May is National Elder Law Month

In 1963, President Kennedy declared May to be Senior Citizens Month to honor those who are 65 and older.  Since then every President has proclaimed May to be a month to show support for older Americans.  President Jimmy Carter changed the name in 1980 to Older Americans Month and the National Academy of Elder Law Attorneys supports this annual proclamation by declaring the month of May to be National Elder Law Month.

But what is encompassed in elder law?  And how can an elder law attorney assist older Americans?  Here is a brief list of some of the major issues that an elder law attorney advises upon:

  • Incapacity planning that would include a discussion regarding financial and medical powers of attorney
  • Tax planning
  • Estate planning, including a discussion surrounding the management of assets during incapacity and upon death
  • Medicaid
  • Medicare
  • Long-term care, including continuing care retirement communities (CCRCs), skilled nursing facilities (SNFs) and assisted living facilities (ALFs)
  • Social Security (SSDI and SSI)
  • Special Needs planning (e.g., special/supplemental needs trusts)
  • Conservatorship and guardianship
  • Asset protection
  • Elder abuse and exploitation
  • Retirement planning, including beneficiary designations, death benefits and spousal benefits
  • Mental health law
  • Estate and Trust Administration

Keep in mind that some elder law attorneys are like your internist, that is, they can spot the issues and advise in broad terms.  Other elder law attorneys are specialists.  For example, certain elder law attorneys may handle only social security disability claims and appeals while others only litigate nursing home abuse cases.   Whatever the issue, it is important to make sure the relationship with an elder law attorney is a good fit for your circumstances and helps achieve your goals.  In the meantime, this month and beyond be sure to celebrate older Americans!  #elderlaw #olderamericansmonth @aclgov #nationalelderlawmonth

 

The ABLE Act – Proposed Legislation Will Modify Certain Provisions

An earlier post gave a brief summary of the Achieving a Better Life Experience Act of 2014 or the ABLE Act.  Three different pieces of legislation were introduced on March 17, 2016 that would change some of the provisions of the ABLE Act.  Below is a brief summary of each proposed change.

  1.  Current law limits eligibility for the creation of an ABLE account to individuals with disabilities where the disability occurred before turning 26 years old.  H.R. 4813 would increase that age from 26 to 46.
  2. H.R. 4794 would allow for rollovers between 529 accounts and ABLE accounts.
  3. Finally, H.R. 4795 would permit individuals with disabilities to save additional monies to an ABLE account above the annual maximum ($14,000.00) now in place.  Such additional contributions would be allowed for those individuals with disabilities who work and earn income.  The additional contribution would equal the lesser of (a) his or her “compensation…for the taxable year” or (b) “an amount equal to the poverty line for a one-person household, as determined for the calendar year preceding the calendar year in which the taxable year begins.”

Updates will be posted as the legislation moves forward.  #specialneeds #ABLEact #estateplanning #proposedlegislation

The ABLE Act – An Additional Resource for Families and Advisors

In 2014, the Achieving a Better Life Experience Act of 2014 or the ABLE Act was signed into law.  Under the ABLE Act, certain savings accounts could be established for individuals with disabilities.  Such accounts allow for monies to be set aside for an individual with disabilities without disqualifying the individual from public benefits such as Social Security Income (SSI) or Medicaid.  The total annual contributions are currently capped at $14,000, but the accounts can grow and be funded up to state mandated limits.  Virginia and Maryland limit these accounts to $350,000 while the District of Columbia caps the accounts at $260,000.  Various other restrictions apply including restrictions that may impact an individual’s SSI benefit for a period of time and require any remaining amounts in the account to be used to pay back for Medicaid benefits that are received; generally known as a “Medicaid pay-back” provision.

Recently, the ABLE National Resource Center, an organization founded and managed by the National Disability Institute (NDI), went live with an informative website for families and professional advisors interested in learning more about the ABLE Act and establishing an account for an individual with disabilities.  In addition, the website provides state specific information since each state has implemented the ABLE Act differently.   Families of individuals with disabilities now have another resource in addition to consulting with their professional advisors if they are considering creating an account to ensure such planning fits within their overall goals and objectives.  #specialneeds #ABLEact #estateplanning @RealEconImpact