Publications
How To Divide Personal Property In An Estate
When I help settle an estate the most challenging task is mediating what is the “best” way to divide the jewelry, art, furniture and other tangible personal property of the deceased among their heirs. People behave irrationally when they feel that they were promised something under the will. They already feel that the item is theirs. This is compounded by the friction between and among family members that existed during the decedent’s lifetime.
So, what is the best way to divide your assets? The fact is that there is no “best” way to divide assets, but there are some things you can do, or refrain from doing, to help avoid a family fight.
FFI: Family Offices and Artwork: Mitigating the risks
Families that use family office services expect family office professionals to help them mitigate risks, both to investments and to concentrated illiquid holdings, such as real estate or closely-held businesses. What sometimes goes overlooked, however, is how to mitigate the risks of ownership of artworks, numismatics, jewelry, cars, and other collectibles. Risk mitigation for these treasures begins with documenting what the client has, aggregating the individual items into collections, and beginning the management of the items as a collection.
Securing Treasures: What HNW Owners, Advisors Should Do
Families that use family office services expect family office professionals to help them mitigate risks, both investment and concentrated illiquid holdings, such as real estate and closely held businesses. Sometimes overlooked is how to mitigate the risk of the ownership of artwork, numismatics, jewelry, cars and other collectibles. Risk mitigation for these treasures begins with knowing what your client has, aggregating the individual items into collections and beginning the management of the items as a collection.
Forbes: Thoughts On Collecting Art
The recent death of famed art collector Sheldon Solow has raised in my mind the more common question for estate planners about what to do with art in an estate. Once a person starts accumulating Art, their mind often turns to forming a Collection. Any estate planner for the collector should ask some hard questions. The fact is that Art of every description are sold each year as adding to a collection; unhappily, most of these collections fail in the long or short term to be financially or artistically successful and end up being broken up at the death of the Collector. If you are intent on creating a collection, here are a few thoughts on what to do, and not do, from an estate planner’s perspective.
Forbes: Where Do We Go From Here?
I mentioned in a previous article on how not to tear a family business apart the usefulness of Scenario planning. I have had a few questions on what, exactly, scenario planning is and how it works with estate planning so here is a bit more on the technique.
Forbes: The 2020-2021 IRS Priority Guidance Plan
The IRS issued the Priority Guidance Plan for 2020-2021 on November 17, 2020. This plan contains the guidance projects that will be the focus of efforts during the 12-month period from July 1, 2020, through June 30, 2021 (referred to as the plan year). The 2020-2021 Priority Guidance Plan contains 191 guidance projects and, as of September 30, 2020, 57 guidance items have been released.
Forbes: What if A Beneficiary Becomes An Addict?
Since the beginning of sheltering-in-place in response to the pandemic, there have been concerns about the impact the response has had on drug and alcohol recovery programs and their clients. This is to the extent where some are seeing substance abuse as a “pandemic within a pandemic”. Filling the gap in available treatment is a policy issue that has to be addressed by society, but trusts can be drafted so as to increase the likelihood of long term (2+ years) recovery from less than 25% to 92%.
Forbes: Handling Debts in an Estate
The financial stress on both families and businesses as a result of the Covid-19 pandemic means an increasing level of debt for both. In reviewing estate plans today, one of the issues to consider is what would happen if a client who has significant debts, or is liable for debts incurred by their business, suddenly falls ill and dies? There is a process for handling debts of a decedent in estates, but it requires careful planning.