Lawsuits

A major lawsuit can be devastating to you, your business, or a family member. (Every American has a 1 in 4 chance of being sued in their lifetime!) Most people don't think about being sued. Do you drive? - You could be sued. "But I have auto insurance and an umbrella policy for $1,000,000", you say. Unfortunately, juries in wrongful death or personal injury cases often award damages in the tens of millions. If your insurance is inadequate, the plaintiff's attorney will start looking to your personal and family assets to satisfy the claim. A quick search of the public record will reveal any real estate that you own. You could lose your house, vehicles, savings, investments - everything you have worked hard for your entire life. Gone, in a flash.

Long Term Care

Over 50% of the US population will require long term care at some point in their lives. As you are probably aware, a nursing home stay can cost $5,000 per month and upwards. At that rate, it doesn't take long to go through a lifetime of hard earned assets. For a married couple, the spouse who remains at home can suffer a diminished lifestyle and when both spouses have passed on, there may be nothing left for the children or grandchildren.

Through proper planning, you can provide for the possibility of a nursing home stay, while maintaining your lifestyle and being able to leave something behind for your loved ones when you are gone. WARNING: Just giving away assets outright is NOT the best way to do it!

Probate

Probate is the process where the court interprets your will and supervises the distribution of your assets to creditors and beneficiaries. If you do not have a will, the court will give you one! Your assets will be distributed by statute to your surviving next of kin. If you have no surviving next of kin, the money goes to the state. - This may not reflect your wishes. At the very least, you should have a basic will.

Depending on your situation, you may want to avoid probate. Some of the reasons for this are: Saving money on probate fees, maintaining your family's privacy (probate records are open to the public, including your assets), providing for youthful or special needs beneficiaries over the long term and time savings, among others.

Guardianship

If you become disabled and are unable to manage your affairs, the Probate Court can impose a guardianship. The court will appoint a guardian to manage your personal and financial matters. This person may not be someone you would choose for these duties. In some cases, the court will impose a guardianship while you are temporarily incapacitated. When you recover and can manage again, you may find that your business affairs have been mismanaged and much of your money gone.

With proper planning, you can designate a family member or trusted friend to handle your business. - Someone you know will keep your best interests at heart instead of a stranger the court appoints.

Estate Tax

Depending on the size of your estate, the Federal Government and the State of Ohio can take OVER 50% of your hard earned wealth - most people would rather leave this money to their loved ones. Again, with proper planning, you can reduce or eliminate this burden.