to watch.

A beloved family member passes on and is not clear on their intentions.

Siblings fight over who gets what, and it can get real ugly real quick.

But you can protect your family from this with these two steps:

1️⃣ Communicate, communicate, communicate.

Get everyone that you have planned in your will, sit them down in a room all together, and explain to them your final wishes. This helps squash any surprises they may have later on.

2️⃣ Include this clause 👇

Make sure your plan has a clause in it that will make it very difficult for anybody to challenge your will. Yes, this is perfectly legal and it is used all the time. This course of action helps avoid any legal disputes.

Swing us a message anytime, we are happy to answer any questions about estate planning!