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Estate Planners Evolve to Serve a Wider Range of Clients
COMPILED BY SARAH KAHL, ESQ.
Estate planning attorneys have seen their fair share of change to the profession over the past few decades. We have seen the aging of the baby boomer generation, the practical elimination of the estate tax for all but a small minority of families, and the rise of electronic platforms promising a Will that bypasses a lawyer. The COVID pandemic has accelerated changes in the way all of us meet with clients and sign documents. We have survived as a profession throughout these changes because we have adapted not only to the changes in our profession but also to the changes in our clients’ needs. In order to keep thriving as client service professionals, we also need to expand how we think about estate planning as a service to meet the specific needs of a wider range of clients.
Serving a wide range of clients means adapting to serve those diverse needs. In the following segments, three lawyers challenge their peers to think from an inclusive perspective to evolve in the profession.
How Estate Planners Can Leverage Technology to Reach a More Inclusive Audience
BY ELSA SMITH, ESQ.
In an era where we are dealing with a global pandemic and mandated social distancing, it is critical for estate planners to envision bold and non-traditional means of providing our services to those who need them. Regardless of demographics, estate planning is an effective method of transferring generational wealth. The focus of this section is to discuss how estate planning attorneys can leverage technology to reach a more inclusive audience.
First, let’s look at what pre-pandemic data tells us about estate planning behavior among Americans. According to a 2016 Gallup poll, only 44 percent of U.S. adults surveyed reported having a will. Of that amount, 51 percent were White and 28 percent were Non-White, according to the same survey. A 2019 Caring.com survey revealed that Hispanics are least likely to create an estate plan. “To that point, 26% of Hispanic Americans have a will, whereas 31% of [B]lacks and 45% of [W]hites reported having a will. ” Doing a deep dive into the cause of these disparities is beyond the scope of this article. However, both the Gallup and the Caring.com surveys reveal that, pre-COVID 19, an alarming number of minorities did not have estate planning documents in place to protect themselves and their legacies.
Now that we’ve identified the problem, what tools do estate planners have to reach more diverse markets? By now, most Maryland estate planning practitioners are aware of Governor Hogan’s two recent Executive Orders authorizing remote notarization and remote witnessing of wills, powers of attorney and advance directives. 3 The effect of these Executive Orders is to radically change the way in which estate planners provide their services during the pandemic. No longer do clients have to drive to their attorney's office for an execution ceremony. For now, signing ceremonies can be conducted under the supervision of an attorney via an approved video conferencing platform. As for the additional technology needed, all parties involved must have a good internet connection and a computer with a web camera. By utilizing the tools that attorneys already have (or can obtain), we can meet the urgent needs of a broader, more diverse population and do so safely.
LGBTQ Estate Planning
BY LEE CARPENTER, ESQ.
Estate planning for the LGBTQ community has long been a special challenge. A turning point came in Obergefell v. Hodges, the Supreme Court’s 2015 decision that legalized same-sex marriage nationwide. Before then, estate planning for gay and lesbian couples consisted largely of trying to replicate the legal benefits of marriage. In the wake of the Court’s decision, however, relationship agreements and adult adoptions have given way to the more conventional tools of the practice area. As a result, today LGBTQ estate planning is simply good estate planning.
Still, working with LGBTQ individuals often involves special considerations. For example, they may need in-depth counseling about the benefits of marriage. Married or single, they could be unduly affected by the Maryland inheritance tax, which applies to bequests left to a partner, friend, niece, or nephew. And their family structures are often unconventional and may include hostile relatives.
But regardless of their legal needs, a couple must feel comfortable meeting with an attorney in the first place. To help put clients at ease, using the right vocabulary is essential. For example, out-of-date terms like homosexual and transsexual should be avoided in favor of gay and transgender. Some individuals will prefer they/them or other unusual pronouns. A couple may call each other their partner, spouse, husband/wife, or roommate and could take offense at any other term. The key is to follow the clients’ lead and ask if you are unsure.
The good news for straight attorneys is that many LGBTQ individuals are comfortable looking beyond their community for legal services. This willingness represents a recent shift that is especially prevalent among the younger generation who grew up enjoying greater acceptance and inclusivity.
Despite this progress, the LGBTQ community remains largely underserved. With a little initiative, however, an attorney can successfully work with this vital demographic.
Using Estate Planning to Plug the Drain of Family Land Loss Through Heirs’ Property
BY SHAKISHA MORGAN, ESQ.
Heirs’ Property is property ownership whereby land is passed down without a will to the original owner’s descendants. It is considered to be the leading cause of Black land loss in the U.S., as thousands of acres were forcibly bought out from Black rural families by developers during the 20th century. Heirs’ property typically refers to Blackowned land in the South, but this is also a local issue. Our Firm has witnessed numerous Black families suffer land loss through forced partition sales.
Unclear title for a house or land can jeopardize a family’s desire to use property as a wealth-building tool for future generations. As family entitled to inherit the land continue to die without a Will, land ownership becomes increasingly fractured as the number of heirs with an undivided interest in the property grows from generation to generation.
Black Americans have historically lacked access to the legal system, and were denied the opportunity to draft wills and to secure title to their property. Today, Black Americans still face income disparities, institutional discrimination, disparate impact of laws, and continue to lack access – and, sometimes, resources – to prepare estate plans. Nevertheless, these families have a significant need for estate planning, family ownership structures, and information on the impact of probate and laws that limit their rights regarding heirs’ property.
When wealth vanishes from a family, it means that families are making everyday life choices without financial security. As attorneys, let us be duty bound to not only serve those with taxable estates, but to also serve families where estate planning allows for a shift towards a trajectory of wealth building through land preservation and development. Our estate planning skills can be used to decrease the disparity of wealth in the U.S. and increase financial security for more families.
