WEBVTT 00:00:00.000 --> 00:00:06.000 music 00:00:06.000 --> 00:00:08.000 it's such a pleasure to be 00:00:08.000 --> 00:00:09.000 able to have an opportunity 00:00:09.000 --> 00:00:10.000 to be with you today and 00:00:10.000 --> 00:00:12.000 speak in a classroom I've been 00:00:12.000 --> 00:00:13.000 practicing for twenty three 00:00:13.000 --> 00:00:16.000 years exclusively in the area 00:00:16.000 --> 00:00:19.000 of wills and trusts probate 00:00:19.000 --> 00:00:20.000 which is really about life 00:00:20.000 --> 00:00:21.000 transitions helping families 00:00:21.000 --> 00:00:23.000 through life transitions and 00:00:23.000 --> 00:00:25.000 you know very early on when 00:00:25.000 --> 00:00:27.000 you're a young attorney -- your 00:00:27.000 --> 00:00:29.000 practice is very transactional 00:00:29.000 --> 00:00:30.000 meaning I'm gonna help this 00:00:30.000 --> 00:00:31.000 client I'm gonna put this 00:00:31.000 --> 00:00:33.000 stuff together for them -- 00:00:33.000 --> 00:00:35.000 and then that's my role and one 00:00:35.000 --> 00:00:36.000 of the wonderful things that 00:00:36.000 --> 00:00:38.000 Dr. Manoogian galvanized for 00:00:38.000 --> 00:00:41.000 me is that what we do is not 00:00:41.000 --> 00:00:43.000 transactional it's relational 00:00:43.000 --> 00:00:45.000 and my clients are clients 00:00:45.000 --> 00:00:47.000 that I've had for twenty years 00:00:48.000 --> 00:00:50.000 a relationship with I know 00:00:50.000 --> 00:00:52.000 their kids their grandkids 00:00:52.000 --> 00:00:53.000 and when we're talking about 00:00:53.000 --> 00:00:55.000 these topics about aging 00:00:55.000 --> 00:00:57.000 gracefully it's so much more 00:00:57.000 --> 00:00:60.000 about relationship it's about 00:01:00.000 --> 00:01:02.000 creating processes that allow 00:01:02.000 --> 00:01:03.000 these life transitions to be a 00:01:03.000 --> 00:01:05.000 little bit easier and to be able to 00:01:05.000 --> 00:01:08.000 lean in to be able to have 00:01:08.000 --> 00:01:09.000 tough conversations with each 00:01:09.000 --> 00:01:12.000 other and this is -- what fills 00:01:12.000 --> 00:01:14.000 me up in my practice is 00:01:14.000 --> 00:01:16.000 Dr. Manoogian's example and mentorship 00:01:16.000 --> 00:01:18.000 to me to say you know Ryan it's 00:01:18.000 --> 00:01:19.000 okay to lean in and it's okay 00:01:19.000 --> 00:01:21.000 to have tough conversations 00:01:21.000 --> 00:01:23.000 about have you spoken with your 00:01:23.000 --> 00:01:25.000 daughter about your illness or 00:01:26.000 --> 00:01:28.000 next steps in your life have 00:01:28.000 --> 00:01:30.000 you actually walked through some 00:01:30.000 --> 00:01:31.000 of the issues they're gonna be 00:01:31.000 --> 00:01:33.000 dealing with and -- and that 00:01:33.000 --> 00:01:35.000 is what fills me up is to lean 00:01:35.000 --> 00:01:36.000 in with those relationships 00:01:36.000 --> 00:01:38.000 so thank you Dr. Manoogian for 00:01:38.000 --> 00:01:40.000 being that wonderful example to 00:01:40.000 --> 00:01:41.000 me and even giving me some good 00:01:41.000 --> 00:01:43.000 books to read -- like 00:01:43.000 --> 00:01:45.000 Being Mortal one of my favorite books 00:01:45.000 --> 00:01:46.000 was actually introduced to me by 00:01:46.000 --> 00:01:49.000 Dr. Manoogian -- very early on in 00:01:49.000 --> 00:01:51.000 my practice -- I -- 00:01:51.000 --> 00:01:54.000 I learned that what I do is not 00:01:54.000 --> 00:01:56.000 transactional partly because 00:01:58.000 --> 00:01:59.000 I experienced the death of my 00:01:59.000 --> 00:01:62.000 mother in law and the challenge 00:02:02.000 --> 00:02:04.000 with that is of course -- 00:02:04.000 --> 00:02:07.000 dying is hard and when it's 00:02:07.000 --> 00:02:08.000 someone you care about and 00:02:08.000 --> 00:02:10.000 who you love and who -- is so 00:02:10.000 --> 00:02:11.000 important to the lives of your 00:02:11.000 --> 00:02:13.000 grandkids when when something 00:02:13.000 --> 00:02:15.000 like that happens it is it's 00:02:15.000 --> 00:02:17.000 challenging but what I quickly 00:02:17.000 --> 00:02:21.000 realized was dying and aging 00:02:21.000 --> 00:02:24.000 are -- sacred parts of our life 00:02:26.000 --> 00:02:28.000 that if we plan accordingly 00:02:28.000 --> 00:02:30.000 if we take good steps we can 00:02:30.000 --> 00:02:31.000 focus on what's important our 00:02:31.000 --> 00:02:33.000 relationships our love for 00:02:33.000 --> 00:02:36.000 each other -- caring for each 00:02:36.000 --> 00:02:37.000 other -- these are these are 00:02:37.000 --> 00:02:38.000 the things that we do and it's 00:02:38.000 --> 00:02:40.000 one of the reasons why I know 00:02:40.000 --> 00:02:42.000 you've come here today so this 00:02:42.000 --> 00:02:43.000 is what we're gonna talk about 00:02:43.000 --> 00:02:45.000 today your legal toolbox for 00:02:45.000 --> 00:02:48.000 aging gracefully what tools 00:02:48.000 --> 00:02:49.000 do we want in our tool box so 00:02:49.000 --> 00:02:51.000 that these life transitions 00:02:51.000 --> 00:02:52.000 are a little bit easier you 00:02:52.000 --> 00:02:54.000 have some materials in front of 00:02:54.000 --> 00:02:56.000 you -- right here if you open 00:02:56.000 --> 00:02:58.000 this up one there's a little 00:02:58.000 --> 00:02:60.000 more lengthy bio about this 00:03:00.000 --> 00:03:01.000 guy named Ryan who's speaking in 00:03:01.000 --> 00:03:04.000 front of you there's an article 00:03:04.000 --> 00:03:05.000 that I wrote for the 00:03:05.000 --> 00:03:08.000 Statesman Journal -- on addressing care 00:03:08.000 --> 00:03:10.000 beforehand this really covers 00:03:10.000 --> 00:03:12.000 and explains some of the tools 00:03:12.000 --> 00:03:13.000 that we'll talk about today 00:03:13.000 --> 00:03:15.000 that we want to deal with 00:03:15.000 --> 00:03:16.000 those issues of incapacity 00:03:16.000 --> 00:03:18.000 how do we give authority to the 00:03:18.000 --> 00:03:19.000 people that we care about to 00:03:19.000 --> 00:03:22.000 help us make good decisions I 00:03:22.000 --> 00:03:23.000 have another one that I wrote 00:03:23.000 --> 00:03:26.000 for Maps Credit Union -- on 00:03:26.000 --> 00:03:29.000 preserving family harmony -- 00:03:29.000 --> 00:03:30.000 dying is a stressful time for 00:03:30.000 --> 00:03:33.000 families and -- sometimes 00:03:33.000 --> 00:03:34.000 there's conflict in families 00:03:34.000 --> 00:03:36.000 what can we do to reduce that 00:03:36.000 --> 00:03:38.000 conflict particularly when 00:03:38.000 --> 00:03:39.000 it comes to the stuff that we 00:03:39.000 --> 00:03:41.000 have I have another article 00:03:41.000 --> 00:03:43.000 on retirement accounts many of 00:03:43.000 --> 00:03:44.000 you probably have retirement 00:03:44.000 --> 00:03:46.000 accounts retirement accounts 00:03:46.000 --> 00:03:47.000 can be kind of a challenging 00:03:47.000 --> 00:03:48.000 asset that we have to deal 00:03:48.000 --> 00:03:50.000 with -- with our families 00:03:50.000 --> 00:03:52.000 and -- this talks a little about 00:03:52.000 --> 00:03:53.000 some of the ways that we do 00:03:53.000 --> 00:03:55.000 it this would be like -- our 00:03:57.000 --> 00:03:58.000 this retirement planning we're 00:03:58.000 --> 00:03:59.000 going to not deal with those 00:03:59.000 --> 00:03:62.000 things today and then -- for any 00:04:02.000 --> 00:04:04.000 of you that are either taking 00:04:04.000 --> 00:04:06.000 care have -- minor kids or are 00:04:06.000 --> 00:04:07.000 the grandparents that are taking 00:04:07.000 --> 00:04:09.000 care of minor kids there's a 00:04:09.000 --> 00:04:11.000 article here that I wrote on 00:04:11.000 --> 00:04:12.000 guidelines for guardians basically 00:04:12.000 --> 00:04:14.000 putting out some instructions 00:04:14.000 --> 00:04:17.000 for making sure that your kids 00:04:17.000 --> 00:04:18.000 if they need to be cared for 00:04:18.000 --> 00:04:19.000 by someone else during a period 00:04:19.000 --> 00:04:21.000 of incapacity -- have good 00:04:21.000 --> 00:04:23.000 instructions so if you don't 00:04:23.000 --> 00:04:24.000 have minor kids yourself but 00:04:24.000 --> 00:04:25.000 you have kids that have minor 00:04:25.000 --> 00:04:27.000 kids share this with them this 00:04:27.000 --> 00:04:29.000 is a good tool I also have 00:04:29.000 --> 00:04:30.000 two brochures one on wills and 00:04:30.000 --> 00:04:32.000 trusts we are gonna talk about 00:04:32.000 --> 00:04:34.000 wills and trusts today and what 00:04:34.000 --> 00:04:35.000 those are I have another brochure 00:04:35.000 --> 00:04:38.000 on probate what is that -- and 00:04:38.000 --> 00:04:40.000 how do we incorporate that and how 00:04:40.000 --> 00:04:43.000 do we avoid it there's also a 00:04:43.000 --> 00:04:44.000 cheat sheet for everything that 00:04:44.000 --> 00:04:46.000 I'm gonna talk about today all 00:04:46.000 --> 00:04:47.000 the little slides are right here 00:04:47.000 --> 00:04:49.000 with little lines next to them 00:04:49.000 --> 00:04:50.000 so that you can take some notes now 00:04:50.000 --> 00:04:51.000 the writing is really small 00:04:51.000 --> 00:04:53.000 on those little pictures but 00:04:53.000 --> 00:04:54.000 hopefully you can identify 00:04:54.000 --> 00:04:55.000 the slide and take some notes 00:04:55.000 --> 00:04:58.000 for you -- I will speak for oh 00:04:58.000 --> 00:04:59.000 two more things in here I just 00:04:59.000 --> 00:04:61.000 noticed one is a pet profile 00:05:01.000 --> 00:05:03.000 many of you have pets I'll talk 00:05:03.000 --> 00:05:05.000 about how to use this pet profile 00:05:05.000 --> 00:05:07.000 to give the information about 00:05:07.000 --> 00:05:08.000 any pets you have to people 00:05:08.000 --> 00:05:09.000 that might need to step in and 00:05:09.000 --> 00:05:11.000 care for them and I also have 00:05:11.000 --> 00:05:13.000 a little survey here I love 00:05:13.000 --> 00:05:15.000 feedback and after I speak 00:05:15.000 --> 00:05:17.000 today I would love to hear a 00:05:17.000 --> 00:05:18.000 little bit of feedback from 00:05:18.000 --> 00:05:20.000 you on this on how I did are 00:05:20.000 --> 00:05:22.000 there things that I could do to 00:05:22.000 --> 00:05:23.000 improve are there topics that 00:05:23.000 --> 00:05:24.000 maybe I could have explained 00:05:24.000 --> 00:05:26.000 a little bit better also at 00:05:26.000 --> 00:05:28.000 the bottom if you have a group 00:05:28.000 --> 00:05:29.000 that maybe would benefit from 00:05:29.000 --> 00:05:33.000 this presentation let me know 00:05:33.000 --> 00:05:34.000 so I will speak for about 00:05:34.000 --> 00:05:36.000 forty five minutes -- and I'll leave a little 00:05:36.000 --> 00:05:37.000 opportunity for some questions 00:05:37.000 --> 00:05:39.000 at the end and I also will 00:05:39.000 --> 00:05:40.000 stay after if you have a little more 00:05:40.000 --> 00:05:41.000 personal question I'll stick 00:05:41.000 --> 00:05:43.000 around and you can ask me that 00:05:43.000 --> 00:05:44.000 as well too so in terms of 00:05:44.000 --> 00:05:48.000 what we're going to cover today 00:05:49.000 --> 00:05:51.000 generally I'm going to cover 00:05:51.000 --> 00:05:53.000 how do I protect myself and my 00:05:53.000 --> 00:05:55.000 family financially if I become 00:05:55.000 --> 00:05:58.000 incapacitated how do I share 00:05:58.000 --> 00:05:60.000 my medical decisions and 00:06:00.000 --> 00:06:02.000 choose a decision maker how do 00:06:02.000 --> 00:06:04.000 I avoid probate and what other 00:06:04.000 --> 00:06:06.000 tools do I need in my plan to 00:06:06.000 --> 00:06:09.000 convey my values to my family 00:06:09.000 --> 00:06:10.000 that's generally topics that 00:06:10.000 --> 00:06:12.000 we're going to cover so let's 00:06:12.000 --> 00:06:13.000 start with a couple things 00:06:13.000 --> 00:06:14.000 that I've seen in my practice 00:06:14.000 --> 00:06:15.000 and I'm going to walk through 00:06:15.000 --> 00:06:17.000 just some of the issues that 00:06:17.000 --> 00:06:18.000 I've seen and then some of the 00:06:18.000 --> 00:06:20.000 solutions on how to deal with 00:06:20.000 --> 00:06:22.000 those -- first is what if I 00:06:22.000 --> 00:06:24.000 can't find my name think of all 00:06:24.000 --> 00:06:26.000 the things that you do every 00:06:26.000 --> 00:06:28.000 day that require your signature 00:06:28.000 --> 00:06:29.000 all those forms you fill 00:06:29.000 --> 00:06:31.000 out -- contacting Social Security 00:06:31.000 --> 00:06:33.000 administration contacting your 00:06:33.000 --> 00:06:34.000 cable company because maybe 00:06:34.000 --> 00:06:35.000 they did something on your bill 00:06:35.000 --> 00:06:37.000 you disagree with all of this 00:06:37.000 --> 00:06:39.000 requires a level of authority 00:06:39.000 --> 00:06:40.000 and we take it for granted that 00:06:40.000 --> 00:06:42.000 we're healthy that we can make 00:06:42.000 --> 00:06:43.000 that call that -- we can sign 00:06:43.000 --> 00:06:46.000 that form what if we couldn't 00:06:46.000 --> 00:06:48.000 well even your spouse doesn't 00:06:48.000 --> 00:06:50.000 naturally have the right to sign 00:06:50.000 --> 00:06:52.000 on your behalf -- you might have 00:06:52.000 --> 00:06:54.000 noticed that when you call the 00:06:54.000 --> 00:06:55.000 utility company and you're the 00:06:55.000 --> 00:06:57.000 only name on the account your 00:06:57.000 --> 00:06:58.000 partner your spouse your child 00:06:58.000 --> 00:06:60.000 can call up but they won't take 00:07:00.000 --> 00:07:01.000 any information from them they 00:07:01.000 --> 00:07:02.000 won't help you unless you're the 00:07:02.000 --> 00:07:04.000 account owner so what do we do 00:07:06.000 --> 00:07:09.000 place that creates a problem 00:07:11.000 --> 00:07:13.000 grinds business to a halt for 00:07:13.000 --> 00:07:14.000 us how many people have heard 00:07:14.000 --> 00:07:17.000 of the term conservatorship 00:07:17.000 --> 00:07:18.000 well if we don't have the 00:07:18.000 --> 00:07:20.000 ability to do something for 00:07:20.000 --> 00:07:22.000 let's say an incapacitated family 00:07:22.000 --> 00:07:24.000 member we're stuck we need the 00:07:24.000 --> 00:07:26.000 legal authority to do that we 00:07:26.000 --> 00:07:28.000 often times have to in fact the 00:07:28.000 --> 00:07:29.000 only way really to have that 00:07:29.000 --> 00:07:30.000 authority when we really need 00:07:30.000 --> 00:07:33.000 it -- without a tool in place 00:07:33.000 --> 00:07:34.000 is to use a conservatorship 00:07:34.000 --> 00:07:36.000 process so some people call it a 00:07:36.000 --> 00:07:38.000 living probate essentially we 00:07:38.000 --> 00:07:40.000 have to file a petition with 00:07:40.000 --> 00:07:41.000 the court to have somebody 00:07:41.000 --> 00:07:44.000 appointed to legally take care 00:07:44.000 --> 00:07:46.000 of business for you and anytime 00:07:46.000 --> 00:07:47.000 you're dealing with courts it's 00:07:47.000 --> 00:07:48.000 obvious you'll deal with lawyers 00:07:48.000 --> 00:07:50.000 and expense it's frustrating 00:07:50.000 --> 00:07:52.000 it creates internal conflict 00:07:52.000 --> 00:07:53.000 within the family because who 00:07:53.000 --> 00:07:54.000 is this person that's supposed 00:07:54.000 --> 00:07:56.000 to serve how do you deal with 00:07:56.000 --> 00:07:58.000 that -- it's expensive and it 00:07:58.000 --> 00:07:60.000 delays the necessary action 00:08:00.000 --> 00:08:01.000 that we need to take for our 00:08:01.000 --> 00:08:03.000 loved ones so there's a real 00:08:03.000 --> 00:08:04.000 simple solution that everybody 00:08:04.000 --> 00:08:06.000 needs as part of their plan 00:08:06.000 --> 00:08:07.000 it's called a durable power 00:08:07.000 --> 00:08:09.000 of attorney how many people have heard 00:08:09.000 --> 00:08:11.000 of that so power of attorney 00:08:11.000 --> 00:08:13.000 is an essential tool for anyone 00:08:13.000 --> 00:08:14.000 if you're eighteen years and 00:08:14.000 --> 00:08:16.000 older it's a tool that you 00:08:16.000 --> 00:08:18.000 need to give that authority 00:08:18.000 --> 00:08:19.000 to someone that you trust a 00:08:19.000 --> 00:08:21.000 spouse another family member 00:08:21.000 --> 00:08:23.000 an adult child someone that can 00:08:23.000 --> 00:08:24.000 have the authority to step in 00:08:24.000 --> 00:08:26.000 in particular when you can't 00:08:26.000 --> 00:08:28.000 to do all the little things -- 00:08:28.000 --> 00:08:30.000 that we're not able to do for 00:08:30.000 --> 00:08:35.000 ourselves so -- in particular 00:08:35.000 --> 00:08:36.000 there's a -- a lot of things 00:08:36.000 --> 00:08:37.000 that we need to give authority 00:08:37.000 --> 00:08:39.000 to our spouse or our loved one to 00:08:39.000 --> 00:08:41.000 do for us that oftentimes we 00:08:41.000 --> 00:08:42.000 don't think about and so not 00:08:42.000 --> 00:08:43.000 all powers of attorney are 00:08:43.000 --> 00:08:46.000 created equal in Oregon we 00:08:46.000 --> 00:08:47.000 have a unique challenge that we 00:08:47.000 --> 00:08:48.000 don't have a law on the books 00:08:48.000 --> 00:08:50.000 regarding powers of attorney 00:08:50.000 --> 00:08:52.000 many states do California 00:08:52.000 --> 00:08:55.000 Arizona Texas we don't so when 00:08:55.000 --> 00:08:56.000 we have a power of attorney 00:08:56.000 --> 00:08:58.000 here in Oregon we actually 00:09:00.000 --> 00:09:01.000 on all the powers that we're 00:09:01.000 --> 00:09:02.000 going to grant both be very 00:09:02.000 --> 00:09:04.000 specific for the third parties 00:09:04.000 --> 00:09:06.000 that are gonna be reading it 00:09:06.000 --> 00:09:08.000 and also very broad in a state 00:09:08.000 --> 00:09:10.000 like California or Texas it's 00:09:10.000 --> 00:09:12.000 a check the box state -- you 00:09:12.000 --> 00:09:13.000 can have a little one or two 00:09:13.000 --> 00:09:15.000 page form you check some boxes 00:09:15.000 --> 00:09:16.000 and it connects to a statute 00:09:16.000 --> 00:09:18.000 that describes the authority 00:09:18.000 --> 00:09:19.000 of the power so in Oregon your 00:09:19.000 --> 00:09:21.000 power of attorney it needs 00:09:21.000 --> 00:09:22.000 to be detailed -- it needs to cover 00:09:22.000 --> 00:09:24.000 things like digital assets 00:09:26.000 --> 00:09:27.000 Social Security administration 00:09:27.000 --> 00:09:29.000 government agencies things that 00:09:29.000 --> 00:09:31.000 we oftentimes don't see on the 00:09:31.000 --> 00:09:33.000 online forms and that power my 00:09:33.000 --> 00:09:34.000 power of attorney in particular it's about 00:09:34.000 --> 00:09:35.000 eighteen pages long because 00:09:35.000 --> 00:09:39.000 it needs to be that long 00:09:39.000 --> 00:09:40.000 what about medical decisions 00:09:40.000 --> 00:09:42.000 modern medicine is I feel 00:09:42.000 --> 00:09:44.000 like it's making our body last 00:09:44.000 --> 00:09:46.000 longer than our mind can really 00:09:46.000 --> 00:09:47.000 keep up with so there's longer 00:09:47.000 --> 00:09:50.000 and longer periods of time where 00:09:50.000 --> 00:09:52.000 we may be incapacitated because 00:09:52.000 --> 00:09:53.000 modern technology medical 00:09:53.000 --> 00:09:55.000 technology's getting so good 00:09:55.000 --> 00:09:56.000 well those longer periods of 00:09:56.000 --> 00:09:58.000 time mean that we need a tool 00:09:58.000 --> 00:09:59.000 in place to make sure that our 00:09:59.000 --> 00:09:62.000 loved ones can make decisions 00:10:02.000 --> 00:10:04.000 for us medical decisions for us 00:10:04.000 --> 00:10:05.000 how many people remember the 00:10:05.000 --> 00:10:07.000 Terri Schiavo case remember 00:10:07.000 --> 00:10:08.000 that case that woman about 00:10:08.000 --> 00:10:10.000 thirty two years old in Florida 00:10:12.000 --> 00:10:14.000 made her a vegetable -- massive 00:10:14.000 --> 00:10:16.000 brain damage but by machines 00:10:16.000 --> 00:10:19.000 they were able to keep her alive 00:10:19.000 --> 00:10:20.000 with no brain activity well 00:10:20.000 --> 00:10:22.000 her husband and her parents 00:10:22.000 --> 00:10:24.000 fought a legal battle up and 00:10:24.000 --> 00:10:25.000 down to the US Supreme Court 00:10:25.000 --> 00:10:28.000 twice on two simple questions 00:10:28.000 --> 00:10:30.000 one what would Terri want 00:10:30.000 --> 00:10:32.000 and two who should make the 00:10:32.000 --> 00:10:35.000 decisions fourteen years -- 00:10:35.000 --> 00:10:37.000 all that expense tore that 00:10:37.000 --> 00:10:39.000 family apart but the the 00:10:39.000 --> 00:10:40.000 but the silver lining from 00:10:40.000 --> 00:10:43.000 that case was Terri Schiavo 00:10:43.000 --> 00:10:45.000 case created a conversation 00:10:45.000 --> 00:10:47.000 all around our country that 00:10:47.000 --> 00:10:48.000 had each of our legislatures 00:10:48.000 --> 00:10:51.000 all fifty actually adopted a 00:10:51.000 --> 00:10:53.000 process and a tool for us to 00:10:53.000 --> 00:10:55.000 use Oregon was actually one of the 00:10:55.000 --> 00:10:57.000 first adopters of the advance 00:10:57.000 --> 00:10:60.000 directive for health care 00:11:00.000 --> 00:11:01.000 and in fact Oregon's form is 00:11:01.000 --> 00:11:04.000 a combined form it's both a 00:11:04.000 --> 00:11:05.000 healthcare power of attorney 00:11:05.000 --> 00:11:07.000 all those little decisions that 00:11:07.000 --> 00:11:08.000 you make every time you go see 00:11:08.000 --> 00:11:10.000 a doctor what treatments do 00:11:10.000 --> 00:11:11.000 you want what doctors you want 00:11:11.000 --> 00:11:12.000 to hire and fire where do you 00:11:12.000 --> 00:11:14.000 want to do your rehabilitation 00:11:14.000 --> 00:11:16.000 all those decisions require 00:11:16.000 --> 00:11:17.000 your authority but if you 00:11:17.000 --> 00:11:18.000 can't do it yourself or make 00:11:18.000 --> 00:11:20.000 those decisions yourself then 00:11:20.000 --> 00:11:21.000 that advance director can 00:11:21.000 --> 00:11:23.000 can appoint actually three 00:11:23.000 --> 00:11:25.000 people to do that for you also 00:11:25.000 --> 00:11:27.000 that advance directive is a 00:11:27.000 --> 00:11:28.000 directive to physicians on 00:11:28.000 --> 00:11:30.000 end of life care when do you 00:11:30.000 --> 00:11:32.000 want life support when do you 00:11:32.000 --> 00:11:33.000 not want life support how many 00:11:33.000 --> 00:11:35.000 people have seen that stack of 00:11:35.000 --> 00:11:37.000 Oregon health decisions -- blue 00:11:37.000 --> 00:11:38.000 book -- that's when you go in 00:11:38.000 --> 00:11:39.000 to your doctor or the clinic or 00:11:39.000 --> 00:11:41.000 the hospital there's a big stack of them 00:11:41.000 --> 00:11:42.000 at the check in window and I 00:11:42.000 --> 00:11:43.000 wish that check in nurse would 00:11:43.000 --> 00:11:45.000 twist your arm just a little 00:11:45.000 --> 00:11:47.000 bit harder to get you to fill 00:11:47.000 --> 00:11:48.000 that out because it's actually 00:11:48.000 --> 00:11:50.000 a great conversation starter 00:11:50.000 --> 00:11:52.000 it has good scenarios for 00:11:52.000 --> 00:11:53.000 you to talk your partner or 00:11:53.000 --> 00:11:54.000 your family about -- end of 00:11:54.000 --> 00:11:56.000 life care issues and then at the 00:11:56.000 --> 00:11:57.000 very end of it is actually 00:11:57.000 --> 00:11:59.000 the form that we need to use 00:11:59.000 --> 00:11:60.000 so it's a great tool for you to use 00:12:00.000 --> 00:12:02.000 and every single person needs 00:12:02.000 --> 00:12:04.000 one on top of that medical 00:12:04.000 --> 00:12:05.000 records all your medical 00:12:05.000 --> 00:12:07.000 records are confidential 00:12:09.000 --> 00:12:10.000 federal government 00:12:10.000 --> 00:12:13.000 adopted HIPAA Health Insurance 00:12:13.000 --> 00:12:14.000 Portability and Accountability 00:12:14.000 --> 00:12:16.000 Act and what that says is all 00:12:16.000 --> 00:12:17.000 of our medical records are 00:12:17.000 --> 00:12:18.000 confidential well that's kind 00:12:18.000 --> 00:12:20.000 of a good thing I actually 00:12:20.000 --> 00:12:21.000 don't want people to know 00:12:21.000 --> 00:12:22.000 about all my medical conditions 00:12:22.000 --> 00:12:23.000 or my medical issues like I 00:12:23.000 --> 00:12:24.000 don't want that spread around 00:12:24.000 --> 00:12:26.000 to the public but it also 00:12:26.000 --> 00:12:27.000 creates a problem within our 00:12:27.000 --> 00:12:29.000 families because if we can't 00:12:29.000 --> 00:12:32.000 in writing let a hospital or 00:12:32.000 --> 00:12:34.000 a doctor or an administrator know who 00:12:34.000 --> 00:12:35.000 our hospital can talk to even 00:12:35.000 --> 00:12:38.000 our spouse -- then there's -- 00:12:38.000 --> 00:12:39.000 this medical freeze out that 00:12:39.000 --> 00:12:40.000 happens where it's actually 00:12:40.000 --> 00:12:41.000 against the law for them to 00:12:41.000 --> 00:12:43.000 talk to anyone including your 00:12:43.000 --> 00:12:44.000 spouse about your medical 00:12:44.000 --> 00:12:45.000 condition so this medical 00:12:45.000 --> 00:12:47.000 freeze out occurs -- in my 00:12:47.000 --> 00:12:49.000 experience doctors tend to bend 00:12:49.000 --> 00:12:50.000 the rules a little bit nurses and 00:12:50.000 --> 00:12:52.000 administrators not so much 00:12:54.000 --> 00:12:56.000 what we call a HIPAA release a 00:12:56.000 --> 00:12:59.000 medical release that says that 00:12:59.000 --> 00:12:60.000 who they can talk to so those 00:13:00.000 --> 00:13:03.000 first three tools durable power 00:13:03.000 --> 00:13:05.000 of attorney advance directive 00:13:05.000 --> 00:13:08.000 for health care HIPAA release 00:13:08.000 --> 00:13:09.000 are three critical tools that 00:13:09.000 --> 00:13:10.000 if you're eighteen years old 00:13:10.000 --> 00:13:12.000 or older I think that covers 00:13:12.000 --> 00:13:14.000 ninety nine percent oh a hundred 00:13:14.000 --> 00:13:16.000 percent of people in the room 00:13:18.000 --> 00:13:19.000 in our toolbox and I'll give 00:13:19.000 --> 00:13:20.000 you an example -- I have three 00:13:20.000 --> 00:13:23.000 sons ages twenty four twenty 00:13:23.000 --> 00:13:25.000 two twenty all adults and they 00:13:25.000 --> 00:13:26.000 happen to have a dad that's 00:13:26.000 --> 00:13:27.000 a lawyer in fact a lawyer that 00:13:27.000 --> 00:13:29.000 practices in this area so one 00:13:29.000 --> 00:13:30.000 of the several things that 00:13:30.000 --> 00:13:31.000 they each had to do when they 00:13:31.000 --> 00:13:34.000 turned eighteen you know -- -- 00:13:34.000 --> 00:13:36.000 apply for the selective service 00:13:37.000 --> 00:13:38.000 all things that we do when we 00:13:38.000 --> 00:13:39.000 become adults well they also 00:13:39.000 --> 00:13:41.000 had to come talk to their dad 00:13:41.000 --> 00:13:42.000 and get those three tools in 00:13:42.000 --> 00:13:45.000 place and I on personal 00:13:45.000 --> 00:13:47.000 experience -- my middle son 00:13:47.000 --> 00:13:50.000 needed it -- or Jacob who gave 00:13:50.000 --> 00:13:52.000 me permission to tell the story 00:13:54.000 --> 00:13:55.000 and at the end of 00:13:55.000 --> 00:13:56.000 his sophomore year he was an 00:13:56.000 --> 00:13:58.000 RA -- which means you have 00:13:58.000 --> 00:13:60.000 your own little dorm room and 00:14:00.000 --> 00:14:01.000 in the spring he was studying 00:14:01.000 --> 00:14:02.000 for his finals and what is 00:14:02.000 --> 00:14:04.000 it about boys in college I 00:14:04.000 --> 00:14:05.000 just think that they're more 00:14:05.000 --> 00:14:07.000 susceptible to risk and injury 00:14:09.000 --> 00:14:10.000 all things not climbing up 00:14:10.000 --> 00:14:12.000 buildings or doing ridiculous 00:14:14.000 --> 00:14:16.000 stood up from studying blacked 00:14:16.000 --> 00:14:18.000 out fell straight back on 00:14:18.000 --> 00:14:20.000 his head on his concrete floor 00:14:20.000 --> 00:14:21.000 woke up in a pool of his own 00:14:21.000 --> 00:14:25.000 blood two hours later -- with 00:14:25.000 --> 00:14:26.000 obviously nerve damage could 00:14:26.000 --> 00:14:28.000 barely move his fingers and 00:14:28.000 --> 00:14:30.000 concussed and was barely able 00:14:30.000 --> 00:14:32.000 to dial 911 ambulance 00:14:32.000 --> 00:14:33.000 came and got him took him 00:14:33.000 --> 00:14:35.000 to the hospital it took him a couple 00:14:35.000 --> 00:14:36.000 hours to gain enough 00:14:38.000 --> 00:14:40.000 could actually use his phone 00:14:40.000 --> 00:14:41.000 to call me they wouldn't call 00:14:41.000 --> 00:14:43.000 me so here I am and it's about ten 00:14:43.000 --> 00:14:45.000 o'clock ten thirty at night I 00:14:45.000 --> 00:14:47.000 sit down to watch a movie with 00:14:47.000 --> 00:14:49.000 my youngest son and I get this 00:14:49.000 --> 00:14:50.000 phone call and how everybody 00:14:50.000 --> 00:14:52.000 how many people have kids and have 00:14:52.000 --> 00:14:54.000 you ever gotten that phone call 00:14:54.000 --> 00:14:56.000 from your kids that's like -- 00:14:56.000 --> 00:14:58.000 dad like you know something is 00:14:58.000 --> 00:14:60.000 horribly wrong like did you set 00:15:00.000 --> 00:15:01.000 something on fire -- was there a 00:15:01.000 --> 00:15:03.000 car accident what's going on and 00:15:03.000 --> 00:15:05.000 he said he's in the hospital 00:15:05.000 --> 00:15:07.000 and he obviously needs help so 00:15:07.000 --> 00:15:09.000 I -- knew that he had these two 00:15:09.000 --> 00:15:12.000 tools I sent them to myself on 00:15:12.000 --> 00:15:14.000 my smartphone the device advance 00:15:14.000 --> 00:15:16.000 directive and the medical release 00:15:16.000 --> 00:15:17.000 got in the car and drove down 00:15:17.000 --> 00:15:19.000 to Legacy Emanuel down in 00:15:19.000 --> 00:15:22.000 Legacy down in Corvallis -- came 00:15:22.000 --> 00:15:23.000 into the emergency room walked 00:15:23.000 --> 00:15:24.000 into the check in desk I'm 00:15:24.000 --> 00:15:26.000 about this close to the check 00:15:26.000 --> 00:15:27.000 in lady -- nurse and I say oh my 00:15:27.000 --> 00:15:29.000 gosh my son's here I need to 00:15:29.000 --> 00:15:31.000 see him and she said -- I'm 00:15:31.000 --> 00:15:32.000 sorry sir I actually can't give 00:15:32.000 --> 00:15:34.000 out that information well I 00:15:34.000 --> 00:15:35.000 said okay give me your email 00:15:35.000 --> 00:15:37.000 address and I emailed her from 00:15:37.000 --> 00:15:39.000 here to here -- she opened it 00:15:39.000 --> 00:15:41.000 up on her computer and said 00:15:41.000 --> 00:15:42.000 oh Mr. Collier your son is 00:15:42.000 --> 00:15:44.000 through those doors third door 00:15:44.000 --> 00:15:46.000 on the right but for those 00:15:46.000 --> 00:15:48.000 tools I could not have leaned 00:15:48.000 --> 00:15:50.000 in with him to help him he was 00:15:50.000 --> 00:15:51.000 concussed he couldn't advocate 00:15:51.000 --> 00:15:54.000 for himself I was able to talk 00:15:54.000 --> 00:15:55.000 to the doctors make sure they 00:15:55.000 --> 00:15:56.000 got an MRI to find any bleeding 00:15:56.000 --> 00:15:58.000 on the brain get a plan for 00:15:58.000 --> 00:15:60.000 recovering from the concussion 00:16:02.000 --> 00:16:04.000 bless Oregon State University 00:16:04.000 --> 00:16:07.000 he had finals starting like 00:16:07.000 --> 00:16:09.000 that next two weeks and 00:16:09.000 --> 00:16:11.000 Oregon State delayed two of his finals 00:16:11.000 --> 00:16:13.000 as long as he needed and they 00:16:13.000 --> 00:16:14.000 actually gave him a volunteer 00:16:14.000 --> 00:16:15.000 student to come into those 00:16:15.000 --> 00:16:17.000 other two finals with him so 00:16:17.000 --> 00:16:18.000 that he can dictate his answers 00:16:18.000 --> 00:16:20.000 to that student oh my gosh 00:16:20.000 --> 00:16:22.000 thank you go Beavs by the way 00:16:25.000 --> 00:16:26.000 why we all need these tools 00:16:26.000 --> 00:16:28.000 even our even our youngest 00:16:28.000 --> 00:16:29.000 family members who are eighteen 00:16:29.000 --> 00:16:31.000 and older need those in your 00:16:31.000 --> 00:16:34.000 folders is another tool so how 00:16:34.000 --> 00:16:35.000 many people keep their advance 00:16:35.000 --> 00:16:37.000 directive in their pocket just 00:16:37.000 --> 00:16:39.000 walk around town with it just 00:16:39.000 --> 00:16:40.000 like this I think there's a 00:16:40.000 --> 00:16:41.000 lady -- wonderful lady that 00:16:41.000 --> 00:16:43.000 rode her bicycle here I'm sure 00:16:43.000 --> 00:16:44.000 she has her advance directive 00:16:44.000 --> 00:16:46.000 on her because you know maybe 00:16:46.000 --> 00:16:48.000 she falls off a curb right well 00:16:48.000 --> 00:16:50.000 no but I have my health ID card 00:16:50.000 --> 00:16:51.000 you have your health ID card 00:16:51.000 --> 00:16:52.000 which is a step in the right 00:16:52.000 --> 00:16:53.000 direction thank you for letting me 00:16:53.000 --> 00:16:55.000 call you out a little bit well 00:16:55.000 --> 00:16:56.000 the reality is if we ended up 00:16:56.000 --> 00:16:58.000 in the emergency room there's 00:16:58.000 --> 00:16:59.000 no registry in Oregon for your 00:16:59.000 --> 00:16:61.000 advance directive they don't 00:17:01.000 --> 00:17:02.000 know that you have one and 00:17:02.000 --> 00:17:04.000 our hospitals and our clinics 00:17:04.000 --> 00:17:06.000 don't share medical records 00:17:06.000 --> 00:17:07.000 electronic like we want them 00:17:07.000 --> 00:17:08.000 to they're getting there 00:17:08.000 --> 00:17:09.000 they're making progress but 00:17:09.000 --> 00:17:11.000 not yet also Oregon just needs 00:17:11.000 --> 00:17:12.000 a registry like they do for 00:17:12.000 --> 00:17:13.000 the POLST which is another 00:17:13.000 --> 00:17:15.000 tool I'll talk about out for an 00:17:15.000 --> 00:17:17.000 advance directive so if a 00:17:17.000 --> 00:17:18.000 hospital doesn't have your 00:17:18.000 --> 00:17:19.000 advance directive what good is 00:17:19.000 --> 00:17:20.000 it I mean how can it possibly 00:17:20.000 --> 00:17:22.000 help you so one of the things 00:17:22.000 --> 00:17:24.000 I do for all of my clients is 00:17:24.000 --> 00:17:25.000 I enroll them in a service called 00:17:25.000 --> 00:17:27.000 DocuBank so there's a little brochure 00:17:27.000 --> 00:17:29.000 in here -- what we do is we 00:17:29.000 --> 00:17:31.000 digitally scan your advance 00:17:31.000 --> 00:17:32.000 directive and your medical 00:17:32.000 --> 00:17:34.000 release DocuBank issues you a 00:17:34.000 --> 00:17:36.000 little card that fits in your 00:17:36.000 --> 00:17:38.000 wallet we take a sticker we put 00:17:38.000 --> 00:17:39.000 it on your driver's license or 00:17:39.000 --> 00:17:41.000 ID check in nurse always wants 00:17:41.000 --> 00:17:42.000 to know who's -- actually 00:17:42.000 --> 00:17:44.000 there and then we put the sticker 00:17:44.000 --> 00:17:45.000 on one more place what's the 00:17:45.000 --> 00:17:46.000 second thing the admitting 00:17:46.000 --> 00:17:48.000 nurse is looking for 00:17:48.000 --> 00:17:50.000 health insurance card we put it they 00:17:50.000 --> 00:17:52.000 wanna get paid health insurance 00:17:52.000 --> 00:17:53.000 card gets the other sticker and that 00:17:53.000 --> 00:17:54.000 sticker says keep digging 00:17:54.000 --> 00:17:56.000 for my emergency access card 00:17:56.000 --> 00:17:58.000 so now the nurse pulls this 00:17:58.000 --> 00:17:60.000 out follows the instructions calls 00:18:00.000 --> 00:18:01.000 the 800 number and 00:18:01.000 --> 00:18:03.000 that hospital now by email 00:18:03.000 --> 00:18:04.000 and facsimile gets your advance 00:18:04.000 --> 00:18:07.000 directive HIPAA release 00:18:07.000 --> 00:18:08.000 emergency contact information 00:18:08.000 --> 00:18:11.000 and medication list and all 00:18:11.000 --> 00:18:12.000 of your emergency contacts 00:18:12.000 --> 00:18:13.000 immediately get an email and 00:18:13.000 --> 00:18:15.000 a text saying mom or dad has 00:18:15.000 --> 00:18:17.000 just been admitted to Salem Health 00:18:17.000 --> 00:18:18.000 emergency room this helps us 00:18:18.000 --> 00:18:20.000 connect the dots you do not 00:18:20.000 --> 00:18:21.000 have to be my client to use 00:18:21.000 --> 00:18:22.000 this tool you can actually 00:18:22.000 --> 00:18:25.000 contact DocuBank yourself and 00:18:25.000 --> 00:18:26.000 do this with your own documents 00:18:26.000 --> 00:18:29.000 cost -- if you're not my client 00:18:29.000 --> 00:18:30.000 you're doing it yourself I think 00:18:30.000 --> 00:18:31.000 the cost is about forty five 00:18:31.000 --> 00:18:33.000 or fifty dollars a year -- 00:18:33.000 --> 00:18:35.000 but it's a great tool and we 00:18:35.000 --> 00:18:36.000 certainly use it for every one 00:18:36.000 --> 00:18:37.000 of my clients I just pay for 00:18:37.000 --> 00:18:38.000 it as a cost of doing business because it 00:18:38.000 --> 00:18:40.000 kind of helps me connect the tools 00:18:40.000 --> 00:18:42.000 that I use -- give to my clients 00:18:42.000 --> 00:18:44.000 to the hospitals that need them 00:18:44.000 --> 00:18:45.000 all right let's talk a little 00:18:45.000 --> 00:18:46.000 bit about the stuff we leave 00:18:46.000 --> 00:18:48.000 behind and the plans we create 00:18:48.000 --> 00:18:51.000 for death or our dying it might not 00:18:51.000 --> 00:18:53.000 surprise you that seventy plus 00:18:53.000 --> 00:18:54.000 percent of people pass away 00:18:54.000 --> 00:18:57.000 with no plan at all none not 00:18:57.000 --> 00:18:58.000 even chicken scratch on a little 00:18:58.000 --> 00:18:61.000 napkin -- but I get it -- this 00:19:01.000 --> 00:19:02.000 is not an easy topic to talk 00:19:02.000 --> 00:19:04.000 about we tend to kind of stick 00:19:04.000 --> 00:19:05.000 our head in the sands a little 00:19:05.000 --> 00:19:08.000 bit and not lean in to talk 00:19:08.000 --> 00:19:09.000 about these tough things -- 00:19:09.000 --> 00:19:11.000 until there's no plan and it's 00:19:11.000 --> 00:19:14.000 too late well -- what -- 00:19:14.000 --> 00:19:15.000 what does not creating a plan 00:19:15.000 --> 00:19:17.000 do for our families well one 00:19:17.000 --> 00:19:19.000 it creates a huge burden -- 00:19:19.000 --> 00:19:22.000 two we want to be good stewards 00:19:22.000 --> 00:19:23.000 to the people we leave behind 00:19:23.000 --> 00:19:24.000 we don't wanna be a burden 00:19:24.000 --> 00:19:26.000 on the people we leave behind 00:19:26.000 --> 00:19:28.000 so if we don't have a plan we 00:19:28.000 --> 00:19:30.000 call that an intestate estate 00:19:30.000 --> 00:19:31.000 it means that you've passed away 00:19:31.000 --> 00:19:34.000 with no plan at all and if you 00:19:34.000 --> 00:19:35.000 don't have a plan the state 00:19:35.000 --> 00:19:37.000 of Oregon does have a plan 00:19:37.000 --> 00:19:39.000 for you you just may not like 00:19:39.000 --> 00:19:41.000 it you may not like it for 00:19:41.000 --> 00:19:42.000 a lot of reasons one the law 00:19:42.000 --> 00:19:45.000 decides who serves as your 00:19:45.000 --> 00:19:46.000 representative we call it a 00:19:46.000 --> 00:19:48.000 personal representative some 00:19:48.000 --> 00:19:49.000 states call it an executor and 00:19:49.000 --> 00:19:51.000 also how your property's divided 00:19:51.000 --> 00:19:53.000 up is by the rules and the law 00:19:53.000 --> 00:19:55.000 creates family conflict who's 00:19:55.000 --> 00:19:57.000 supposed to serve in the state 00:19:57.000 --> 00:19:59.000 of Oregon there is a priority 00:19:59.000 --> 00:19:60.000 for who's going to be in charge 00:20:00.000 --> 00:20:01.000 of your affairs or your estate 00:20:01.000 --> 00:20:03.000 after death -- first is if you 00:20:03.000 --> 00:20:04.000 make the choice yourself if 00:20:04.000 --> 00:20:07.000 you have a will that appoints 00:20:07.000 --> 00:20:08.000 that's the first choice second 00:20:08.000 --> 00:20:10.000 is a spouse that makes sense -- 00:20:10.000 --> 00:20:13.000 third is your children but no 00:20:13.000 --> 00:20:14.000 particular child so how do the 00:20:14.000 --> 00:20:16.000 kids work that one out -- they 00:20:16.000 --> 00:20:17.000 either have to agree or there's 00:20:17.000 --> 00:20:18.000 gonna be some conflict over 00:20:18.000 --> 00:20:19.000 that and then the next one is 00:20:19.000 --> 00:20:21.000 next of kin well I don't even know 00:20:21.000 --> 00:20:22.000 really what that means I think 00:20:22.000 --> 00:20:23.000 it's just a blood relation 00:20:23.000 --> 00:20:24.000 that's somehow connected to 00:20:24.000 --> 00:20:26.000 you so that could literally be anyone else 00:20:26.000 --> 00:20:27.000 in your family and then after 00:20:27.000 --> 00:20:30.000 that it goes -- the director 00:20:30.000 --> 00:20:31.000 of the division of state lands 00:20:32.000 --> 00:20:33.000 administer my estate that 00:20:33.000 --> 00:20:35.000 sounds ridiculous -- so the 00:20:35.000 --> 00:20:36.000 idea is if you don't have a 00:20:36.000 --> 00:20:38.000 plan Oregon would do it for you 00:20:41.000 --> 00:20:42.000 situation where you have kids 00:20:42.000 --> 00:20:44.000 from a prior marriage -- then 00:20:44.000 --> 00:20:46.000 the law says when you pass away 00:20:46.000 --> 00:20:47.000 and if you don't have another 00:20:47.000 --> 00:20:49.000 plan we're going to give fifty 00:20:49.000 --> 00:20:50.000 percent of your estate away to your 00:20:50.000 --> 00:20:52.000 spouse the other fifty percent 00:20:52.000 --> 00:20:54.000 is divided among all your kids 00:20:54.000 --> 00:20:55.000 that may not be what you want 00:20:55.000 --> 00:20:56.000 your priority may be to protect 00:20:56.000 --> 00:20:58.000 your spouse first -- so creating 00:20:58.000 --> 00:20:61.000 a plan helps us avoid that -- 00:21:01.000 --> 00:21:04.000 that result so one solution is 00:21:04.000 --> 00:21:05.000 have a will a Last Will and 00:21:05.000 --> 00:21:06.000 Testament you've probably heard 00:21:06.000 --> 00:21:08.000 about these on television maybe 00:21:08.000 --> 00:21:09.000 some even have one yourself the 00:21:09.000 --> 00:21:12.000 idea is you have the ability 00:21:12.000 --> 00:21:13.000 by a Last Will and Testament 00:21:13.000 --> 00:21:15.000 to give the court instructions 00:21:15.000 --> 00:21:16.000 on what you want to have 00:21:16.000 --> 00:21:18.000 happen when you pass away now 00:21:18.000 --> 00:21:19.000 let's be clear a Last Will and 00:21:19.000 --> 00:21:22.000 Testament's only purpose is to 00:21:22.000 --> 00:21:24.000 give instructions to a court 00:21:24.000 --> 00:21:26.000 so if you don't need a court 00:21:26.000 --> 00:21:29.000 to transfer title from you as a 00:21:29.000 --> 00:21:31.000 deceased person to whoever your heirs 00:21:31.000 --> 00:21:32.000 might be then the will really 00:21:32.000 --> 00:21:33.000 serves no purpose meaning 00:21:33.000 --> 00:21:34.000 that there it doesn't change 00:21:34.000 --> 00:21:36.000 beneficiary designations it 00:21:36.000 --> 00:21:37.000 doesn't transfer title it only 00:21:37.000 --> 00:21:39.000 gives instructions and what the 00:21:39.000 --> 00:21:40.000 will says is who's going to be 00:21:40.000 --> 00:21:43.000 in charge how do bills get paid 00:21:43.000 --> 00:21:44.000 ultimately how are things divided 00:21:44.000 --> 00:21:46.000 up so it is an important tool 00:21:46.000 --> 00:21:48.000 for us to have even on even on 00:21:48.000 --> 00:21:50.000 a very simple plan what it does 00:21:50.000 --> 00:21:51.000 is helps us deal with some of 00:21:51.000 --> 00:21:53.000 those loose ends whether it's 00:21:53.000 --> 00:21:54.000 a government benefit that we 00:21:54.000 --> 00:21:55.000 weren't expecting whether it's 00:21:55.000 --> 00:21:57.000 a title to an account that we 00:21:57.000 --> 00:21:58.000 just didn't know about that 00:21:58.000 --> 00:21:59.000 will helps us resolve some of 00:21:59.000 --> 00:21:61.000 that stuff or the big things 00:22:04.000 --> 00:22:06.000 another solution how many people 00:22:06.000 --> 00:22:07.000 have heard of a revokable living 00:22:07.000 --> 00:22:08.000 trust well let me back up one more 00:22:08.000 --> 00:22:09.000 step now I'm gonna talk about 00:22:09.000 --> 00:22:11.000 probate -- so will envisions 00:22:11.000 --> 00:22:12.000 that you're going to go through 00:22:12.000 --> 00:22:13.000 a probate process if you have 00:22:13.000 --> 00:22:15.000 a will and let me say this again 00:22:15.000 --> 00:22:17.000 if you have a will then your 00:22:17.000 --> 00:22:19.000 plan is when I die I want my 00:22:19.000 --> 00:22:20.000 family to go through a court 00:22:20.000 --> 00:22:22.000 probate process to transfer 00:22:22.000 --> 00:22:24.000 title now it serves a purpose 00:22:24.000 --> 00:22:25.000 every legislature created a 00:22:25.000 --> 00:22:27.000 probate process because if 00:22:27.000 --> 00:22:28.000 you're not around you can't 00:22:28.000 --> 00:22:30.000 advocate for yourself you can't 00:22:30.000 --> 00:22:32.000 tell us what your wishes are 00:22:32.000 --> 00:22:33.000 and I can guarantee that all 00:22:33.000 --> 00:22:34.000 your friends and family have 00:22:34.000 --> 00:22:36.000 a different opinion of what 00:22:36.000 --> 00:22:37.000 your wishes are then probably 00:22:37.000 --> 00:22:40.000 you do so the will is there 00:22:40.000 --> 00:22:42.000 so that there's one court oversight 00:22:42.000 --> 00:22:44.000 to make sure -- the probate 00:22:44.000 --> 00:22:45.000 process is there so there's court 00:22:45.000 --> 00:22:46.000 oversight to make sure that 00:22:46.000 --> 00:22:48.000 nobody takes advantage -- 00:22:48.000 --> 00:22:49.000 that either your wishes are 00:22:49.000 --> 00:22:51.000 followed or the law's followed the 00:22:51.000 --> 00:22:52.000 creditors are paid bills are 00:22:52.000 --> 00:22:54.000 paid and things are distributed 00:22:54.000 --> 00:22:56.000 the way they're supposed to so 00:22:56.000 --> 00:22:57.000 sometimes we need that kind of 00:22:57.000 --> 00:22:59.000 supervision and so that is an 00:22:59.000 --> 00:22:62.000 important process -- however 00:23:04.000 --> 00:23:07.000 and time consuming on average 00:23:07.000 --> 00:23:08.000 probate processes in Oregon 00:23:08.000 --> 00:23:09.000 take between about a year 00:23:09.000 --> 00:23:10.000 to eighteen months that's 00:23:10.000 --> 00:23:13.000 pretty typical -- longer 00:23:13.000 --> 00:23:15.000 if it's a complicated or if 00:23:15.000 --> 00:23:17.000 there's conflict and when 00:23:17.000 --> 00:23:19.000 you're in court who is also 00:23:19.000 --> 00:23:20.000 involved in your life other 00:23:20.000 --> 00:23:24.000 than the judge and the court 00:23:24.000 --> 00:23:25.000 right attorneys are involved 00:23:25.000 --> 00:23:27.000 in your life and I'm a huge 00:23:27.000 --> 00:23:28.000 fan of attorneys like I think 00:23:28.000 --> 00:23:29.000 attorneys are the best thing since 00:23:29.000 --> 00:23:31.000 sliced bread like I love us 00:23:31.000 --> 00:23:33.000 like we do really great things 00:23:33.000 --> 00:23:34.000 but you do not want to spend 00:23:34.000 --> 00:23:35.000 a lot of time with us because 00:23:35.000 --> 00:23:37.000 it gets really really expensive 00:23:37.000 --> 00:23:39.000 and if I have to do everything 00:23:39.000 --> 00:23:40.000 for you because it's a court 00:23:40.000 --> 00:23:42.000 oh my gosh it gets really 00:23:42.000 --> 00:23:44.000 expensive you know I do probate 00:23:44.000 --> 00:23:45.000 this is what I do and we're 00:23:45.000 --> 00:23:46.000 really efficient at it I have 00:23:46.000 --> 00:23:48.000 a great team of staff and 00:23:48.000 --> 00:23:49.000 paralegals and man we get it 00:23:49.000 --> 00:23:50.000 done as quickly as we possibly 00:23:50.000 --> 00:23:53.000 can but even so you're talking 00:23:53.000 --> 00:23:54.000 about ten to fifteen thousand 00:23:54.000 --> 00:23:56.000 dollars on an average probate 00:23:56.000 --> 00:23:57.000 they're really expensive 00:23:57.000 --> 00:23:58.000 sometimes we can get it in for 00:23:58.000 --> 00:23:60.000 less if it's really simple one 00:24:00.000 --> 00:24:02.000 asset but the reality is that's 00:24:02.000 --> 00:24:03.000 pretty typical and if you 00:24:03.000 --> 00:24:05.000 have a taxable estate meaning 00:24:05.000 --> 00:24:06.000 the gross value of your estate 00:24:06.000 --> 00:24:09.000 exceeds one million dollars 00:24:09.000 --> 00:24:11.000 now -- it takes more time 00:24:11.000 --> 00:24:13.000 more effort more lawyer fees 00:24:13.000 --> 00:24:14.000 well that's really expensive 00:24:14.000 --> 00:24:16.000 and time consuming and by the 00:24:16.000 --> 00:24:17.000 end of it your family's gonna be really 00:24:17.000 --> 00:24:20.000 really frustrated and it serves the 00:24:20.000 --> 00:24:22.000 purpose but there's a better 00:24:22.000 --> 00:24:23.000 way how many people have heard of a 00:24:23.000 --> 00:24:26.000 Revocable Living Trust 00:24:26.000 --> 00:24:27.000 all right so a Revocable Living 00:24:27.000 --> 00:24:29.000 Trust is a tool that we use 00:24:29.000 --> 00:24:31.000 to primarily avoid that 00:24:31.000 --> 00:24:33.000 court process to create some 00:24:33.000 --> 00:24:35.000 flexibility in privacy in your 00:24:35.000 --> 00:24:38.000 plan probate public literally 00:24:38.000 --> 00:24:40.000 it's all public record there 00:24:40.000 --> 00:24:42.000 are businesses that troll 00:24:42.000 --> 00:24:43.000 through the public records of 00:24:43.000 --> 00:24:45.000 new probate filings to sell 00:24:45.000 --> 00:24:46.000 your family's stuff so it's 00:24:46.000 --> 00:24:48.000 inventory of your entire 00:24:48.000 --> 00:24:50.000 life is there the addresses 00:24:50.000 --> 00:24:51.000 of all your family are there 00:24:51.000 --> 00:24:54.000 it's very public a trust is 00:24:54.000 --> 00:24:56.000 private a trust is just simply 00:24:56.000 --> 00:24:57.000 an agreement that you would 00:24:57.000 --> 00:24:59.000 make with someone you care 00:24:59.000 --> 00:24:60.000 about or someone you trust 00:25:00.000 --> 00:25:02.000 hence the word trust that if 00:25:02.000 --> 00:25:04.000 I'm either incapacitated or 00:25:04.000 --> 00:25:06.000 I pass away here's how I want 00:25:06.000 --> 00:25:08.000 you to privately administer 00:25:08.000 --> 00:25:10.000 my affairs pay my bills have 00:25:10.000 --> 00:25:11.000 the authority it takes to take 00:25:11.000 --> 00:25:14.000 care of business -- and it 00:25:14.000 --> 00:25:15.000 what it does is it creates a 00:25:15.000 --> 00:25:18.000 smooth transition between -- 00:25:18.000 --> 00:25:20.000 you being healthy if you become 00:25:20.000 --> 00:25:21.000 incapacitated and after you 00:25:21.000 --> 00:25:23.000 pass away there's no need for 00:25:23.000 --> 00:25:24.000 court intervention at any point 00:25:24.000 --> 00:25:27.000 in time and what we do is we 00:25:27.000 --> 00:25:29.000 create this trust agreement 00:25:29.000 --> 00:25:30.000 the agreement between you and the 00:25:30.000 --> 00:25:32.000 person you trust and then we 00:25:32.000 --> 00:25:33.000 take the title of assets that 00:25:33.000 --> 00:25:34.000 would otherwise go through 00:25:34.000 --> 00:25:37.000 a probate court real estate bank 00:25:37.000 --> 00:25:39.000 accounts investment accounts 00:25:39.000 --> 00:25:41.000 proceeds of life insurance and 00:25:41.000 --> 00:25:42.000 we connect them all to this 00:25:42.000 --> 00:25:45.000 trust so that your family the 00:25:45.000 --> 00:25:48.000 person you appoint can step in 00:25:48.000 --> 00:25:50.000 when the time comes smoothly 00:25:50.000 --> 00:25:52.000 and take over paying bills on 00:25:52.000 --> 00:25:54.000 your behalf like a manager of 00:25:54.000 --> 00:25:55.000 your assets when you can't do 00:25:55.000 --> 00:25:57.000 it yourself and then when you 00:25:57.000 --> 00:25:59.000 pass away once again they then 00:25:59.000 --> 00:25:61.000 administer your estate according 00:26:01.000 --> 00:26:03.000 to your wishes privately 00:26:03.000 --> 00:26:05.000 file tax returns take care of 00:26:05.000 --> 00:26:06.000 business take care of bills and 00:26:06.000 --> 00:26:08.000 then distribute things the way 00:26:08.000 --> 00:26:11.000 you want them to go -- with a 00:26:11.000 --> 00:26:14.000 will simple tool you can sign 00:26:14.000 --> 00:26:16.000 it once essentially put it on 00:26:16.000 --> 00:26:18.000 a shelf with the trust you do 00:26:18.000 --> 00:26:19.000 need a little more maintenance 00:26:19.000 --> 00:26:22.000 because we don't want loose ends 00:26:22.000 --> 00:26:24.000 so for instance with my clients 00:26:25.000 --> 00:26:27.000 trust based plan for a client 00:26:27.000 --> 00:26:28.000 we really want to see them 00:26:28.000 --> 00:26:30.000 every couple years to make sure 00:26:30.000 --> 00:26:31.000 there's no new assets there's 00:26:31.000 --> 00:26:33.000 no loose ends -- we also 00:26:33.000 --> 00:26:34.000 want to make sure that we've 00:26:34.000 --> 00:26:36.000 updated family information 00:26:36.000 --> 00:26:37.000 or your wishes change over 00:26:37.000 --> 00:26:38.000 time so the nice thing about 00:26:38.000 --> 00:26:40.000 the trust is it's amendable 00:26:40.000 --> 00:26:43.000 changeable updatable it's 00:26:43.000 --> 00:26:44.000 simply a -- transparent 00:26:44.000 --> 00:26:47.000 extension of you you don't give 00:26:47.000 --> 00:26:49.000 up any control it's simply 00:26:49.000 --> 00:26:50.000 just a tool that waits in the 00:26:50.000 --> 00:26:52.000 background and it springs to 00:26:52.000 --> 00:26:55.000 life on two occasions if you 00:26:55.000 --> 00:26:56.000 become incapacitated or if you 00:26:56.000 --> 00:26:58.000 pass away until then you're 00:26:58.000 --> 00:26:59.000 taking care of your own bills 00:26:59.000 --> 00:26:61.000 you're buying and selling property 00:27:01.000 --> 00:27:02.000 just like you've always done 00:27:02.000 --> 00:27:03.000 you literally don't notice it's 00:27:03.000 --> 00:27:06.000 there other than if you look 00:27:06.000 --> 00:27:07.000 at the way your account's titled 00:27:07.000 --> 00:27:09.000 it'll say your name comma 00:27:09.000 --> 00:27:11.000 trustee instead of your name 00:27:11.000 --> 00:27:12.000 as an individual that's really 00:27:12.000 --> 00:27:13.000 the only difference but then it 00:27:13.000 --> 00:27:15.000 allows us to do a lot of other 00:27:15.000 --> 00:27:18.000 things as well for instance tax 00:27:18.000 --> 00:27:19.000 planning let's talk a little bit 00:27:19.000 --> 00:27:21.000 about tax planning we have two 00:27:21.000 --> 00:27:22.000 different taxing jurisdictions 00:27:22.000 --> 00:27:23.000 that we're dealing with one 00:27:23.000 --> 00:27:25.000 is the federal government and 00:27:25.000 --> 00:27:26.000 one is the state of Oregon for 00:27:26.000 --> 00:27:29.000 federal purposes -- we can pass 00:27:29.000 --> 00:27:31.000 our entire estate to our families 00:27:31.000 --> 00:27:33.000 at a very high level no estate 00:27:33.000 --> 00:27:36.000 taxes the limits currently 00:27:36.000 --> 00:27:37.000 for an individual are eleven 00:27:37.000 --> 00:27:39.000 point four million dollars it's 00:27:39.000 --> 00:27:40.000 portable for married couples 00:27:40.000 --> 00:27:42.000 so you can give your exemption 00:27:42.000 --> 00:27:43.000 to your spouse twenty two point 00:27:43.000 --> 00:27:46.000 eight million dollars now -- 00:27:46.000 --> 00:27:47.000 if your estate is worth more than 00:27:47.000 --> 00:27:48.000 twenty million dollars please 00:27:48.000 --> 00:27:50.000 come talk to me we'll help you 00:27:50.000 --> 00:27:52.000 deal with the federal taxes but if 00:27:52.000 --> 00:27:54.000 you're under that threshold -- 00:27:54.000 --> 00:27:55.000 then I we're worrying 00:27:55.000 --> 00:27:57.000 about Oregon estate taxes 00:27:57.000 --> 00:27:59.000 so in Oregon the exemption 00:27:59.000 --> 00:27:60.000 for each of us is one million 00:28:00.000 --> 00:28:02.000 dollars if you add up the 00:28:02.000 --> 00:28:04.000 total value of life insurance 00:28:04.000 --> 00:28:05.000 that's a surprise to some 00:28:05.000 --> 00:28:07.000 people retirement accounts bank 00:28:07.000 --> 00:28:09.000 accounts investment accounts 00:28:09.000 --> 00:28:10.000 real estate businesses add 00:28:10.000 --> 00:28:13.000 the gross value of that if you 00:28:13.000 --> 00:28:14.000 hit that million dollar mark 00:28:14.000 --> 00:28:16.000 you have to file in Oregon when 00:28:16.000 --> 00:28:18.000 you pass away if you exceed 00:28:18.000 --> 00:28:19.000 that million dollar mark every 00:28:19.000 --> 00:28:20.000 dollar north of a million 00:28:20.000 --> 00:28:22.000 starts at ten percent tax and 00:28:22.000 --> 00:28:25.000 start graduating in increments 00:28:25.000 --> 00:28:28.000 up to sixteen percent so how 00:28:28.000 --> 00:28:29.000 do we deal with that well 00:28:29.000 --> 00:28:31.000 Oregon is progressive on a lot 00:28:31.000 --> 00:28:33.000 of things not on it's estate 00:28:33.000 --> 00:28:36.000 tax so you as a spouse if you 00:28:36.000 --> 00:28:38.000 were to pass away -- if you 00:28:38.000 --> 00:28:40.000 don't use the deceased spouse's 00:28:40.000 --> 00:28:41.000 exemption when you pass away 00:28:41.000 --> 00:28:43.000 you lose it -- if you have 00:28:43.000 --> 00:28:45.000 a plan that says I just give 00:28:45.000 --> 00:28:46.000 everything to my spouse when 00:28:46.000 --> 00:28:49.000 I pass away now their estate is 00:28:49.000 --> 00:28:51.000 twice as large but they only 00:28:51.000 --> 00:28:52.000 get their one exemption when 00:28:52.000 --> 00:28:54.000 they pass away so you basically 00:28:54.000 --> 00:28:56.000 wasted that first exemption 00:28:56.000 --> 00:28:57.000 so what do we do about that in 00:28:57.000 --> 00:28:59.000 Oregon if you have a taxable 00:28:59.000 --> 00:28:61.000 estate your plan needs to say 00:29:01.000 --> 00:29:03.000 our joint assets divided the 00:29:03.000 --> 00:29:05.000 first death into a his and a hers 00:29:05.000 --> 00:29:07.000 a deceased spouse's a surviving 00:29:07.000 --> 00:29:09.000 spouse's all for the benefit 00:29:09.000 --> 00:29:10.000 of the surviving spouse they get 00:29:10.000 --> 00:29:12.000 to use it they're just using 00:29:12.000 --> 00:29:14.000 two buckets to preserve the 00:29:14.000 --> 00:29:16.000 deceased spouse's exemption 00:29:16.000 --> 00:29:18.000 now they get to pass two million 00:29:18.000 --> 00:29:19.000 dollars onto their family 00:29:19.000 --> 00:29:21.000 before the first dollar tax 00:29:21.000 --> 00:29:23.000 comes out that one tool would 00:29:23.000 --> 00:29:25.000 save your family a hundred 00:29:25.000 --> 00:29:26.000 and twenty thousand dollars in 00:29:26.000 --> 00:29:28.000 Oregon tax so that's a critical 00:29:28.000 --> 00:29:30.000 tool other additional tools 00:29:30.000 --> 00:29:31.000 we use how many people have 00:29:31.000 --> 00:29:34.000 pets come on most of you have 00:29:34.000 --> 00:29:36.000 pets I know it -- pets are 00:29:36.000 --> 00:29:38.000 living creatures that need our 00:29:38.000 --> 00:29:40.000 help I have a standard white 00:29:40.000 --> 00:29:41.000 standard poodle named Juno 00:29:41.000 --> 00:29:43.000 I love her so much like when 00:29:43.000 --> 00:29:44.000 the kids were in the house we 00:29:44.000 --> 00:29:45.000 had strict rules where the dog 00:29:45.000 --> 00:29:47.000 could go couldn't go on the couches 00:29:47.000 --> 00:29:48.000 couldn't get on the bed had 00:29:48.000 --> 00:29:50.000 to do this and that as soon as 00:29:50.000 --> 00:29:51.000 all three of our kids were gone 00:29:51.000 --> 00:29:52.000 man that dog rules the house 00:29:52.000 --> 00:29:54.000 it can do whatever it wants 00:29:54.000 --> 00:29:56.000 we love Juno but if I don't 00:29:56.000 --> 00:29:58.000 come home tonight Juno doesn't 00:29:58.000 --> 00:29:60.000 get fed Juno doesn't get let 00:30:00.000 --> 00:30:02.000 out she's gonna be really mad 00:30:02.000 --> 00:30:04.000 so if I was in an accident today 00:30:04.000 --> 00:30:05.000 my family's gonna be worried 00:30:05.000 --> 00:30:06.000 about me they're gonna go down 00:30:06.000 --> 00:30:07.000 to the hospital they're going 00:30:07.000 --> 00:30:09.000 to be centered on my care and 00:30:09.000 --> 00:30:10.000 that poor dog's gonna sit at home 00:30:10.000 --> 00:30:12.000 and nobody's taking care of her so we 00:30:12.000 --> 00:30:14.000 all need some kind of plan to 00:30:14.000 --> 00:30:16.000 make sure that a key person in our 00:30:16.000 --> 00:30:18.000 life knows if something happens 00:30:18.000 --> 00:30:20.000 to me you're responsible for 00:30:20.000 --> 00:30:21.000 the animals please go take care 00:30:21.000 --> 00:30:22.000 of them find a home for them 00:30:22.000 --> 00:30:24.000 whatever you need to do also 00:30:24.000 --> 00:30:26.000 our tools like our powers of 00:30:26.000 --> 00:30:27.000 attorney even our will even our 00:30:27.000 --> 00:30:30.000 trust needs to give authority 00:30:30.000 --> 00:30:33.000 to someone to manage our pet 00:30:33.000 --> 00:30:34.000 their vet care their bills 00:30:36.000 --> 00:30:38.000 who loves pets Oregon was 00:30:38.000 --> 00:30:39.000 actually the first adopter 00:30:39.000 --> 00:30:42.000 of the Pet Trust Statute and 00:30:42.000 --> 00:30:44.000 this might we're not talking 00:30:44.000 --> 00:30:45.000 about an heiress with a little 00:30:45.000 --> 00:30:47.000 dog that sits on the pillow 00:30:47.000 --> 00:30:48.000 and gets millions of dollars we're 00:30:48.000 --> 00:30:50.000 talking about a statute that 00:30:50.000 --> 00:30:51.000 elevates pets from the level 00:30:51.000 --> 00:30:53.000 of furniture up to living 00:30:53.000 --> 00:30:54.000 creatures that are entitled 00:30:54.000 --> 00:30:56.000 to rights including good for 00:30:56.000 --> 00:30:57.000 Oregon thank you for saying 00:30:57.000 --> 00:30:59.000 that including the ability to 00:30:59.000 --> 00:30:61.000 appoint guardians for your pet 00:31:01.000 --> 00:31:03.000 to set aside money for their 00:31:03.000 --> 00:31:05.000 vet care and their bills -- 00:31:05.000 --> 00:31:06.000 and appoint someone that can 00:31:06.000 --> 00:31:07.000 have the authority to take 00:31:07.000 --> 00:31:09.000 your pet out of a home when it's being 00:31:09.000 --> 00:31:10.000 neglected these are important 00:31:10.000 --> 00:31:11.000 tools that we want to incorporate into 00:31:11.000 --> 00:31:13.000 the ones I just mentioned -- 00:31:13.000 --> 00:31:16.000 also lifetime trusts we spend 00:31:16.000 --> 00:31:18.000 our lives building wealth 00:31:18.000 --> 00:31:20.000 building assets up that we 00:31:20.000 --> 00:31:21.000 ultimately -- we'll probably 00:31:21.000 --> 00:31:23.000 pass some of that on to our 00:31:23.000 --> 00:31:25.000 families to our children I 00:31:25.000 --> 00:31:26.000 don't know when you're going 00:31:26.000 --> 00:31:27.000 to die I don't have a crystal 00:31:27.000 --> 00:31:29.000 ball and if I have no idea 00:31:29.000 --> 00:31:30.000 when you're going to pass 00:31:30.000 --> 00:31:32.000 away that also means I don't 00:31:32.000 --> 00:31:33.000 know what stage in life your 00:31:33.000 --> 00:31:34.000 family's going to be in your 00:31:34.000 --> 00:31:36.000 children your adult children 00:31:36.000 --> 00:31:37.000 and we live in a challenging 00:31:37.000 --> 00:31:39.000 broken world we have divorce 00:31:39.000 --> 00:31:40.000 and business failures and 00:31:40.000 --> 00:31:42.000 bankruptcies and if the timing 00:31:42.000 --> 00:31:44.000 were really bad on when your 00:31:44.000 --> 00:31:45.000 kids were receiving their 00:31:45.000 --> 00:31:47.000 inheritance they could lose 00:31:47.000 --> 00:31:48.000 it to that divorce court or 00:31:48.000 --> 00:31:50.000 the bankruptcy trustee let me 00:31:50.000 --> 00:31:52.000 give you an example about ten 00:31:52.000 --> 00:31:53.000 years ago I had two gentlemen 00:31:53.000 --> 00:31:56.000 came to see me they had a father 00:31:56.000 --> 00:31:58.000 that had passed away he'd had a very 00:31:58.000 --> 00:31:59.000 simple plan it said divide my 00:31:59.000 --> 00:31:60.000 estate equally between my two 00:32:00.000 --> 00:32:03.000 kids well one of those sons 00:32:03.000 --> 00:32:05.000 was a chef in Portland and 00:32:05.000 --> 00:32:07.000 had started a restaurant does anybody 00:32:07.000 --> 00:32:08.000 know what the statistics 00:32:08.000 --> 00:32:11.000 are for new restaurants I've 00:32:11.000 --> 00:32:12.000 heard this before correct me 00:32:12.000 --> 00:32:14.000 if I'm wrong seventy percent of 00:32:14.000 --> 00:32:16.000 them fail within the first six 00:32:16.000 --> 00:32:19.000 months whoa so he had to file 00:32:19.000 --> 00:32:21.000 bankruptcy -- they sold -- the 00:32:21.000 --> 00:32:23.000 equipment and the assets to pay 00:32:23.000 --> 00:32:24.000 investors and as many creditors as they 00:32:24.000 --> 00:32:26.000 could but at the end of that 00:32:26.000 --> 00:32:28.000 bankruptcy he got a fresh start 00:32:28.000 --> 00:32:30.000 well his father died within a 00:32:30.000 --> 00:32:31.000 hundred and twenty days of that 00:32:31.000 --> 00:32:34.000 bankruptcy close trustee under 00:32:34.000 --> 00:32:35.000 federal law had to re open the 00:32:35.000 --> 00:32:37.000 bankruptcy and take his entire 00:32:37.000 --> 00:32:40.000 inheritance and I know the dad 00:32:40.000 --> 00:32:42.000 didn't work for forty years 00:32:42.000 --> 00:32:43.000 to give half of his estate 00:32:43.000 --> 00:32:45.000 away to a bankruptcy trustee 00:32:45.000 --> 00:32:47.000 wow what can you do well it's 00:32:47.000 --> 00:32:48.000 your money you can do whatever 00:32:48.000 --> 00:32:49.000 you want with it you can put 00:32:49.000 --> 00:32:52.000 strings on your money such as 00:32:52.000 --> 00:32:54.000 bankruptcy trustee or a divorce 00:32:54.000 --> 00:32:56.000 court or an estranged spouse of 00:32:56.000 --> 00:32:59.000 my child instead of giving it 00:32:59.000 --> 00:32:61.000 outright to your kids give it 00:33:01.000 --> 00:33:03.000 to them in trust -- you have 00:33:03.000 --> 00:33:04.000 the ability to create an asset 00:33:04.000 --> 00:33:06.000 protection trust that springs 00:33:06.000 --> 00:33:07.000 to life at your death right 00:33:07.000 --> 00:33:09.000 out of your own joint trust 00:33:09.000 --> 00:33:10.000 that they can even control 00:33:10.000 --> 00:33:11.000 if they're old enough and 00:33:11.000 --> 00:33:13.000 responsible enough your trust 00:33:13.000 --> 00:33:15.000 can direct that as long as that 00:33:15.000 --> 00:33:17.000 money stays in that beautifully 00:33:17.000 --> 00:33:19.000 protected trust he can he or 00:33:19.000 --> 00:33:21.000 she can invest it buy and sell 00:33:21.000 --> 00:33:23.000 real estate -- let it grow and 00:33:23.000 --> 00:33:24.000 then make their own decision 00:33:24.000 --> 00:33:25.000 how much they want to take out 00:33:25.000 --> 00:33:28.000 or leave in or it's their choice 00:33:28.000 --> 00:33:29.000 or to say I don't even want 00:33:29.000 --> 00:33:30.000 this trust I'll just take the 00:33:30.000 --> 00:33:31.000 money outright what you're 00:33:31.000 --> 00:33:33.000 doing is giving them choices 00:33:33.000 --> 00:33:34.000 instead of forcing them to take 00:33:34.000 --> 00:33:35.000 something when the situation 00:33:35.000 --> 00:33:37.000 is not right so the key thing 00:33:37.000 --> 00:33:38.000 to remember in your planning 00:33:38.000 --> 00:33:40.000 charitable giving all of you are 00:33:40.000 --> 00:33:43.000 generous you go to a fantabulous 00:33:43.000 --> 00:33:45.000 or you're in a fantabulous 00:33:47.000 --> 00:33:50.000 survives on charitable giving 00:33:50.000 --> 00:33:51.000 many of you would support 00:33:51.000 --> 00:33:53.000 Western Oregon University well 00:33:53.000 --> 00:33:54.000 if you support it during your 00:33:54.000 --> 00:33:57.000 life don't forget about it 00:33:57.000 --> 00:33:58.000 when you pass away you have an 00:33:58.000 --> 00:33:61.000 opportunity with your planning 00:34:01.000 --> 00:34:03.000 to incorporate your own heart 00:34:03.000 --> 00:34:04.000 your own charitable giving your 00:34:04.000 --> 00:34:06.000 own desires and what a great 00:34:06.000 --> 00:34:07.000 example to the people you leave 00:34:07.000 --> 00:34:11.000 behind of being generous -- -- 00:34:11.000 --> 00:34:13.000 thanking the institutions and 00:34:13.000 --> 00:34:15.000 organizations that really -- 00:34:15.000 --> 00:34:16.000 lifted up your community that 00:34:16.000 --> 00:34:18.000 really help you and were meaningful 00:34:18.000 --> 00:34:20.000 to you so please remember to 00:34:20.000 --> 00:34:21.000 consider -- charity when you're 00:34:21.000 --> 00:34:23.000 doing your own planning and 00:34:23.000 --> 00:34:24.000 it can be in specific dollar 00:34:24.000 --> 00:34:26.000 amounts as memorial you can tie 00:34:26.000 --> 00:34:29.000 it my wife and I -- we used to 00:34:29.000 --> 00:34:30.000 think that our sons were our 00:34:30.000 --> 00:34:32.000 most important charity well 00:34:32.000 --> 00:34:33.000 what we realized was if we're 00:34:33.000 --> 00:34:35.000 not around it's this community 00:34:35.000 --> 00:34:36.000 that's going to raise our 00:34:36.000 --> 00:34:38.000 kids and we certainly want our 00:34:38.000 --> 00:34:39.000 community to be the healthiest 00:34:39.000 --> 00:34:41.000 that it can and so we said 00:34:41.000 --> 00:34:43.000 when we pass away ten percent 00:34:43.000 --> 00:34:44.000 of our estate is going to go 00:34:44.000 --> 00:34:46.000 into the Collier charitable 00:34:46.000 --> 00:34:49.000 family fun -- and my three sons 00:34:49.000 --> 00:34:51.000 will administer it that means 00:34:51.000 --> 00:34:53.000 that twice a year they have to 00:34:53.000 --> 00:34:54.000 get together and do something 00:34:54.000 --> 00:34:57.000 positive choose charities that 00:34:57.000 --> 00:34:59.000 they're gonna give money to so 00:34:59.000 --> 00:34:60.000 I'm teaching them about stewardship 00:35:00.000 --> 00:35:03.000 about thinking about other -- 00:35:03.000 --> 00:35:04.000 and I'm also requiring them 00:35:04.000 --> 00:35:05.000 to get together and talk about 00:35:05.000 --> 00:35:06.000 something positive over the 00:35:06.000 --> 00:35:08.000 years and our family is now 00:35:08.000 --> 00:35:10.000 left a legacy that's gonna last 00:35:10.000 --> 00:35:11.000 forever that's going to support 00:35:11.000 --> 00:35:12.000 these organizations that we 00:35:12.000 --> 00:35:14.000 care about so that's the way 00:35:14.000 --> 00:35:16.000 that we've incorporated charity 00:35:16.000 --> 00:35:18.000 into some of the values that I 00:35:18.000 --> 00:35:20.000 want to pass on to my kids the 00:35:20.000 --> 00:35:22.000 other thing you can do is -- 00:35:22.000 --> 00:35:24.000 you can when you create those 00:35:24.000 --> 00:35:25.000 trusts for either children or 00:35:25.000 --> 00:35:28.000 grandchildren or -- your adult 00:35:28.000 --> 00:35:29.000 children that are maybe having 00:35:29.000 --> 00:35:31.000 their own challenges you can 00:35:31.000 --> 00:35:32.000 also be a little more restrictive 00:35:32.000 --> 00:35:34.000 you can say -- I don't want 00:35:34.000 --> 00:35:36.000 you to use this money to feed 00:35:36.000 --> 00:35:38.000 an addiction like gambling and 00:35:38.000 --> 00:35:40.000 drugs or alcohol I want you 00:35:40.000 --> 00:35:41.000 to have a strong work ethic -- 00:35:41.000 --> 00:35:42.000 you can have distributions from 00:35:42.000 --> 00:35:44.000 this trust if you're either a 00:35:44.000 --> 00:35:45.000 full time student working at 00:35:45.000 --> 00:35:47.000 least part time or a stay at home 00:35:47.000 --> 00:35:49.000 parent with minor disabled kids 00:35:50.000 --> 00:35:52.000 that says I value higher 00:35:52.000 --> 00:35:54.000 education in all its forms 00:35:54.000 --> 00:35:55.000 I want you to do something 00:35:55.000 --> 00:35:57.000 beyond high school you set 00:35:57.000 --> 00:35:59.000 the goal but set the goal and 00:35:59.000 --> 00:35:60.000 accomplish it it can be an 00:36:00.000 --> 00:36:01.000 apprenticeship program it could 00:36:01.000 --> 00:36:03.000 be an associate's degree it 00:36:03.000 --> 00:36:05.000 could be whatever qualifies as 00:36:05.000 --> 00:36:06.000 higher education but the point 00:36:06.000 --> 00:36:09.000 is you can create those values 00:36:09.000 --> 00:36:11.000 that you want your younger -- 00:36:11.000 --> 00:36:12.000 family members to strive for or 00:36:12.000 --> 00:36:14.000 if you have -- family members 00:36:14.000 --> 00:36:15.000 that struggle with addiction or 00:36:15.000 --> 00:36:17.000 challenges in their life you 00:36:17.000 --> 00:36:18.000 can protect those assets from 00:36:18.000 --> 00:36:21.000 themselves also if you have a 00:36:21.000 --> 00:36:23.000 disabled child or grandchild 00:36:23.000 --> 00:36:25.000 if you give an inheritance to 00:36:25.000 --> 00:36:26.000 somebody that's receiving government 00:36:26.000 --> 00:36:28.000 benefit for that disability 00:36:28.000 --> 00:36:30.000 they lose their benefits and 00:36:30.000 --> 00:36:31.000 it probably took them a year to 00:36:31.000 --> 00:36:32.000 to eighteen -- 00:36:32.000 --> 00:36:34.000 months to qualify for benefits 00:36:34.000 --> 00:36:37.000 hard fought and they'll get 00:36:37.000 --> 00:36:39.000 disqualified like this have 00:36:39.000 --> 00:36:40.000 to spend all those assets down 00:36:40.000 --> 00:36:41.000 and then requalify what can 00:36:41.000 --> 00:36:43.000 we do about it well we can 00:36:43.000 --> 00:36:44.000 put a tool in that trust that says 00:36:44.000 --> 00:36:46.000 instead of giving an asset to 00:36:46.000 --> 00:36:48.000 someone in a way that they get 00:36:48.000 --> 00:36:49.000 disqualified for benefits let's 00:36:49.000 --> 00:36:51.000 place it in a supplemental 00:36:51.000 --> 00:36:53.000 needs trusts that supplements 00:36:53.000 --> 00:36:55.000 the government benefits IRS 00:36:55.000 --> 00:36:56.000 allows us to do this they give 00:36:56.000 --> 00:36:57.000 us the strict language we need 00:36:57.000 --> 00:36:59.000 to put but then those proceeds 00:36:59.000 --> 00:36:60.000 are there to buy them all the 00:37:00.000 --> 00:37:01.000 things that would increase 00:37:01.000 --> 00:37:04.000 the quality of life -- new 00:37:04.000 --> 00:37:05.000 equipment transportation -- 00:37:05.000 --> 00:37:07.000 better living conditions -- 00:37:07.000 --> 00:37:09.000 companion fares to help -- 00:37:09.000 --> 00:37:11.000 them -- vacation with their 00:37:11.000 --> 00:37:12.000 disability all these things 00:37:12.000 --> 00:37:13.000 will make their life better 00:37:13.000 --> 00:37:15.000 without losing the benefits 00:37:15.000 --> 00:37:16.000 that they really really need 00:37:16.000 --> 00:37:19.000 so good tools veteran's 00:37:19.000 --> 00:37:21.000 pension aid and attendance do we 00:37:21.000 --> 00:37:25.000 have any veterans in the room 00:37:25.000 --> 00:37:26.000 thank you sir for your service 00:37:26.000 --> 00:37:29.000 by the way so Medicaid planning 00:37:29.000 --> 00:37:31.000 and veteran's benefits planning 00:37:31.000 --> 00:37:32.000 aids in attendance planning 00:37:32.000 --> 00:37:35.000 is a form of long term care 00:37:35.000 --> 00:37:37.000 planning we do when you don't 00:37:37.000 --> 00:37:38.000 have the assets to pay for 00:37:38.000 --> 00:37:41.000 the expense of long term care 00:37:41.000 --> 00:37:43.000 meaning that -- you've reached 00:37:43.000 --> 00:37:45.000 a point where -- you don't 00:37:45.000 --> 00:37:46.000 have enough assets to pay 00:37:46.000 --> 00:37:48.000 for let's say the twenty four 00:37:48.000 --> 00:37:49.000 hour care in a nursing home 00:37:49.000 --> 00:37:52.000 or -- a rehabilitation center 00:37:52.000 --> 00:37:53.000 it gets very expensive your 00:37:53.000 --> 00:37:55.000 Medicare will cover you for 00:37:55.000 --> 00:37:57.000 a period of time -- I tend to 00:37:57.000 --> 00:37:58.000 get this wrong it's about a 00:37:58.000 --> 00:37:60.000 hundred and twenty days is it 00:38:00.000 --> 00:38:02.000 and then after that it's long term 00:38:02.000 --> 00:38:04.000 care either private paid or 00:38:04.000 --> 00:38:05.000 through insurance or you have 00:38:05.000 --> 00:38:07.000 to qualify for Medicaid I'm 00:38:07.000 --> 00:38:09.000 not a Medicaid expert but we 00:38:09.000 --> 00:38:10.000 do have one in my office -- 00:38:10.000 --> 00:38:12.000 Jonathan Bascalmasi is a 00:38:12.000 --> 00:38:14.000 attorney in the office -- and let 00:38:14.000 --> 00:38:16.000 me give you an example of how -- 00:38:16.000 --> 00:38:18.000 Medicaid would work so let's 00:38:18.000 --> 00:38:20.000 imagine that -- you have a 00:38:20.000 --> 00:38:22.000 family farm that's been in the 00:38:22.000 --> 00:38:24.000 family for five generations and 00:38:24.000 --> 00:38:26.000 husband gets a -- is diagnosed 00:38:26.000 --> 00:38:27.000 with a debilitating disease 00:38:27.000 --> 00:38:28.000 that over the course of the 00:38:28.000 --> 00:38:30.000 next five to ten years -- 00:38:30.000 --> 00:38:32.000 he will eventually need pretty 00:38:32.000 --> 00:38:34.000 significant long term care well 00:38:34.000 --> 00:38:37.000 the risk is is that family farm 00:38:37.000 --> 00:38:39.000 might be lost to the expense 00:38:39.000 --> 00:38:40.000 of long term care but we have 00:38:40.000 --> 00:38:41.000 enough of a window under 00:38:41.000 --> 00:38:43.000 Oregon law that we could do 00:38:43.000 --> 00:38:44.000 a little planning we have the 00:38:44.000 --> 00:38:47.000 ability to create a Medicaid 00:38:47.000 --> 00:38:49.000 asset protection trust to 00:38:49.000 --> 00:38:50.000 place that family farm in 00:38:50.000 --> 00:38:52.000 it's an irrevocable trust as 00:38:52.000 --> 00:38:53.000 opposed to revocable trust 00:38:53.000 --> 00:38:55.000 so it's very restrictive but 00:38:55.000 --> 00:38:57.000 the idea is once you place them 00:38:57.000 --> 00:38:59.000 in there as long as you -- that 00:38:59.000 --> 00:38:61.000 trust is is there for five 00:39:01.000 --> 00:39:02.000 years which is Oregon's look 00:39:02.000 --> 00:39:04.000 back period that family farm is 00:39:04.000 --> 00:39:06.000 protected and won't have to 00:39:06.000 --> 00:39:07.000 be spent down when long term 00:39:07.000 --> 00:39:09.000 care happens that's the kind 00:39:09.000 --> 00:39:10.000 of planning that you could do 00:39:10.000 --> 00:39:11.000 if you're in that situation 00:39:11.000 --> 00:39:12.000 or if you need that kind of 00:39:12.000 --> 00:39:14.000 care or if you don't have a 00:39:14.000 --> 00:39:15.000 five year plan in then you 00:39:15.000 --> 00:39:17.000 need more specific planning to 00:39:17.000 --> 00:39:19.000 qualify for Medicaid and not 00:39:19.000 --> 00:39:20.000 essentially leave your spouse 00:39:20.000 --> 00:39:23.000 destitute important so that's 00:39:23.000 --> 00:39:25.000 class number 203 that 00:39:25.000 --> 00:39:26.000 I would have to do so we're not 00:39:26.000 --> 00:39:28.000 doing that today -- I do have a 00:39:28.000 --> 00:39:30.000 there is two workshops happening 00:39:30.000 --> 00:39:31.000 in March that we're doing on 00:39:31.000 --> 00:39:33.000 Medicaid specifically also 00:39:33.000 --> 00:39:35.000 including -- veterans benefits 00:39:35.000 --> 00:39:36.000 and aid and attendance which is the 00:39:36.000 --> 00:39:38.000 veteran's version of Medicaid 00:39:40.000 --> 00:39:41.000 there's these cards in the back 00:39:43.000 --> 00:39:45.000 if you want to come to that 00:39:45.000 --> 00:39:47.000 final considerations before we 00:39:47.000 --> 00:39:49.000 do some questions estate planning 00:39:49.000 --> 00:39:51.000 is is important and the most 00:39:51.000 --> 00:39:53.000 important thing is to find a 00:39:53.000 --> 00:39:55.000 relationship with an attorney 00:39:55.000 --> 00:39:56.000 that you trust someone that you 00:39:56.000 --> 00:39:58.000 can have a long relationship 00:39:58.000 --> 00:39:60.000 with so that you have someone 00:40:00.000 --> 00:40:01.000 to go back to so your family 00:40:01.000 --> 00:40:04.000 has someone to lean on -- and 00:40:04.000 --> 00:40:05.000 then update make sure your 00:40:05.000 --> 00:40:06.000 plan doesn't stay dusty in a 00:40:06.000 --> 00:40:08.000 cupboard every two years you 00:40:08.000 --> 00:40:09.000 should be just taking a look 00:40:09.000 --> 00:40:11.000 at it have things changed who 00:40:11.000 --> 00:40:12.000 did I appoint back then to make 00:40:12.000 --> 00:40:14.000 health decisions for me or make 00:40:14.000 --> 00:40:15.000 medical or financial decisions 00:40:15.000 --> 00:40:17.000 for me those things do change 00:40:17.000 --> 00:40:18.000 over time and we also want to 00:40:18.000 --> 00:40:20.000 make sure that our if we have a 00:40:20.000 --> 00:40:22.000 trust plan that our trust plan 00:40:22.000 --> 00:40:23.000 stays healthy that those new 00:40:23.000 --> 00:40:25.000 assets stay connected one of 00:40:25.000 --> 00:40:26.000 the things that happen is every 00:40:26.000 --> 00:40:28.000 time you refinance your house 00:40:29.000 --> 00:40:31.000 institutions I don't know why they do 00:40:31.000 --> 00:40:32.000 it they will not even tell you 00:40:32.000 --> 00:40:33.000 but they'll take your house out 00:40:33.000 --> 00:40:35.000 of the trust for reasons that 00:40:35.000 --> 00:40:36.000 they're not supposed to do because 00:40:36.000 --> 00:40:38.000 federal law says that they can 00:40:38.000 --> 00:40:40.000 leave it in the trust -- which 00:40:40.000 --> 00:40:41.000 now creates a loose end your 00:40:41.000 --> 00:40:43.000 real state maybe isn't in the 00:40:43.000 --> 00:40:44.000 trust and so we every couple 00:40:44.000 --> 00:40:45.000 years we just want to make sure 00:40:45.000 --> 00:40:47.000 that it stays connected to your 00:40:47.000 --> 00:40:49.000 trust so that's very important 00:40:49.000 --> 00:40:50.000 estate plan is a lifelong 00:40:50.000 --> 00:40:52.000 process it's not something you do 00:40:52.000 --> 00:40:54.000 once and stick in a shelf these 00:40:54.000 --> 00:40:55.000 are the four attorneys that 00:40:55.000 --> 00:40:57.000 are at my office my partner 00:40:57.000 --> 00:40:58.000 Stephanie Palmblad I plan to 00:40:58.000 --> 00:40:59.000 practice for another fifteen 00:40:59.000 --> 00:40:61.000 or twenty years knock on wood 00:41:01.000 --> 00:41:03.000 I'll be around -- Stephanie is fifteen years 00:41:03.000 --> 00:41:05.000 younger than me my succession 00:41:05.000 --> 00:41:06.000 plan is already in place she 00:41:06.000 --> 00:41:09.000 is it so thirty five years and 00:41:09.000 --> 00:41:10.000 we have two other attorneys 00:41:10.000 --> 00:41:11.000 Jonathan who's our expert in 00:41:11.000 --> 00:41:13.000 Medicaid planning and Sarah 00:41:13.000 --> 00:41:14.000 Lowe so just to introduce yourself 00:41:14.000 --> 00:41:16.000 to us I'm actually ready for 00:41:16.000 --> 00:41:18.000 some questions question was 00:41:20.000 --> 00:41:21.000 about your son because he was 00:41:21.000 --> 00:41:23.000 an adult eighteen already that 00:41:23.000 --> 00:41:24.000 is exactly the case he was 00:41:24.000 --> 00:41:26.000 twenty years old and once you 00:41:26.000 --> 00:41:27.000 become eighteen you're an adult 00:41:27.000 --> 00:41:29.000 I'm no longer responsible for 00:41:29.000 --> 00:41:31.000 you -- I I can't do things 00:41:31.000 --> 00:41:32.000 on your behalf so before he was 00:41:32.000 --> 00:41:35.000 eighteen they would've talked to me once 00:41:35.000 --> 00:41:36.000 he's eighteen he's an adult 00:41:36.000 --> 00:41:38.000 that's exactly right so his 00:41:38.000 --> 00:41:39.000 question was I have a daughter 00:41:39.000 --> 00:41:41.000 in Virginia she is the executor 00:41:41.000 --> 00:41:44.000 of our estate when I pass away 00:41:44.000 --> 00:41:47.000 will she be taxed in both Virginia 00:41:47.000 --> 00:41:49.000 and Oregon so every state has 00:41:49.000 --> 00:41:52.000 different rules and laws Oregon 00:41:52.000 --> 00:41:54.000 does not have an inheritance 00:41:54.000 --> 00:41:57.000 tax it has a estate tax and 00:41:57.000 --> 00:41:58.000 let me explain the difference 00:41:58.000 --> 00:41:60.000 an estate tax taxes the 00:42:00.000 --> 00:42:02.000 estate itself your daughter 00:42:02.000 --> 00:42:03.000 will never pay the estate 00:42:03.000 --> 00:42:04.000 tax because the estate itself 00:42:04.000 --> 00:42:06.000 pays it let's say if your estate 00:42:06.000 --> 00:42:07.000 is worth two million dollars 00:42:11.000 --> 00:42:12.000 state of Oregon declaring the 00:42:12.000 --> 00:42:14.000 value there's roughly about a 00:42:14.000 --> 00:42:15.000 hundred twenty thousand dollars 00:42:15.000 --> 00:42:18.000 of tax owed the estate pays it 00:42:18.000 --> 00:42:21.000 not your daughter -- Virginia 00:42:21.000 --> 00:42:22.000 east coast states actually -- 00:42:22.000 --> 00:42:24.000 sometimes have an inheritance 00:42:24.000 --> 00:42:27.000 tax meaning that like income 00:42:27.000 --> 00:42:29.000 part of that inheritance they 00:42:29.000 --> 00:42:31.000 receive -- would have a small 00:42:31.000 --> 00:42:33.000 tax associated with it I'm 00:42:33.000 --> 00:42:35.000 not licensed in Virginia so I 00:42:35.000 --> 00:42:36.000 actually don't know if an 00:42:36.000 --> 00:42:39.000 Oregon estate that results in 00:42:39.000 --> 00:42:40.000 inheritance to her would be 00:42:40.000 --> 00:42:42.000 taxed -- it might be I think 00:42:42.000 --> 00:42:44.000 that actually might happen his 00:42:44.000 --> 00:42:45.000 question was I understand if 00:42:45.000 --> 00:42:47.000 you have a will you're subject 00:42:47.000 --> 00:42:49.000 to the expenses of probate 00:42:49.000 --> 00:42:50.000 if you have a trust you're 00:42:50.000 --> 00:42:51.000 not subject to the expenses 00:42:51.000 --> 00:42:53.000 of probate -- that statement 00:42:53.000 --> 00:42:55.000 is true the purpose of a will 00:42:55.000 --> 00:42:56.000 is to give a probate court 00:42:56.000 --> 00:42:57.000 instructions if you have a 00:42:57.000 --> 00:42:59.000 will you envision you're gonna 00:42:59.000 --> 00:42:60.000 be in a probate court which 00:43:00.000 --> 00:43:01.000 would be subject to the filing 00:43:01.000 --> 00:43:03.000 fees the expenses and also 00:43:03.000 --> 00:43:04.000 the lawyer fees associated 00:43:04.000 --> 00:43:07.000 with that if you have a trust 00:43:07.000 --> 00:43:09.000 ideally if the trust is healthy 00:43:09.000 --> 00:43:10.000 if there's not loose ends 00:43:10.000 --> 00:43:12.000 then those assets will pass 00:43:12.000 --> 00:43:14.000 to your heirs in your family 00:43:14.000 --> 00:43:16.000 without the cost or expense 00:43:16.000 --> 00:43:18.000 of the probate court so what 00:43:18.000 --> 00:43:19.000 I mean by that is the filing 00:43:19.000 --> 00:43:21.000 fees the lawyer expenses the 00:43:21.000 --> 00:43:22.000 filing documents with the court 00:43:22.000 --> 00:43:23.000 obviously wouldn't be there for a 00:43:23.000 --> 00:43:26.000 trust however know that estate 00:43:26.000 --> 00:43:28.000 tax here in Oregon is subject 00:43:28.000 --> 00:43:30.000 to estates regardless of how 00:43:30.000 --> 00:43:32.000 it's transferred -- if you have 00:43:32.000 --> 00:43:33.000 life insurance with a beneficiary 00:43:33.000 --> 00:43:34.000 designation you're never 00:43:34.000 --> 00:43:35.000 gonna see a dime of that it's 00:43:35.000 --> 00:43:36.000 going to go directly to your 00:43:36.000 --> 00:43:38.000 family but that million dollar 00:43:38.000 --> 00:43:40.000 life insurance policy is gonna 00:43:40.000 --> 00:43:42.000 count against you for the total 00:43:42.000 --> 00:43:43.000 value of your estate even though 00:43:43.000 --> 00:43:45.000 a dollar of it didn't actually 00:43:45.000 --> 00:43:46.000 go to your estate so it's the 00:43:46.000 --> 00:43:48.000 total value of all assets as 00:43:48.000 --> 00:43:50.000 a snapshot when you pass away 00:43:50.000 --> 00:43:51.000 regardless of whether you have 00:43:51.000 --> 00:43:53.000 a will or a trust you're still 00:43:53.000 --> 00:43:55.000 subject to estate taxes so his 00:43:55.000 --> 00:43:57.000 question was please tell them I 00:43:57.000 --> 00:43:61.000 didn't pay you to say this no I 00:44:01.000 --> 00:44:02.000 didn't pay him he's not a plan but 00:44:02.000 --> 00:44:05.000 thank you sir very much so 00:44:05.000 --> 00:44:07.000 when I talked about the cost of 00:44:07.000 --> 00:44:10.000 probate -- I said roughly 00:44:10.000 --> 00:44:12.000 ten to fifteen thousand dollars 00:44:12.000 --> 00:44:14.000 is very typical for a probate 00:44:14.000 --> 00:44:16.000 process -- the cost of a 00:44:16.000 --> 00:44:19.000 revocable living trust I'd say 00:44:19.000 --> 00:44:20.000 in our community depending on 00:44:20.000 --> 00:44:21.000 the complexity of what you're 00:44:21.000 --> 00:44:22.000 dealing with whether it's 00:44:22.000 --> 00:44:24.000 taxable is going to be in the 00:44:24.000 --> 00:44:26.000 range total cost between about 00:44:26.000 --> 00:44:28.000 twenty five hundred and five 00:44:28.000 --> 00:44:30.000 thousand that's fairly typical 00:44:30.000 --> 00:44:31.000 so obviously that's a less 00:44:31.000 --> 00:44:32.000 than a third of what your 00:44:32.000 --> 00:44:34.000 probate cost is now let me 00:44:34.000 --> 00:44:36.000 also say this too that attorneys 00:44:36.000 --> 00:44:37.000 are still sometimes needed to 00:44:37.000 --> 00:44:40.000 administer trusts -- but it goes 00:44:40.000 --> 00:44:41.000 a little bit like this with the 00:44:41.000 --> 00:44:43.000 probate I have to do everything 00:44:43.000 --> 00:44:45.000 for you my staff has to do 00:44:45.000 --> 00:44:46.000 everything for you because it's 00:44:46.000 --> 00:44:48.000 a court whereas when it's a 00:44:48.000 --> 00:44:50.000 trust administration I'm an 00:44:50.000 --> 00:44:52.000 adviser that's a very different 00:44:52.000 --> 00:44:54.000 role -- so let me -- an example 00:44:54.000 --> 00:44:56.000 is your son or daughter comes 00:44:56.000 --> 00:44:58.000 to see me after a death -- I 00:44:58.000 --> 00:44:60.000 walk them through their duties 00:45:00.000 --> 00:45:02.000 as trustee the steps they need 00:45:02.000 --> 00:45:04.000 to take but the reality is they 00:45:04.000 --> 00:45:06.000 can do it all themselves the 00:45:06.000 --> 00:45:08.000 challenge is they just have never done 00:45:08.000 --> 00:45:09.000 it before so it's nice to have 00:45:09.000 --> 00:45:11.000 an adviser to ask questions of so 00:45:11.000 --> 00:45:14.000 in that role even if they say 00:45:14.000 --> 00:45:15.000 hey Ryan this is overwhelming 00:45:15.000 --> 00:45:16.000 would you do all of these steps 00:45:16.000 --> 00:45:18.000 for me it's still much easier 00:45:18.000 --> 00:45:20.000 if I do everything it might 00:45:20.000 --> 00:45:22.000 cost two thousand dollars but 00:45:22.000 --> 00:45:24.000 the reality is typically your 00:45:24.000 --> 00:45:27.000 family does most of the work 00:45:27.000 --> 00:45:28.000 and I'm just there to answer 00:45:28.000 --> 00:45:29.000 some questions I also have 00:45:29.000 --> 00:45:32.000 resources for your trustee I 00:45:32.000 --> 00:45:34.000 well I built a trustee manual 00:45:34.000 --> 00:45:35.000 that from beginning to trust 00:45:35.000 --> 00:45:36.000 to distribution of trust goes 00:45:36.000 --> 00:45:37.000 through every single checklist 00:45:37.000 --> 00:45:39.000 and step and I can give that 00:45:39.000 --> 00:45:41.000 to you too so there's resources 00:45:41.000 --> 00:45:42.000 that would help them administer your 00:45:42.000 --> 00:45:44.000 trust and minimize those costs 00:45:44.000 --> 00:45:45.000 now if you have a taxable 00:45:45.000 --> 00:45:47.000 estate know that that's a little bit 00:45:47.000 --> 00:45:48.000 more intense you need your 00:45:48.000 --> 00:45:50.000 CPA and your attorney to help you 00:45:50.000 --> 00:45:52.000 facilitate that tax savings 00:45:52.000 --> 00:45:54.000 tax split well that's a little 00:45:54.000 --> 00:45:55.000 more but know that still it's 00:45:55.000 --> 00:45:58.000 way easier when it's a trust 00:45:58.000 --> 00:45:60.000 to get permission to do everything 00:46:00.000 --> 00:46:02.000 so her question was if I use a 00:46:02.000 --> 00:46:04.000 transfer on death form for real 00:46:04.000 --> 00:46:06.000 estate or for a vehicle and 00:46:06.000 --> 00:46:07.000 I'm gonna add to that a transfer 00:46:07.000 --> 00:46:09.000 on death for bank accounts or 00:46:09.000 --> 00:46:10.000 investment accounts does that 00:46:10.000 --> 00:46:13.000 avoid the estate tax no the 00:46:13.000 --> 00:46:15.000 answer is not it's still at the 00:46:15.000 --> 00:46:16.000 time of your death owned by you 00:46:16.000 --> 00:46:18.000 it still adds up to the value 00:46:18.000 --> 00:46:19.000 of your estate you don't avoid 00:46:19.000 --> 00:46:21.000 that and I'm gonna do a follow 00:46:21.000 --> 00:46:22.000 up question that I know you really 00:46:22.000 --> 00:46:23.000 want to ask -- does it avoid 00:46:23.000 --> 00:46:25.000 probate the answer is yes it 00:46:25.000 --> 00:46:27.000 would avoid probate -- meaning 00:46:27.000 --> 00:46:29.000 that there is a by agreement 00:46:29.000 --> 00:46:31.000 that account or that asset 00:46:31.000 --> 00:46:33.000 goes to where it needs to go 00:46:33.000 --> 00:46:35.000 without a court involvement now 00:46:35.000 --> 00:46:36.000 recognize that there's a challenge 00:46:36.000 --> 00:46:38.000 to that and a risk to that so I 00:46:38.000 --> 00:46:39.000 do have people that come to see 00:46:39.000 --> 00:46:42.000 me and and you know mom and dad 00:46:42.000 --> 00:46:43.000 established transfer on death 00:46:43.000 --> 00:46:45.000 provisions for all the accounts 00:46:45.000 --> 00:46:46.000 to try to make it really easy 00:46:46.000 --> 00:46:47.000 and they name -- they just had all 00:46:47.000 --> 00:46:48.000 the money go to one of their 00:46:48.000 --> 00:46:49.000 daughters who's going to be in 00:46:49.000 --> 00:46:51.000 charge and yet let's say 00:46:51.000 --> 00:46:54.000 there's three or four kids all 00:46:54.000 --> 00:46:55.000 those hundreds of thousands 00:46:55.000 --> 00:46:56.000 of dollars of accounts went to 00:46:56.000 --> 00:46:58.000 that one daughter with the hope 00:46:58.000 --> 00:46:60.000 and the trust that she would do 00:47:00.000 --> 00:47:02.000 the right thing well you've -- 00:47:02.000 --> 00:47:04.000 you create a couple problems 00:47:04.000 --> 00:47:06.000 one there's potential conflict 00:47:06.000 --> 00:47:07.000 within the family because she 00:47:07.000 --> 00:47:09.000 effectively has to gift to 00:47:09.000 --> 00:47:11.000 her siblings oftentimes she is 00:47:11.000 --> 00:47:12.000 probably the one that was caring 00:47:12.000 --> 00:47:14.000 for your end of life there's 00:47:14.000 --> 00:47:15.000 already some conflict with the 00:47:15.000 --> 00:47:16.000 siblings over not helping with 00:47:16.000 --> 00:47:18.000 mom or dad and there's sometimes a 00:47:18.000 --> 00:47:19.000 sense of entitlement so you're creating 00:47:19.000 --> 00:47:21.000 some conflict there the other 00:47:21.000 --> 00:47:22.000 challenge is there's no cash 00:47:22.000 --> 00:47:23.000 in the estate you've now taken 00:47:23.000 --> 00:47:25.000 all the money out of the estate 00:47:25.000 --> 00:47:27.000 to pay bills and funeral expenses 00:47:27.000 --> 00:47:29.000 she's having to use that money 00:47:29.000 --> 00:47:30.000 to do it which is effectively 00:47:30.000 --> 00:47:34.000 hers and when she gifts -- 00:47:34.000 --> 00:47:36.000 let's say if she divides that 00:47:36.000 --> 00:47:37.000 four hundred thousand dollars 00:47:37.000 --> 00:47:38.000 equally between her three other 00:47:38.000 --> 00:47:41.000 siblings -- she is gifting a 00:47:41.000 --> 00:47:42.000 hundred thousand dollars to each 00:47:42.000 --> 00:47:43.000 one of them which requires 00:47:43.000 --> 00:47:46.000 her to file a 709 00:47:46.000 --> 00:47:48.000 gift tax -- form because 00:47:48.000 --> 00:47:49.000 she gave more than fifteen 00:47:49.000 --> 00:47:51.000 thousand dollars in one year 00:47:51.000 --> 00:47:53.000 to one person so you've created a gift 00:47:53.000 --> 00:47:55.000 tax problem for her as well 00:47:55.000 --> 00:47:57.000 not the best I I I don't think 00:47:57.000 --> 00:47:58.000 that's the best way to do it 00:47:58.000 --> 00:47:59.000 I think the trust is a better 00:47:59.000 --> 00:47:61.000 tool because it keeps the 00:48:01.000 --> 00:48:02.000 money in the estate requires 00:48:02.000 --> 00:48:06.000 her to account to her family 00:48:06.000 --> 00:48:07.000 and distribute where she 00:48:07.000 --> 00:48:09.000 really has no obligation to 00:48:09.000 --> 00:48:11.000 then distribute that transfer 00:48:11.000 --> 00:48:12.000 on death funds to her family 00:48:12.000 --> 00:48:13.000 none it's hers she can do what 00:48:13.000 --> 00:48:16.000 she wants with it so those are the 00:48:16.000 --> 00:48:17.000 challenges that some of the health 00:48:17.000 --> 00:48:20.000 self help remedies create -- 00:48:20.000 --> 00:48:21.000 if you have one daughter no 00:48:21.000 --> 00:48:23.000 other siblings there's not gonna be any 00:48:23.000 --> 00:48:24.000 complaints about it sometimes 00:48:24.000 --> 00:48:25.000 that works a little better so 00:48:25.000 --> 00:48:27.000 her question was if I have a 00:48:27.000 --> 00:48:29.000 trust do I need all those other 00:48:29.000 --> 00:48:31.000 tools like the durable power 00:48:31.000 --> 00:48:32.000 of attorney advance directive 00:48:32.000 --> 00:48:33.000 those things the answer is 00:48:33.000 --> 00:48:35.000 yes -- we want to build a tool 00:48:35.000 --> 00:48:37.000 box now in some ways we hope 00:48:37.000 --> 00:48:39.000 we don't need all those tools 00:48:39.000 --> 00:48:40.000 but when you have a toolbox 00:48:40.000 --> 00:48:42.000 at home you don't use all your 00:48:42.000 --> 00:48:44.000 tools everyday do you and 00:48:44.000 --> 00:48:45.000 sometimes when you're fixing 00:48:45.000 --> 00:48:46.000 the kitchen sink you don't 00:48:46.000 --> 00:48:48.000 necessarily need the screwdriver 00:48:48.000 --> 00:48:49.000 but you kind of want it in your 00:48:49.000 --> 00:48:51.000 toolbox anyway don't you 00:48:51.000 --> 00:48:52.000 because we always want to make 00:48:52.000 --> 00:48:54.000 sure that tool box is complete 00:48:54.000 --> 00:48:55.000 we want to get the right tool 00:48:55.000 --> 00:48:57.000 out depending on the situation 00:48:57.000 --> 00:48:58.000 we're dealing with the trust 00:48:58.000 --> 00:48:62.000 deals with assets specifically 00:49:02.000 --> 00:49:03.000 if you become incapacitated 00:49:03.000 --> 00:49:05.000 or you pass it gives authority 00:49:05.000 --> 00:49:07.000 to manage assets that's what 00:49:07.000 --> 00:49:08.000 it does the power of attorney 00:49:08.000 --> 00:49:10.000 is actually much more broad 00:49:10.000 --> 00:49:11.000 it deals with anything that 00:49:11.000 --> 00:49:13.000 requires your authority dealing 00:49:13.000 --> 00:49:14.000 with social security benefits 00:49:14.000 --> 00:49:16.000 making insurance claims -- 00:49:16.000 --> 00:49:18.000 talking to your cable company 00:49:18.000 --> 00:49:19.000 or another utility company 00:49:19.000 --> 00:49:21.000 dealing with Google over 00:49:21.000 --> 00:49:23.000 digital assets these are things 00:49:23.000 --> 00:49:24.000 that are much beyond the assets 00:49:24.000 --> 00:49:26.000 you own but require some help 00:49:26.000 --> 00:49:28.000 to deal with things that only you 00:49:28.000 --> 00:49:29.000 have authority to do so we 00:49:29.000 --> 00:49:31.000 still need all those tools in 00:49:31.000 --> 00:49:34.000 that one tool box yeah so the 00:49:34.000 --> 00:49:36.000 question was if you appoint an 00:49:36.000 --> 00:49:38.000 executor or a trustee for that 00:49:38.000 --> 00:49:40.000 matter -- are they entitled 00:49:40.000 --> 00:49:41.000 to a fee for the service the 00:49:41.000 --> 00:49:44.000 answer is yes here in Oregon 00:49:44.000 --> 00:49:45.000 a executor we call it a personal 00:49:45.000 --> 00:49:47.000 representative of a probate estate 00:49:47.000 --> 00:49:49.000 is entitled to a statutory 00:49:49.000 --> 00:49:50.000 fee for the work that they 00:49:50.000 --> 00:49:53.000 do -- it's a formula for the 00:49:53.000 --> 00:49:56.000 probate it's roughly two plus 00:49:56.000 --> 00:49:58.000 percent of the value of all the 00:49:58.000 --> 00:49:61.000 assets in the probate plus one 00:50:01.000 --> 00:50:02.000 percent of assets that are not 00:50:02.000 --> 00:50:04.000 subject to probate such as life 00:50:04.000 --> 00:50:06.000 insurance retirement assets 00:50:06.000 --> 00:50:08.000 now on the trust side there's 00:50:08.000 --> 00:50:11.000 no formula for the trustee fee 00:50:11.000 --> 00:50:14.000 it's a reasonable fee based on 00:50:14.000 --> 00:50:16.000 the skill of the trustee and 00:50:16.000 --> 00:50:18.000 reasonable is -- geographically 00:50:18.000 --> 00:50:20.000 specific -- it's specific to 00:50:20.000 --> 00:50:21.000 the skill sets that they have 00:50:21.000 --> 00:50:23.000 are they a professional do 00:50:23.000 --> 00:50:25.000 they have great skills -- do 00:50:25.000 --> 00:50:26.000 they need a lot of help and 00:50:26.000 --> 00:50:28.000 so establishing what that 00:50:28.000 --> 00:50:30.000 fee is is a little bit more 00:50:30.000 --> 00:50:33.000 not arbitrary but nuanced 00:50:33.000 --> 00:50:34.000 sometimes what I will do is 00:50:34.000 --> 00:50:36.000 I'll give my trustees the 00:50:36.000 --> 00:50:38.000 option you can calculate it one 00:50:38.000 --> 00:50:40.000 of two ways one keep track of 00:50:40.000 --> 00:50:41.000 every hour you spend working 00:50:41.000 --> 00:50:44.000 on mom or dad's trust and 00:50:44.000 --> 00:50:45.000 we'll establish a reasonable hourly 00:50:45.000 --> 00:50:49.000 rate somewhere in the forty to 00:50:49.000 --> 00:50:50.000 seventy five dollars an hour 00:50:50.000 --> 00:50:52.000 rate for -- for somebody 00:50:52.000 --> 00:50:53.000 in that capacity depending on their 00:50:53.000 --> 00:50:56.000 skill level is fairly typical 00:50:56.000 --> 00:50:58.000 certainly would be justified 00:50:58.000 --> 00:50:59.000 sometimes people don't want to 00:50:59.000 --> 00:50:60.000 keep track of every single hour 00:51:00.000 --> 00:51:01.000 that they spend working on mom 00:51:01.000 --> 00:51:03.000 and dad's stuff so the other way 00:51:03.000 --> 00:51:05.000 is we just use the formula that 00:51:05.000 --> 00:51:07.000 they we would use in a probate 00:51:07.000 --> 00:51:08.000 process we would use that in 00:51:08.000 --> 00:51:10.000 the trust process you know one 00:51:10.000 --> 00:51:11.000 to two percent of the value 00:51:11.000 --> 00:51:13.000 of the assets they're managing 00:51:13.000 --> 00:51:15.000 it is something we do often 00:51:15.000 --> 00:51:16.000 times family members say you 00:51:16.000 --> 00:51:17.000 know what I don't want any fee 00:51:17.000 --> 00:51:19.000 because that's income to you 00:51:19.000 --> 00:51:20.000 if you take a fee that comes out 00:51:20.000 --> 00:51:22.000 of the trust now you're gonna 00:51:22.000 --> 00:51:25.000 get a 1099 actually for 00:51:25.000 --> 00:51:26.000 the income that you receive 00:51:26.000 --> 00:51:27.000 that you have to report on your 00:51:27.000 --> 00:51:29.000 tax return and some people an 00:51:29.000 --> 00:51:30.000 inheritance is not subject to 00:51:30.000 --> 00:51:32.000 income tax the trustee fee is 00:51:32.000 --> 00:51:34.000 subject to income tax thank you 00:51:34.000 --> 00:51:36.000 for coming very much and thank you 00:51:36.000 --> 00:51:38.000 again Ryan thank you Dr. Manoogian 00:51:38.000 --> 00:51:40.000 applause