Perlin Estate Planning

The Big Job of Being an Executor in South Florida & Miami Probate and Estate Administration

“Failing to hire and bring in experts as quickly as possible also can become a major headache for executors.”

During the estate planning process, you need to select an executor to carry out your wishes. Insurance News provides some things you should know about the executor’s duties in its recent article, “The Wrong Executor Can Destroy Even the Best Estate Planning.”

Executors sometimes are under the impression that it’s a quick and easy job. This might be the fault of the testator or the person who has executed the will. They select an executor and believe that he or she possesses the ability, acumen, time, and desire to carry out the duties of the position. Many don’t inquire as to whether the executor is interested in and capable of serving, or the chosen executor may be hesitant to say no.

Prior to designating an executor, the testator should understand the role and consider whether the potential executor has the qualities to handle the job. In addition, the testator should discuss the decision thoroughly with the chosen executor so everyone understands the expectations and what is needed to do the job.

A big mistake is an executor’s failure to communicate adequately with the decedent’s family, friends, heirs, and loved ones. People like to be kept updated and to understand why some things have been done or not done. This can help keep peace and family harmony at a very emotional time.

On such example involves family heirlooms. The executor can distribute the assets as he or she wants as long as his or her actions comply with the will, but beneficiaries may have particular interests in specific assets like heirlooms and collectibles. There can be headaches and heartaches if the executor unwittingly distributes an item to another heir who’s not as emotionally tied to the item. It’s best to talk to the heirs and determine their preferences.

Another problem can arise when the heirs aren’t satisfied with the time needed to finalize the estate—particularly if one of the heirs is also the executor. Conduct regular update meetings with all parties who have an interest in the estate.

An executor’s job isn’t simply to distribute wealth—it’s to make certain that all debts and liabilities are discovered and resolved and to handle and finalize the decedent’s day-to-day affairs. The list of the executor’s duties is quite long and includes the following:

• Dealing with the court to probate the will and distribute the assets;
• Collecting all of the assets, which means combing through the decedent’s belongings and records and also dealing with banks, brokerage houses, insurance companies, and the decedent’s employer;
• Valuing assets;
• Keeping the assets safe;
• Handling the decedent’s creditors;
• Maintaining businesses while the estate process is proceeding;
• Winding up the decedent’s last affairs; and
• Filing tax returns and investigating estate taxes.

In many instances, no one is thanking the executor. Rather, they may find fault with his or her actions. Because of this, it’s critical to have a thorough understanding of the job. Also, the person must have the capabilities and the wherewithal to undertake this major responsibility.

Do you live in South Florida? Have you been named the executor of an estate? Have you been putting off your estate planning because you aren't sure who to name as your executor?  Call me (305-443-3104) right away for peace of mind. I can help!

• I'm an exceptionally experienced Florida Bar Board Certified Estate Planning Attorney,
• I'm a Florida Bar Board Certified Elder Law Attorney, focusing on ALL legal issues related to aging,
• have prepared over 4,000 estate plans in 30+ years in practice,
• have administered over 600 estates through Probate, and
• am a Certified Financial Planner Professional™, plus
• I am also a Florida Certified Public Accountant (CPA).

Of course, if you would like more information about General Estate Planning in South Florida, I have a very informative website you are welcome to visit for more information.

Reference: Insurance News (June 2016) “The Wrong Executor Can Destroy Even the Best Estate Planning”

Are You Up for the Big Job of Being an Executor in Miami, Coconut Grove, South Florida?

"From keys to debts, handling an estate is a detail-oriented responsibility."

Being named an executor of a will is a big responsibility. However, most individuals selected know nothing about what they need to do in the role, according to the recent US News article "4 Tips to Be a Better Executor."

An executor must deal with the estate of a deceased person—including identifying and valuing the assets, paying debts, and disbursing the assets according to the decedent's will. He or she also needs to ensure that the assets are protected during this period.

Here are a few things to know about the role of an executor of an estate.

You're a fiduciary. A fiduciary is the person who's liable if they don't do it right, which means that the person named as executor has to follow the wishes of the will. Any deviation requires approval from the probate court.

You may be required to get some help. In some states, the executor must have an attorney—except in some situations—because he or she is representing other heirs and has some duties to creditors. Wills need to be probated, and an attorney can help the executor with this the process. Executors need to have state-specific information because probate laws vary. In addition, having an attorney helps if there is any contention—like a person who says they have a newer version of a will or who argues that the person named executor is incapable of doing the job. Also, with a large estate, the executor may also want to engage other professionals—such as an accountant to complete the deceased's final tax return, a real estate broker to sell any property in the estate, or an individual who specializes in collectibles to help the process go smoothly. These professionals are paid from proceeds of the estate.

Secure the estate ASAP. Change the locks on the house and collect the keys to any vehicles. Inform heirs and creditors quickly. Executors need to create a legal notice to creditors through publication. The creditors of the deceased have a limited time to make a claim, or else they are barred. Don't pay claims until they've been properly authenticated. You can also negotiate claims with creditors—even after you've determined them to be valid—in order to retain more assets for the heirs.

Communicate with the beneficiaries. It's important to reach out to the beneficiaries to keep them in the loop throughout the process, which may take six months or more. Heirs will ask when they get their money or property. They get their distributions when the executor has made the determination that the proper debts have all been paid. However, partial distribution of the estate may satisfy heirs while the estate is being settled, which may include passing out small, tangible items that don't require a separate appraisal. These items can be distributed easily and quickly, but executors first need to make certain there are assets remaining to pay creditors. Document everything concerning the will, which helps with any disputes.

A fiduciary should be transparent and communicate with the beneficiaries, but it's not a democratic process: you're in charge.

Do you live in South Florida? Have you been named the executor of an estate? Have you been putting off your estate planning because you aren't sure who to name as your executor?  Call me (305-443-3104) right away for peace of mind. I can help!

• I'm an exceptionally experienced Florida Bar Board Certified Estate Planning Attorney,
• I'm a Florida Bar Board Certified Elder Law Attorney, focusing on ALL legal issues related to aging,
• have prepared over 4,000 estate plans in 30+ years in practice,
• have administered over 600 estates through Probate, and
• am a Certified Financial Planner Professional™, plus
• I am also a Florida Certified Public Accountant (CPA).

Of course, if you would like more information about General Estate Planning in South Florida, I have a very informative website you are welcome to visit for more information.

Reference: US News (June 2, 2016) "4 Tips to Be a Better Executor"

Making it Easier to Let Go of Valuable Art in Doral, Coconut Grove and South Florida

"Figuring out what to with your art collection for estate planning purposes is a complicated affair and solutions can range from donating works to a major museum to begging a family member to accept your cherished collectibles."

What if it's time to arrange your affairs, but you're not quite ready to part with your art collection? You can part with your art works on a part-time basis and still get the same tax benefits you receive from giving a donation to a nonprofit.

Barron's recent article,  "The Benefits of Owning Art Part-Time," explains that you can make this happen by gifting a "fractional interest" in your artwork to a museum or charity of your choice. So you'll be sharing ownership of your painting with a worthwhile nonprofit.

If you were to donate 50% of a painting worth $2 million to your local art museum for their fall and winter exhibits, the IRS would permit you to bring the work back to your home and enjoy it during the spring and summer and still claim a tax deduction of $1 million, or one-half of the artwork's market value.

You can't cut a painting in half, but sometimes clients want to gift the piece and still keep it for a while longer before they give it away altogether.

You should create and sign a detailed document outlining the gifting agreement. The document needs to carefully address several issues, such as the time frames each party will use the artwork, the party responsible for its maintenance when it's out of the original owner's control, the party responsible for insuring the art, and any specific uses for the art while under a party's control. You should also note any restrictions on the new co-owners loaning out the artwork to third parties when it's in their possession.

The IRS says the artwork must be gifted in entirety no later than 10 years after the agreement was signed. In our example, your remaining 50% has to be gifted to either the same museum or another charity within 10 years. If you fail to do so, your deduction on the initial gift becomes income. In Year One, you received a $1 million deduction; however, in Year 10, you can't go back and amend those taxes. As a result, it shows as $1 million in income. But once you make a gift of the remaining half, you receive a second tax deduction of $1 million.

A smaller local museum or charity nearby make great partners for this sort of shared-ownership arrangement, as they're apt to be more creative when crafting the agreement. Another worthwhile recipient might be the art school of a local university, charities working to advance appreciation for the arts, and medical facilities with their own art centers.

Do you live in South Florida? Have you looked at your assets or collections recently? They may be worth more than you think! Call me (305-443-3104) right away for peace of mind. I can help!

• I'm an exceptionally experienced Florida Bar Board Certified Estate Planning Attorney,
• I'm a Florida Bar Board Certified Elder Law Attorney, focusing on ALL legal issues related to aging,
• have prepared over 4,000 estate plans in 30+ years in practice,
• have administered over 600 estates through Probate, and
• am a Certified Financial Planner Professional™, plus
• I am also a Florida Certified Public Accountant (CPA).

Of course, if you would like more information about General Estate Planning in South Florida, I have a very informative website you are welcome to visit for more information.

Reference: Barron's (May 17, 2016) "The Benefits of Owning Art Part-Time"

Planning the Estate Sale in South Florida, Miami, Coral Gables & Kendall, FL

"Inheriting an estate can be an emotional journey, especially if you had a close relationship with the person whose estate you are settling or if you're planning an estate sale due to divorce or foreclosure."

WCP's recent post, "4 tips for dealing with the emotional side of estate sale planning," offers some helpful ways to stay strong and make wise decisions as you work through the process of preparing for an estate sale.

Get advice. Don't take on this responsibility alone. As you begin the process of selling the contents of an estate, find yourself a support system. This can include members of your family, friends, and experts (like an estate planning attorney). These folks can provide you with valuable advice, and you may feel more comfortable when you've considered input from others. Given that this is an extremely emotional experience, you might also want to talk with a member of the clergy or a counselor as you go through the steps of preparing for the estate sale.

Get ready for memories. There can be times of grief that will pop up unexpectedly, and in some instances, simply seeing certain items will trigger special memories. Sorting through some household items might appear to be a simple and unemotional task. However, it can be tough when you come across something that you associate with a memorable occasion. Be prepared to find items that may cause a moment of pain. Even so, try to balance this with happy memories when you can. While this isn't always easy, concentrating on positive feelings can be a critical part of staying strong throughout the process.

Get ready to take your time. Although it may not be possible, try not to rush through the planning stages for the estate sale. Make wise decisions on what to sell, what to keep, and what to donate—as you want to avoid any regrets in the future. Preparing for an estate sale offers a measure of closure, but this process can also cultivate feelings of finality. Allow yourself time and space to consider your options to reduce the emotional burden.

Get help. An estate sale service can eliminate much of the emotional pressure that comes from the estate sale process. This way you don't have to focus on details that aren't really your area of expertise, such as pricing, staging, and scheduling. This will let you have the freedom to channel your energy into emotional healing. In addition, this professional assistance can lessen the burden of decision making, which can be helpful.

Do you live in South Florida? Do you have an estate to administer or has a loved one recently passed away? Call me (305-443-3104) right away for peace of mind. I can help!

• I'm an exceptionally experienced Florida Bar Board Certified Estate Planning Attorney,
• I'm a Florida Bar Board Certified Elder Law Attorney, focusing on ALL legal issues related to aging,
• have prepared over 4,000 estate plans in 30+ years in practice,
• have administered over 600 estates through Probate, and
• am a Certified Financial Planner Professional™, plus
• I am also a Florida Certified Public Accountant (CPA).

Of course, if you would like more information about General Estate Planning in South Florida, I have a very informative website you are welcome to visit for more information.

Reference: WCPO (May 9, 2016) "4 tips for dealing with the emotional side of estate sale planning"

New Companies Offer Help for Organizing Digital Assets including Living Will, Social Media Passwords

"I guess you could call it a smart vault."

Estate planning today includes not only who will inherit our worldly goods when we die—but also what will happen to our digital legacies. A recent article in US News, "Passwords and Powers of Attorney: Your Digital Estate Planning Options," reports that there are new companies springing up to help us make plans and gather all the information our heirs will need in one place.

These services provide prompts to encourage users to think about issues they haven't put in writing, like what music we would like playing in our final hours.

There are several companies that let you create a digital repository of your will, health care directives, funeral wishes, family photos, plans for your pet, desires for your Facebook page, and what you'd like to have in your obituary. You can input information now that you want your family to find when you die or even share the information with family now.

You should talk about end-of-life issues with your family, record your wishes and then make it easy for family members to find them when they're needed. You can choose whom you wish to see specific information and whether you want to share it now or not until after you've passed on.

The goal is to make this as easy as possible for heirs by having this information all in one place. These sites provide places to upload wills, trusts, health care directives, powers of attorney and appraisals of your valuable items. You can also record the location of notarized and signed copies of documents and the contact information for your estate planning attorney.

Charges vary with these services, and they all have options for sharing all the aspects of your digital life, from passwords to bank accounts to the message you want sent to your Twitter followers after you've passed away.

Everyone's situation is different and while these services are a useful tool, no online service can replace the advice of an experienced estate planning attorney who understands your specific situation. You won't know what you're not getting. No matter how good it is, an online program only gives you what you ask for. There are likely to be areas of your estate that call for basic planning documents and ones that require more complex planning.

Do you live in South Florida? I can help! Call me (305-443-3104) right away for peace of mind.

• I'm an exceptionally experienced Florida Bar Board Certified Estate Planning Attorney,
• I'm a Florida Bar Board Certified Elder Law Attorney, focusing on ALL legal issues related to aging,
• have prepared over 4,000 estate plans in 30+ years in practice,
• have administered over 600 estates through Probate, and
• am a Certified Financial Planner Professional™, plus
• I am also a Florida Certified Public Accountant (CPA).

Of course, if you would like more information about General Estate Planning in South Florida, I have a very informative website you are welcome to visit for more information.

Reference: US News (December 3, 2015) "Passwords and Powers of Attorney: Your Digital Estate Planning Options"

Tips on Conducting a Stress-Free Estate Sale in South Florida, Miami, Coral Gables

“Choosing a trusted estate sales professional should not be taken lightly.”

Estate sales come at a time when families are at a crossroads resulting from one of the dreaded three D’s: death, divorce, and downsizing. For many, the task of organizing items acquired over a lifetime can be overwhelming, especially when coupled with having to determine each item’s value. It’s a task that can take novices not weeks but months, which is why many people enlist the help of professional estate sale planners.

The Casper Journal’s recent article, “Professionals can ease burden of planning estate sale,” provides some good advice on the subject.

Selecting a reputable estate sales professional is important. These are your possessions, and many of them are valuable.

When finding an estate sales person, ask your family, friends, and business professionals for recommendations. Your estate planning attorney may have some very good references.

Next, look into their business histories and customer reviews at the Better Business Bureau’s website, and conduct a search online to see what type of articles or reviews of their services have been posted.

You should then choose a few and interview these professionals in person before deciding on the company you want to engage. Ask them about their credentials, certifications, and education in the area of estate sales. Also, make sure that they are insured and bonded.

Ask for the names of three or four references. Contact them to find out about their experiences working with the company and whether or not they would hire them again.

Before signing the contract, make sure you understand it, and consider asking your attorney to review it for you. Just so there are no surprises, you’ll want to find out the following from the estate sales business you plan to use:

• Does the company charge a flat fee or commission?
• What is their commission and are there additional fees?
• What services are included?
• What do you need to prepare for the sale?
• Is there an extra charge to clean before and after the sale?
• How much time will they need to get the estate ready for the sale?
• How are sales recorded?
• Can the family attend?
• How are discounts or negotiations handled?
• What do they do with stuff that doesn’t sell?

Ask these questions well in advance so you’re totally prepared when the time comes to have an estate sale. Seek the guidance of a qualified and experienced Estate or Probate Attorney who knows the local "players" in the Estate Sale marketplace.

Do you live in South Florida? I can help! Call me (305-443-3104) right away for peace of mind.

• I'm an exceptionally experienced Florida Bar Board Certified Estate Planning Attorney,
• I'm a Florida Bar Board Certified Elder Law Attorney, focusing on ALL legal issues related to aging,
• have prepared over 4,000 estate plans in 30+ years in practice,
• have administered over 600 estates through Probate, and
• am a Certified Financial Planner Professional™, plus
• I am also a Florida Certified Public Accountant (CPA).

Of course, if you would like more information about General Estate Planning in South Florida, I have a very informative website you are welcome to visit for more information.

Reference: The Casper Journal (November 11, 2015) “Professionals can ease burden of planning estate sale”

Avoid Conflict When Valuing Property Partnerships in Miami Beach, South Florida, Coral Gables, FL

Property partnerships end for a variety of reasons. Ideally, the ending is wanted and agreed upon, financially and emotionally enriching all parties. But when things go bad, "stuff" hits the fan. Likely circumstances leading to this are a broken relationship, a property investing business partnership that went south or siblings who shared property their parents left as part of an estate. A fourth category occurs when one partner in an amicable relationship wants to cash out and the other wants to keep the property; they don't agree on the property's value.

As The Orange County (CA) Register explains in "Splitting up property is hard to do," being level-headed, open-minded, and empathetic can really improve your odds of avoiding protracted litigation to force a sale of the property. The process is termed a partition action.

If you are really interested in getting to a fair property value for all concerned, there's a formula for the situation where one party wants to purchase the other party's share and keep the property. In that case, each party chooses one appraiser, and each conducts his or her own appraisals. Then the two appraisers agree on a third appraiser to do another appraisal. The final value is an average of the two appraised values closest to each other.

Here's an example of how this works. Partner A's appraiser determines that the value is $650,000, and Partner B's appraiser values the property at $745,000. Then, the mutually-chosen appraiser conducts her appraisal and determines that the value is $690,000. The closest value to the third appraiser's estimate is by Partner A's appraiser: $650,000. The average of the two is $670,000. Party B's appraisal is thrown out.

This type of methodology makes both appraisers reasonable so that their value isn't the one that's knocked out.

A qualified estate planning attorney can help shepherd this process and refer you to appraisers as needed. Find someone who is especially experienced in Probate Administration.

Do you live in South Florida? I can help! Call me (305-443-3104) right away for peace of mind. 

• I'm an exceptionally experienced Florida Bar Board Certified Estate Planning Attorney,
• I'm a Florida Bar Board Certified Elder Law Attorney, focusing on ALL legal issues related to aging,
• have prepared over 4,000 estate plans in 30+ years in practice,
• have administered over 600 estates through Probate, and
• I am a Certified Financial Planner Professional™, plus
• I am also a Florida Certified Public Accountant (CPA).

Of course, if you would like more information about General Estate Planning in South Florida, I have a very informative website you are welcome to visit for more information.

Reference: Orange County (CA) Register (November 7, 2015) "Splitting up property is hard to do"