Recent Blog Posts

ASSET PROTECTION FOR FLORIDA RESIDENTS

Robert W. Tribuiani, Esq. — Sun, 31 Oct 2010 19:53:00 GMT

ASSET PROTECTION FOR FLORIDA RESIDENTS

By Robert W. Tribuiani, Esq.

10/31/2010

Asset protection is the process of placing your assets out of reach of other entities or individuals (e.g., creditors, business partners, the I.R.S., ex-spouses). Think of asset protection as the process of building a fort around your assets in order to guard your family wealth from attack.

While asset protection has the goal of guarding your wealth from attack by creditors, please keep two things in mind: 1) there is no such thing as a completely "judgment proof" asset; and 2) the Florida Fraudulent Transfer Act allows creditors the right to reverse transfers made with the intent to hinder, delay, or defraud its collection attempts. F.S. §726.105(1)(a).

An asset that is protected is not necessarily "judgment proof." That is, a protected asset does NOT automatically become completely inaccessible to the collection practices of creditors. Debtors who do not know their rights, and therefore, do not assert them in a timely manner, will most likely lose their rights and possibly even the assets that they were intended to protect.

In recent years, creditors have become increasingly more aggressive, unethical, and even criminal in their tactics to collect money from debtors. As such, a well-designed asset protection plan will include the assertion of debtor's rights against the unlawful collection tactics of creditors and their collection agents.

There are many asset protection devises available to Florida residents, including:

1. Florida Homestead

2. Irrevocable Trusts

3. Joint Tenancy Property

4. Annuities

5. I.R.A.s

6. Life Insurance

7. 401(k)s & Pensions

8. Disability Income (SSD)

9. Wages (head of household)

With the goal of asset protection in mind, a permanent resident of Florida has several options available to him or her. But there are no guarantees. If you are not sure, have an attorney review your assets periodically to ensure that you are implementing the most effective asset protection strategy for your particular goals. Robert W. Tribuiani, Esq., October 31, 2010.

This article is not intended to offer legal advice. If you have any further questions, please consult an attorney.

Tribuiani Law Firm

3300 PGA Blvd., Suite 520

Palm Beach Gardens, FL 33410

561-676-4049

ESTATE PLANS ARE NOT JUST FOR RICH PEOPLE

Robert W. Tribuiani, Esq. — Fri, 18 Jun 2010 23:06:00 GMT

By Robert W. Tribuiani, Esq.

June 18, 2010

The estate planning process can almost certainly benefit anyone, not just rich people. The two most significant benefits of the estate planning process are: 1) the peace of mind that allows you to live life to its fullest; and 2) a last will and testament that can benefit you as well as the ones you leave behind.

There are many benefits to having an estate plan, but perhaps the greatest benefit is the estate planning process itself. Mahatma Gandhi once wrote, "Live as if you were to die tomorrow. Learn as if you were to live forever." This self-evident truth is the fundamental building block of the estate planning process. Along the same line of thought, there is one thing we all have in common - a life that will end in death -, and this holds true no matter how rich, talented, powerful or popular you may become. So don't wait until you reach the end of your life to be at peace with your mortality. Begin your journey through the estate planning process now, and gain the peace of mind that allows you to live your life to its fullest.

Another benefit to the estate plan is the last will and testament (a "will"). A will is an essential part of any estate plan, and it can be the most powerful part. It allows you to direct your property after you die, choose who will make sure your wishes are carried out, and designate a person to care for any minor children you leave behind. Furthermore, a person who dies without a legally executed will, which is referred to as dying "intestate," can unwittingly cause severe hardship to his or her family and friends. The will can be an extremely powerful legal document and is not just for rich people.

To illustrate this point, let's look at the benefits of a properly executed will to a person who dies single with two adult children and property consisting of a homestead with a mortgage, mutual funds with a total market value of $5,000, a checking account with a $1,000 balance, and one car (no payments). If this person, who is certainly not rich, dies with a properly executed will, the typical probate process may be completed within a few months of the person's death. During this time, the personal representative reads the will, takes an inventory of property, sells the car and other personal property, pays off the mortgage and other creditors, and distributes the remaining estate according to the wishes set forth in the will.

In contrast, if this person dies without a properly executed will, the adult children could wind up in front of a Circuit Court judge for more than a year taking inventory of property, tracking down heirs, getting consent from each and every heir to sell the car and other personal property, getting a personal representative appointed, paying down the mortgage and other creditors, and distributing the estate according to State Statutes, regardless of the person's wishes. During this time, the mortgage could go into default, the house could suffer irreparable damage, the car may not be insurable or capable of valid registration, and additional legal fees are almost certain to be assessed.

In summary, an estate plan is not just for rich people. First, the estate planning process itself may give you the opportunity to develop the peace of mind that you need to live your life to its fullest. Second, a properly executed will, an essential part of the estate plan, can provide many benefits to you and the ones you leave behind. Whether you are rich, poor, or just living paycheck-to-paycheck, start your estate planning process today!

Estate Taxes: Back to the Future

Robert W. Tribuiani, Esq. — Mon, 26 Apr 2010 12:32:00 GMT

As of this moment in time, April 21, 2010, you would be correct to say that there is absolutely no federal estate tax. In the near future, however, you may have to stand corrected. It appears that the legislature may be considering enacting an estate tax in the future that will begin at some point in the past. In effect, the legislature will be granting itself the power to travel back in time in order to collect taxes in the future.

Is this a proposed legislative enactment or a novel about time travel? It may be both. The most current legislation, which was enacted in 2001, methodically increased the amount of a person's estate that would be exempt from estate taxes. That exemption level continued to increase until this year, when the estate tax was repealed. As a result, the current exemption level is unlimited and there is no part of the estate that would be subject to federal estate taxes.

Here is where it gets interesting. According to current legislation, at the end of the year, the statute will "sunset" and we will return to the 2001 exemption level. In sum, the 2011 exemption level will become the 2001 level. That is, unless our legislature imposes an estate tax that is applied retroactively. If so, the exemption that is applied retroactively will also be applied to future years. Confused yet?

Year                       Exemption
2001                      $1,000,000
2004                      $1,500,000
2006                      $2,000,000
2009                      $3,500,000
2010                      Tax Repealed?
2011                      ??????????

Although the 2001 statute has simplified tax planning over the past ten years, the uncertainty as to whether the 2010 tax repeal will be changed retroactively is having the opposite effect on the estate planning process going forward. To return to our initial example, before we can be certain of our estate tax liability in the present, we must first wait until some time in the future to see whether the legislature will impose an estate tax retroactive to some point in the past. The old adage about fact being stranger than fiction has come to fruition. Written by Robert W. Tribuiani, Esq., April 21, 2010. This article is not intended to offer legal advice. I encourage you to consult an estate planning attorney to minimize or mitigate your estate taxes.

Robert W. Tribuiani, Esq,
Tribuiani Law Firm
3300 PGA Blvd., Suite 520
Palm Beach Gardens, FL 33410
561-676-4049

What Information Should I Gather Before I Meet With My Estate Planning Attorney?

Robert W. Tribuiani, Esq. — Thu, 15 Apr 2010 20:40:00 GMT

There are many different approaches to the estate planning process and some approaches can take considerably longer than others. Regardless of the approach, the estate planning process cannot be completed without first gathering some essential information. This is often the most time consuming step of the process, and the most overlooked. Even if you know nothing about estate planning, you can speed up the process considerably by obtaining an Estate Planning Questionnaire and gathering the appropriate information ahead of time.

What information should you gather before you meet with your estate planning attorney? The most basic information of any estate plan includes:

list of your assets and liabilities,
marital status,
names, addresses and ages of your children,
prior marriages,
intended beneficiaries,
designated personal representative and other fiduciaries.

Please see the Tribuiani Law Firm's Estate Planning Questionnaire for a complete list of information that you will need before beginning the estate planning process. If you have any additional questions, please contact the Tribuiani Law Firm at (561)-676-4049, and ask to speak with your estate planning attorney today!

Robert W. Tribuiani, Esq.
Wills, Trusts, Estate Planning and Probate
April 15, 2010.

Palm Beach, Jupiter, Palm Beach Gardens, West Palm Beach, North Palm Beach, Lake Worth, Boca Raton, Boynton Beach, Delray Beach, Florida.

The Basics of Trusts

Robert W. Tribuiani, Esq. — Wed, 17 Mar 2010 14:41:00 GMT

A trust is a legal arrangement that allows you to designate specific assets to be held, managed, and distributed according to your instructions. A trust can give you the power to maintain control over your assets during your lifetime, and make controlled gifts to family, friends and charitable organizations, upon your death.

The key benefits of trusts are:

Hold, manage and distribute your property the way you intended.
Protect your children's inheritance.
Avoid the time and costly delays of probate.
Avoid court-appointed guardianships.
Keep your affairs private.

How A Will Can Save Time and Money.

Robert W. Tribuiani, Esq. — Tue, 16 Mar 2010 13:03:00 GMT

There are many advantages to having a will. Depending upon your circumstances, a properly executed will can save you time and money, avoid misunderstandings, and reduce or eliminate lengthy delays in court proceedings. As a famous economist once said, "In the long run, we're all dead." Of course, that doesn't mean we are all helpless. There are many things we can do while we are alive to make sure our loved ones are provided for after we are gone. Make sure you have a properly executed will before you die. If you are over eighteen years of age and of sound mind, but you don't have a will, please read the following list of potential benefits.

1) Name the persons and organizations that you want to receive your property when you die. If you die intestate (without a will), the courts will look to the statutes to see who will receive your assets, and in what amounts. With a properly executed will, you decide who gets your assets and in what amounts

2) Designate a guardian for your minor children. In the event you die unexpectedly, you may choose the person who will provide for your minor children with the care and supervision they need to grow. Without such a designation, lengthy and often costly court proceedings may be needed to determine who will be the guardian of your minor children.

3) Avoid hard feelings and obtain peace of mind. By clearly documenting your wishes in your will, you mitigate or avoid the potential for hard feelings associated with family members who are otherwise left to speculate as to your wishes. With a properly executed will in place, you may rest assured that your wishes to care for your loved ones are documented and take comfort in knowing that your estate will be distributed accordingly.

4) Name a person to manage property left to your minor children. In your will, you can name a person to manage any property that your minor children may receive, so that such property is managed in their best interest.

5) Name your personal representative. In a will, you may choose your personal representative (executor). This is the person who will be responsible for managing and distributing your assets according to your will. If you die intestate (without a will), the courts will designate a personal representative and distribute your assets according to legislative statutes, rather than your will.

6) Create a trust through your will. Your will can create a trust so that your entire estate, or a portion of your estate, is protected for the benefit of your family. You can also use this trust to provide for the care of your minor children without having to subject your family to guardianship proceedings, which can be both lengthy and costly.

7) Save Time and Money. A properly executed will can significantly reduce the amount of court involvement, and in turn, the potential for lengthy and often costly delays in the probate process.

If you have any questions or would like any additional information please contact us at your earliest convenience.