Tag Archives: TRUST

I am a beneficiary to my uncle’s large estate. Executrix is silent.

Q: My great uncle died just over 9 months ago in Allegheny County, PA. The estate is in probate as we speak. The inheritance and estate taxes were paid a week or so ago (estimated inheritance tax paid 3 months after his death was 1,700,000.00!) This would indicate that his estate is quite large, correct? He had a condo that is just sitting there. Can a distribution be made prior to the condo being sold? Not sure why they are just letting it sit instead of listing it for sale instead! Can distribution be made and then another distribution made after the condo is sold? What if the executrix decides NOT to sell it but instead allow one of the heirs to live in it? Would that heir have to purchase it from the others? Also, don’t the beneficiaries have a right to know the approximate amount they may receive and the approximate time frame in which they may receive it? The Executrix isn’t sharing ANY info and seeing as how this estate is quite large, this inheritance could possibly be life-changing and the opportunity to plan ahead would be helpful. What is the protocol as far as letting the heirs know the approximate amount they may receive and when they may receive it? (Pittsburgh, PA)

A: Before you start spending your inheritance, I would check to be certain that you in fact are an heir. The Executrix has no duty to give you information, nor does the estate attorney. After nine months, an estate Inventory is due to be filed with the Register of Wills and an inheritance tax return must be filed with the Department of Revenue, unless there have been extensions. If there was a will, it will be on file with the Register of Wills. You could go to the Register of Wills and look at the Will to verify that you are an estate heir. You could also look at the estate Inventory to see what assets the estate is comprised of. This sounds like a lot of money, so my thought is that not all the money may be in the estate. There may be a trust or trusts involved. If you were an heir of an estate or a trust, you would have received a Notice in the mail. You might also want to hire an attorney to look up these documents and assist you in ascertaining your status as heir and verifying the amount of assets you stand to inherit.

What are my options and next steps?

Q: I am writing on behalf of my mother. She purchased a house in Georgia with her daughter approximately 8 years ago. Due to her daughter neglecting her health and well- being she came to live with me about 2-3 years ago in Pittsburgh. My mother has a trust that includes her share of the house and I am the trustee. Her daughter was able to refinance the house without my mother’s signature. The mortgage company has sent a notice to the trust, my mother and her daughter for the money. The notice from the attorneys for the mortgage company say the money was distributed in error. My mother nor the trust received any money, but I believe her daughter did and may have purchased a new home with the money. Your guidance on this matter would be greatly appreciated. (Baden, PA)

A: This is somewhat complicated and you need a lawyer in GA. My thought is that if this is a fraudulent transfer, the bank cannot legally foreclose on the house. However, my experience with banks lead me to believe that they will try. Do not do this on your own and try to negotiate with the bank. An attorney needs to review the trust instrument as well as the deed which should be titled in the name of the trust. In addition, your attorney will need to look at all the documents indicating how your mother’s daughter got a loan on a house titled (hopefully and presumably) in the name of a trust. Do not wait to act on this.

How can I locate a trust?

Q: My niece’s mother died in 2008 and supposedly there is a trust for her once she reaches age 27. Her dad just died this past October, and her stepmother is of no help to her. Also, she no longer lives in Michigan where her parents are from. Is there anything I can do to track it down to help her? Thank you.

A: There is no central registration or central repository where these are filed. IF this trust instrument was filed, it would likely be filed in the jurisdiction where the trustor/settlor had residency. You can start by searching the probate court in the County Department of Court Records. Often, real estate is part of a trust. Therefore, you could also check the County Recorder’s office (where deeds are filed) to see if a deed was filed in the name of the trust. Also, sometimes trust notices are advertised if the trust instrument was filed and real estate transfers are listed in legal newspapers and papers of general circulation in the county with jurisdiction. You could call the legal journal and main newspaper for that county and see if they have an archival data base. If it cannot be located, you might try to call lawyers in the area to see if any of them drafted the trust. I get calls occasionally from people in search of a lawyer who may have drafted a loved one’s will. It might be hard to find but you may get lucky with just a few calls.

 

What can I do with my Mother’s home? She is 93 and currently resides in the house.

Q: She has a trust and I am the only beneficiary. She has a life estate that was signed over 5 years ago. She has nursing home insurance but they say she is not currently eligible to receive benefits. We live in Oregon and I am disabled. The cold weather contributes to my pain levels and I want to move to Florida. The house is 64 years old and my husband age 79 has done many repairs and major remodeling to keep the place intact and from deterioting in value.
We would move her to Florida if necessary. The local relatives either work out of town or they are not well and able to help. I wonder if we can sell the house or would we need to rent it out until she passes away? She has some assets in addition to the house but no other real estate. 

A: You really should consult with a lawyer. The life estate would need to be reviewed to determine what conditions allow mother to vacate the lease. Trust needs to be examined as well to verify if and when any transfer was made. These need to be known especially if there is any potential that your mother may need to apply for Medicaid funding in the future. If there is any chance that Medicaid will be involved and this house may be subject to a Medicaid lien, you will want to sell the house only at fair market value and nothing less and document the transaction as well as how all the proceeds are spent on your mother’s care. However, review this with an attorney before you do anything. You may also want to consult with a Florida attorney regarding Medicaid.

 

How can I get paid out of my dad’s trust for caregiver services?

Q:  I am the caregiver and family trust trustee. I am the caregiver of my dad. He keeps wanting to give me money. I want him to hold on to all that he has, in order to help get him through his life so when I get paid it will be after my dad is gone. My question is, if everything ‘pours over’ to the trust and I am the successor trustee, am I in conflict of interest or doing something illegal if I will the trust after my dad is gone to get paid for the care giving?

A: It depends on how the trust is structured. Typically, a trustee does not get to choose trust beneficiaries or pay herself funds for caregiving. Discuss this with an elder law attorney who can review all the documents because no one can answer this competently without much more information.

Need to set up trust for father so VA Aid & Attendance benefits are available

Q: Father is 84, has monetary assets. I need to know what type of trust to setup. He has Aid & Attendance VA benefits. A trust needs to be setup so he qualifies. He is a WWII veteran. I have all of the paperwork and just need to know what type of Trust to setup so he is not disqualified due to his assets. He has a home and car. I take care of meds, running to store, prepare meals for him and pay his bills since I am on his account (savings and checking). I am his POA as well. I need to do this as soon as I can since he will be moving into my home in about 4 months once the construction is done.

A:  Aid and Attendance benefits from the VA can be just as complicated as Medicaid planning. Do not do this on your own without an experienced elder law attorney who knows Medicaid and VA rules. Some of the things that work for A & A can adversely impact the senior citizen down the road should they need to transition to a nursing home and need Medicaid funding.

 

My husband just went into an Alzheimer’s care facility.

Q: My husband is 85 and has dementia that turned into Alzheimer’s disease. He also is an alcoholic. A year ago he became violent, aggressive, started exhibiting bizarre behavior, forgetting things on a daily basis, and verbally abusing me. He finally had to go into a memory care home. We have been together for 9 years married for 3. No family on either side. Back in 2011 we went to his lawyer and had his will changed, threw out the old trust and created another trust but only in his name. When we married, everything stayed the same with only a few minor changes. Basically, it states when he passes away everything turns over to me. But I think part of it says he can change anything at anytime. Right now, he is telling everybody at the home how he is going to hurt me, etc. How do I protect my home?

A:  My first thought is that he probably does not have the capacity to sign a legal document at this point. You may want to inquire from his doctor if he is in fact competent. If the doctor says no, it may give you some peace of mind. In the event that someone did have him sign something, you would have a good basis to challenge it. In any event, I think you could benefit from the advice of an elder law attorney. He or she can advise you how to shelter this home and other assets from a potential Medicaid claim, should your husband ever need to apply for Medicaid. You should also make an effort to locate and secure this trust agreement so it is not lost or destroyed by another person.