Stone Law, LLC

We work hard over a lifetime to build a financial legacy. Your legacy may entail property, business endeavors, investments and retirement accounts, collectibles and jewelry, just to name a few. The details look different for everyone, yet we all have a need to plan for what happens with everything weve worked hard for when we pass it on to our spouse, children, other family members, or friends. Unfortunately, if we dont have a plan the state has one for us.   Two of the biggest concerns may be providing for a loved one with a disability or special need and how to ensure any gift you hand down is used in the manner you intend. First, when you have loved ones with disabilities a lump sum from an inheritance could impact their ability to receive care. If they are accessing disability benefits (typically based on resources) inheriting a large amount of money can upset the balance of their accounts and kick them off existing benefit plans. Having a Special Needs Trust (SNT) as part of your comprehensive estate plan can protect any inheritance received by individuals with disabilities, allowing them to access funds for things the government wouldnt otherwise pay for through public benefits. A SNT puts the trustee of your choice in the role of gatekeeper, allowing the individual named to ask for financial support and be provided for without having an inheritance dwindle unnecessarily.  Choosing a compassionate, financially wise person for this role is crucial. A second way to protect your beneficiaries and ensure your financial legacy doesnt end up part of a divorce settlement, used for an addiction, or spent when creditors come calling, is creating a heritage trust (a specific type of Dynasty Trust). Setting up heritage trusts for your beneficiaries can preserve your financial legacy for multiple generations; protecting what you give your children (or grandchildren) from their creditors, lawsuits, divorce, and in some cases even estate taxes. Editors Note: This article was submitted by Andrew P. Stone, Esq. Andrew is the principal attorney with Stone Law, LLC and may be reached at 877-897-6591 or by email at andrew@stonelawllc.com

Do You Need Long-Term Care Insurance?As our population ages, more and more people are confronting the fact that they or their loved ones may someday need long-term care for conditions such as arthritis, dementia or Alzheimers disease.Nobody loves this topic, but we believe it is one of the most important and overlooked areas of planning today. Getting this rightor getting it wrongcould make a huge difference in your familys future standard of living.Individuals who plan are more likely to get quality long-term care later if they need it. Long-term care insurance policies can protect people from using up all their assets or becoming dependent on family members.Long-Term Care Insurance to Meet Your NeedsBuying long-term care insurance isnt simple. Policies come with a dizzying array of choices and optional riders. Three worthwhile features include a level premium, inflation protection and comprehensive coverage that allows for all levels of care including home health care.Premiums vary depending on the maximum payment for daily care, the waiting period, and the length of benefits. Some policies reimburse your costs up to a prescribed daily limit. Other (more expensive) policies pay a daily amount and let you spend it as you see fit. Pay attention to what is covered: assisted living, home health care, or some combination of the two.If youre shopping for a policy, try to get one that pays for at least four years of care. And make sure your own savings will cover the waiting period.Finding The right Long-Term Care Insurance?To fully understand your options, you may want to get some help from an independent agent or other source. We can help you with that process. This is not a fun task, but its difficulty pales in comparison with the hassle of needing care and discovering you dont have the coverage you thought you did.Even if you are having trouble qualifying for long-term care insurance or an illness comes up suddenly, there are still options. Dont lose hope. Call us and we will do our best to connect you with viable options.

As we age, issues of guardianship and conservatorship may come up. If at some point an individual is no longer able to make financial or medical decisions a court may designate a guardian, conservator, or both. The courts decision to appoint a guardian or conservator removes the individuals rights to make decisions due to the individuals inability to manage safely and effectively on their own. Those entrusted with these roles take over making decisions for the protected person.Colorado separates guardianship, appointing someone to make health and welfare decisions, and conservatorship, appointing someone to manage finances and assets.Separating these roles allows for an individual to continue making health and welfare decisions when able, while appointing someone to take over financial decisions. The opposite could occur, depending on an individuals situation and ability. When both a guardian and conservator are needed the court may appoint two different people required to work together making decisions in the best interest of the protected person.A conservator works to ensure the protected persons assets are used wisely for housing, medical, and other needs. Allowing bills to be paid and bank accounts managed. The guardian manages medical needs, support, care, welfare, housing, etc.Leaving the decision of who takes on these critical roles to the court may not be in your best interest. By naming individuals within powers of attorney you allow yourself a say in the decision.A financial power of attorney allows you to name a conservator, and indicate which financial decisions they are allowed to make for you. As your situation and needs change this document may need updating to fit your circumstances.A medical power of attorney names someone to act as guardian, making health and welfare decisions when you are unable.When appointing a guardian or conservator the court takes several factors into consideration, including those named within powers of attorney. Ensuring someone appointed guardian or conservator will act in your best interest is crucial. You want someone who will manage your assets and medical care wisely. Having powers of attorney in place as part of comprehensive estate planning can give you peace of mind knowing someone you trust will take care of you.Editors Note: This article was submitted by Andrew P. Stone, Esq.Andrew isthe principal attorney with Stone Law, LLC and may be reached at877-897-6591 or by email at andrew@stonelawllc.com

Nursing Home Spend DownAlzheimers. Stroke. Multiple Sclerosis. Parkinsons. Dementia. Later in life, the greatest threat to your family assets is an illness or disability that requires long-term care in a nursing home.Nursing home care can cost $80,000 to $90,000 per year. In 25 years that cost is likely to double, twice. By the time you need nursing home care, you can expect to pay around $250,000 per year!Long-Term Care Insurance is one way to protect your assets. But what if you cant get it for health reasons? Or if Long-Term Care Insurance is too expensive?The Five Year Lockbox Trust may work for youIt works like this: first, you create, or convert, your existing revocable living trust into a Five Year Lockbox Trust. Then you place all of the assets you want to protect into the trust.Once created and funded, the trust holds your assets and pays you all income those assets produce. The trust owns your home, but you still have the right to live there and to sell and buy a new home. You keep your social security and pension income. Because the Five Year Lockbox Trust is a trust, the person you name as trustee (usually a child or close family member) is obligated to protect and preserve those assets, so the risky strategy of giving the property away to your children with no strings attached is eliminated.After your assets have been in the Five Year Lockbox Trust for five years, the trust assets are protected from the Nursing Home Spend Down and Medicaid will pay for nursing home care.The Five Year Lockbox Trust also doubles as your Estate Plan. It contains provisions to name the person in charge if you are disabled and after youre gone, and your assets pass to your family after youre gone without the expense and delay of Probate.If youre out of money, youre out of options. The Five Year Lockbox Trust may be the solution you need to protect your dignity late in life.

Medicare and Medicaid are often referred to interchangeably, but they are not identical programs and have different coverage benefits.The goal of Medicare, which is tied to eligibility for Social Security, is to provide affordable health insurance for the elderly. Getting set up with the right Medicare coverage can be confusing; having someone to help you navigate all the options can make the process feel less intimidating. To add to the challenge of setting up Medicare, there are private insurance companies that have supplemental insurance plans (Medicare Supplement or Medigap Insurance) to cover any medical expenses not met under Medicare.Medicaid, on the other hand, is a federal and state public assistance program that pays for health care services limited to eligible indigent individuals (e.g. disabled, elderly, etc.) with financial need. Unlike Medicare, qualifying for Medicaid is unrelated to work requirements.One of the many key differences between Medicare and Medicaid is this: while Medicare does not cover long-term nursing home care, Medicaid does. Since private, long-term care insurance does not cover all nursing home costs, having Medicaid coverage is beneficial. To be eligible for Medicaid coverage of nursing home care, there are citizenship, medical, and financial requirements.Estate Planning, Asset Protection and Nursing Home Care with Medicaid Eligibility ConsiderationWhile there are ways to protect your assets and qualify for Medicaid services, this is a specialized area of Elder Law practice and working with an Elder Law attorney who knows the laws around Medicaid eligibility is critical. At Stone Law our attorneys continually review changes made to the law so we can help you come up with a plan that meets your needs and fits within the legal requirements for Medicaid eligibility.Its never too late to do this type of planning. Even if a loved one is already in a nursing home planning can be done to save a portion of those assets from being spent on nursing home care. Typically at least half of the remaining assets can be protected, but in many cases even more can be saved. If someone tells you the only option is to spend down the assets they probably dont know enough about this area of the law. Call Stone Lawtoday and let us work with you to protect your assets and preserve them for your family.

We spend time and money investing in our retirement. And when the time comes to retire, we usually have plans for traveling, visiting family and friends, golfing, or just relaxing anywhere we can after many years of hard work.With careful and strategic estate planning, you can maximize your retirement benefits and ensure that your assets are protected for future generations.Social Security, Supplemental Security Income, Railroad and Veterans BenefitsThere are many benefits availablefrom social security and supplemental security income, to benefits specifically for veterans and railroad workers. Figuring out how to apply, filling out the application, and understanding the appeals process if your initial application for benefits is denied, can be tricky. Even knowing when you are eligible and for what services or funds can be tricky. At Stone Law, we work with you to determine what you are eligible for and we provide assistance through the whole process, starting with your initial application through to any possible appeals.Pensions, 401k Plans, IRAs and Roth Retirement PlansKnowing which retirement plans and accounts you have, when and how distribution of funds work, who your beneficiaries are, and how to manage these assets is important. Depending on the amount of money available and invested, decisions will need to be made to plan for what happens after you pass away.Simply leaving the money to your spouse, partner or children named as beneficiaries might not be enough. Estate taxes and other financial issues might arise for your family. With proper estate planning, you can maximize your hard work and reap the benefits for years to come. Call today for an appointment and we will work with you to ensure you have the right estate planning in place, whether that means starting from scratch or working with existing estate plan documents.