Probate, Wills and Estate Administration- Statutes and information NJ: February 2022

Wednesday, February 23, 2022

Sayreville Senior Center- Wills, Estate Planning & Probate Seminar 2022

Wills, Estate Planning & Probate Seminar

April 21, 2022 at 11am

423 Main Street

Sayreville NJ 08872

Open to the public.

Wills & Estate Administration-Protect Your Family and Make Planning Easy. Free program in person open to the public, you do not need to be a Township resident to attend.

Speaker: Kenneth Vercammen, Esq. Edison, NJ (Author-Wills and Estate Administration by the ABA)

New Main Topics:

1. What’s new with proposed 2022 Federal Estate Tax changes

2. Handling Probate during Covid and while Government offices closed

3. Dangers If You Have No Will or documents invalid

4. Getting your Estate Planning Documents done without going into a law office

5. Power of Attorneys recommendations

6. Living Will & Advance Directive for Medical Care

7. Administering the Estate/Probate /Surrogate

8. Avoiding unnecessary expenses and saving your family money

COMPLIMENTARY MATERIAL: Brochures on Wills, "Answers to Questions about Probate" and Administration of an Estate, Power of Attorney, Living Wills, Real Estate Sales for Seniors, and Trusts.

For information: Call- Sayreville Senior Center 732-390-7059

Or email Jen Krushinski

jkrushinski@sayreville.com

You don’t have to be a Sayreville resident to attend.

https://www.facebook.com/events/335940605206150

For materials if you can’t attend, email vercammenlaw@njlaws.com

Free Will Seminars and Speakers Bureau for Groups

SPEAKERS BUREAU

At the request of senior citizen groups, unions, and Middlesex County companies and organizations, the " Speakers Bureau " is a service designed to educate citizens about how laws affect their lives and how the judicial system operates. We have attorneys available to speak to businesspersons, educational, civic and social organizations on a wide range of topics during business hours. If your organization in Central NJ would like to schedule a Will & Estates seminar, call Kenneth Vercammen’s Law Office at 732-572-0500 or email Vercammenlaw@njlaws.com

10 years ago the AARP Network Attorneys of the Edison/Metuchen/Woodbridge area several years ago established a community Speakers Bureau to provide educational programs to AARP and senior clubs, Unions and Middlesex County companies. Now, Ken Vercammen, Esq. and volunteer attorneys of the Middlesex County Estate Planning Council have provided Legal Rights Seminars to hundreds of seniors, business owners and their employees, unions, clubs and non-profit groups

Details on free programs available

These quality daytime educational programs will educate and even entertain. Clubs and companies are invited to schedule a free seminar. The following Seminars are now available:

1. WILLS & ESTATE ADMINISTRATION-PROTECT YOUR FAMILY AND

MAKE PLANNING EASY

2. POWER OF ATTORNEY to permit family to pay your bills if you are temporarily disabled and permit doctors to talk with family

All instructors are licensed attorneys who have been in practice at least 25 years. All instructors are members of the American Bar Association, New Jersey

State Bar Association, and Middlesex County Bar Association. All programs include free written materials.

You don't have to be wealthy or near death to do some thinking about a Will. Here is your opportunity to listen to an experienced attorney who will discuss how to distribute your property as you wish and avoid many rigid provisions of state law.

Topics discussed include: Who needs a Will?; What if you die without a Will (intestacy)?; Mechanics of a Will; "Living Will"; Powers of Attorney; Selecting an executor, trustee, and guardian; Proper Will execution; Inheritance Taxes, Estate Taxes $14,000 annual gift tax exclusion, Bequests to charity, Why you need a "Self-Proving" Will and Estate Administration/ Probate.

Sample materials: Hand-outs on Wills, Living Wills/Medical Advance Directive, Power of Attorney, Probate and Administration of an Estate, Real Estate, Working with your Attorney, Consumers Guide to New Jersey Laws, and Senior Citizen Rights.

SPEAKERS BUREAU

In today's complex world, few people can function successfully and safely without competent legal advice. In order to insure your estate plans are legally set up, you need to know exactly where you stand so that you can avoid possibly catastrophic mistakes impacting both you and your family.

About the speaker: Kenneth A. Vercammen is a trial attorney in Edison, NJ. We is the author of the American Bar Association’s book “Wills and Estate Administration”

He is co-chair of the ABA Probate & Estate Planning Law Committee of the American Bar Association Solo Small Firm Division. He is a speaker for the NJ State Bar Association at the annual Nuts & Bolts of Elder Law & Estate Administration program.

He was Editor of the ABA Estate Planning Probate Committee Newsletter. Mr. Vercammen has published over 150 legal articles in national and New Jersey publications on litigation, elder law, probate and trial topics. He is a highly regarded lecturer on litigation and probate law for the American Bar Association, NJ ICLE, New Jersey State Bar Association and Middlesex County Bar Association. His articles have been published in noted publications included New Jersey Law Journal, ABA Law Practice Management Magazine, and New Jersey Lawyer. He established the NJlaws website www.njlaws.com which includes many articles on Estate Planning, Probate and Wills. He is a member of the AARP and often lectures to groups on the importance of an up to date Will, Power of Attorney and Living Will.

KENNETH VERCAMMEN & ASSOCIATES, PC

ATTORNEY AT LAW

2053 Woodbridge Ave.

Edison, NJ 08817

(Phone) 732-572-0500

(Fax) 732-572-0030

www.njlaws.com

Residents invited from Middlesex,

Piscataway,

South Plainfield,

Edison,

Metuchen,

Woodbridge,

Perth Amboy,

Carteret,

Highland Park,

New Brunswick,

North Brunswick,

Milltown,

East Brunswick,

South River,

Sayreville,

South Amboy,

Old Bridge,

Spotswood,

South Brunswick,

Plainsboro,

Cranbury,

Monroe,

Jamesburg,

South Brunswick Library Estate Planning and Probate 2022

South Brunswick Library

Estate Planning and Probate 2022

April 21, 2022 at 7:00 p.m.

free Zoom program open to the public

https://www.facebook.com/events/300412152121563

SPEAKER: Kenneth Vercammen, Esq. Edison, (Author- ABA’s “Wills and Estate Administration book”)

Please join the South Brunswick Library for a Virtual Presentation of this legal workshop. Register below to be sent an invitation for the Zoom.

2022 Topics:

1. What’s new with proposed 2022 Federal Estate Tax changes

2. Handling Probate during Covid and while Government offices closed

3. Dangers If You Have No Will or documents invalid

4. Getting your Estate Planning Documents done without going into the law office

5. Power of Attorneys recommendations

6. Living Will & Advance Directive for Medical Care

7. Administering the Estate/Probate /Surrogate

8. Avoiding unnecessary expenses and saving your family money

Do you have a current will? Have you ever had to deal with the probate process? The Edison law offices of Kenneth Vercammen will join the library this evening to hold a workshop on the latest legal issues regarding Estate Planning and Probate. Remember, the laws are constantly changing and you should be aware of what is new and how it will affect you and your family. In a recent newsletter, lawyer Kenneth Vercammen tells us to "beware of the inexpensive forms you can get online." He warns, "Often cheap online forms are rejected" in the probate process. a hear what you need to know when considering how to legally protect your assets for your family.

Questions can be asked using the chat feature on Zoom and they will be answered during the Q&A period at the end of the presentation as time allows.

To register, go to __

South Brunswick Library

Att: Barbara Battles

(732) 329-4000x 7286

outreach@snpl.info

https://www.facebook.com/events/300412152121563/

Can’t attend? We can email you materials Send email to VercammenLaw@Njlaws.com

Free Will Seminars and Speakers Bureau for Groups

SPEAKERS BUREAU

Details on free programs available

These quality daytime educational programs will educate and even entertain. Clubs and companies are invited to schedule a free seminar. The following Seminars are now available:

1. WILLS & ESTATE ADMINISTRATION-PROTECT YOUR FAMILY AND

MAKE PLANNING EASY

2. POWER OF ATTORNEY to permit family to pay your bills if you are temporarily disabled and permit doctors to talk with family

All instructors are licensed attorneys who have been in practice at least 25 years. All instructors are members of the American Bar Association, New Jersey

State Bar Association, and Middlesex County Bar Association. All programs include free written materials.

SPEAKERS BUREAU

About the speaker: Kenneth A. Vercammen is a trial attorney in Edison, NJ. We is the author of the American Bar Association’s book “Wills and Estate Administration”

KENNETH VERCAMMEN & ASSOCIATES, PC

ATTORNEY AT LAW

2053 Woodbridge Ave.

Edison, NJ 08817

(Phone) 732-572-0500

(Fax) 732-572-0030

www.njlaws.com

Probate and Estate Administration with NJ Surrogates By Kenneth Vercamme...

Probate and Estate Administration while some Surrogate offices still closed to the public Prior to Covid, Executors had to make a personal appearance in the County Surrogate’s Office. Due to Covid, County Buildings and Surrogate’s offices were closed to the public. Therefore, to handle probate matters when there is a valid Will we first fill out the Surrogate’s Information Sheet. Then we forward the Surrogate’s Information Sheet together with a copy of the Will and copy of Death Certificate. Each County Surrogate has its own procedures. Then the surrogate is sent by certified mail: - Original Will - Original Death Certificate - Signed Surrogate papers - Check typically for $160 We receive paperwork from the Surrogate to be signed by the Executor then we file with the Surrogate: - Notarized Application for Probate - Notarized Auth to accept process - Notarized child support form Thereafter, the Surrogate will forward your attorney or you the Letters Testamentary. We handle almost everything by email, fax and certified mail. If there is no Will, the procedure is more complicated, called an Administration. All the beneficiaries need to sign a Renunciation. We then fill out, notarize and file the following document with the Surrogate. [ X ] Application Administration [ X ] Renunciation by all Beni [ X ] Administration Affidavit of assets [ X ] Administrator Qualification [ X ] Power of Attorney Administration [ X ] Child support lien notice [ X ] acknowledgement receipt of bond info [ X ] Original Death Cert If all beneficiaries will not sign the Renunciation, then an expensive Complaint and Order to Show Cause must be filed requesting a Superior Court Judge to select someone to be the estate Administrator.

Why you should sign an updated legal Power of Attorney By Kenneth Verca...

Why you should sign an updated legal Power of Attorney- Do not use a form found online. A Power of Attorney should always contain reference to the NJ statute requiring banks to honor the Power of Attorney. Section 2 of P.L. 1991, c. 95 (c. 46:2B-11). A NJ bank or brokerage company does not have honor a Power of Attorney without the proper NJ language. Also, if you or your representative move it is a good idea to have a new POA prepared since a bank may give your selected agents a hard time if the address on their license is different than the address on the POA. A Power of Attorney is a written document in which a competent adult individual (the "principal") appoints another competent adult individual (the "attorney-in-fact") to act on the principal's behalf. You usually select a spouse, child or family member. In general, an attorney-in-fact may perform any legal function or task, which the principal has a legal right to do for him/herself. You may wish to sign a Power of Attorney giving your spouse, children or partner the power to handle your affairs if you become ill or disabled. In the absence of a Power of Attorney or other legal arrangement to distribute property if you become disabled, your spouse, family or partner cannot pay your bills or handle your assets. The result can be lengthy and expensive delays. Have a current Power of Attorney prepared. Avoid having to spend $4,000 on a lengthy guardianship. We strongly recommend all adults have a Power of Attorney prepared in the event they are temporarily incapacitated or hospitalized. We do require interview forms be completed in full and emailed back so we can provide accurate advice. The doctor’s office similarly has patients fill out details prior to the consult. We also recommend signing a Living Will with Combined Advance Directive for Health Care. The Living Will contains a Power of Attorney for Health Care & Medical Decisions. In signing your Living Will, you will designate an individual you trust to act as your legally recognized health care representative to make health care decisions for you in the event you are unable to make decisions for yourself.

Don’t give money outright to Beneficiaries under age 21 By Kenneth Verca...

Don’t give money outright to Beneficiaries under age 21 If you have any children or beneficiaries under the age of 21, you should formally change the beneficiary on life insurance beneficiary designation, IRA/ 401k/ SEP from children to “My estate” so they do not receive money at age 20. We recommend you obtain copies of your life insurance beneficiary designation, IRA/ 401k/ SEP designation forms and include in your Will folder. A Will cannot change who your beneficiaries are. CREATION OF TRUST FOR CHILDREN IN WILLS 20 year old don't handle money wisely. We recommend a trust within a Will if you have children under the age of 25 to protect their assets from creditors and temporary friends In the event that my spouse predeceases me, dies with me in a common disaster, or dies within thirty (30) days of the date of my death, I give, devise, and bequeath all the rest, residue, and remainder of my estate, real, personal, and mixed, wherever found and wherever situate to my Trustee, hereinafter named, in trust, to be divided into equal shares so as to provide one equal share for each of my children and the income and principal of each child's share shall be held as a separate trust and distributed by my Trustee for the following uses and purposes: A. To invest, reinvest, and keep the same invested in accordance with the powers vested in my Trustee, hereinafter named, pursuant to paragraph NINTH hereof, and to collect, recover, and receive rents, issues, interest, income, and profits thereof, and after deducting proper and necessary expenses of the trust. B. To use the net income from each child's share and so much of the principal as my Trustee, in his sole discretion deems advisable for the medical expenses, care, support, and maintenance, including education in preparatory school, college, and professional school, of my children. My Trustee may apply such income or principal for the benefit of my children directly or by payment to the person with whom my children reside or who has the care or control of my children. C. The principal held in each child's share shall be distributed to him or her upon his or her attaining the age of thirty (30) years. In the event either of my children have not attained the age of thirty (30) years, if he or she has attained or upon his or her attaining the age of twenty two (22) years, my Trustee shall distribute one-third (1/3) of the principal held in such child's share to him or her. If either child has attained or upon attaining the age of twenty five (25) years, an additional one-half (1/2) of the balance of the principal held in such child's share shall be distributed to him or her. Upon attaining the age of thirty (30) years, the balance of the principal held in such child's share shall be distributed to him or her. D. In the event of the death of a child of mine prior to complete distribution of the share set aside for him or her, such share, or the remainder thereof, shall be distributed, per stirpes, to his or her then living issue, if any, or if none, per stirpes to my then living issue, subject, however, to the provisions of paragraph FOURTH.

What is a Testamentary Trust in a Will? By Kenneth Vercammen Esq Edison ...

What is a Testamentary Trust in a Will The Testamentary Trust in a Will is recommended when you have minor children, or children that cant handle money. A testamentary trust is a Trust set up inside your Will A regular trust is funded during your lifetime with your assets. A Testamentary Trust in a Will is not funded until you pass away so you keep your money. A regular Trust costs between $2,500- $4,000 to set up. A Testamentary Trust in a Will is costs $500. A testamentary trust in a Will (sometimes referred to as a will trust or trust under will) is a trust which arises upon the death of the testator, and which is specified in his or her will. Testamentary trusts are distinguished from inter vivos trusts, which are created during the settlor's lifetime. There are four parties involved in a testamentary trust: • the person who specifies that the trust be created, usually as a part of his or her will, but it may be set up in abeyance during the person's lifetime. This person may be called the grantor or trustor, but is usually referred to as the settlor; • the trustee, whose duty is to carry out the terms of the will. He or she may be named in the will, or may be appointed by the probate court that handles the will; • the beneficiary(s), who will receive the benefits of the trust; • Although not a party to the trust itself, the probate court is a necessary component of the trust's activity. It oversees the trustee's handling of the trust. A testamentary trust is a legal arrangement created as specified in a person's will, and is occasioned by the death of that person. It is created to address any estate accumulated during that person's lifetime or generated as a result of a postmortem lawsuit, such as a settlement in a survival claim, or the proceeds from a life insurance policy held on the settlor. A trust can be created to oversee such assets. A trustee is appointed to direct the trust until a set time when the trust expires, such as when minor beneficiaries reach a specified age or accomplish a deed such as completing a set educational goal or achieving a specified matrimonial status. For a testamentary trust, as the settlor is deceased, he or she will generally not have any influence over the trustee's exercise of discretion, although in some jurisdictions it is common for the testator to leave a letter of wishes for the trustee. In practical terms testamentary trusts tend to be driven more by the needs of the beneficiaries (particularly infant beneficiaries) than by tax considerations, which are the usual considerations in inter vivos trusts. Source https://en.wikipedia.org/wiki/Testame... Using a Spendthrift Trust in a Will for children with substance abuse issues A spendthrift trust in a Will is one of the best options when estate planning for addicts. There are several forms of this trust a parent can consider, and each has pros and cons. At its most basic, the spendthrift trust enables a parent to put spending authority in the hands of a trustee, or a trusted person who will control the reckless spending of the child. This can prevent them from wasting funds and can prevent them from using funds to purchase drugs. Spendthrift clauses in trusts are also valuable because a parent can use them to provide necessary funds such as food, clothing, cab fare and shelter to the beneficiary, without allowing them to spend anything else. This enables a parent to offer support, even after a parent are deceased. Finally, spendthrift clauses typically protect the funds in the estate from creditors. So long as the funds are in the trust, creditors cannot reach them. This is ideal in instances where the child may have to declare bankruptcy due to poor financial decisions while under the influence of drugs or alcohol, has a large amount of debt, or is likely to accrue a large amount of debt. However, once funds are taken out of the trust, they can be garnished by creditors. Creditors include child support, alimony, taxes, Medicaid. In some cases, a parent may be able to set up a discretionary spendthrift supplementary needs trust, which enables the child to qualify for needs-based government benefits (SSI, Medicaid, housing, SNAP, etc.), while offering the other benefits of the trust. The best way to set this up is to create a Testamentary Discretionary Trust with a spendthrift clause, which will come into effect after a parent are deceased. Then, the funds will be moved into trust and spending will be controlled by the trustee for the benefit of the child (the beneficiary). Source https://beginningstreatment.com/estat... N.J.S.A. 3B:31-38 Discretionary Trusts N.J.S.A. 3B:31-68 Discretionary Powers Originally drafted by one of NJ’s top attorneys Glenn A. Henkel, also a past great Wrestler at St. Thomas Bishop Ahr High School Edison with Ken V on wrestling team

Specific bequests in Wills By Kenneth Vercammen Edison NJ 08817

Specific bequests in Wills A Specific Bequest or devise is a testamentary gift of a specific item of property (e.g., a diamond engagement ring, Joe DiMaggio autographed baseball) that can be easily identified and distinguished from all other property in the testator’s estate. If the testator desires to bequeath items of significant value, a specific bequest should be included in the Will; side letters are not appropriate if the client wants to make a specific bequest of a valuable item. Not recommended. to use a separate writing in the absence of state law authorization because it opens the Executor up to a breach of fiduciary duty claim since the Executor would be acting in conflict with state law if he distributes the property in accordance with the separate writing. -Specific Bequests go in first paragraph before Disposition of Residuary, or Disposition to Children. I give and bequeath __________ to ____ [name of person} In the event this beneficiary shall predecease me, then this bequest ______. You can also disinherit a child or grandchild. Your attorney should add a specific clause to the Will. Sometimes they indicate “I make no bequest to _____ and their children and heirs. If someone is being left out you must be specific.

Will preparation online without having to travel to law office By Kennet...

Will preparation online without having to travel to law office and follow up consults over phone & online. Wills are now prepared online without requiring persons to travel into the office. To assist potential clients and seniors we now offer document preparation remotely and consults. 1. For Wills, Power of Attorney, Living Wills, please email Vercammenlaw@njlaws.com. We will email the Will interview form. 2. Type response/ Fill in details. Email completed Will Questionnaire back. For Wills Please type up & fill out completely and email to vercammenlaw@njlaws.com. Typing name and details is required. Save as word doc or text, not pdf. This form is extremely important. Your accuracy and completeness in responding will help us best help you. All sections and information must be filled out prior to discussing with the attorney. Information cannot be handwritten since computer cannot scan handwriting. 3. Ken V will call to discuss after typed interview form received. 4. After persons pay by credit card online or check we will draft documents and email to clients. 5. Ken V will call to answer further questions 6. Sign documents in front of notary and two witnesses [ spouse ok as witness]. Signing instructions provided. UPS stores continue to be open and have notaries. The Law Office signs Wills on Tuesday by appointment. Assets are not listed in Wills because someone does not know what they will own and where they will live when they pass away.

2022 Federal Estate Tax Update by Kenneth Vercammen Edison NJ 08817

2022 Federal Estate Tax Update
Lifetime Exclusion Increases to $12,060,000: As of January 1, 2022, the federal gift and estate tax exclusion amount, as well as the exemption from generation-skipping transfer (GST) tax, (collectively, the “transfer tax exclusion amounts”) have increased by $360,000 from $11,700,000 to $12,060,000 ($24,120,000 for a married couple).  
Annual Exclusion Increases to $16,000 As of January 1, 2022, the federal gift tax annual exclusion amount (i.e., the amount that an individual can annually transfer to another individual without using any lifetime gift tax exclusion or paying any gift tax) increased by $1,000 from $15,000 to $16,000 ($32,000 for a married couple). However, no gifts can be made to avoid Medicaid or nursing home.
 Required Minimum Distributions: New life expectancy tables used for determining required minimum distributions (RMDs) from IRAs and qualified retirement plans went into effect as of January 1, 2022. These changes impact traditional (non-Roth) IRA owners who have reached their Required Beginning Date for taking RMDs, qualified retirement plan participants who have reached their Required Beginning Date for taking RMDs, and beneficiaries of an inherited IRA or qualified retirement plan. Please contact your plan administrator or financial advisor regarding how to compute your RMDs for calendar year 2022 using the new tables.
 Step-Up in Basis: Under current federal tax laws, the income tax basis of property acquired from a decedent generally is adjusted to the fair market value of that property as of the date of the decedent’s death (often referred to as a “step-up” in basis at death). Although there were proposals in Congress to change this, Congress did not pass those proposals in 2021, so the step-up in basis at death remains in effect for 2022. More info https://www.jdsupra.com/legalnews/est...

Form 706 Changes
The basic exclusion amount (or applicable exclusion amount in years prior to 2011) is $1,500,000 (2004-2005), $2,000,000 (2006-2008), $3,500,000 (2009), $5,000,000 (2010-2011), $5,120,000 (2012), $5,250,000 (2013), $5,340,000 (2014), $5,430,000 (2015), $5,450,000 (2016), $5,490,000 (2017), $11,180,000 (2018), $11,400,000 (2019), $11,580,000 (2020), $11,700,000 (2021), and $12,060,000 (2022).

Exclusions

The annual exclusion for gifts is $11,000 (2004-2005), $12,000 (2006-2008), $13,000 (2009-2012) and $14,000 (2013-2017). In 2018, 2019, 2020, and 2021, the annual exclusion is $15,000. In 2022, the annual exclusion is $16,000.
The basic exclusion amount (or applicable exclusion amount in years prior to 2011) for gifts is $1,000,000 (2010), $5,000,000 (2011), $5,120,000 (2012), $5,250,000 (2013), $5,340,000 (2014), $5,430,000 (2015), $5,450,000 (2016), $5,490,000 (2017), $11,180,000 (2018), $11,400,000 (2019), $11,580,000 (2020), $11,700,000 (2021), and $12,060,000 (2022).  Form 706 Changes
The basic exclusion amount (or applicable exclusion amount in years prior to 2011) is $1,500,000 (2004-2005), $2,000,000 (2006-2008), $3,500,000 (2009), $5,000,000 (2010-2011), $5,120,000 (2012), $5,250,000 (2013), $5,340,000 (2014), $5,430,000 (2015), $5,450,000 (2016), $5,490,000 (2017), $11,180,000 (2018), $11,400,000 (2019), $11,580,000 (2020), $11,700,000 (2021), and $12,060,000 (2022).

For Estate Tax returns after 12/31/1976, Line 4 of Form 706, United States Estate (and Generation-Skipping Transfer) Tax Return PDF, lists the cumulative amount of adjusted taxable gifts within the meaning of IRC section 2503. The computation of gift tax payable (Line 7 of Form 706) uses the IRC section 2001(c) rate schedule in effect as of the date of the decedent's death, rather than the actual amount of gift taxes paid with respect to the gifts.

With the top bracket tax rates decreasing from 55 percent (in 2001) to 35 percent (in 2010), and then increasing to 40 percent (in 2013), the IRS has encountered situations where gift taxes paid were greater than the tax calculated using the rate in effect at the date of death.

Beginning January 1, 2011, estates of decedents survived by a spouse may elect to pass any of the decedent's unused exclusion to the surviving spouse. This election is made on a timely filed estate tax return for the decedent with a surviving spouse. Note that simplified valuation provisions apply for those estates without a filing requirement absent the portability election. See the Instructions to Form 706 for additional information.

Wednesday, February 23, 2022

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