Prenuptial And Postnuptial Agreements - Hellertown, Pennsylvania

662 Main Street
Hellertown, PA 18055-1790
Phone: 610-838-6563
Fax: 610-838-2732
bdwagnerlaw@rcn.com

Hours:
Monday–Friday
9:00 a.m.–5:00 p.m.
Evenings & Weekends by Appointment

FAQs (Frequently Asked Questions)

Inheritance Taxes

Q: If I title assets jointly with another person in Pennsylvania, will I avoid inheritance taxes?

A: If your estate is under $2,000,000 in 2006, the only tax that is applicable at the time of your death is the Pennsylvania inheritance tax. If you live more than 1 year after jointly titling with another person, the joint owner would owe inheritance tax on half the date-of-death asset value.

_________________________________________________________________________________

Power of Attorney

Q: Why do I need a power of attorney if my wife and I have all assets jointly titled?

A: A power of attorney between a husband and wife would permit the agent to sell a jointly titled residence despite the fact that the other spouse might be mentally incapacitated. Alternate housing arrangements are often necessary in cases of disability. In addition, the agent could administer an IRA or other retirement plan in the incapacitated spouse's name.

_________________________________________________________________________________

Disinheritance

Q: Do I need to leave $1.00 to a child I wish to disinherit?

A: No. Leaving a small bequest, such as $1 or $100, to a child can create additional problems for an estate. If your father left you $1 under his will, would you sign a release for his estate?

_________________________________________________________________________________

Gifts

Q: Can I give my residence to a child for $1.00?

A: Yes, but there are many other consequences as a result of the gift, such as Federal Gift Tax. Many issues, including your child's divorce, bankruptcy, or liability after an automobile accident, can complicate this matter. This gift can also affect your ability to enter a nursing home. Each situation must be evaluated differently.

_________________________________________________________________________________

Asset Disbursement

Q: My mother is going into a nursing home, and I am wondering what I can do with her assets?

A: There are many things that can be done with her assets, but each situation needs to be analyzed individually to decide how to proceed. How soon is your mother entering the nursing home? What assets does she have available? What is her monthly income? Is her spouse living? What is her income tax basis of these assets? A consultation is necessary to address these and other issues.

_________________________________________________________________________________