Special Insert: Estate Planning Guide

Estate Planning Guide

The Emotional Side of Estate Planning

BY LINDA NWOKE

There are two schools of thought in the field of psychology when it comes to discussing emotions. One of the theories argues that emotion causes behavior. Thus, one's emotional state results in action. On the other hand, another argument posits that conscious emotion results from behavior that serves as a source of feedback mechanism. Irrespective of which theories we choose, we know that emotions affect behavior and vice versa. They are interrelated and form part of human life.

Definition of Emotions, Causes, and Consequences Emotions form due to the interplay among various chemical reactions that occur inside the body, which regulates the mind and body. They assist us in coping with life, such as during interactions with others, when seeking direction, and making decisions. In particular, emotions significantly affect how we think, see, focus, reason, learn, and solve problems. Our feelings often influence our focus or object of attention, which inadvertently affects the level of motivation and exhibition of behavior toward the object. In all, emotions help us to survive. Going back to the school of thought, we learn that emotions activate fixed behavior "patterns" such as fight, flight, or avoidance actions. This belief works on the premise that while emotions influence behavior, it depends on the person's past experiences and the present context. For instance, when faced with a potential family feud resulting from a decision, the panic you feel may lead you to respond aggressively. If this strategy worked for you in a similar circumstance in the past; or it may cause you to form alliances with other family members to gather support for your decision.

What is Estate Planning? Based on judicial decisions, a person's estate refers to the totality of their assets, without liabilities. So, when an individual, while alive, decides to plan by organizing and distributing their assets in the case of incapacitation or death, it is called estate planning. This concept involves planning the management and allocation of one's estate ahead of any eventuality.

Importance of Estate Planning Trusts and Estates are two acknowledged legal means for transferring assets to one's beneficiaries, including heirs. Ideally, every adult who has any form of assets should try to have an estate plan which usually includes a Living Trust. However, while a Trust allows you to transfer your asset in an ongoing manner before and after death, an Estate only allows a one-time transfer of assets, specifically after death. Trust planning, in particular, helps the family in two ways: one is to help secure a family financially, and the other is for better control and protection of a family's assets. According to an article, a U.S. Bank senior vice president and regional trust manager explain that "Trusts are vital to helping support people throughout their lifetimes and put plans in place for the next generation," says Nancy Hermann. An individual can also decide to draw up a Will that explains their intentions for distributing their estate upon their death. The document must be signed, dated, and notarized or witnessed by two people in compliance with the 'Wills Act.' In some states, parents of minor children use Living Wills to elect guardians for their children in the case of unfortunate circumstances. In contrast, continued on page 2 INSIDE:

Can a Will be Contested?

Life, Death and Compassion

Leaving an Inheritance to Minors

Planning Tips for Newlyweds

The Emotional Side of Estate

Planning/continued from page 1 they use a living trust to command how their other assets, including real estate, will be distributed and managed. Realistically, anyone who wants to transfer their assets to one or more surviving loved ones after their death should both consider and set up a formal estate plan. The importance of planning ahead safeguards the family's future, fortune, and legacy and contributes to creating peace of mind. Careful estate planning is achieved by having a Living Will, Living Trusts, Powers of Attorney, and putting financial plans in place for managing financial commitments like taxes, debts, and loans. This essential set of legal documents makes it easier for family members to carry out the wishes and needs of the one who passed away or their wishes met if they are unable to speak for themself.

What Prevents an Individual from Engaging in Estate Planning? Despite the apparent merits of planning, why do people still hesitate or downright avoid having such documentation, you would ask. Several reasons can be attributed to the cause; however, fear remains central. This emotional reaction has been discovered as the main facilitator for this avoidance behavior—the fear links to three major areas—loss, cost, and appearing ignorant. The fear of death and giving up control is entrenched in superstitious beliefs and an unrealistic belief in one's immortality. They believe that talking about death is taboo because they feel that they are jinxing themselves by attracting 'negativity' that runs contrary to their belief. They undergo various reactions like anxiety, depression, anger, and sometimes hostility when the issue of death arises, especially when linked to them. Similar responses are expressed when confronted with the possibility of losing control in situations like becoming incapacitated or memory loss. At best, this line of thought is a myth because every living thing must expire or die at a given point. People need to face the reality that death is all part of living and the concept of estate planning is merely an extension of the caring role they have played while alive towards their loved ones. Also, the act of planning their estate ensures that what they have spent a lifetime building serves others, which in return keeps their memory alive, hence protecting their immortality though 'only in memory.' In the case of Trust planning, it ensures things are cared for while alive and, this action gives a sense of control. Sometimes, the fear of potential cost for the services deters people, especially those with low income, who often consider that estate planning is for the affluent and benefits those left after their death. For them, the cost and benefit are not worth the trouble. After all, the assets are not really worth all the emotional energy and time spent sorting things out. However, for any individual who genuinely cares for the family, estate planning is truly a reflection of the level of love for their family members regardless of how much it is worth. After all, one can argue that the kind of gifts we give members of our family reflects how much we care for them, not in terms of the price tag, but actually in the effort made toward choosing the right gift. Another considerable fear that evokes an emotional reaction like procrastination or denial is the fear of dealing with an attorney. Sometimes, people associate dealing with attorneys with inviting trouble or engaging with the law, so they develop anxiety over how to work with a lawyer without becoming overwhelmed or rail rolled into making decisions that are not consistent with their values and beliefs. Just like the attorney's fees also serve as a significant concern. The estate planning issue also raises some complex and knotty issues, which accompany various family types and circumstances, such as blended families and extended families. Such complexities require tough and sometimes hard decisions that bring on some hesitation. Unfortunately, the consequences of dying without an estate plan mean that any asset or property in your name becomes probate assets, subject to laws of intestate succession. This process is not only time-consuming but also often leads to family feuds and sometimes avoidable wastage.

How to Manage Emotions Associated with Planning Your Estate Consistent with anything related to fear, the first step towards addressing any 'fear-filled situation is becoming informed, which is a way of confronting the issue. Therapists often use two psycontinued on page 3

Avoid Estate Planning Scams

Unscrupulous actors sometimes try to entice unaware victims into financially crippling scams. One of the most common types of scam deals relates to living trusts. Fortunately, by doing your research and ensuring you are entering a valuable contract, most scams are easy to see through and avoid. A living trust is a written legal document into which you place some or all of your assets. The belongings are managed by yourself or by someone whom you dedicate the responsibility to at the time of death or until a specific date. According to the Federal Deposit Insurance Corporation, you can choose from two types of trusts. A revocable trust is an adaptive deposit account managed by one or more people designated as a beneficiary who receives the assets upon an owner’s death. It can be revoked, terminated or changed at any time, at the discretion of the owner. An irrevocable trust is when the owner contributes deposits or properties to the trust but gives up power to cancel or change the account. When determining the right plan, keep an eye out for common types of scams. Fraudulent Activity Typically, the beginnings of a dishonest living trust begin with a phone call. Unsuspecting people, often elderly, are solicited to attend seminars or receive an in-home visit to discuss living trusts. Once the meeting starts, trustors are often put under extreme pressure to secure their assets through pushy sale pitches. In most cases, a con artist will play on the worry that your beneficiaries will be unprepared to deal with your death or that a court will decide what happens to your belongings. continued on page 4 The Emotional Side of Estate

Planning/continued from page 2 chological methods to treat any anxietyrelated problem- exposure therapy or cognitive behavioral therapy. In this case, the best measure of treatment in addressing the fear of death, losing control, meeting an attorney, or cost is the use of cognitive-behavioral therapy. This method employs actively confronting the issue, for instance, in the case of fear of death which is a natural phenomenon and must occur. Everyone needs to understand that it must happen. One has to face the fact that no one is immortal. Confront the fact that death, dying, transitioning is all part of living. Whether you choose to discuss death or not, it will happen. While it is not advisable to keep thinking of death, planning for when it happens gives one some form of assurance. On issues relating to working with an attorney, finding the right lawyer to work with matters significantly in this case. Investigating and depending on referrals often works in addressing the challenge. What's more, the fear of cost remains unaddressed until one conquers all the other concerns. The cost for service differs from one person to another based on their varying circumstances and dynamics. While some estate planning follows a flat fee rate, getting an estimate requires speaking to an attorney about your unique family situation. Lack of information is also a significant obstacle to be overcome in the long run through education. Indoctrinating financial literacy and values between children and family members remains vital. Parents need to train their children about the importance of money and responsibility early in life. Teach them to respect money by saving and using family games as the monopoly, especially for youngeraged kids. Beyond that, making planning 'integral' as a family value is crucial. It is essential to make sure that planning because part of the family practices so that discussing issues like 'Trust planning' later does not cause any anxiety. In the real sense, estate planning is a gift to your family, a way of showing care for the family. The act of arranging your affairs to serve your family and loved ones, and interests is indeed the most precious gift you can give of yourself now and after. In addition to protecting minor beneficiaries, or adult beneficiaries from creditor problems, debts, change in marital status, poor judgment, and other external influences. After all, life happens! p

Planning Tips for Newlyweds

Making estate or end-of-life planning is likely the last thing on your mind after beginning life as a married couple. However, with the new unity, the responsibility of protecting your spouse in case of an untimely death is critical. Experts say that thinking about estate planning early in the marriage process can actually be a bonding experience. Discussing estate planning isn’t always easy. However, the journey must be traveled together. If your spouse is hesitant to approach the subject, share the importance of its meaning and the peace of mind gained once it is achieved. Begin your life together by following these tips to secure the future for both parties and any children involved.

Combine Your Documents After your marriage, you will receive a certificate that shows the legality of your union. Take this opportunity to combine it with other vital documents and keep them in a secure, fireproof safe. It’s also a good idea to make separate copies and store them in an off-site location like a deposit box. A few forms you should include are birth certificates, social security cards, passports and documents that represent your children. You will also need to be honest about financial information like bank accounts, life insurance policies and retirement plans.

Set a List of Goals Writing a list of goals for your estate can help you meet milestones and make more significant attempts to save to meet your vision. Consider deciding on a set amount that will benefit your loved ones and a sum that goes to a chosen charity. Work together to make a plan, set achievements and reach your accomplishments. One significant advantage is to work with an expert estate planning attorney who can provide the right steps you should take.

Create a Will and Trust A secure will or trust is an excellent place to begin when drafting your estate plans. The documents or accounts can express your desires for distributing your assets or finances without loved ones facing drawn-out probate processes. Of course, remember to update your final wishes as you welcome children into the world or life situations change.p Avoid Estate Planning

Scams/continued from page 3

In most cases, these salespeople are merely attempting to access your sensitive financial information. They will often make illegal withdrawals from your accounts or sell your data to other con artists to pursue more fraudulent sales.

Ways to Avoid a Scam Keep these tips in mind to avoid falling victim to an unruly financial trust. • Recruit your own trusted attorney or reputable estate planner. • Never sign documents that you don’t fully understand. • Ensure you have the option to update your trust periodically. • Verify any affiliation or endorsement by a government agency or senior association. p

Estate Planning Life, Death and Compassion: Education and Empowerment at the End of Life

BY LINDA NWOKE

Francis Bacon, an English philosopher, once wrote that 'knowledge is power and "It is natural to die as to be born." Arguably, the notion of life and death is an oxymoron, but in reality, death is a part of life; none can exist without the other. Yet, the topic of death is difficult to discuss. Thoughts of the death of a loved one or oneself evoke an array of tumultuous emotions, including an avoidance behavior that often puts one's loved ones in the wrong place in case of this eventuality. According to a 2017 Center for Disease Control report, before the COVID 19 pandemic, an average of 7,708 deaths occurred each day in the United States, with January, February, and December recording the highest average daily number of deaths according to the National Vital Statistics System. In August 2021, CDC reported over 600,000 COVID 19 related deaths, with close to 42,000 deaths in New York State. The incredible number of deaths caused by the virus, especially among the aged and elderly, buttresses the importance of planning for times where one is incapable of making certain decisions about one's quality of life. Around the United States and particularly in New York, the coronavirus pandemic forced many people to confront the issue of death and dying in numerous ways, including discussions about life and death issues among family and friends. Many people had to question their beliefs about death, and some began to question the concept of what makes a good death. Thoughts about dying among loved ones, saying goodbye, passing away peacefully with minimal pain are some of the evidence of a great transition. A luxury that was denied to many loved ones who died during the pandemic. Besides the pandemic, the diagnosis of a terminal illness often connotes an end. Typically, accompanied by episodes of excruciating pain and intolerable suffering, with no effective treatment or palliative care. This situation is often the reality for those living with advanced cases of lung, breast, brain cancer, Parkinson's, or heart disease. The type that Mrs. Stone, who lives in Brooklyn, faced. After the diagnosis of stage 4 ovarian cancer, which had spread into her lungs and pancreas, she became incapacitated, and the medication only made her feel worse. She desperately wanted an end to the intolerable pain and agony. Yet, like others in over 40 states in the US, her team of doctors could not offer any relief beyond the 'ineffective' treatments nor provide other alternatives like medical-aid-in-dying or assisted dying. An option that would have helped her die quickly but not suggested because of pending legislation. Thus, patients like Jack Gray (pseudonym) are denied the opportunity to die with dignity on their terms rather than suffer fast-spreading cancer in their internal organs. Such patients, often diagnosed with a terminal illness, have only a few months to live and choose death by dignity or medical aid in dying, enabling them to remain in control of when and how they die. It is an empowering option that allows them to choose to be surrounded by loved ones, bid farewell, and transit peacefully. In collaboration with the Compassion and Choices Senior Campaign Director, Corinne Carey, Senator Roxanne Persaud organized a forum that discussed the issue of education and empowerment at the end of life. According to the Senator, the forum will help members of the constituents to gather information and have conversations that enable them to make informed decisions about medical aid in dying. Across the country, currently, only nine states and the District of Columbia have joined Oregon in passing the Death with Dignity Act (1997). The Act permits doctors to assist patients who have less than six months to live, are professionally certified to be sound-minded, self-administer the medication without assistance, and choose how and when to end their lives. New York State has not signed the law despite repeated introductions and deliberations, pending since 2016. The director, Ms. Carey, affirmed that if signed, it will not give doctors a blank check to operate, advocating that NYS should follow what other states are already doing. She explained that the eligibility requirements remain consistent across the states – have a terminal illness, be 18 years and above, have at least two doctors confirm the 'less than six months to live 'status. Also, patients must be mentally competent to make the decision and able to selfingest the medication. Despite the arguments, the issue of death and dying remains a sensitive one. However, not acknowledging, addressing, or preparing for this eventuality is foolhardy for anyone, especially those most affected by health disparities. Dr. Jeff Gardere, a psychologist, and ordained Interfaith minister, explained that studies have shown that black women with breast cancer are likely to die four times than white women. With the lack of palliative care, black Americans are more likely to die on machinery in ICU more than white. The proclaimed "America's Psychologist" reiterated the need for people of color to become empowered with knowledge and information on end-oflife care. "… health disparities are caused from lack of information, lack of compassion in our health care … poverty, an implicit bias which has all led to us not trusting our health system … Fewer people of color have put their end of life in place. People of color don't know about the treatment of hospice care; they think they cannot afford it…" he says. Advance care planning is essential because it focuses on the 'patient,' "… their treatment preferences, personal values, and care advocate. It's about the individual's values, goals and generally experiencing less distress towards the end of life." As a minister, Dr. Jeff revealed support is rendered through the process. Most practitioners struggle with the option from a medical perspective because of the training and oath to protect lives. Dr. Sonja Richmond, a practicing Internal Medicine and Hospice Physician noted that providing end-of-life care should be part of the medical training curriculum since informing patients about the option is part of their duty. "Health care providers need to have this training in medical school…they need to realize that they are not a failure by not providing a cure since we have been trained to be that anchor and solve problems." She explained that from experience, the discussion about hospice care often takes place under stressful circumstances and is shrouded in misconceptions. "The discussions surrounding hospice care often happen in a stressful environment and do not give people time to mourn and grief properly. Hospice care is a treatment option. It is electing to be in charge, deciding to have the quality of life, it gives the patient a voice, and it goes wherever you call home. The goal of a hospice is that you are in charge. You create a community and environment for support." Dr. Richmond addressed some hospicecare misconceptions, such as the perception that hospice care means no treatment can be rendered and confinement to living in a facility. She elaborated that "…it is electing treatment, given under the option of being cared for, ending your suffering, and it is not assisted death by a medical aide." The hospice provides a presence and creates a beautiful environment. According to Dr. Richmond,"… there is no end but transitions." The Senior Campaign Director explained that even if State lawmakers in continued on page 6

ADMINISTERING & SETTLING ESTATES

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Leaving an Inheritance to Minors

While it’s not easy to think about, estate planning to provide for your children in case of an untimely death is vital. The consideration of who will raise them is only one factor to consider. You should also delegate what happens with any money or property you leave behind and who will manage the inheritance until they become adults. If you have young children, you may not think you are old enough to worry about making end-of-life plans. However, it’s never too early to begin making plans to secure your family’s future. When planning an inheritance and custody plan, hire a professional attorney to ensure your last will and trust are legally certified and uncontestable.

Property Guardian Unless you directly appoint a guardian for your children, the process will be settled in probate. The court process occurs when there is no legal will that expresses your wishes and the state handles your estate. While in most cases, the surviving parent will manage the property or inheritance until the child reaches adult age, this isn’t always the desired result. It’s essential to document your choice for your children’s property guardian legally.

Set Up Trusts Another strategic option is to set up a trust for each of your children. Within your will or living trust, appoint a trustee to oversee the minor’s inheritance until a specific age of your choosing. The trusted family member or friend is required to act in the beneficiary’s best interests while following your written instructions. Typically, a financial inheritance can be used to cover costs such as those for the child’s health, education and living expenses. Make sure to ask your chosen trustee if they are up for it, as the role requires regular challenges. For instance, they must file annual income tax returns for the trust. They are also limited to what’s allowed in the will, except for the section that outlines their authority. For this reason, they may be asked to bring the physical document to banks or other facilities when they attempt to perform business on behalf of the beneficiaries. p NYS authorize the option of death with dignity for New Yorkers, she reassured members of the public that there are safeguards against abuse, reiterating the advantages to members of the public. "The law will empower people to relieve their suffering and serve as a strong conscience protection." She also clarified that patients could not be forced into taking the option because there are several milestones before the final step. "There are a lot of steps to be followed, every step gives the room for an evaluation, there is a mental capacity check, and the person who has the prescription must lead on the entire process." She acknowledges that families and patients are often hesitant to adopt the option out of their belief system despite all the benefits."…we don't want to have the conversation because we don't want to acknowledge that it is the end, we believe in miracles, families have a hard time facing the fact that it might be the end, and trained doctors to provide a cure…".Yet, it is the patients' right to know. Expanding end-of-life care options allows medical practitioners to share alternatives that could give dying terminally ill persons the choice to avoid unnecessary end-of-life suffering.p

Life, Death and Compassion/

continued from page 5

Can a Will be Contested?

Your last will is designed to express your wishes after leaving your family behind. Given its importance and long-lasting impact, experts recommend that you consider every detail, including how your belongings are distributed, who controls your finances and which family members are included in your final plans. When creating the document, it’s essential to ensure it’s ironclad. There are specific circumstances that may result in someone contesting its validity. Fortunately, your desires can’t be contested simply because someone is unsatisfied with its terms. However, most states recognize a few legal reasons that can land your last wishes in a courtroom. If a contest is successful, not only is the questionable provision corrected, but the entire estate is also managed as if the document never existed. Since state laws can vary, it’s imperative to work with a law expert to ensure your desires are honored. Here are a few reasons the document may be considered void.

The Will is Signed Incorrectly One of the most significant reasons a will is refused is due to improper signatures after its creation. This can be a common occurrence, especially if there is tension within the family. First, the testator, or person leaving the document, must sign the form with a certain number of witnesses present. In most cases, both parties must be in the same room and perform the signing while everyone is watching.

The Testator Lacked Capacity The term testamentary capacity refers to a testator understanding the nature and worth of their assets and who should rightfully inherit the assets. This clause typically comes into effect if a will creator faces dementia or another mind-inhibiting disease while the document is being formed. If the will is contested for this reason, many cases end with doctor testimony’s relating to the patient’s state of health.

The Testator was Wrongfully Influenced Another reason to create a will and testament while you’re healthy is that being unduly influenced while your mind isn’t sharp can cause significant issues for those you are leaving behind. If it is deemed that a testator was wrongfully influenced to pass on their possessions to undeserving parties, judgment may approve the contest.p

Become an Organ Donor

When you make a commitment to donate healthy organs or tissue at the time of your death, you positively impact the lives of numerous others. When planning your legacy, it’s easy to have your loved ones at the forefront of your mind, but a simple registration could influence the health of a stranger. According to the United States Department of Health & Human Services, there are two ways to sign up to be an organ donor. From the comfort of your home, visit their website and fill out a simple form. If you would rather complete the process with a representative, the experts at the local Department of Motor Vehicles can help.

How You Can Help Adults who are legal citizens of the United States are eligible to donate organs at the time of death, and, in some cases, during their lifetime. Of course, certain diseases may inhibit you from becoming a donor; be honest about your health conditions during registration. Make sure to discuss your wishes with your family. Conversations regarding death are never easy. You should approach the subject with sensitivity by discussing the benefits that registration offers to others.p