The definition of ESTATE as defined by Black’s Law Dictionary is “The interest which anyone has in lands, or in any other subject of property.” The “estate”, therefore, refers to and means, everything a person has, owns or has a right to. This includes, but is not just limited to, his/her home, bank accounts, insurance policies, lawsuits, stocks, bonds, etc. The most common usage of the word “Estate” refers to what a person has, or had a right to, at the time of his/her death. There are two (2) aspects to this Estate; the first is, how much does the person have to distribute to his/her beneficiaries and who will get what or what portion of the assets, and the second is, how much, if any, tax will be paid from the estate. Remember, that before anyone can collect from the estate, the taxes must be paid first.

There are several ways of distributing one’s assets (estate). The most familiar method is by a Last Will and Testament (the Will). In the Will, you direct your Executor/Executrix (the person acting on your behalf when you are no longer alive) what to do with your estate. You can direct the Executor/Executrix where you are to be buried or how to handle your remains. You can direct your Executor/Executrix as to whom and what to give to any person or entity, such as a charity. You can even direct the Executor/ Executrix to exclude someone from receiving under the Will.

One of the most common misconceptions is that a Will is only for older people. That is not true because a) there is no telling when a person will die - we have all heard of 25 or 40 year olds passing away, and b) it is the younger people who must provide for their minor children should they no longer be with us. The Will establishes who will be the Guardian and Trustee and who will have power over the share of assets the child(ren) are to receive under the Will.

Another misconception is that if you do not have a Will, the State will get all your assets. Not true. The only time the State gets all of your estate is if there are no relatives. If you have no Will and if you have a spouse, children, siblings, parents, or even cousins, your estate will be distributed according to the laws of the State of New York. With a Will, you can give as much or as little as you want to whomever you want.

The term PROBATE refers to the process whereby the Surrogates Court is asked to accept the Will, verify its authenticity, and officially designate the named Executor as the recognized representative of the Estate of the decedent. Conflicts arise between family members who may claim that some undue influence was exerted on the person making the Will and therefore a potential distributee did not get a fair share. Charities named in the Will must be notified of their legacy under the Will and as such must be represented by the Attorney General’s Office. The Surrogate must receive proof that the distributees did in fact get the legacy granted them in the Will. All this takes place in the process of Probating of the Will.

To minimize the tax on your Estate, we use Estate Planning. It is exactly what the name infers, we plan on what is or will be in the estate and on how to distribute it so that you pay as little or no tax at all. It could be from relatively simple advice on how your bank accounts should be maintained or insurance policies held to more complex trusts. In Estate Planning, the key word is Control. Who controls, who owns, who has rights in that asset. The less you own, the less you control, the less the estate tax. Currently, if you own less than $1.5 million, you are exempt from estate tax. By the year 2009 it will go to as high as $3.5 million and in 2010 the estate tax will be repealed entirely. That is how it stands today. No one can predict what the government will do next or if they will ever reinstate the estate tax. But we plan based on today’s laws.

There are several other matters that should be addressed currently. You have heard of the Living Trust. This, too, is another method of distributing one’s assets to limit any potential estate tax but it is done while the person is alive. The asset is transferred now, while the person is alive, but not delivered until after death. One of the benefits of such a transfer might be the eligibility of Medicaid benefits, should the need arise.

With today’s modern medicine and technology, doctors can keep a patient alive for days, months, and even years. You must ask yourself if that is what you wish to happen to you? Do you want to be kept alive in the hope that a cure or remedy will be discovered that will restore you to your normal self or would you like to let nature take its course and be allowed to die? With a Health Care Proxy and Power of Attorney, you make the decision, not the doctor or hospital.

With a Power of Attorney, you give someone the right to act on your behalf. With a Durable Power of Attorney, this right exists even after the person granting the power becomes incapacitated. However, it does not continue once that person shall die.

Each case and each situation requires diligent analysis to ensure that the dictates of the client are accurately and completely complied with. We treat our clients as family and look beyond just the law but to our clients’ wishes.