Attorney Blog

Do You Need A Power Of Attorney from Your College Student?

blog@www.paestateplanners.com (news Author)17498 — Mon, 06 Sep 2010 08:00:00 EST

If you have a college aged student going off to school this fall, or an older college student and you don't yet have a power of attorney, HIPPA authorization, a medical power of attorney or even a POA from his or her bank, then you might want to read this article on students and the power of attorney. Many parents don't realize, that once that child turnss 18, that many privacy laws and policies now apply to them and that you might be shut out of informaiton about their college records, medical records and medical decision making.

Want to know more and what to do about it?

Click here for information about powers of attorney and medical power (including a HIPPA authorization) for your young adult children.

For more information about our family plans for estate planning, our free consultations for college students and client family members, and for new clients call or email attorney David M Frees III at 610-933-8069 or dfrees@utbf.com.

You can also reach David Frees' paralegals, and assistants Donna, Beth and Denise at 610-933-8069.

What is a $100,000 Charitable Trust Worth 91 Years Later?

dmfiii@aol.com (blog Author)38502 — Mon, 06 Sep 2010 08:00:00 EST

91 year ago a farmer established a charitable trust with $100,00.00 dollars to build an orphanange. What is that $100,000.00 worth today and how is it used since an local orphange is no longer needed. This article examines some good and bad news about trusts and how they work when the purpose for which they were established is no longer appropriate. In such cases, court apply the doctrine of cy pres to help them to apply the trusts for an alternative purpose that would have been acceptable to the person creating the charitable trust. Click here for more on how trusts can grow through time and how courts deal with changing charible needs.

For more information on the use of trusts, charitable trusts, and revocable and irrevocable trusts in Pennsylvania contact David M Frees III with law offices in Malvern, Phoenixville, and West Chester Pennsylvania.
610-933-8069
dfrees@utbf.com

The Federal Estate Tax Morass Continues - What Do You Do With Your Pennsylvania Estate Plan?

dmfiii@aol.com (blog Author)38267 — Tue, 31 Aug 2010 08:00:00 EST

Are you a Pennsylvania resident? Do you want to revise your will or trust? Are you confused about the ever changing federal estate tax and how your will or trust should address the confusion.

You are not alone. It appears that Congress and the IRS are also confused about the tax.

If you have more than a million dollars of assets, retirement, and life insurance, then you have probably been following the story of the federal estate tax and have been wondering how you will ever finish your estate planning.

Well, if you're hoping that the tax lawyers and the IRS know what's happening I have good news and bad news about estate planning and the federal estate tax.

First, the bad news. Even the IRS seems baffled about what to do. Take a look at this blurb and quote from the Wall Street Journal blog on comments of an IRS lawyer:

At the IRS Tax Forum in New York on August 12th, Patrick Leahy, an attorney with the estate and gift tax division in Manhattan, told an audience of tax prepares not to file a Form 706 for 2010 estates, or the estate tax return. According to Web CPA, Leahy said, “If you file a 706 to the IRS Service Center, we will rapidly return it to you because we don’t have a place to put them.”

Next the good news. There are flexible planning techniques that can be used to make your estate planning and estate tax planning work this year, next year, and for the foreseeable future. Find the right estate planning lawyer to help you to select the right choice for you. However, setting up a disclaimer will or trust will allow the surviving spouse to set up a trust or not, based on the law and economic realities at the time. These plans are much more flexible than the traditional A?B trust plans which may no longer work well.

David M. Frees III, Esquire
Phoenixville, Malvern and West Chester law offices

610-933-8069
For more articles on Pennsylvania estate planning, probate, trusts, and related topics visit www.utbf.com/trusts-estates

When Do Your Children Need A Will Or Estate Planning? The Answer Might Surprise You

dmfiii@aol.com (blog Author)37690 — Sat, 21 Aug 2010 08:00:00 EST

When Do My Children Need A Will, Trust, or Estate Planning? By: Attorney David M. Frees III

Many parents ask the question - "Is it time for my child to do his or her own will?" And, while the answer to that question varies from child to child, and from family to family, the answer might surprise you.

Why?

Well, most people don't do a will until they are married and have children. And, the average age for a person to marry in the United States is 26.8 years of age for men and 25 years of age for women.

Yet, there are many many good reasons to do a will or a simple estate plan with a will, trust, and power of attorney well before that point in life.

For staters, if your will distributes assets to your children at age 21, then thier wills will control what happens to any assets that they inherit from you. If they are intestate (without a will) then Pennsylvania state law will control. And, that might not be what you or the child would want.

Do you have life insurance? Is your child mentioned as a contingent beneficiary? The the same result would apply. He or she should have a will to distribute this potentially very significant asset back to the right family members, charities, or other beneficiaries.

Finally, helping your child to invest time (even if you're paying for it) in a simple estate plan, or even a will or trust, is an excercise in building good financial habits. A young adult child who has thought about these matters is likely to remeber to update this plan and that it was part of how you educated them to be effective in their control and maagment of assets and wealth.

There are even more compelling reasons for a child to do a power of attorney and a medical power of attorney, even if they have only reached the age of 18. In fact, if you have a college aged child you'll want to read our article on when you need a child's power of attorney and what happens if you don't.

For more information on enhanced estate planning for your entire family, order our Enhanced Estate Planning work book. It's free for Pennsylvania residents and it is a great learning tool for young adult children who are doing their first will.

Also, for information on our Family and Friends rates and our family will clinics call 610-933-8069 and set an appointment to speak by phone or in person with David M. Frees III.

Phoenixville Lawyers Sponsor TEDx at the Colonia Theater

blog@www.paestateplanners.com (news Author)16985 — Sat, 14 Aug 2010 08:00:00 EST

Phoenixville's own attorneys David Frees and Doug Kaune aren't just focused on wils, trusts, and estates. Both David and Doug are partners of Unruh, Turner, Burke and Frees and are sponsoring the first ever TED conference. For more information about tickets, times and TEDx Phoenixville, clcik here.

Quality Information On Credit Fraud and Protecting Your Estate

blog@www.paestateplanners.com (news Author)16986 — Sat, 14 Aug 2010 08:00:00 EST

Attorney David M. Frees III asked me to alert you to this great new resource published on the US Government's blog. This article is not about wills trusts, and estates but is information and resource rich on protecting your assets, identity fraund and protecting and building your estate.

According to Phoenixville attorney David Frees "Building and protecting your assets, credit rating, and your lifestyle for yourself and your family is part of any great estate plan. An estate plan that focuses only on your will or trust and what happens after your dead isn't likely to be too much fun, and in my experience doesn't maximize your assets or your life style."

So here is David Frees' link to the US Government's Money Blog on Avoiding Financial Fraud.

Federal Estate Tax News For Pennsylvanians

dmfiii@aol.com (blog Author)36805 — Thu, 05 Aug 2010 08:00:00 EST

If you are a Pennsylvania citizen and wondering how the federal estate tax will effect your estate planning, a will revision, or a trust you might want to review this brief article by the Pittsburg Post Gazette on the federal estate tax uncertainty. Just click here to read more on death tax planning for Pennsylvanias and the federal estate tax news that you need.

David M. Frees III, Esquire
610-933-8069

Unruh, Turner, Burke and Frees
Law Offices Serving the communities in 19355, 19460, 19380, 19382 zips codes and
Devon, Exton, Malvern, Phoenixville, West Chester and surrounding communities.

The Family Limited Patnership In Estate and Business Planning

dmfiii@aol.com (blog Author)36387 — Mon, 02 Aug 2010 08:00:00 EST

Family Limted Partnerships in Pennsylvania Estate Planning.
By David M Frees III, Esquire

Some of the benefits of using the FLP include: maintaining managment and controll when gifting or selling business interests to family memebers, the ability to mentor the next generation of managers/owners, possible reduced values when making gifts so that you can gift more, asset protection for your heirs, ease of transefering varying percentage interests and more.

For the latest on using Family Limited Partnerships in your business and estate planning including the pros and cons of FLPs, read my article and the NY Times article on FLPs ( Family Limited Patrnerships ) and the IRS by clicking here.

David M. Frees III practices almost exclusivly in the areas of trusts, wills, estate planning, and asset protection. His practice serves families throughout the state of Pennsylvania with law offices located in Malvern, Phoenixville and West Chester. Many suurrounding communities include Devon, Exton, Chester Springs, Wayne, Ardmore, Gladwyn, and Greater Philadelphia and The Main Line.

How To Shelter Assets From The Estate Tax When It Returns

blog@www.paestateplanners.com (news Author)16665 — Sun, 01 Aug 2010 08:00:00 EST

NJ.com and the Starr Ledger recently published a great brief answer to a reader's question about how to avoid the federal estate tax. Enjoy this article and some of the recommendations.

If you are a Pennsylvania resdeint and have not reviewed your will in more than three years, or if you have a will that does federal estate tax planning (think A/B trusts) then it may be time to contact your estate planning attorney for a review.

David Frees, Esquire is Chairman of
Unruh, Turner, Burke and Frees' Wealth Preservation, Trust and Estate Department.
610-933-8069

Another Federal Estate Tax Bill Is Dead - What Should You Do Now?

dmfiii@aol.com (blog Author)35745 — Sat, 24 Jul 2010 08:00:00 EST

For more information on the latest congressional actions on the federal estate tax (or death tax) and what to do in your estate planning documents such as wills and trusts, visit the Estate Tax Reform Update For Pennsylvania Residents by clicking this link.

David Frees has been selected as a 2010 SPennsylvania SuperLawyer in the are of trusts and estates.

His offices are located in Phoenixville, Malvern, and West Chester Pennsylvania and serve the surrounding communities of Exton, Downingtown, Chester Springs, Collgeville, Devon, Berwyn, Wayne, Ardmore, Glawyn and many others.

For a complimentray review of your wills, trusts and related douments (while this offer lasts) please call Donna, Denise, or Beth at 610-933-8069.

Estate Tax News: Pressure on Congress To Act On The Federal Estate Tax

dmfiii@aol.com (blog Author)35559 — Wed, 21 Jul 2010 08:00:00 EST

Fderal Estate Tax News - Bloomberg

Several high profile advocates for reinsating the federal estate tax and many wealthy individuals, have appeared before Congress to encourage reinstatement of the federal estate tax before the August congressional break. As this issue proceeds, we will keep you up to date. The failure odf Congressional action will have significant effects on many modestly wealthy families once the estate tax returns to low shelter amounts starting at 12:01 am on January 2011. To see if you are in need of new estate planning strategies or documents please follow this blog or sign up for our RSS feed.

Attorney David Frees can be reached at 610-933-8069.

For a free estate planning consultation with Unruh, Turner, Burke and Frees call David Frees at 610-933-8069 or email him at dfrees@utbf.com. Mention this code: ESTATETAXLAW for your complimentary consult.

Frees' blogs at www.PaEstatePlanners.com and www.utbf.com/trust-estate provide updates on wills, trusts, powers of attorney, GRATS, and many other estate tax and inheritance tax issues for affluent families and individuals in Chester County, Montgomery County, as well as Berks, Lancaster, and Bucks Counties. The firms law offices in Malvern, Phoenixville, and West Chester serve many surrounding communities including Devon, Wayne, Ardmore, Berwyn, Exton, Chester Springs, and Downingtown.

Senate Action Urged on Federal Estate Tax

dmfiii@aol.com (blog Author)33712 — Thu, 17 Jun 2010 08:00:00 EST

Congress Needs To Act on Federal Estate Tax Reform
by: David M. Frees III, Esquire

This is not a partisan article. I don't really care who moves this issue forward. But, I believe that is essential for the American public to know what Congress wants to do with the estate tax. Right now, there is no tax. It will however, shortly return with a vengance and only 1 million dollars will be sheltered (and, as this includes life insurance) and the value of assets above that will be taxed at 45% to 55%.

Congress has alludeed, to increasing this shelter amount but has taken no action to do so.

This makes rational planning very difficult.

Also, Congress did recently act to eliminate short term GRATs (Grantor retained Annuity Trusts) which will limit an important planning technique used by many tax payers.

Tax planning by families should be rational and predictable. Until now, Congress has failed to make long term tax and estate planning possible.

Here is some video from the Senate floor on this issue.

Again, while the Senator is a republican, I have no politcal bias on this issue. But I feel that Congress owes a definative answer to the American people.

Congress Is Moving Toward Eliination of Short Term GRATs

dmfiii@aol.com (blog Author)33715 — Thu, 17 Jun 2010 08:00:00 EST

Congress Moves Closer To Eliminating Short Term GRATs

By: David M. Frees III, Esquire

The use of short term GRATs has helped many families to transfer assets to the next gneration while maintaining use of the assets and avoiding gift taxes. However, short term GRATs are now on the verge of beig eliminated by Congress. For more information on short term GRATs (Grantor Retained Anuity Trusts) read the article here.

David M Frees III

Another View From Pennsylvania on The Federal Estate Tax and You

dmfiii@aol.com (blog Author)32138 — Mon, 24 May 2010 08:00:00 EST

If you're a Pennsylvania resident and concerned about estate planning, your will, trust, or the federal estate tax, then you may be interested in a recently published article by a Pennsylvania Cmember of congrress, Representative Joe Pitts on the Federal Estate Tax.

We publish articles and information designed to help you to improve your business and your life and we regularly present multiple points of view on the federal estate tax and related matters.

Please let us know your views, and concerns by leaving a comment below.

David M. Frees III
Mr. Frees focuses his practice in the areas of trusts, estates, wills, probate, and related matters such as estate tax planning and asset protection. His firm has also deeloped a series of products for families who are concerned about elder law issues, and nursing home care in their planning.

For a free consultation at one of his offices in Chester County, which also serve Montgomery County, Delaware County, and Lancaster and Philadelphia counties, call 610-933-8069 and mention PAESTAEPLANNERS.com for a complimentray consultation.

Offfices Serve: Malvern, Phoenixville, West Chester, Exton, Collegeville, Trappe, Blue Bell, Chester Springs

The Trust Protector: Why Have One and more...

dmfiii@aol.com (blog Author)31309 — Mon, 10 May 2010 08:00:00 EST

The Trust Protector - Great Idea or a Very Bad One.

For more information on the trust protector concept, how and when to use one as well as who should act as trust protector please visit my series of Trust Protector articles being published at my estate planning and elder law blog. This is the first in a series of stricles covering the uses and dangers of the trust protector - a neutral third party that can make changes to the trust to adapt to tax changes as well as many other powers. These powers often include the power to end the trust early, to ammend the trust, and to hire and fire trustees and to oversee their investments and fees.

If you would like to discuss more information on how and why to use a trust protector in your own will or reocable or irrevocable trust please feel free to call 610-933-8069 for a complimentary phone or personal consult. To receive theis complimwetary consult mention PAESTAEPLANNERS.

Call 610-933-8069 to update your will, trust, or estate plan.

Ever Wanted To Do A GRAT to Save Estate Taxes? They Might Not Work Soon

dmfiii@aol.com (blog Author)29749 — Fri, 09 Apr 2010 08:00:00 EST

Click here to read David M. Frees III's recent report on House Bill 4849 that would ban one of your best estate planning techniques, the short term GRAT or Grantor Retained Annuity Trust.

This thechnique is perfect for the current times of depressed asset values (and returning appreciation) coupled with low interest rates. This is one of the few well established and legal techniques to give assets away, to get them back, and to get all of the appreciation out of your estate without paying gift taxes.

The technique is so powerful that it is under attck and this may be the last chance you have to use the short term GRAT.

A grooup dedicated to the rich paying their fare share of taxes has been lobbying for the elimination of GRAts and estimates that the new bill will produce billions of revenue over the next ten years.

To find out more about GRATS, short term grantor trusts, and news about the pending changes in the law on GRATs click here.

If you would like to make an appointment with David M. Frees III regarding a GRAT or any other estate planning strategies, or simply to update your wills, trusts, or related documents which might no longer work due to changes in the federal estate tax law, please call 610-933-8069. For a free phone consultation or appointment mention code: GRAT.

The firm Unruh, Turner, Burke and Frees maintains offices in Phoenixville, Malvern, and West Chester for the convenience of the families and individuals that consult us regarding wealth planning, estates and trusts, and estate, business, and tax planning. These offices serve Berwyn, MDevon, Exton, Gladwyn, Radnor, and many surrounding communities.

Almost half of American Households Pay No Income Tax

dmfiii@aol.com (blog Author)29643 — Wed, 07 Apr 2010 08:00:00 EST

Almost half of all American households pay no feceral income tax. If you're like me, you probably think that has to be wrong. It has to be a manipulation for some sinister reason. I mean can a scociety be healthy where almost a majority of it's citizens pay no tax? I think a progressive tax is fair. But no tax? Look at this artcile for more resources on why so few americans pay federal income tax.

Leave a comment below.

What Life Insurance Salesmen Are Saying About Estate Taxes Behind Your Back?

dmfiii@aol.com (blog Author)29425 — Fri, 02 Apr 2010 08:00:00 EST

If you live in Pennsylvania, and have built assets during your lifetime, your estate planning just got trickier. And, since the life insurance industry has a strong vested interest in how the estate tax debate in Congress is resolved, I thought that you might be interested in knowing what they are telling their sales people about this situation and the federal estate taxes.

Click here for access to an analysis of federal estate taxes in this changing environment ans what the life insurance industry is telling it's salesmmen an sales women.

David M. Frees III, Esquire 610-933-8069 to update or complete an estate plan, will, trust or related documents

Frees is a probate, will and trust lawyer who chairs the Trust, Estate amd Wealth Preservatio Section of
Unruh, Turner, Burke and Frees

Unruh, Turner, Burke and Frees maintians offices serving all of south east Pennsylvania including communities
along the eastern and western Main Line, Phoenixville, West Chester, Chester Springs, Exton, Collegeville and surrounding areas.

If you want to update a will, trust, estate plam, or a power of attorney, living will or other medical directive please call 610-933-8069 and ask for Denise, Donna, or Beth to make an appointment with David Frees. Mention Code: Spring2010 for a discount, free inital consultation, and free books on estate planning and related topics.

Estate Tax, Lobbiests, and New Information for 2010

dmfiii@aol.com (blog Author)28808 — Tue, 23 Mar 2010 08:00:00 EST

Are you looking for great sources of information about what is happening with the federal estate tax in 2010 and 2011. This great new article is rich is sources and information about the loggying efforts of the life insurance industry and in particular the AALU (American Association of Life Underwriters). Click here to get the latest on the estate tax tax and the lobbying efforts of the insurance industry.

David M. Frees III

610-933-8069

David Frees is the author of numerous articles, blogs, blog posts, books and other resources on estate planning, estate law for executors, and many related trust and estate topics for lawyers and for consumers.

Frees maintains law offices in Malvern, Phoenixville, ans West Chester Pennsylvania. These offices service Wayne, Devon, Chester Springs, Exton and many surrounding communities.

Why Update Your Will? In This Case Your Head Might Be Frozen

dmfiii@aol.com (blog Author)27541 — Mon, 01 Mar 2010 08:00:00 EST

When people hear that I am a trust, estates, and asset protection lawyer they often ask, "How often do I have to change my wlll?"

The answer to that question is more complex than you might think. But for most people, who update every seven to ten years, that is not often enough and if you don't update your will or trust, your true wishes might never be known or followed.

I tell clients to review their wills every three five years, if not more often. Chages may not be needed, but you should think about what they say. However, there is really no firm or fast rule. The reason that I say five years is that by then, in my experience, most people have had quite a few chnages in their personal lives, and there have often been quite a few changes in the tax laws or other related laws such as mediciad.

But, the real answer to the question of "How often should I change my will? is as often as needed. In fact, in a recent case, a woman did a will in which she directed that her body be given to a private foundation and that her head be cryogenically frozen. According to her heirs, she subsequently changed her mind but not her will and a Judge awarded the money and the woman's body to the Alcor Life Extension Foundation.

Now state laws vary significantly about who controls your body once you're deceased. But the point is, that you should review your will, trusts, and beneficiary designations with some regularity. If your personal circumstances change, make sure to get an appointment to change your will. Some people will simply scratch out a nameand write in another.

But, there are very good reasons that wills have to be executed with some formality and according to rules that ensure that they accurately state your wishes. For that reason, casual changes to your will without witnesses and without all of the formailites required by state law might and probably will invalidate the changes.

So what are some of the reasons to update?

See part two of this series for a checklist of reasons to update a will.

Want our copyrighted and proprietary estate planning questionaire that ouc clients use to prepare for estate planning, a will, or trust and to organize their affairs? Click here to get a free copy of our estate planning questionaire and our estate planning materials on Enhanced Estate Planning.

David M. Frees III, Esquire
Chairman: Unruh, Turner, Burke and Frees - Trust, Estates, and Wealth Preservation Section
610-933-8069

For a free consultation to review your existing will or trust, call Donna, Denise, or Beth. Mention this artcile by attorney David M. Frees III, and your consult is complimentary.

David Frees has law offices in Malvern, Phoenixville, and West Chester Pennsylvania.
These offices serve clients throughout Chester County, Montgomery County, and Lancaster County.
Communities served include Devon, Frazer, Exton, Chester Springs, Downingtwon, Wayne, Armore, Berwyn and many more on the Western Main Line and beyond.

Why Old Trusts Might Cost Yor Estate Money and Why You Still Need A Will

dmfiii@aol.com (blog Author)27457 — Sun, 28 Feb 2010 08:00:00 EST

If you have a trust designed to save your heirs onprobate fees, taxes and the expenses of estate administration, you might be thinking that you don't need a will. And, you might also be surprised to discover that many of the elaboratly presented trust binders prepared over the last few years and sold to consumers for thousands of dollars contain form documents that 1) might be too complex, 2) might not actually state your wishes, and might not work the way that you inteded. To fin out more about these and other estate planning problems in Pennsylvania click Trust Problems in Pennsylvania.

If you need to have a problem trust reviewed, or if you need a new trust and pour over will becuase your trust was not properly prepared or is now too complex and might cost your heirs money, please call Donna Brownback, Denise Fox or Beth McNulty for more information about a complimentary will or trust review. 610-933-8069.

To get your complimentary review please call 610-933-8069 and ask for Free Will Or Trust Review Code Frees2010.
David Frees is one of Pennsylvania highest AVVO rated lawyers.
dfrees@utbf.com

The law firm of Unruh, Turner, Burke and Frees has offices serving Phoenixville, Devon, Wayne, Downingtown, Exton and many of the surrounding areas.

Estate Tax Strategies For 2010 and 2011

blog@www.paestateplanners.com (news Author)13024 — Tue, 23 Feb 2010 08:00:00 EST

We have a number of great artciles and blog posts for you on the issues of the federal estate tax lapse in 2010 and what you need to do this year and next year to make sure that your wishes get carried out now - when there is no federal estate tax, and next year- when the estate tax returns with a vengance. But this Forbes article is a great overview of the estate tax issues and estate tax planning strategies for 2010 and 2011.

If you are a Pennsylvania resident and need to do an estate planning update that will work in 2010 and yet protect you and your family when the tax returns next year, you can get a free consultation and a flat fee quote from Unruh, Turner, Burke and Frees just by calling David Frees' office and mentioning offer code Frees2010.

Call 610-933-8069 and ask for Donna, Beth, or Densie for help with a phone or in office consultation.

Real Ideas and Information on An Estate Tax Situation that is Crazy

dmfiii@aol.com (blog Author)27205 — Tue, 23 Feb 2010 08:00:00 EST

Paul Volcker, past chariman of the federal reserve has finally said what many American's have been thinking about Congress and this federal estate tax situation. That their failure to act is irresponsible and "Crazy." Want more ideas and information that you can use in this time of uncertainty about federal estate taxes? Click here for more estate tax ideas, articles and information about updating your wills, trusts, and estate plans in Pennsylvania.

David M. Frees III
610-933-8069
dfrees@utbf.com

For a complimentary phone or in person consultation about updating your estate plan in these confusing times, call Donna, Densie, or Beth and mention offercode Frees2010. 610-933-8069

Unruh, Truner, Burke and Frees
offices: Malvern, Phoenixville, West Chester

Our law offices serve clients seeking estate planning and will reviews throughout Chester County, Montgomery County, and Lancaster and Berks County. These offices can be easily reached by clients in Devon, Exton, Chester Springs, Malvern, Wayne and many near by areas.

Need more?

Here is another article on the repeal of the federal estate tax and it's return in 2011.

New IRS Ruling On Domestic Asset Protection Trusts

blog@www.paestateplanners.com (news Author)12373 — Mon, 25 Jan 2010 08:00:00 EST

By: David Frees Attorney Phoenixville * Malvern * West Chester

Domestic asset protection trusts, often established under a special Alaska law, have been used by many citizens to protect assets from creditors' claims and the IRS has now indicated that they will also work to keep assets out of the trust creator's estate.

The IRS recently published what is know as a Private Letter Ruling. This ruling is known as PLR 200944002.

In this PLR, the Revenue Service determined that a person's transfer of assets in a stated
amount to a trust he created (a self-settled trust) and of which he, his spouse and his descendants are
discretionary beneficiaries will be a completed gift under certain circumstances.

This is important, in making sure that the gift is out of the estate.

In this case, the IRS stated, that the gift will be a completed gift under an Alaska trust, where the grantor did not retain any power to regain title of those transferred assets or reserve any interest to name new beneficiaries or to change the interests of the existing beneficiaries.

In these cases, it is also important to determine that the assets will not be reincluded in the estate under section 2036 of the IRC (internal revenue code). In this case, after a complexe analysis of the speific facts of this trust, it was also determine that the assets will not be included for estate tax purposes.

This is important news for Pennsylvania citizens who want to use Alask, DElaware, or Nevada trusts for both asset protection and as part of an effective estate tax plan.

If you would like to know more about updating a will, trust, or estate plan, or about estate planning, estate tax planning, or asset protection planning generally, call 610-933-8069 for an telephone or in person consultation with David Frees. Mention code:DavidFrees2010.

There is no charge for initial consultations for Pennsylvania residents who mention this blog post and code DavidFrees2010.

What Happens To Estate Planning As Marriages Are Replaced By Cohabitation?

dmfiii@aol.com (blog Author)25622 — Mon, 25 Jan 2010 08:00:00 EST

As The Institution of Marriage Declines In Numbers, What Happens to Traditional Estate Planning?

There is mounting evidence, that fewer and fewer young Americans are choosing marriage.

And, people often feel that the choice of cohabitating over marriage makes their lives simpler. However, in the area of estate planning, the choice of cohabitation makes tax and personal planning much more complicated for Pennsylvania residents.

Why?

Well, for one thing, if you're married and a resident of Pennsylvania, the inheritance tax rate at the death of one spouse os 0% on transfers to the survivng spouse. The same couple in a non married status will face a 15% tax.

Furthermore, when you are married, if you fail to make out a will, Pennsylvania state law will provide for the division of assets to the surviving spouse, and/or children if you have any. There is no such provision for unmarried couples. As a result, if one member of the unmarried couple dies unexpectedly, and without a will, there might be very significant taxes, and/or the assets might not even pass to the suvivor.

Likewise, medicial decision making and the powers typically covered in a business or financial power of attorney become very important to consider when planning your estate if you are not married.

In short, while a good will, power of attorney, and living will are vitally important for married couples, they are even more so for unmarried couples and they are simply essential for unmarried couples with children or who own a home.

To get a will, power of attorney, living will or trust, or to update those documents, call 610-933-8069 for a personal or telephoen consultation with David Frees, Esq. For a reduced fee and a free initial consultation for Pennsylvania residents, call 610-933-8069 or email dfrees@utbf.com and mention code: PABlog2010.

What Happens To Estate Planning As Marriages Are Replaced By Cohabitation?

dmfiii@aol.com (blog Author)25623 — Mon, 25 Jan 2010 08:00:00 EST

Asset Protection Of Bank Accounts - It's Not All About The Signature Card

dmfiii@aol.com (blog Author)25633 — Mon, 25 Jan 2010 08:00:00 EST

A Florida bankruptcy judge has ruled that the subsequent actions of a couple might change the nature of the bank account that they estatblished and thereby destroy the protected quality of that account. It is no longer just a matter of the signature card.

For more information on this new ruling about joint bank accounts between husband and wife, click here.

This points out the need to not only title your assets correctly for estate planning and asset protectio purposes, but to understand the theory behind the protections you seek so that you can maintain the tax planning or asset protections that you are looking for.

For a consult, or to update an older will or trust, call 610-933-8069 and for a free initial consultation for Pennsylvania residents mention this code: EstatePlanners2010

David Frees is an attorney practicing with the law firm of Unruh, Turner, Burke and Frees
The firm maitians offices in Mlavern Phoenixville, and West Chester Pennsylvania.

David Frees has attained the highest AVVO rating of 10 and has been selected at one of the Main Line's "Top Lawyers" by Main Line Today Magazine.

How To Avoid Family Disputes - How To Deal With Your Posessions

blog@www.paestateplanners.com (news Author)12238 — Sun, 17 Jan 2010 08:00:00 EST

Plan now to avoid family fights later when dealing with your possessions - that's the word in this brief but useful little article. Click here to read more on how to avoid fights by planning now for the sale or distributions of prized family posessions.

David M. Frees III, Esquire

For a consultation with David Frees about avoiding family disputes through estate planning and updating estate plans, call 610-933-8069.

For a copy of the highly sought after report: The Ten Most Common Mistakes Pennsylvania Executors Make and How To Avoid Them, click here.

Pennsylvania Inheritance Tax Planning - Less Can Be More

blog@www.paestateplanners.com (news Author)12215 — Thu, 14 Jan 2010 08:00:00 EST

Pennsylvania inheritance taxes are fairly low for direct descendnts such as children and grand children. The current inheritance tax rate for such heirs is 4.5% And, your desire to save on inheritance taxes should be weighed against the loss of control over your own assets and the fact that joint ownership of accounts might subject you to Pennsylvania inheritance taxes on your own money when you're retirned and can least afford it. Yet, that is exactly what happens if a child on your account as a joint account holder dies before you. For more on Pennsylvania inheritance taxes click here.

These links and information on Pennsylvania inheritance taxes and federal estate taxes arebBrought to you by
David M. Frees and the law firm of Unruh, Turner, Burke and Frees serving all of suburban Philadelphia.

There is No Estate Tax. What Now? The Answers Will Surprise You.

blog@www.paestateplanners.com (news Author)12138 — Sun, 10 Jan 2010 08:00:00 EST

This is another great review, from the San Fansisco Chronicle, of some of the hidden dangers now that the estate tax has lapsed but appears to be coming back with a vengance. Waiting to see what happens may be a dangerous game for married couples. Why?

Read this for more information and examples of how to deal with the federal estate tax mess.

These informational links are brought to you by David Frees Esq. a Pennsylvania will and trust lawyer with law offices in Phoenixville, Malvern, and West Chester.

David Frees has attained the hgiest AVVO rating of 10.0
David Frees heads the trust and Esstate Section of Unruh, Turner, Burke and Frees
and can be reached at 610-933-8069 or dfreees@utbf.com

Unruh, Turner, Burka and Frees and David Frees serves Chester County, Montgomery County, Delaware County as well as Berks, Bucks, and Lancaster Counties. Communities served include Malvern, Devon, Lancaster, Downingtown, Exton, Collegeville, Blue Bell, Ardmore, Berwyn, and many others.

Gift Tax Myths and Realities For 2010.

dmfiii@aol.com (blog Author)24773 — Sun, 10 Jan 2010 08:00:00 EST

There is quite a bit of misinformation about the gift tax and gifting in 2010 but it is important to have the real facts about gifting as part of your estate planning.

So, if you'ree thinking about making gifts to children, gifts to grandchildren and/or gifts to others, make sure to review this set of Myths and ralities regarding the federal gift tax in 2010.

And, because there are so many little, but important, twists keep your eye out for part two of this series.

Federal gift tax myths and facts for 2010 by attorney David Frees.

David Frees has attained the highest AVVO rating for lawyers in Pennsylvania. Frees Chairs the Trust, Estate, and Welath Preservation Section of Unruh, Turner, Burke and Frees
Unruh, Turner, Burke and Frees has law offices with Trust and Estate lawyers in Phoenixville, Malvern, and West Chester, Pennsylvnaia.

If you would like a telephone consultation or appointment regarding gifting, GRATS, sophisticated estate planning, or regarding asset protection planning, please call David Frees at 610-933-8069.

WSJ Smart Money on The Death of The Estate Tax and What You Need To Do

blog@www.paestateplanners.com (news Author)12111 — Thu, 07 Jan 2010 08:00:00 EST

This Wall Street Journal article does a great job of reviewing the consequences of the death of the estate tax and what you need to do based on your net woth and the type of documents that you have. Click here for more useful information on the estate tax.

David M. Frees
David Frees is a trust, estate and asset protection attorney with law offices in Phoenixville, Malvern, and West Chester Pennsylvania.

610-933-8069
dfrees@utbf.com

Great Review Of New Year Estate Planning Issues and Dangers

dmfiii@aol.com (blog Author)24619 — Wed, 06 Jan 2010 08:00:00 EST

Want to know the dangers lurking in the current situation?

Need to know the best thinking on the estate tax situation?

Want to know whether to update your will, trust, power of attorney or estate plan?

CBS has published a very good over view of the current situation, the dangers of failing to update your estate plan and some of the costs and related issues. Click here to read more on the issues facing those withoutdates estate plans.

David M. Frees III, Esquire
David Frees has been awared AVVO's (lawyer rating site) highest rating of 10.0
Law offices in Phoenixville, Malvern, and West Chester Pennsylvania

Attorney David Frees can be reached at 610-933-8069
To update your estate planning or estate planning documents call Donna, Denise or Beth
at 610-933-8069

Financial Tip: Great Finanicial News and Information Wesite

dmfiii@aol.com (blog Author)24403 — Sun, 03 Jan 2010 08:00:00 EST

Will, Trust, and Estate Attorney David Frees' Financial Tip #1

If you're interested in up to date financial information for yourself, or to help you to educated the next generation in how to be finanncially savyy, then make a visit to www.Bloomberg.com. This is an old, established and information rich site but it has some great video content that changes daily. One of the best ways to ensure that wealth is not only passed on, but maintained or grown is to teach the next generation about building and growing wealth.

This tip has been brought to you by
Unruh, Turner, Burke and Frees' Trust, Estate, and Wealth Preservation Section
David M. Frees III, Chairman
dfrees@utbf.com

Trust, Estate and Probate lawyer David Frees can be reached at 610-933-8069.
David Frees maintains law offices in Malvern, West Chester and Phoenixville, Pennsylvania.

2010 Useful Ideas For The New Year and Beyond

dmfiii@aol.com (blog Author)24404 — Sun, 03 Jan 2010 08:00:00 EST

The Three Frees "Kids" Getting Ready for Dinner With David and Robin and for the New Year

Will, Trust, Estate and Asset Protection Lawyer David Frees on Great Tips and Tools for the new year.

By: David Frees (Avvo Rated 10.0)

Enjoying the new year? Want a quick list that will take you three minutes to read but might save you hundreds of hours of painful and wasted time next year?

Dave Frees' New Year Tips and Tools for 2010 and beyond.

I have just published one of my list of Quick Tips. And, if you have anymore tips to share with out clients, you can also win a prize. Just read the artcile below and leave a comment here or on the estate blog after the article and you're automatically entered to win one of three great prizes including a "Resolutions" mug where you can write (and erase) daily, weekly, or this year's resoultions right on your morning coffee.

Enjoy the article, leave a comment, and you're entered to win. Good luck.

David M. Frees III, Esq.
Wills * Trusts * Estates * Asset Protection * Elder Law
Law offices: Phoenixville, Malverm, and West Chester Pennsylvania Serving all of Chester County, Montgomery County, Berks, Bucks, and Lancaster County.

David Frees can be reached at dfrees@utbf.com or 610-933-8069

Forget the Federal Etate Tax - According To Russia We Have Bigger Problems

dmfiii@aol.com (blog Author)24406 — Sun, 03 Jan 2010 08:00:00 EST

we have been talking about some important topics in the last fwe weeks.

In particular, we have been considering:

Advice For Executors of Estates;

Why spouses Might Be Disinherited by the Change on January 1, 2010;

Great Tips For The New Year;

What Congress Will Do Now That The Federal Estate Tax Has Lapsed; and

How Much You Can Gift To Heirs in 2010.

But if the Russian academics are right, we have bigger problems in America. According to the Wall Street Journal, at least one Russian writer has predicted the fall of the United States government by the end of 2010.
Let's prove them wrong.

Have a great year and stay tuned for more planning stategies, and news on the federal estate tax, and asset protection.

David M. Frees III
dfrees@utbf.com
David Frees maintains law offices with trust estate and asset protection services in Phoenixville, West Chester and Malvern Pennsylvania.

David Frees' law offices serve Exton, Chester Springs, Malvern, Devon, Berwyn, Collegeville, BlueBell, Gladwyn, Ardmore, and many surrounding communities.

David Frees has the highest AVVO rating possible 10.0
Why does that matter to you? It may not, but if you are looking for a Pennsylvania lawyer who limits his
personal practice to trusts, estates, wills, probate and asset protection, then David Frees may be an attorney that you want to review. See his AVVO profile here.

Married To A Wealthy Spouse? Under the New Law You Might Find Yourself Disinherited

dmfiii@aol.com (blog Author)24353 — Fri, 01 Jan 2010 08:00:00 EST

Pennsylvania Trust and Estate Lawyer David M. Frees III

f you're married to a wealthy spousde, it may be that his or her estate planning documents are drafted to take maximum advantage of the amount that can pass to heirs free from federal estate tax.

However, thanks to the mess left by Congress, and as of January 1st, 2010, the formula clause of the wills and trusts may now leave everything to the children or other heirs and nothing to the spouse. This is problematic in all cases, but may be a source of significant will disputes that can be avoided by careful planning now.

The Wall Street Journal just published a great review of this estate tax issue.

Click here to read more about spouses and the federal estate tax.

David M. Frees III is Chair of the Trust, Estate, and Wealth Preservation of
Pennsylvania Law Fir Unruh, Turner, Burke and Frees
Frees has also been recognized with AVVO's highest lawyer rating of 10 - Superb.

For information about how the new estate tax laws may affect your estate
plan and estate planning documents call 610-933-8069

Quick Overview of Estate Tax News and Analysis of How Estate Tax Now Affects You

dmfiii@aol.com (blog Author)24071 — Mon, 28 Dec 2009 08:00:00 EST

Here is a link to a quick article by David M. Frees III on how the changes in the estate tax law next week will change your situation. Links and analysis of the federal estate tax and the new capital gains tax issues for moderately wealthy US families.

David M. Frees III
610-933-8069
Trusts, Estates, Probate, Estate Planning and Asset Protection
With Offices in Phoenixville, Malvern and West Chester, Pennsylvania

Unruh, Turner, Burke and Frees has trust, estate, and probate lawyers serving
all of Chester County, Montgomergy County, Lancaster County, Deleware County
and Berks and Bucks Counties.

Estate Planning - The Issues and Strategies For Families With Minor Children

dmfiii@aol.com (blog Author)24072 — Mon, 28 Dec 2009 08:00:00 EST

David M. Frees was recetly asked to present on the topic of Estate Planning Fpr Families With Minor Children for the Pennsylvania Bar Association's educational arm the PBI.

David's topics included 529 plans, trusts for minors, guardians, trustees and many related issues that are essential elements of any parent's estate plan from the simple will to beyond.

For more information click this link to his article for estate planning for parents, or call 610-933-8069.

David Frees focuses his practice in the areas of trusts, estates, probate, estate planning and asset protection for families.

He is Chairman of Unruh, Turner, Burke and Frees'
Trust, Estate and Welath Preservation Section
610-933-8069

David is a Phoenixville, Malvern, and West Chester Lawyer
whose offices serve many of the surrounding communities including:
Berwyn, Bryn Mawr, Devon, Paoli and Exton

Estate Tax Mess - The Times Says "Americans Deserve Better"

dmfiii@aol.com (blog Author)24080 — Mon, 28 Dec 2009 08:00:00 EST

Here is a link to a great New York Times opinion piece on the Federal estate Tax mess created by congress.
Brought to you by: David M. Frees III, Esquire

David M. Frees has the highest possible AVVO rating of 10.0
Frees is a trust and estate attorney with law offices in Phoenixville,
Malvern, and West Chester Pennsylvania

Read Will, Trust, and Estate Attorney David Frees' Comments on The Washington Post Blog

blog@www.paestateplanners.com (news Author)11792 — Sat, 19 Dec 2009 08:00:00 EST

Read David Frees' comments on the lapse of the estate tax as posted on the Washington Post Blog. You can also read the Posts reporting on Congress' inability to act on the estate tax.

David M. Frees III is a Pennsylvania attorney who focuses as a lawyer on trust, estate, and estate planning law.
He can be reached at 610-933-8069.

Frees who has offices in Phoenixville, Malvern, and West Chester Pennsylvania is a regualr contributor to www.PaEstatePlanning.com and www.utbf.com/trust-estate

Congress has Created A Very Big Mess. What do You Do About Your Will or Trust Now?

dmfiii@aol.com (blog Author)23700 — Sat, 19 Dec 2009 08:00:00 EST

If you have an estate which exceeds $1 million dollars, including the proceeds of your life insurance, then you now have problems thanks to the failure of Congress to act on estate taxes.

David Fres has published a series of articles on what to do now that the federal estate tax is a total mess and why many documents need to be changed now even if they need to be revised again when Congress finally acts.

Forbes, The Wall Street Journal and the Washington Post have also published articles worth reading if your estate is over one million dollars.

Read lawyer David Frees on:

The dirty little secret of the estate tax repeal.

What Do You Do Now?

Read Forbes on the estate tax situation.

Read The Wall Street Journal.

David Frees limits his practice to the areas of trusts, estates, wills, and estate planning and asset protection planning.

Frees Chairs the Trust, Estate and Wealth Preservation Section of Unruh, Turner, Burke and Frees located in Malvern, Phoenixville, and West Chester Pennsylvania.

He can be reached at 610-933-8069

The Frenzy Surrounding The Estate Tax

blog@www.paestateplanners.com (news Author)11774 — Fri, 18 Dec 2009 08:00:00 EST

Want more on the most recent news on the federal estate tax? Click here for the Wall Street Journal's take on the "frenzy" that has resulted in the estate planning world as a result of the lapsing federal estate tax law.

David M. Frees Esquire
610-933-8069

David Frees writes blogs and publishes improtant articles and resources in the areas of estate planning, asset protection, and related topics.

David Frees is a will, trust, and estate planning lawyer with offices in Phonixville, Malvern, and West Chester, Pennsylvania - meaning, that he focuses his practice in the areas of estate planning, representing executors, and asset protection.

Frees is Chairman of the Unruh, Turner, Burke and Frees Trust, Estate and Wealth Preservation section.

Phoenixville will lawyer, Phoenixville Trust Lawyer, Phoenixville attorney, Malvern Attorney, Malvern will lawyer, West Chester Will Lawyer, Unruh, Turner, Burke and Frees will lawyer.

Why Congress' Failure Today On Estate Tax Reform Might Really Hurt You.

dmfiii@aol.com (blog Author)23596 — Thu, 17 Dec 2009 08:00:00 EST

If you're converned about Congress' recent failure to pass the estate tax reform and what that might mean for you, your family, and your heirs then please read this recent post just hours after Congress failed to act.

In addition, there is a little know problem with the lapse in the federal estate tax law that might impose an even worse tax on your estate.

so find out why the lapse might not be good for you and what to do about it. Click here.

David M. Frees III, Esquire

For an appointment or consultation regarding your wills, trusts, or estate planning documents now that Congress has failed to extend the law or for a complimentary will review call 610-933-8069. Mention this blog or David Frees' article to claim one of the complimentary will review with David Frees, or one of his lawyers that focus their practice on trust, estate planning, wills or probate.

Congress Working On A Two Month Estate Tax Extension

blog@www.paestateplanners.com (news Author)11708 — Tue, 15 Dec 2009 08:00:00 EST

Click here to get the latest on the two month estate tax extension from Bloomberg.
Brought to you by David M. Frees III, Esquire

wills * trusts * estate and asset protection planning* elder law
Chester County Pennsylvania, Montgomery County, Berks, Bucks and Lancaster County

Law Offices Serving: Phoenixville, Oaks, Collegeville, Trapp, Berwyn, Devon, Bryn Mawr, Ardmore, Chester Springs

David Frees Achieves AVVO's Highest Rating 10.0

dmfiii@aol.com (blog Author)23288 — Sat, 12 Dec 2009 08:00:00 EST

David M. Frees III is a Pennsylvania attorney whose consumer and client focused practice focuses on wills, trusts, estates and estate planning as well as asset protection and elder law.

Frees was recently awarded AVVO's highest rating of lawyers -"superb" or 10.

Frees thanked his " ...staff, partners and associates, his clients and friends in the profession who all helped to make this possible." I apprecaite this honor and attribute it to the fac that we try to do our best for all of our clients when we help them with their wills, trusts, and estate planning," said Frees.

Avvo is one of the top lawyer rating and referal sources for Pennsylvania consumers. For more information on highly rated lawyers on AVVO whose practices focus on the areas of trusts, estates, probate, and estate planning, click here.

For more information on David M. Frees III and Unruh, Turner, Burke and Frees call 610-933-8069.

To receive Frees' Report: The Ten Most Common Mistakes Executors Make and How To Avoid Them, click here.

Dave Frees on Money Matters Discusses GRATS and QPRTs

blog@www.paestateplanners.com (news Author)11685 — Fri, 11 Dec 2009 08:00:00 EST

Here is trust and estates atttorney David Frees on Money Matter discussing GRATs and QPRTs (Grantor Retained Annuity Trusts and Qualified Personal Residence Trusts). The interview with Dave starts about 1/3 of the way into the show.

Dave Frees Best Of The Main Line - Trusts and Estates

blog@www.paestateplanners.com (news Author)11673 — Thu, 10 Dec 2009 08:00:00 EST

To read the Main Line Today's article on probate, will, and trust Dave Frees as the top trust and estate attorney on the Main Line click here and scroll down.

Photo courtesy of Main Line Today
David M. Frees III will trust and estate attorney with offices in Malvern, Phoenixville and West Chester

For more information on David Frees and Unruh, Turner, Burke and Frees click here.

529 Plans The Top Five Reasons

dmfiii@aol.com (blog Author)23219 — Thu, 10 Dec 2009 08:00:00 EST

Estate Planning for Families With
Young Children
Supplemental Materials – 529 Plans

Presented At The Pennsylvania Bar Institute Estate
Planning Institute
by David M. Frees III
dfrees@utbf.com

There are significant benefits to using a 529 plan to save for college.
Here is a list of the top five benefits and a few links for more advice
and information about the various types of 529 plans.

1) Continued Control By The Creator of the 529 Account

Ordinarily, once you have made a gift, you can no longer control
that gift or it will be brought back into your estate for estate tax
purposes.

However, in the case of a 529 plan, the donor can retain control of
the account. With only a few exceptions, the beneficiary has no rights
to the funds and can even be removed as the beneficiary. As the
creator of the account, you can maintain control of the assets and
when and to whom distributions are made. In fact, most plans even
allow the donor to reclaim the funds although there are income and
estate tax consequences to this including a 10% penalty.

2) Income Tax Benefits

All types of 529 plans offer numerous income tax benefits and,
you may even get a state income tax benefit as well. While 529
contributions are not deductible on your federal tax return, your
investment will grow federal income tax-deferred, and distributions
to pay for the beneficiary's college costs come out federally tax-free.

Your home state may also offer some tax breaks as well. However,
this ordinarily requires that you use a plan approved in your state and
you should be sure to review these rules. More information can be found on
this excellent site just click here.

3) Simplified Tax Structure and Low Account Maintenance

Since the accounts are not subject to income tax until there is a withdrawal,
you won't receive a Form 1099 or report taxable or nontaxable earnings until
the year you start to make withdrawals. Furthermore, 529s are a set it and
forget it type of investment device.

The ongoing investment of your account is handled by the plan and are
professionally managed either by the state treasurer's office or by an outside
investment company hired by each state's program as the program manager.

4) Such Plans Are Highly Flexible Within The Plan
Structure and Often From Plan To Plan

For example, every year, most plans allow you to restructure your investments
within the plan or to roll it over to another state's plan. Be aware, however, that
each 529 plan will have different rules that may impact the number of changes
you can make, so to compare the features of individual state plans click here.

5) Substantial Up Front Gifting And Large Deposits Are Permitted

All permanent residents and citizens are eligible to create a 529 plan, and the
amounts you can put in are substantial (over $300,000 per beneficiary in many
state plans). You can also gift up to $65,000.00 (by using five years -in advance -
of annual gift tax exclusion).

A Great Link With Loads of Consumer Friendly Explanations:

http://www.savingforcollege.com

Legislative Backlog and Estate Taxes

blog@www.paestateplanners.com (news Author)11615 — Mon, 07 Dec 2009 08:00:00 EST

Interested in federal estate tax reform? Want to know what is going on? Want to get an overview of what the house and senate are trying to do before the end of the year. Click here for the Associated Press' review of end of year legislation.

David M. Frees III, Esquire.

Need to update a wil, trust, or estate plan? Want a child or granchild to get their own planning done? Looking for ways to protect your assets from being taken away in the divorce of one of your heirs? Please call 610-933-8069 for a consultation. Mention this newsstory for a free copy of Enhanced Estate Planning.

David M. Frees III is a will, trust, and estate planning attorney with law offices in Phoenixville, Malvern, and West Chester Pennsylvania.

Tiger Woods, Prenuptials and Estate Planning For Second Marriages

dmfiii@aol.com (blog Author)22926 — Sat, 05 Dec 2009 08:00:00 EST

By: David M Frees III - Pennsylvania Probate Trust and Estate Attorney

Are you married with children from a prior marriage?

Do you and your wife or husband want to avoid dmaging and expensive family disputes?

Do you want to balance your spouses' needs with the desire to protect your children from a prior marriage?

The debacle following Tiger Wood's admission of matial transgressions and the subsequent renegotiation of Tiger Wood's prenuptial agreement with the current Mrs. Tiger Woods actually has a lesson for you if you are from Pennsylvania and you are remarried with children from a prior marriage, or are cosnidering a second marriage. Why?

Just click here for the three things that you must know about prenuptial agreements and post nuptial agreements if you are or are considering a second marriage.

David M. Frees III is a probate, trust, estate and asset protection lawyer in Pennsylvania.

If you need a consultation about using agreements and/or trusts in your estate planning becasue you have children from a prior marriage or you are brining wealth to a second marriage call his office at 610-933-8069. Mention this article to receive additional materials on estate planning for mutiple marriages or click here to order Enhanced Estate Planning.

Frees has convenient offices of the Trust, Estate, and Wealth Preservation Section of Unruh, Turner, Burke and Frees located in Chester County (Malvern, Phoenixville, and West Chester) which serve Montgomery County, Chester County, and Berks, Bucks, and deleware counties.

House Passes New Etstae Tax Laws - Now What?

blog@www.paestateplanners.com (news Author)11591 — Thu, 03 Dec 2009 08:00:00 EST

Click here to get the latest on the estate tax bill that just passed the house of representatives on December 3, 2009.

To find out more about how the federal estte taxes will alter your estate plan - in many cases you can simplify, then call Donna Brownback or Densie Fox to make an appointment with welll known and award winning probate, trust, and estate lawyer David M. Frees III, Chairman of Unruh, Turner, Burke and Frees' Estate, Trust, and Wealth Preservation section. 610-933-8069

The firm has offices in Malvern, Phoenixville, and west Chester, Pennsylvania and serves Pennsylvania residents across the state with many clients located from Philadelphia to Lancaster Pennsylvania.

Estate Tax or "Death Tax" Revisions Pass The US House - What Will You Do?

dmfiii@aol.com (blog Author)22853 — Thu, 03 Dec 2009 08:00:00 EST

Here is a quick link to information on the new estate tax bill. Many trust, estate and estate planning and probate lawyers aren't watching this closely. We will keep you informed about what is happening and what you need to do.

Information on the death tax or estate tax reformin the congress.

If you are interested in a private consultation with David M. Frees III or one of the probate, trust, or estate lawyers to simplify your planning or to update an existing but outdate plan please call Ms. Brownback, or Mrs Fox at 610-933-8069 or email dfrees@utbf.com

The firm maintains offies in Chester County, and serves Montgomery County , Deleware County, Lancaster County and Berks and Bucks counties.

News You Need To Know On The Federal Estate Tax and HB 3905 and HB 4154

dmfiii@aol.com (blog Author)22582 — Sun, 29 Nov 2009 08:00:00 EST

David M. Frees III, Esquire
610-933-8069
Law Offices: West Chester, Phoenixville and Malvern

Federal Estate Tax Changes That You Need To Know

If you are worried about the Federal Estate Tax and how the many proposed changes will change your estate planning, then you need to review this news blog on the two most recently proposed bills and how they will alter your planning. For more information on HB (House BIll) 3905 and HB 4154 which may be up for a vote within days, read this article: News On Pending Federal Estate Tax Laws by David M. Frees III, Esquire.

Shocking Turns in The Michael Jackson Probate Case

blog@www.paestateplanners.com (news Author)11378 — Sat, 21 Nov 2009 08:00:00 EST

If oyu're a Pennsylvania resident, you may feel that the Michael Jackson probate and various cour hearing have nothing relevant for you. However, the contorted case really shows the need for strategic and smart estate planning.

In Pennsylvania, where the probate system is relatively simple and easy to use (many families are able to "opt out" by agreement) there is a temptation to just "do my will and be done with it."

But, the truth is that careful and effective planning takes a little longer and is marginally more expensive but works to save time, protect assets, reduce taxes, and in the end saves your legacy and protects your heirs.

To find out more about the Jackson case (or Jackson debacle) click here: The Jackson Probate Case Shocker.

Thanks for being a reader.

David M. Frees III is a Pennsylvania probate, estate, and trust lawyer

Law Offices: West Chester, Malvern and Phoenixville
To Contact Dave Frees or one of his attorneys for estate planning
or probate assistance call 610-933-8069 and mention
this blog for a complimentary consultation and information.

When It Comes To Bank and Investment Accounts Less Can Be More

dmfiii@aol.com (blog Author)22174 — Sat, 21 Nov 2009 08:00:00 EST

When reviewing your estate plan, it might pay to look at how many bank, savings, checking, and investment acounts that you hold. Many clients simply have too many. They keep their stock certificates in a lock box - making them difficult to trade and very difficult for heirs.

They maintain mutilple accounts which drive up fees and can result in lost assets both during life, and at death.

Furthermore, a hodge podge of small accounts with multiple beneficiaries my result in a small probate fee savings but a division of assets that is unequal or not what was intended. So multiple acounts are harder to manage, hard to pla, and more likely to casue a dispute among heirs.

You don't have to take my word for it. I don't often agree with the New York Times, but in this article they make some great points about the difficulties of large numbers of accounts and what to do about it.

The New York Times On How Many Accounts Are Too Many - Less Is More.

David M Frees III
Asset Protection * Estate Planning * Wills and Trusts

Asset Protection Trusts Just Got Better - Does Your Trust and Estate Planning Layer Know This?

dmfiii@aol.com (blog Author)22139 — Fri, 20 Nov 2009 08:00:00 EST

David M. Frees III

For the latest information on domestic asset protection trusts visit :

Asset Protection News from David M. Frees III

This article on PLR Private Letter Ruling 200944002 contains a link to the IRS's full ruling and a brief analysis. If you currently have such a trust, or you are thinking about creating an asset protection trust in a state such as Alaska, Delaware, or Nevada, then you must review this vital information with your estate planning lawyer, asset protection attorney, and tax advisors.

David M. Frees III

Will The Federal Estate Tax Ever End? Probably Not But Here is News on The Death Tax

dmfiii@aol.com (blog Author)21861 — Mon, 16 Nov 2009 08:00:00 EST

A bill was just introduced in the house which may actually end the estate tax reform log jam. In this recent article I review the speifics of the propsed tax reform including how much is exempt, the new rates, and whether or not spouses can inherit a portable exemptio from one another. You can also find out how to mointor and track the bills progress.

In brief, if this bill passes families will still need to carefully plan to protect assets such as real estate, family farms, and family businesses and wealth from federal estate taxation.

For more information on the latest Federal Estate Tax news from Pennsylvania Will, Trust, and Estate attorney David Frees click this link.

David M. Frees III
For appointments, consultations, telephone consults and resources for
executors, trustees and those interest in Enhanced Estate Planning,
please call 610-933-8069.

David M. Frees III on Federal Estate Tax Reform

Law Offices are located in Phoenixville, West Chester and Malvern Pennsylvania.

Do On Line Wills Really Work? LAwyers vs. The Wall Street Journal Consumer Columnist on Self Help Wills

dmfiii@aol.com (blog Author)21862 — Mon, 16 Nov 2009 08:00:00 EST

By David M. Frees III
Will, Trust, And Estate Law Offices in Malvern
West Chester and Phoenixville, Pennsylvania

Do wills created on self help sites, DIY wills from software or forms really work and are they safe to use?

Now I am a lawyer who Chairs the Trust, Estate and Wealth Preservation Section of my firm. I work every day on my clients' wills, trusts, estate plans, GRATs and QPRTs. I like to think that my work has value and many clients get to keep and protect much more of their wealth from estate taxes and law suits becasue of the work that we do. So I am probably not a fan of self created wills.

I also saved my money and paid a lawyer to do my first will when I was only 20. So I value the work that estate planning attorneys do. But can you so a will on your own?

Personally, I think that there are people without children or who own all of their assets jointly in states without inheritance taxes (and with a low estate value), who do not need a complexe will, trust or estate plan.

But, that said, self help wills are probably pretty dangerous. You do not get the advice of an experienced attorney on how to coordinate these documents with how you title and own assets. You do not really get tax advice or advice about the pros and cons of certain tax clauses and related docuemtns such as powers of attorney and medical powers.

Finally, because no one supervises the execution of the will, reviews it for clarity, or documents your capacity to do the will, such wills should never be used where there might be a challenge to the will.

Want mor to think about on the issue of Do It Yourself wills and estate planning?

These two legal bloggers really go after the Wall Street Journal's recent piece on DIY (Do It Yourself) Wills. They are a quick read. Thinking about doing your own will? Read these first and let me know what you conclude about self created wills and estate planning.

No Self Made Wills

The Wall Street Journal Was Wrong About Doing Your Own Will

Do It Yourself Will Myths

David M. Frees III
610-933-8069 for appointments, resources, and telephone consultations

Does Pennsylvania Have A Tax On End of Year Gifts to Children and Grandchildren?

dmfiii@aol.com (blog Author)21777 — Sun, 15 Nov 2009 08:00:00 EST

Three questions often arise this time of year.
Should I make gifts to my children and grandchildren?

How much can I give without paying tax or filing a gift tax return? and
Does Pennsylvania also have a gift tax?

This artcile will provide you with resources on each of these gift and gift tax questions.

By: Attorney David M. Frees III*
Law Offices in Phoenixville, West Chester, and Malvern Pennsylvania

Question 1) Should You Make Gifts To Children, Grandchildren or Others?

If your estate exceeds 3.5 million dollars, and if you have enough core assets to provide for your self and your lifestyle, then gifitng could be an important strategy since your assets might end up being exposed to federal estate tax and state inheritance tax. By making gifts, you move assets out of your estate at a lower value and both the asset value and the growth are moved to your heirs tax free.

Question 2) How Much Can I Give To My Heirs (or to others) Without Paying Tax and/or filing a gift tax return?

The federal gift tax annual exclusion, often changes because it is indexed for inflation. For the answer for 2009 watch the brief (sixty two second) video below. For this year, the amount remains at $13,000.00.
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Gifting To Your Children and Grandchildren Video

Question 3) Does Pennsylvania have a gift tax?
Pennsylvania residents do not pay a state gift tax on lifetime transfers. However, if you live in Pennsylvania,state law will recapture and tax gifts made "in contemplation of death." In English, that means that assets given away within one year of death are subject to the Pennsylvania Inheritance Tax. Wihtout getting too technical, if this ever happens in a family estate, contact a lawyer becasue there are exclusions and occassionally multiple exclusions that and be exempted from this tax.

Attorney David M. Frees III can be contacted at 610-933-8069.
AVVO Pennsylvania Lawyer rating for David M. Frees III
Please leave your comments and additional questions in the comments section below.

Pleas also feel free to request any of our reports. While we do ask for your email
address to send them, we do not sell or otherwise use that address except to
provide legal and related updates on occassion.

Thank you.

* Note: In Pennsylvania, there are no state recognized specialties in law. Laywers may not refer to themselves as "experts" or "specialists" in trusts, estates, wills, or other practice areas. When we referl to ourselves as will or trust lawyers, we mean only that we limit our practice to the areas of wills, estates and related matters.
However, in the firm of Unruh, Turner, Burke and Frees, we have many lawyers that pactice in many other practice sections such as Real Estate, Taxation, Creditors' Rights, Banking Law, and School and Municipal Law. To see a list of Unruh, Turner, Burke and Frees lawyers and Unruh, Turner, Burke and Frees practice sections click here.

When Probate is Good. The Five Times You Really Want To Probate A Will and The Probate Judge Is Your Best Friend

dmfiii@aol.com (blog Author)21787 — Sun, 15 Nov 2009 08:00:00 EST

We often hear that people want to avoid probate.

And, there are many reasons to skip the probate process.

In fact, the vast majority of estates where we represent the executor are settled informally and without probate. We are able to protect our executors by using family settlement agreements and are able to avoid probate. However, did you know that if you are an executor, there are five good reasons to actually and volutarily use the probate system.

The main reason? To protect yourself from liability.

That's right, as an executor, you should want to peobate a the will when any of thees five situations are present.
David M. Frees III
Probate Attorney

Read on to learn how probate can actually prevent you from being sued later.

1) Probate Makes Sense When The Will Is Confusing: Sometimes, you may find that you have been appointed as executor of a will drafted many years ago, on a computer or using a form, or by hand, where the person writing the will did not get the advice of counsel. Occassionally, even wills drafted by an attorney may be confusing or unclear. If you attempt to interpret the language on your own, without benefit of a lawyer or judicial interpretation, you open yourself up to litigation and personal liability. How? Well, if beneficiaries disagree with your interpretation they might later refuse to dign an agreement to end the estate, and/or sue you for a greater share of the estate after you have made distribution.

In this case, the Orphan's Court and the probate judge is your best friend. Once the court determines that your interpretation is correct, you cannot subsequently be sued.

2) Probate Makes Sense When You Cannot Determine Which Will Should Be Probated: In some cases, there may be multiple writtings. Which ones are valid or invalid? How should they be interpreted together? If you make this decision on your own, you are again exposed to liability. Have the probate court decide, and you are protected from losing your personal funds.

3) Probate Makes Sense When The Estate IS Insolvent: In some cases, there are insufficient assets to pay all of the creditors. In such cases, the law provides for a particular order of payment. If you are mistaken, you're laible. Get the Orphan's Court to approve your proposed payments and distribution to get released from liability.

4) Probate Makes Sense When There Are Questions About The Tax Clause: Many wills contain a clause that directs the payment of certain taxes by the estate. In other cases, taxes of various sorts are to be paid by the beneficiaries. Trying to determine exactly what taxes are to be paid from what source can be difficult and the will might be ambiguous. Get a lawyer and get the court to apporve or modify your analysis to avoid liability later.

5) Probate Makes Sense When The Beneficiaries Just Will Not Cooperate: Sometimes, families (not yours) simply do not cooperate with the executor. And occassionally, they can be mean, nasty and unyeilding. when beneficiaries are being unreasonable and you find yourself stuck between a rock and a hard place, the probate system can be your best friend. The Judge can decide. In addition, sometimes the mere threat of going to court and the additional expense will create a more cooperative environment.

I hope that this helps you to understand, that the probate court is not always undesireable and far from being your enemy, may just be the executor's best friend.

Please leave your comments and questions for future articles below in the comments section.

David M Frees III
Probate Wills Trusts and Estates
610-933-8069
dfrees@utbf.com

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Estate Planning, Gifts, and the End of the Year - Beware of A Common and Horrible Mistake

dmfiii@aol.com (blog Author)21362 — Sat, 07 Nov 2009 08:00:00 EST

End of Year Gifts:
Avoiding the Mistakes and Maximizing the Benefits to Your Children,
Grandchildren and Heirs

David M. Frees III Wills, Trusts, and Estates
Law Offices: Phoenixville, Malvern,
and West Chester - Pennsylvania

Many clients wonder about making gifts for estate planning purposes at this time of year. This article will review some of the most common mistakes people make with respect to end of year and holiday estate planning gifts and how to avoid them.

And, unless you're very careful, you might make one of these gifting mistakes that can really cost your family.

Mistake Number One: The single biggest estate planning gift mistake? Not making gifts when you can and should. If you find yourself in the position of saving more than you spend each year during retirement, and, your estate exceeds the federal estate tax limit, then you might want to consider gifting to your heirs. Since the top marginal federal estate tax rate is scheduled to return to 55% absent Congressional action, gifting can result in a major benefit to your heirs.

Mistake Number Two: People also make fewer gifts than they can. Currently, everyone can make gifts or $13,000.00 per year. However, many people still believe that the old $10,000.00 number still applies. Check each year, becasue the amount does adjust for inflation.

Mistake Number Three: Married couples can also make double the gift amount by using both annual gift tax exclusions. Many people believe that unless each spouse is able to make a separate gift, then they are limited to one. However, if one spouse is able to make a gift of $26,000.00 the other spose can join in this gift by signing a "split gift tax" return.

Mistake Number Four: Gifting at the end of the year so that the check isn't cashed. This is a big one! If you are giving cash, then it can be gifted up to the end of the year. However, if you give a check, it must be cashed before December 31st. This can result in you missing the entire year's gift tax exclusion so be careful and consider making gifts earlier in the year so that the receipient gets the investment growth on the asset during the year and it is out of your estate.

Mistake Number Five: Failure to Leverage gifts is a serious problem. What do I mean? For example, you can give a gift of $13,000.00 of cash or you can give a gift of $13,000.00 of a strong but under valued stock. If that stock rebounds in value to $30,000.00 then you moved much more value from your estate.

There are many more gifting strategies and tactics but make sure that you consider these important gifting mistakes before the end of the year and before you make gifts to your children and/or grandchildren.

Remeber to leave your questions in the comment area below.

If you need an appointment or telephone conference, call 610-933-8069 and ask for
David M. Frees III. If David is not available or with another client, Donna, Denise, or
anyone of his paralegals or assistants can help you schedule it.

Starting the Probate Process In Pennsylvania

dmfiii@aol.com (blog Author)20856 — Sat, 31 Oct 2009 08:00:00 EST

David M. Frees IIII
Wills * Trusts * Estates* Asset Protection

Law Offices in Malvern, Phoenixville, and West Chester Pennsylvania
Serving: Chester County, Montgomery County, As well as Berks,
Bucks, and Lancaster Counties.

Many clients ask us what probate is and how to get started.

First, be sure to make a careful search for the will and make sure that it
is the most up to date will. Probating the wrong will is a mistake that
can be very costly.

Next, you need to be sure that you even have to probate the will. If
all of the assets are either owned jointly, or are distributed under
beneficiary designations, probate may be unnecessary.

But, if you have determine, that you are the executor, that you have
the right will, and that it needs to be probated, then you should become
an educated consumer and know what the probate system means and
how it works.

One of my partners, Douglas Kaune, recently published a great
article on how to get started in the probate of a Pennyslvania will.

Here is a brief exertp. Probate is the court adjudicated process
that an Executor or Administrator follows in the estate of someone
who dies in Pennsylvania (PA).

To read the entire article on Pennsylvania wills and probate, click here.

To order our highly sought after and number one guide to Executors in
Pennsylvania, click The Ten Most Common Mistakes Executors Make
and How To Avoid Them.

Time is Money - Making Your Estate Plan Efficient and cost Effective

dmfiii@aol.com (blog Author)19829 — Sun, 11 Oct 2009 08:00:00 EST

Time is Money Part II of II
By: David M. Frees III, Esquire Trust, Estate, and Weallth Preservation
Offices serving Phoenixville, West Chester and Malvern and the
entire Main Line, Chester, Montgomery, and Berks and Lancaster Counties

If you read the first installment of this series, then you already know that we are examining ways that you can work with your attorny and/or finanicial and tax advisors to make your estate plan more efficient and to avoid some of the many problems that delay estate and trust administration and create additional costs and fees for your heirs. Review part I here.

Now more ideas for protecting your plan and your heirs:

5) Make sure that you leave memoranda and instruction for your executors, trustees and heirs.

Now lawyers disagree about this but I am a proponent of leaving instructions to the vrious peolple who will handle your estate and any trusts for children, grandchildren and other heirs. Often, the disposition of personal effects can be a source of disput and delay. So, anything that you can say to your heirs to prevent them from fighting, or by way of guidance should be helpful.

However, always make sure that your notes ad memos are intended to be informal and for guidance only to prevent them from conflicting with a carefully constructed plan. When you are going to use a binding memo, make sure to consult the lawyer drafting your will or trust to avoid these conflicts and to make sure that a binding memeo is properly drafted under your state's laws.

Finally, trusts - either created during lifetime, or under a will, can and often do contain very braod language giving the trustee or trustees very wide latitutde to decide on investments and/or distributions from the trust. For that reason, non binding guidance can be vary valuable.

Use a memo to give guidance on when children should get distributions for cars. Are you in favor of private, parachial, or public school. What types of travel and education should be supported or encouraged?

6) Make distributioms during your lifetime.

Distributions made during lifetime can and often are challenged once a person passes away. However, these transefers of more difficult to challenge - especially when your capacity to make these gifts and your desire are documented by your lawyer.

However, if you can afford to, and do make lifetime gifts, make sure to consult your counsel to avoid or to minimize gift taxes and to make sure that there has been provision for the payment of taxes if you die within one year and the asets are reincluded in your estate for Pennsylvania Inheritance Tax purposes.

A well constructed estate plan that acknowledges such gifts and such tax consequences is even more proof
that you were able to make such gifts, that the gifts were well thought out, enforceable, and complied with any formailties required by law.

7) Consider a broad but carefully drafted Power of Attorney.

In the event that you were to become incapacitated, a well drafted power of attorney can be an important way of protecting your assets not only for you but for your heirs. the modern and Enhanced Power of Attorney(TM) can provide for gifting to certain people, the ability to set up and to fund trusts, guidance on investment mix, and many checks and balances.

For example, in the event your agent wants to make gifts while you are alive but incapacitated, you can require the consent of another special gifting agent.

Such powers of attorney can also allow family memebers to be paid for providing medical and other services to you that help to keep you at home rather than in a nursing home. And, if done properly, such contracts and payments do not consitute gifts for mediciade purposes and can protect your ability to qualify for government programs while still legally moving assets out.

Interested in more techniques?
Leave your comments and questions below ofr email them to dfrees@utbf.com

David M. Frees III, Esquire
David Frees works almost exclusivly in the areas of trust, estate, and will planning.
He also represents executors and trustees.

Frees maintains offices in Malvern, Phoenixville, and West Chester Pennsylvania.
These offices serve communities including Devon, Berwyn, Malver, Willistown Township,
Exton, Chester Springs, Downingtown and many others on and around the Main Line.

Protecting Your Estate and Wealth: Do You Rush in Or Go Slow as Markets "Recover"?

dmfiii@aol.com (blog Author)19831 — Sun, 11 Oct 2009 08:00:00 EST

By: David M. Frees III - Phoenixville - Malvern- West Chester
Practicing in the areas of wills, trusts, and estates for selected clients in the Commonwealth of Pennsylvania and with your local counsel through out the United States.

As regular readers know, this section of the site is generally deicated to techniques of asset protection. However, maintaining assets in a down market and growing assets through time is a significant part of building and preserving wealth. So today's article will review the timely and yet evergreen question of "How fast to go back into the market."

When financial markets are bad, the question of when to enter is important- especially if you left or diminished your equities at some point on the way down. And, whether or not you are a dollar cost averaging investor, the decision is vital. Why?

Often, bear market rallies draw investors back into the markets before the real recovery has begun and more losses can be sustained. However, if you are too passive, the real bull usually comes on so quickly that many investors who withdrew from a bad market miss the rebound are start growing their wealth again from a highly dimished base or foundation.

Behavioral financial studies have shown, and human nature more generally supports the finding that investors fear of loss exceeds their desire for finacial gain. As humans, we like homeostasis (or keeping things just as they are). So given this what is an investor to do?

Well, the financial firm Berstein has recently published an article right on point. It is available at Berstein - Jump In or Go Slow? Strategies for Entering The Market.

You can also download the article on when to invest to protect and grow your assets here.

This brief six page article is full of ideas, analysis and practical information. Enjoy and keep your ideas, comments, and questions coming. Thank you.

David M. Frees III, Esquire - practicing in the areas of wills, trusts, estates, and asset protection in Pennsylvania

610-933-8069
dfrees@utbf.com

Free Reports for those acting as executors, planning your estate or considering asset protection.
Click here to order free reports for executors and for those considering or updating wills, trusts, and other planning techniques such as QDTs, GRATs, and ILITs

Time is Money - Making Your Estate Plan Efficient and cost Effective

dmfiii@aol.com (blog Author)19818 — Sat, 10 Oct 2009 08:00:00 EST

Time is Money - Making Your Estate Plan efficient and Cost Effective Part I
By: David M. Frees III, Esquire Trust, Estate, and Weallth Preservation

Generally speaking, the longer a trust or estate stays open, the greater the likelihood of problems. Of course, the estate or trust administration must last long enough to make sure that the bills are paid, the tax returns are filesd and claered by the government, and for certain administrative tasks to be performed. But, many estates remain open for much longer than necessary. And, as a result, costs and expenses rise. So how do you build a plan that saves on time and money and limits the liability exposure of your heirs?

1) Make sure that your beneficiary designations match the beneficiaries of your will or trust. If they do not, then make sure that you explain why and clarify who is supposed to get what. This is a common area of confusion and dispute. Furthermore, make sure that you are clear on whether joint accounts are really intended to go to the joint account holder on your death or wether the account is simply joint for purposes of convenience.

2) Make sure to review and discuss the tax clauses of your will and/or trust with your lawyer. If one heir is getting a major asset such as a piece of real estate, then who pays the tax on that? Is the tax paid by the estate or the heir? Conflicts between heirs regarding taxation can be very costly. And, if it is not clear and the esecutor or trustee has to seek court approval that can take time and adds expense.

3) Make sure to consider an Interrorum Clause, also known as a "no contest clause." These clauses state that if you are an heir under a will or trust, and you challenge the document, then your inheritance is eliminated. This is a significant deterrent to expensive challenges and disputes. Also find out if the law of your state permits you to go even further and to eliminate a gift if an heir challenges non probate transfers such as trusts.

4) Be extra cautious about IRA, 401(k) and retirement plans. Whenever possible, these plans should go directly to younger heirs capable of managing them and making good decisions. This should ensure the ability of the heirs to take required minimum distributions based on his or her life expectancy. In this way, you can delay the payment of inheritance taxes and they transfer automatically and without probate. On the other hand, if they are payable to an estate (and many trusts) then all of the taxes are due right away and probate fees are also due and payable.

For more ways to get your estate lawyer to recognize that time is money check out part two coming soon.

David M. Frees III Wills, Trusts, Estates
Phoenixville, Malvern and West Chester Offices
Serving Chester County, Montgomery County, Philadelphia County
610-933-8069

More IRA Tax Relief From The IRS for Those Over 70 with Required Minimum Distributions

dmfiii@aol.com (blog Author)19536 — Mon, 05 Oct 2009 08:00:00 EST

If you are over fifty nine and a half, you can begin to take distributions from your IRA without penalty. However, once you reach 70 1/2 years of age, you must begin to take mandatory minimum distributions called Required Minimum Distributions (RMD). A required minimum distribution (RMD) is the smallest amount that must be withdrawn from an IRA beginning in that year that you turn 70 1/2. As many of you may know, in 2008, Congress waived the RMD rule for the year 2009.

This change in the law was meant to provide some relief for IRA account owners who had lost substantial value in their IRA investments. However, many taxpayers unintentionally took their RMD’s and were not aware of the suspension for 2009.

In such cases, you would normally, have only 60 days to roll the money over back into your retirement plan and if you waited more than 60 days you would not be permitted to return the funds to the plan.

The good news is that the IRS just issued Notice 2009-82 which allows those who have already received a 2009 RMDs this year and missed the 60 day rollover mark to roll the money back their IRA accounts.

This new rule temporarily allows individuals until the later of Nov. 30, 2009, or 60 days after the date the distribution was received, to roll over the distribution. It is important to note that the 1 rollover per 12 month period rule continues to apply.

Thanks to Doug McGray of Ion Advisors for this bit of important news.

David M. Frees III, Esquire
Unruh, Turner, Burke and Frees
Offices in Malvern, Phoenixville, and West Chester
Serving Chester County, Montgomery County, Deleware County,
Philadelphia, Berks, Buck, and Lancaster Counties

610-933-8069

More Resources For Financial and Estate Planning

dmfiii@aol.com (blog Author)19544 — Mon, 05 Oct 2009 08:00:00 EST

If you're interested in Financial and/or estate planning as a way to build and to protect assets for
yourself and a loved ones, here are a few more resources:

Financial Data and Reports - The essence of any good financial plan is to have the right strategies and the right information. To that end, if you're interested in getting the annual reports of any company - either that you own or are interested in purchasing as an investment then just click here to visit www.annualreports.com.

www.annualreports.com is an information rich site with the financial data for thousands of companies.

Census and Financial Data - For more data on issues such as unemployment, adn local, state and national data related to jobs, income and more see www.census.gov.

Brought to you by:
David M. Frees III, Esquire

Do You Know The Ten Most Common Mistakes That
Executors Make and How To Avoid Them?

Call 610-933-8069 for an appointment for enhanced estate
planning or a copy of this important free report.

David Frees has offices in Malvern, West Chester and Phoenixville Pennsylvania
Frees is a will, trust, estate, and estate planning lawyer who Chairs the firm's
Trust, Estate and Wealth Preservation Section

David Frees practices in the areas of estate and trust law, wills, asset protection,
and related legal areas and clients turn to david Frees when they
want to avoid the mistakes that often make wills, or trusts ineffective.

Edward Kennedy's Will and The Estate Planning Lessons You Should Heed

dmfiii@aol.com (blog Author)19166 — Tue, 29 Sep 2009 08:00:00 EST

Senator Kennedy's will was recently posted. If you are interested in the contents and a copy of his will as well as a number of estate planning lessons you can learn from Kennedy's planning, please review the will and my article on it. Click here to see Senator Edward Kennedy's will and my commentary on the strategies that Senator Kennedy used in his estate planning.

David M. Frees III, Esquire
Chairman: Unruh, Turner, Burke and Frees
Trust, Estate, and Wealth Preservation Section

Dave Frees, The Dalai Lama and a Billionaire

dmfiii@aol.com (blog Author)19054 — Mon, 28 Sep 2009 08:00:00 EST

Well, for one thing, they will all be meeting in Calgary, Alberta Canada this week at the Engage Today Conference.

Dave Frees, who represents many successful executives, business men and women, community leaders and and wealthy families and who teaches at seminars throughout the country says "I am always looking for any knowledge, information, tools and resources that give me clients and my customers an edge in their business and personal lives and that includes training and teaching in the areas of trust and estate planning as well as other areas that might be beneficial to them"

And when he was recently asked to attend this gathering of successful business and spiritual leaders, Frees felt "I had to go. I represent people from all walks of life but we all also have a duty not only to do the best that we can for our clients, customers, and our community but we have to help those in need."

Frees who has served as Chairman of the Chester County Community Foundation as well as serving on many charitable boards, believes that the solutions to our worlds problems "come from individual people who think big and really search for the answers. They believe that they can make a difference in the world and in their own business and personal lives."

"So, when I had an opportunity to spend time with some of our greatest business and spiritual leaders, I jumped at the chance."

Frees, who Chairs the Trust, Estates, and Wealth Preservation section of Unruh, Turner, Burke and Frees is also well known as a speaker and author on topics related to family relationships, business, and ethical influence.

His recent books include The Language of Parenting (a Communications skills guide for families), Einstein's Business (which includes David's essay on wealth and abundance), The Ultimate Success Secret with Dan Kenedy and Mike Capuzzi, a book, cd, and DVD collection: Persuasion2Profit - Mastering The Communications and Persuasion Skills That Make The Difference in Your Business and Your Life, and a soon to be published book, What You Don't Know About Pennsylvania Insurance Can Hurt You.

"I host many coaching weekends, conferences, and speak to many conventions." said Frees. "So, I will process the lessons I collect from the many brilliant minds at this conference, and then work with my clients and students to apply what I have learned and what we have discovered that really works."

"That is the thing about Dave Frees" said one of his coaching students and clients. "He is brilliant at taking ideas and helping us to put them to work."

Dave Frees can be reached at 610-933-8069 or by email at dfrees@utbf.com

What The Michael Jackson Law Suit Reminds You About Your Estate Planning

dmfiii@aol.com (blog Author)18652 — Sun, 20 Sep 2009 08:00:00 EST

This brief story about the settlement of a lawsuit against the estate of Michael Jackson points out the need for comprehensive powers in powers of attorney, wills, and trusts allowing the fiduciaries (executors, trustees, and agents) to bring and to settle lawsuits, claims and litigation with or without court approval. Is the powers clause of your will, trust, or power of attorney good enough or do you need to review that clause?

A well drafted powers clause will allow executors and trustees to do certain things without seeking court approval and may require court approval for other actions.

However, whenever you have trusted executors and trustees it is important to consider giving them the powers that they will need to act without constantly seeking Orphan's Court approval of business and related decisions.

David M. Frees III, Esquire

David is Chairman of the Trust, Estate and Wealth Preservation Section of
Unruh, Turner, Burke and Frees.

For a Free Report on The Ten Most Common Mistakes That Executors Make and How To Avoid Them
Call 610-933-8069 today.

He helps clients to draft wills, trusts, powers of attorney, and related estate
planning documents that carry out their desires with minimal costs, expenses,
and minimal family conflict and court intervention whenever possible.

What The Michael Jackson Law Suit Reminds You About Your Estate Planning

dmfiii@aol.com (blog Author)18569 — Fri, 18 Sep 2009 08:00:00 EST

Is An IRA Still Protected From Creditors After The New Florida Case?

dmfiii@aol.com (blog Author)17672 — Sun, 30 Aug 2009 08:00:00 EST

In a recent Florida banckruptcy case, the court held that an IRA was not protected from creditor's claims. As an ordinary rule, IRAs receive a higher level of asset protection than non retirement assets. So, what is the current state of affairs? Is your IRA protected if you get sued?

Well, the new case has opened a new way for creditors to attempt to access these asssets in litgation. However, the court's ruling was limited to one of three IRAs which was a self directed IRA. In this case, the court found that the defendant's violation of rules contained in the Internal Revenue Code were the source of the Plaintiff's ability to reach these assets.

HINT: In the event that you have a self directed rather than a traditional IRA, be sure to observe all of the rules related to prohibited parties, and prohibited transactions to maintain your creditor protection.

David M. Frees III, Esquire

David M. Frees Chairs the Trust, Estate, and Wealth Preservation Section of
Unruh, Turner, Burke and Frees and assists clients in developing comprehensive
estate plans and asset protection plans to protect their legacy for themselves and
for family members and loved ones.

Frees has offices in Phoenixville, Malvern, and West Chester and his firm serves clients
throughout Chester County, Delaware County, Lehigh, Berks, Bucks, and Montgomery
counties.

For more information please call 610-933-8069.

Are Executors Personally Liable? Do You Know What You Are Getting Into?

dmfiii@aol.com (blog Author)17044 — Mon, 24 Aug 2009 08:00:00 EST

When you agree to act as an executor and formally get sworn
into the position what have you done?

Are you now liable (personally) for any of the debts of the
deceased person?

Can beneficiaries hold you liable for loses in the stock market
or in other assets?

What if you have not insudred a piece of real estate and it is
damaged by fire? Are you now liable?

Get the ansers to these and other questions before you act as
an executor and before you elect the executor of your estate?

David M. Frees III, Esquire
Chariman: Trusts, Estates and Wealth Preservation Section
Unruh, Turner, Burke and Frees

610-933-8069

Call for an appointment or a telephone conference.

David Frees limits his practice to the areas of Trusts,
Estates, Wills, and Estate Planning as well as representing
executors and trustees.

However, David is a resource for all of his clients and will
make sure that you get the right attorney, within the firm or
outside of the firm for your particular legal issues.

Protecting Your Estate Plan and Will From Challenges

dmfiii@aol.com (blog Author)17352 — Mon, 24 Aug 2009 08:00:00 EST

Worried about a challenge to your will or estate plan?
In a second marriage?
Have children by multiple marriages?
Are you disinheriting one or more heirs?
Are your heirs not being treated equally?

Then the chances of a will challenge are dramtically higher.

For more information on the many ways that you can protect your will, trust, and estate plan from litigation and challenges, visit my newest video blog artcile on the topic of will attcks and challenges.

Click here for specific tools that you can use to limit or prevent successful challenges to your will, trust, or estate plan.

David M. Frees III, Esquire
David Frees focuses his practice on helping affluent families, executives, and business owners to
achieve their specific estate planning goals with an emphasis on tax planning, asset protection planning, and
practical ways to preserve and protect your legacy.

David Frees maintains offices in Malvern, West Chester, and Phoenixville and serves clients throughout Pennsylvania and especially in Chester County, Bucks and Berks counties, Montgomery, Delaware, and Philadelphia counties.

Doing a Great Job as an Executor Means Knowing the Mistakes to Avoid

dmfiii@aol.com (blog Author)17355 — Mon, 24 Aug 2009 08:00:00 EST

Doing a great job as an executor means knowing both what to do and what not to do. In fact, many executors do not even realize, that they can be help personally reposonsible for certain actions or for the failure to take certain actions.

In an upcoming post, we will be bringing you a list of specific actions that Pennsylvania executors must take in many estates. But remember, that each estate is different and those estates that hold real estate or a business interest may have a very different to do list than those holding certificates of deposit and a stock and bond portfolio. In much the same way, and executors job can look very different where two siblings are co-executors than it would where one executor has seven different beneficiaries.

Finally, if a will contains specific bequests, and/or a bequest to charities, the executor might have another whole set of dealines and responsibilities.

In any case, doing a great job as an executor and avoiding personal liability and lawsuits means avoiding the most common mistakes executors make.

For our readers, we have prepared a greta report on the ten most common mistakes that execuotrs make, and how to avoid them.

Click here to read a brief article and to request a copy. The Ten Most Common Mistakes Executors Make and How To Avoid Them.

David M. Frees III
Call 610-933-8069 for a consultation or telephone appointment.

Paralegal/Assistants Donna Brownback, Denise Fox and Tara Walters

Our law offices are located in Chester County Pennsylvania and our estate, will and trust lawyers serve Malvern, Paoli, Devon, Berwyn, Exton, Chester Springs, Gladwyn, Rosemont, Downingtown, West Chester, Phoenixville, King of Prussia and many other local communities.

Executor's Fees In Pennsylvania - Why Are They Being Cut and By Whom?

dmfiii@aol.com (blog Author)17359 — Mon, 24 Aug 2009 08:00:00 EST

Many people serving or elected as executors have questions about how much they can charge an estate to be an executor in Pennsylvania. Many beneficiaries of Pennsylvania estate, also have questions about the fairness of such fees and want to make sure that the fees of an executor are appropriate and justified. Executor Fees In Pennsylvania

But, there is another party in Pennsylvania who has been forcing the reduction of executor fees under certain circumstances and if you are planning your estate, or if you have been appointed as an executor this is something that you want to know about.

So who is this mysterious party with the power to reduce executor compensation in Pensylvania? Before I answer, a little back gound is in order.

For many years, executors charged estates in Pennsylvania a straight percentage of the estate and that percentage was often as high as 5%-6%.

However, this did not always produce a fair or just result. In many estates, where there are very simple assets (such as bank accounts) and few beneficiaries, the estate administration (the executor's job) was much simpler than an estate administration where the decedent owned a small business, real estate of various types and where there were numerous beneficiaries.

Consequently, consumer pressure has in recent years, generally resulted in the negotiation of executor's and attorney's fees in smaller and simpler estates. Family memebers may also be highly skilled professionals who can help, or they may be willing to perform certain tasks that reduces the time commitment of the law firm.

Unlike some states, Pennsylvania has fee guidelines - they must be reasonable, but there are not set fees.
This allows executors to negotiate fees with lawyers up front based on a variety of factors. Most clients will not want to pay a set percentage. Rather, a set fee for all of the work, or an hourly fee are preferable. And, executors will often take a reduced compensation rather than risk family discord. However, for those who have never served as an executor, the often difficult and time consuming job seems simple. So there is often tension between family memebers, beneficiaries, and the executor so it is best to stay within the fee guidelins wheneever possible.

But, as I mentioned, there is another party in Pennsylvania who has an interest in executors' fees and the power to often compelle a change. Who is this mystery party? The State of Pennsylvania itself. And there is more than one branch of the government with an interest in executor fees.

Since executor's fees are a deduction, the Pennsylvania Department of Revenue (Inheritance Tax Section) has an interest in making sure that the executor does not over charge and can and does challenge or disallow excessive executor fees.

However, in any case where the will or trust provides for a charitable bequest of a fraction of the estate, or where there is a large gift, the Attorny General's office stands in the shoes of the charities and must review all such estates.

The AG's office have been very aggressive in policing and disallowing executor fees where charities are involved so be sure to take this up with your advisors before you begin to act.

So the answer to the question is that executor fees are being reduced by the State of Pennsylvania where either the AG's office, or the Inheritance Section feels that they are excessive.

David M. Frees III

David M. Frees III practices in the areas of trusts, estates, and estate and asset protection planning.
He frequently advises executors, trustees, and beenficiaries about matters related to trusts, estates, inheritance and estate tax, executors fees, and related matters.

Pennsylvania Inheritance Tax Rates

dmfiii@aol.com (blog Author)17043 — Sat, 22 Aug 2009 08:00:00 EST

Protecting Yourself from Uninsured Drivers

dmfiii@aol.com (blog Author)17045 — Fri, 21 Aug 2009 08:00:00 EST

Is Your Estate Plan or Will Bullet Proof? Preventing Successful Will Challenges

dmfiii@aol.com (blog Author)17042 — Mon, 17 Aug 2009 08:00:00 EST

This blog contains a series of videos that discuss topics related to
making your estate plan more bullet proof to challenge.
While no single technique can make a plan impossible to successfully
challenge, bu combining techniques you can make it much harder for
anyone to successfully challenge your wishes.

And, while anyone can hire a lawyer and attempt to challenge your
will, trust, or estate plan, certain practices will make the success
of such challenges much less likely.

It is up to you and your advisors to make your estate plan
bullet prooof to challenge now, while you are alive, competant,
and well.

Make sure you watch the entire playlist of techniques to stop
will and estate plan challenges, by clicking "Play All Videos on
Protecting Your Estate Plan From Challenge"

David M Frees III
Preventing successful will challenges

610-933-8069
dfrees@utbf.com

How Will Your Executor Pay For Inheritance Taxes and Federal Estate Taxes?Part 1 of 2

dmfiii@aol.com (blog Author)16092 — Wed, 29 Jul 2009 08:00:00 EST

When a person dies, the Executor of the estate has a very limited time to pay for the taxes due to the IRS with repect to federal estate tax and to the Pennsylvania department of Revenue with respect to inheritance taxes. How long does the executor have to pay and where does the money come from?

Ideally, in a well planned estate, the decease party has made provision for the payment of taxes. However, taxes are due within 9 months of the date of death (with a tax credit for early payment of any taxes paid to Pennsylvania within three months of the date of death.

As youcan see, that tax deadline of nine months comes pretty quickly and with federal rates of 42% or more, the liability can be substantial. Generally, the following options for payment exist:

First, the estate can pay using available cash. This generally requires advanced planning and most estates subject to federal estate tax will no be liquid enough to pay te full amount of cash within the nine month deadline.

Second, in a well planned estate, some life insurance can provide the liquidity to pay such taxes. If your estate is subject to federal estate tax, you would want to have the insurance owned by an ILIT (Irrevocable life insurance trust). In this way, the insurance will not be taxable and the trust can purchase assets from the estate to provide liquidity to pay taxes, or can loan the executor and the estate the funds to promptly pay the tax until the assets can be methodically liquidated without substantial discounts.

For more see Paying For Estate Taxes Part 2 of 2.

David M. Frees III, Esquire
David Frees is an attorney who limits his practice to trusts, estates, wills and related estate
planning strategies. He has offices located in Malvern, Phoenixville, and West Chester.
His offfices serve clients throughout Pennsylvania, and Chester County, Montgomery County and Lancaster County including Chester Springs, Ardmore, Bala Cynwyd,
Exton, Spring City and Royersford.

How To Pay For Estate and Inheritance Taxes Part 2 of 2

dmfiii@aol.com (blog Author)16093 — Wed, 29 Jul 2009 08:00:00 EST

Whether you're planning your estate, or you are the executor of an estate, you are concern with the issue of when death taxes must be paid and how you pay for them. Both Pennsylvania inheritance taxes and the federal estate tax liability are due within 9 months of the date of death. For many estates, this deadline will create problems with the timely payment of the taxes.

In part one (Paying for Inheritance and Estate Taxes) we reviewed the ability to use liquid assets - often not sufficient to pay such a large tax laibility as well as the purchase of life insurance that when structured properly in an ILIT will be untaxed and will provide liquidity.

But what about estates where there a re many illiquid assets such as real estate and insufficient cash to pay?

Executors can sell assets quickly to raise the funds. However, selling into a down market can be devastating and assets sold at a discount can never be recovered. Also, the need to sell assets quickly canput you at a negotiating disadvantage even in a greta real estate or stock market.

For those reasons, assets can be used as collateral for loans to borrow the tax laibility so that assets can be methodically liquidated at more reasonable prices. However, this involves tying up collateral and often a significan interest expense.

Finally, there are a number of sections of the IRC (internal revenue code) that allow for discounts of for the ability to pay taxes on closely held assets over extended terms. However, these restrictions often mean that the particular assets in your estate may not qualify.

So, what are we to do?

Advanced planning and the use of ILIts, GRATs, and irrevocable trusts and gifting can significantly reduce the overall tax liability. Furthermore, moving to more liquid investments through time and/or purchasing non-taxable assets such as life insurance can be combined to creat a plan that allows the executor to pay the taxes timely and to avoid fire sales, interest and penalties.

David M. Frees III
610-933-8069

David Frees Chairs the Trust, Estate, and Wealth Preservation Section of Unruh, Turner, Burke and Frees
with offices located in Chester County Pennsylvania. His practice focuses on representing families interested in
preserving family wealth, closely held businesses, and the officers and directors of corporations in a full range of estate planning strategies.

Mandatory Minimum Withdraws in 2009

blog@www.paestateplanners.com (news Author)9609 — Mon, 27 Jul 2009 08:00:00 EST

I have mentioned this legal and tax change before, but it bears repeating. Due to certain congessional changes enacted as a result of the financial crisis, no required minimum distributions (RMDs) for IRAs will be required for the calendar year 2009. The Worker, Retiree, and Employer Recovery Act of 2008 suspended RMDs for this calendar year only. No minimum distribution will be required from IRAs for the 2009 calendar year. An individual who reached age 70½ prior to 2009 would normally be required to take his or her 2009 RMD no later than December 31, 2009. As a result of this legislation, that RMD will not have to be made. An individual with an IRA who is 70½ or older will still be responsible for taking an RMD for the 2010 calendar year on or by December 31, 2010 unless there is further legislation.

David M. Frees III
610-933-8069

Why You Need A Will - According To USA Today

dmfiii@aol.com (blog Author)15211 — Mon, 13 Jul 2009 08:00:00 EST

In a recent USA Today article "Who Needs To Do A Will? You Do" Christine Dugas does a nice review of the reasons for doing a will, when you should do a will, who needs a will, and the common mistakes and solutions in basic estate planning. So if you have been thinking or wondering about a will, then this quick review of the issues should help.

In short, if you are over twenty-five, are single or married, you should read the article and consider a will, power of attorney, living will, and related documents such as trusts. This is especially true if you have children, you're in a same sex relationship, or your're in a relationship but not yet married.

For more information about how to do a will that works click here.

David M. Frees III
610-933-8069

Disinheriting a Beneficiary - Know How To Minimize the Threat of A Will Contest

dmfiii@aol.com (blog Author)15191 — Sun, 12 Jul 2009 08:00:00 EST

Many clients have considered leaving an heir - even in some cases, a child or grandchild - out of a will. Many others have considered making unequal distributions to one child and leaving less to another child. There may be very good reasons for such actions. However, these wills are often challenged and will challenges can be expensive, time consuming, and result in your wishes being ignored or foiled by a court or the disinherited heir.

However, there are four or five key strategies that you can use to minimize or avoid family will contests and make it much more likely that your will will be carried out.

For more information on avoiding will contests and disinheriting an heir click here.

This is the first in a three part series on how to do your estate planning in a way designed to protect against interfering son or dughter in laws, or an attack by a disinherited child or a child or grandchild who receives a lower inheritance than others. If you face this situation, and have eitehr made unequal gits to children, or you have written a child or heir out of your will you will want to follow this series.

David M. Frees III
610-933-8069

Call for more information about estate planning or for executors or trustees.

A Victory For Family Limited Partnerships Against The IRS

dmfiii@aol.com (blog Author)14910 — Mon, 06 Jul 2009 08:00:00 EST

A tax payer has won a seventh case (or at least achieved a partial victory) in a family limited partnership where the IRS was asserting a claim under section 2036 of the Internal Revenue Code.

I am including a link to analysis of the flp (family limited partnership) case but this analysis is somewhat technical.

The key points to take away from the series of cases related to family limited partnerships:
Avoid personal property which continues to be utilized by the creator
Carefully document the business purposes of the partnership
Observe the business entity and purposes of the FLP
Carefully select the assets to manage and to include

For more information on Famnmily Limited Partnerships as a tool to pass on wealth, to manage "gifted" property, and for providing creditor and litigation protection, follow this blog.

David M Frees III is an attorney practicing in the areas of Pennsylvania Estate Planning, Asset Protection Planning, Wealth Preservation and Estate Administration. David's partners and associates practice in many related areas of the law.

610-933-8069
dfrees@utbf.com

Will Updates - Why Current and Clear Are Important - The Michael Jackson Estate

dmfiii@aol.com (blog Author)14715 — Wed, 01 Jul 2009 08:00:00 EST

Updating your will and having clear instructions and information for your executors are vitaly important - as the Michael Jackson situation has revealed.

According to the Wall Street Journal, Jackson's estate is highly complex. His debts are over $500,000,000.00 dollars but his assets may exceed that by $200,000,000.00. He has three children (from various complicated arrangements). Currently, his mother is the guardian pending a hearing in July.

Yet, his last will was drafted in 2002 and it's location and existance were unclear.

His mother even petitioned the court believing that he might have died intestae (without a will). Clearly, his family and executors did not have the information that they needed in the event of his death.

This situation points out the need to:
1) update your will regularly
2) have clear instructions for your executors in the event of your death
3) update guardianship provisions and trusts for children and minors
4) store your will in a safe place and let your executor(s) know its location

Michael Jackson's estate will no doubt have other lessons for us and we will keep you posted. If you would like to read more about Michael Jackson's estate in the wall street journal click here.

David M. Frees III
Chairman: Trusts, Estates and Wealth Preservation
Unruh, Turner, Burke and Frees
610-933-8069

Money In Your Mattress? Another Reason To Worry.....

dmfiii@aol.com (blog Author)13617 — Fri, 12 Jun 2009 08:00:00 EST

I just received an email from Kurt Kunsch who heads the trust department of Phoenixville Federal Bank and Trust. In the interest of full disclosure, I am a member of the board of directors and the trust committee of this bank and trust company.

He forwarded an artcile that I think is hilarious and closed by saying that the trust department will be accepting the deposit of mattrresses all week. Enjoy and learn. Kurt's contact information is below if you have any questions about the value of your family bedding.

David M. Frees III
Unruh, Turner, Burke and Frees
Estate Planning, Trust Planning, Asset Protection Planning and Family SuccessionPlanning

Here is Kurt's email in it's entirety:

Woman throws away million-dollar mattress

#AOLMsgPart_2_94a32715-5fe2-472c-b2d7-071227be29c4 div#related-article-links p a,#AOLMsgPart_2_94a32715-5fe2-472c-b2d7-071227be29c4 div#related-article-links p a:visited {color:#06c;}

_______________________________________

Kurt A. Kunsch - Vice President/Managing Director

Trust & Asset Management|Phoenixville Federal Bank & Trust |
533 Kimberton Rd, PO Box 1046, Kimberton, PA 19442-1046
(: 610-935-8304 7: 610-415-0149 *: kkunsch@phoenixfed.com

P Please consider the environment before printing this e-mail.

CONFIDENTIALITY NOTICE: This e-mail contains privileged and confidential information intended only for the use of the individual or entity named above. If the reader of this e-mail is not the intended recipient, you are hereby notified that any retention, dissemination or copying of this e-mail is strictly prohibited. If you have received this e-mail in error, please immediately notify the sender by telephone at the above number and delete the original e-mail from your system.

Family Finances - Should You Be Doing Things Differently?

dmfiii@aol.com (blog Author)13390 — Mon, 08 Jun 2009 08:00:00 EST

If you want to learn the seven strategies of protecting your finances and your family's financial well being in a bad economy then this article is a quick must read.

Many of the old rules no longer apply.

Is six months of cash enough?

How much insurance should I have?

I'm a long term investor so I'll just ride this out.

How do I save more in case this bad economy continues?

If you have asked any of these questions or made any of these statements, you might be headed for real danger.
To read the first in a three part series about the new rules of family finances and the hidden dangers in the old assumptions just click here.

David M Frees III is an attorney representing affluent families, business owners, executives and banks and trust companies in the areas of trust and estate planning, wealth preservation in Pennsylvania and Chester, Montgomery and surrounging Philadelphia counties.

Will Confusion

dmfiii@aol.com (blog Author)13086 — Mon, 01 Jun 2009 08:00:00 EST

A woman has died and the only will that was able to be found was a copy of a will. Do you turn that into the Probate Court? What does it mean? How do you avoid this probate blunder?

To find out the answers please click here.

Hitting A Home Run In Estate Planning

dmfiii@aol.com (blog Author)12134 — Mon, 18 May 2009 08:00:00 EST

Estate planning is the process of working with your legal, tax, and financial professional to arrange your financial affairs so that you have sufficient assets to meet your lifetime needs. This article breifly describes some essential estate planning techniques. With baseball season in full swing who doesn't like a baseball analogy. So step up to the plate and round the bases with these financial tips. Covering all the bases will help you reach home plate and a successful retirement plan.
To read the article please click here.

Think Green And Get Federal Tax Credits

dmfiii@aol.com (blog Author)12141 — Mon, 18 May 2009 08:00:00 EST

This article explains the new federal tax credits that have been put in place to reward homeowners for adding energy- efficient home products. Energy-efficient home products include replacing storm windows, adding insulation, replacing a heating system, and adding central air.
To read the full article click here to see how you can be rewarded for Thinking Green!

Off Shore Accounts: Do You Need One? Are They Legal?

dmfiii@aol.com (blog Author)12100 — Sun, 17 May 2009 08:00:00 EST

There has been quite a bit of recent media attention focused on the notion that off shore bank accounts are the sole provice of those engaged in illegal activities or money laundering. And , there are many abuses which can and should be curtailed.

However, there are a number of reason's that American citizens ( and perhaps even you) want to maintain an off shore account or already do. Tax evasion should not be one of them becasue American citizens are taxed on all earnings thorughout the world.

However, powerful asset protection, convenience, investmet diversification and other reasons do exist.

This article examines some of those strategies with an interesting theory that the government's media circus on this issue is designed to deter law abiding Americans from utilizing this asset protection technique.

To read more about the legal and strategic reasons for an asset protection plan and an off shore account, click here.

The Federal Estate Tax Kills Job Creation - Another View on The Death Tax

dmfiii@aol.com (blog Author)11915 — Wed, 13 May 2009 08:00:00 EST

In our efort to bring you a variety of views on the federal estate tax and the many proposed "solutions" to our current dilema, we recently found a piece on the effect of the estate tax on job creation. I've never really heard this view articluated in just this way, but McClatcy cites "the former director" the non partisan Congressional Budget office on the issue. To read more about the estate tax and jobs click here.

David M. Frees III
610-933-8069

Please leave your questions and comments below.

GRATs and FLPs After the Obama Budget - Will they survive as planning techniques?

dmfiii@aol.com (blog Author)11965 — Wed, 13 May 2009 08:00:00 EST

The WSJ recently ran an article reviewing the fate of GRATs (Grantor Retained Annuity Trusts) and FLPs (Family Limited Partnerships) following the proposed elimination or changes under the Obama proposals. The Journal suggests and I agree, that these techniques might remain viable and useful for many people planning to pass long term wealth to heirs. For more read this WSJ article.

David M. Frees III
dfrees@utbf.com

David Frees is a Pennsylvania attorney practicing in the areas of trusts,
estates, probate, estate and asset protection planning, and estate tax planning.

For more information about how to protect your heirs from litigation and divorce,
or how to protect your own assets or inheritance, click here or call Donna at 610-933-8069
for an appointment or teleconference with David Frees.

Probate Dispute Over Munchkin Estate

blog@www.paestateplanners.com (news Author)8510 — Mon, 11 May 2009 08:00:00 EST

Careful planning can only go so far. However, if you are being appointed as an agent under a power of attorney, it may make sense to document the capacity and the wishes of the person granting you that power. See the recent article on just such a dispute. Click here for more on the Wizarrd of Oz probate dispute.

Estate Planning Opportunities Abound But Look Before You Leap

dmfiii@aol.com (blog Author)11843 — Mon, 11 May 2009 08:00:00 EST

You may be hearing about the many unique planning opportunities due to historically low interest rates and depressed stock, business and real estate values. And, there are some truly awesome and powerful planning opportunities to move large and small family fortunes to the enxt generation. However, this article examines the other factors and dangers that you must consider as you move forward with these opportunities to protect yourself. To read more on the hidden opportunities and estate planning dangers click here.

David M. Frees III Chairs the Trusts, Estates and Wealth Preservation Section
of Unruh, Turner, Burke and Frees

The firm has offices in West Chester, Malvern, and Phoenixville and serves
Chester County, Montgomery County, Deleware, Lancaster, and Philadelphia counties
as well as individuals throughout Pennsylvania with Trusts, estate planning, estate administration and asset
protection planning.

What You Can Learn From Ivanka Trump About Raising Wealthy Kids

dmfiii@aol.com (blog Author)11590 — Mon, 04 May 2009 08:00:00 EST

I recently spoke to a conference in Chicago and was delighted to have the chance to listen to and to meet a fellow speaker Ivanka Trump. To find out what Ivanka had to say that might matter to you about pasing on your wealth and wisdom and your children's success read my article on successful intergenerational wealth transfers here.

David M. Frees III, Esquire
dfrees@utbf.com

Leave any questions or comments in the comments section.

Using Family Limited Partnerships

dmfiii@aol.com (blog Author)11333 — Mon, 27 Apr 2009 08:00:00 EST

Family Limited Partnerships can be a good strategy to shelter assets and reduce gift and estate taxes. The Family Limited Partnership was designed to help preserve a family business for future generations. Covering your assets by Mark Klimek in The Wall Street Journal explores what is a Family Limited Partnership. The article gives a brief guide on how to set one up and the rules that go along with it. Find out more about the do's and don'ts of Family Limited Partnerships.
To read the entire article on Family Limited Partnerships click here.

Estate Planning Tips For Blended Families

dmfiii@aol.com (blog Author)11336 — Mon, 27 Apr 2009 08:00:00 EST

Creating a blended family can be complicated. When two families join by remarriage, there are many issues that arise ranging from "Who gets who for what holidays?" to What is my role with your children as a step parent?" For many of the same reasons (as well as some additional ones) estate planning for blended families can also be complicated.

For instance whose child gets what and what do future children get can be difficult questions. The Wall Street Journal, The Right Steps by Michaela Cavallaro , examines some tools and other steps parents of blended families can use to make thier estate planning less complicated and less stressful on you and your surviving heirs.

The single best tool any blended family can use is communication. How much or how little financial information you disclose is up to you. However, the parents of blended families should consider discussing thier estate plans with one another, their children, and financial advisor so everyone understands and can ultimately cooperate to the greatest extent possible. It is also important to review your estate plan periodically or when there is a life change such as divorce, marriage, and death. An estate plan that is outdated may not accurately represent your wishes today or may even still name ex-spouces to inherit your estate.

It is also essential, but particularly so for those in blended families to review all beneficiary designations with your lawyer, and financial advisor to ensure that they match and are coordinated with the estate planning documents.

To read The Right Steps article in its entirety click here.

David M. Frees III, Esquire

A Messy Death

dmfiii@aol.com (blog Author)11338 — Mon, 27 Apr 2009 08:00:00 EST

Death is hard. Disorganized or inefficient estate plans can make death even harder on surviving family members. The best way to avoid more work for your loved ones is to get organized. If you do not have an estate plan make one. Make sure you tell someone where your will and other important documents are. Make sure your financial documents are in order and able to be found. Communicate with your family as to where assets are and how to access them.
To read The Mess They Left by Suzanne Barlyne in The Wall Street Journal click here.

Banks Still Not Out Of Danger

blog@www.paestateplanners.com (news Author)8261 — Wed, 22 Apr 2009 08:00:00 EST

The Wall Steet Journal has a great analysis of the problems still facing US banks and how the stress tests have revealed information that you need to consider as you move forward with your estate and financial planning.
Read more here...WSJ and Bank Stress Tests.

Brought to you by:
David M. Frees III, Esquire

Why You Owe It To Yourself or Your Wife Wants You To Do Estate and Asset Protection Planning

dmfiii@aol.com (blog Author)11209 — Wed, 22 Apr 2009 08:00:00 EST

Have you ever thought of estate planning as something that you might do for you? Does the idea of doing estate or asset protection planning seems selfish and all about you? Well this estate and asset protection planning article I just finished might get you thinking about this planning in a new and different way.

By: David M. Frees III

Keep The Death Tax - It's Like Apple Pie Another View

dmfiii@aol.com (blog Author)11142 — Tue, 21 Apr 2009 08:00:00 EST

I try to bring both arguments to the table for you to consider. This article is not alawys accurate on the death tax (federal estate tax) provisions. For example, the tax credits don't shelter $7 million dollars they shelter $3.5 million and a couple has to do some fancy planning to make them work.

Also, his argument that it should be ok to tax estates for a second time because we're already taxed multiple times during life doesn't really convince one as being sound logic or overly persuasive.

Anyway, this is a good overview of the keep the death tax talking points.

Whatever happens make sure to update your planning to maximize your control over your financial legacy. For Pennsylvania residents, be sure to coordinate your asset protection planning, federal estate tax planning and your state inheritance tax planning in your wills and trusts.

David M. Frees III, Esquire
David's firm, Unruh Turner Burke and Frees has offices conveniently
located in Phoenixville, West Chester and Malvern, and they
serve the greater Philadelphia region including Bucks and Berks counties,
Deleware County, Montgomery and Chester County and Lancaster County.

Do I really need a will?

blog@www.paestateplanners.com (news Author)8222 — Mon, 20 Apr 2009 08:00:00 EST

If you have ever wondered whether or not it is worth the trouble of doing a will just take a look at this newspaper article about a man who died without one? It's not really necessary ore deireable to read the entire thing. About four paragraphs will convinve you. But not only were the family memebers fighting but the lawyers were fighting and we hav't even gotten an estate set upi yet. Do your family a favor and take the brief time needed to put your affairs in order.

David M. Frees III, Esquire

Flat Fees For Probate - That's What Executors Want From Law Firms

dmfiii@aol.com (blog Author)11077 — Sun, 19 Apr 2009 08:00:00 EST

One of the most important things to executors and to the families of the deceased is to know, in advance, what the costs will be of probate, or to administer a trust or estate even when probate is not involved. Yet, many law firms continue to charge on an hourly fee basis, or strictly on the basis of a set of fee guidelines that, in some states, can be as high as six percent of an estate's value.

The problem with these fee guidelines is that they don't reflect the actual involvment and participation of the executor and family memebers who may, in some cases be willing and able to perform certain tasks, while in other estates, the family and executor want and expect a higher level of service. Likewise, set guidelines and the lawyers and firms that rely upon them exclusivly, fail to recognize that no two estates are the same and that an estate of $600,000 with two cooperative beneficiaries who are also both executors will likely have fewer legal issues than an estate of the same amount with multiple beneficiaries that do not cooperate.

The problem with hourly charges is that the executor cannot know, up front, what the cost of legal services will be. Furthermore, executors then feel reluctant to call counsel to ask questions becasue they feel that it will drive the fee up when in fact the answers to those questions may be essential.

The Financial times recently examined this issue in an article on probate fee brokers. While we don't have probate fee brokers in this country, if you are an executor, it pays to find a firm that will negotiate a flat fee, up front, and commit to that fee in a written fee agreement.

In this way, the executor knows exactly the services to be performed, what the executor must be responsible for, and families with simple asets and high levels of cooperation are rewarded with lower fees.

To get a copy f the Johnson Estate Guidlines, and more information about executors fees and attorney fees in Pennsylvania, click this link for my article : Read this Before Hiring An Attorney - Attorney and Executor Fees.

For more information about how my firm charges (on a flat fee basis customized to your circumstances) call 610-933-8069 for an appointment of a telephone conference. And for more information about the top mistakes executors make and how to avoid them, click here.

David M. Frees III, Esquire
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The Obamas Are Saving For College. How Are They Doing It?

dmfiii@aol.com (blog Author)11070 — Sat, 18 Apr 2009 08:00:00 EST

Here is an article I published on the UTBF site about the Obamas and how they are saving for college. It's a quick and informative read but make sure that you click on the Wall Street Journal artcile. It also has links to articles on the gift tax planning aspects of college savings.

David M. Frees III
David's practice, with its convenient offices listed below is
focused on wealth, estate, and asset protection planning and
the representation of trustees and executors.

A Great Estate Planning Overview

dmfiii@aol.com (blog Author)11025 — Thu, 16 Apr 2009 08:00:00 EST

I try to bring you great articles and resources for Pennsylvania residents interested in estate planning, asset protection, and federal and state inheritance and estate tax planning. Often, I write the articles myself so that they are customized to the Pennsylvania resident.

However, this brief nwespaper article on the basics of estate planning is so good, and the thoughts and strategies of estate planing that it reviews are so relevant to Pennsylvania that I wanted to get it to you as soon as I read it.

Now of course, as a lawyer I'd like a news piece that recommends getting professional help with your wills, trusts, and related documents. But, this article is great becuase it advocates something that I have been championing. Advanced thought about your plan and communication between or amoung your advisors to make sure that the paln is agreeable to all, effective to carry out your desires and that it actually gets implemented.

Please enjoy the artcile and leave us any comments or questions.

David M. Frees III, Esquire
Avvo Rated 9.5 Superb!
610-933-8069 Davis assistants are Tara, Donna, Denise and Whitney.

Estate Planning That Really Works - Get Records, Documents and Passwords Organized

dmfiii@aol.com (blog Author)10893 — Mon, 13 Apr 2009 08:00:00 EST

I just posted a very brief article on how important it is to keep records organized, to alert your executor to the location of your will and trusts, and to maintain a method of accessing passwords. The article also examines the benefits of memos to executors, trustees and family memebers on many topics such as distributing personal effects, distributions from trusts, and more. There is also a link to a great Wall Strett Journal piece on the same subjects.

Please read more on creating an estate plan that will actually work.

For more information for executors and trustees, order our great report on the 10 Most Common Mistakes Pennsylvania Executors Make and How To Avoid Them or our series of materials on Enhanced Estate Planning.

David M. Frees III, Esquire
Estate Planning, Trust, and Asset Protection Lawyer
Offices in Chester County and serving the State of Pennsylvania
David M Frees III, Esquire
David's AVVO rating is Superb! Click here for more information.
610-933-8069

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Executor and Esate Planning Blog: http://paestateplanners.com/blog
What do clients and lawyers say about David M. Frees III? Click here for more information.

More reasons To Do A GRAT Right Now

dmfiii@aol.com (blog Author)10894 — Mon, 13 Apr 2009 08:00:00 EST

The stars hav all aligned for wealthy or moderately wealthy families to consider a GRAT - Grantor Retained Annuity Trust. If you have assets above $3.5 million doallrs, the timing is perfect for a GRAT. Read more from the Wall Street Journal on the whys of doing a GRAT.

For more information on why or how contact David M. Frees III through one of his convenient Pennsylvania offices below.

David M. Frees III
610-933-8069
dfrees@utbf.com

The Probate Process: Common Delays

dmfiii@aol.com (blog Author)10902 — Mon, 13 Apr 2009 08:00:00 EST

In Pennsylvania the probate process varies from estate to estate. It can take as little as a few months to several years. There are many factors that contribute to the lengh of probate such as the experience of the Executor/Administrator and thier legal counsel and the benificiaries. This article explores some common causes for a delay in the estate administration process.
To read about Probate and delays that can occur click here for the full article.

Estate Plan: Review Now

dmfiii@aol.com (blog Author)10907 — Mon, 13 Apr 2009 08:00:00 EST

It is important to periodically review your estate plan. The current economic climate being uncertian and the Obama Administration's priority to change the estate tax make now a good time to review your estate plan. There are six things to consider while reviewing your estate plan: Formula Clauses/ In Your Will Or Trust, Bypass Trusts, State vs. Federal Estate Tax, GRATs, Family Limited Partnerships, and Beneficiary Designation Forms. This article explains these six impotant things t consider while reviewing your estate plan.
Click here to read the full article.

Do You Need An Extension to File? - For Your Gift Tax Return

dmfiii@aol.com (blog Author)10914 — Mon, 13 Apr 2009 08:00:00 EST

It's time to file your state and federal income tax returns.

But, if you haven't already done it you might also want to file a gift tax return, or an extension. For the calendar year 2008, you should (and must) file a gift tax return when your gifts (of any type of asset) exceed $13,000.00 to any one person. A married couple can each make gifts of this amount.

There are also certain exceptions for the payment of tax deductible medical payments, and tuition, when those payments are made directly to the institution.

Otherwise, be sure to file a return. Even if you have gifted more than the annual gift tax exclusion amount, you may not owe any tax because each person currently has a lifetime exemption of $1 million dollars. This amount, to the extent it is used during life, reduces the $3.5 millio dollar exemption.

Finally, if you set up a GRAT, gave away real estate, corporate or business interests or other hard to value assets, be sure to get an accurate appraisal and file when required. If you don't have one yet just file an extension and get the appraisal ASAP and file.

Here's to a successful recovery in 2009. Make the most of your gifting. If you have questions, be sure to ask your advisor. But here is an IRS publication on gifting that might also be helpful.

David M. Frees III, Esquire
610-933-8069
dfrees@utbf.com

When The Government Says We'll "Freeze it?" Does That Mean A Massive Increase In Death Taxes?

dmfiii@aol.com (blog Author)10854 — Sat, 11 Apr 2009 08:00:00 EST

I try to be democratic and open minded on the issue of debating the federal death tax. I have posted a number of recent editorials and information from both sides of the argument on various proposals and proposed bills and events in the house and Senate. My personal bias is that the exemption is too small and represents a radical tax increase since 1981 that is unfair to many families who have real esatte or closley held businesses. I also think that a rate of 42 to 55% is confiscatory and is just too high. It discourages intergenerational business planning and encourages consumption by each generation - which isn't good for a society.

And for the most part, the readers of this blog feel that the death tax is unfair, a double or triple tax, and/or that it should be limited to very large estates. The New York Times recently ran a tortured piece on why the death tax is not really a double tax.

Here is an alternative view in a recent editorial. Salt Lake Tribune Editorial. This writer cites the New York Times as the source for the argument (a paper with a strong bias against the repeal of the death tax and one that favors taxes generally).

This writer says that most of the businesses taxed are not "small." Well, that is correct depending on your view of small. Many of the businesses are family businesses that were created within three generations and which are narowly held and often illiquid even though they exceed a few million doallrs in value. This means that just to pay the tax, families have to borrow or sell and often dillute the value of something that they have created and grown.

Fair? I do see value in preventing the collection of wealth in small numbers of families or corporations. The problem that I have is who gets to redistribute this wealth and to whom does it go during redistribution.

Also, the argument in the Salt Lake Tribune (and the New York Times) is flawed becauuse even a hold at $3.5 million rather than a larger exemption would mean a real increase in the tax since the last major change in 1981. In that year, $600,000.00 was sheltered. Adjust that for inflation since 1981 and you get a number higher than $3.5 million. So the government wants to take more now not less. And, if they also eliminate a valid technique approved by the tax courts (the minority discount) they will be taxing even more family wealth.

For many of our clients in Pennsylvania and in particular, the Philadelphia area, hasn't your real estate or the value of your business or your personal real estate increased over the last three decades? Family Limited Partnerships and the minority discount were the solution to eliminating or limiting this very high tax. If it goes away that's the definition of a tax increase.

Finally, here's an editorial on why the Government's death tax approach punishes the savers. Is that a good idea? Fair? Beneficial? Click here to read another view on the federal death tax in the Concorde Monitor.

Let me know where you are and what you think.

David M. Frees III

Asset Protection Alert For Contractors and Those Who Do Work In Or Around Homes

dmfiii@aol.com (blog Author)10863 — Sat, 11 Apr 2009 08:00:00 EST

If you are a contractor, painter, lawn or landscape contractor, landscape architect, remodeler, plumber, or electrician, you may be subject to the many new requirements of the PA Home Improvement Contractors Act (73 PS 517.1-517.19). Failure to follow these requirements may result in significant penalties and civil and criminal legal problems.

Here is a partial list of those who may be affected:

These people may be subject to the Act if they work on residential properties (this list is not exhaustive):

Anyone who does home remodeling or basically installs any improvement in or around the home.

Electricians, plumbers, framers, roofers, etc. Even if they do not enter into contracts directly with consumers.

Underground/invisible pet fence contractors

Landscapers

Locksmiths

Fencing companies

Paving companies

Pool companies

Security system companies

A retail store that installs products in the home (i.e. a flooring store that installs floors).

Interior Decorators (if they install or subcontract for painting, installing fixtures, drapes, etc.)

Radon companies

Building supply retailers (if they also install)

Mobile home or RV repair

For a copy of the act or for documents that comply with the new act please call 610-933-8069 and ask for the new Home Improvement Contractors package or click here for the attorney General's FQA and a copy of the act.

While the lawyers that work directly with me in our trust, estates, and asset protecttion section focus their work on estate planning, wills, trusts, and asset and tax planning and protection, compliance with new laws is important for our clients. Accordingly, we ask lawyers in the firm's other departments to keep us posted of important legal changes that may affect our clients.

David M. Frees III, Esquire
610-933-8069
or email dfrees@utbf.com to request the new law package.

Breaking News On Senate Death Tax Vote

blog@www.paestateplanners.com (news Author)8032 — Fri, 03 Apr 2009 08:00:00 EST

The Senate voted today to increase the amount sheltered from Federal Estate Tax. However, this is a budget vote and is not binding law. Read more on Google News about the Senate Estate Tax Vote.

Senate Budget Vote To Increase The Sixe of Estates Exempt from The Estate Tax

dmfiii@aol.com (blog Author)10580 — Fri, 03 Apr 2009 08:00:00 EST

Of interest to clients concerned about the federal estate tax, is thatthe United States Senate voted today today by a slim margin to approve an ammendment to a Senate Budget bill that would actuallt increase the size of estates that are exempt from Federal Estate Tax (also known as the death tax). However, this is merely a budget bill and only in the Senate, so it does not have the effect of law. The Obama administration wants to exempt estates up to three and one half million dollars (which includes life insurance).. This new bill would raise that amount to five million dollars. Read more about the Senate Death Tax vote.

David M. Frees III
610-933-8069
www.utbf.com/trust-estate
www.paestateplanners.com

Another "Man's " View Death Taxes and The NY Times

dmfiii@aol.com (blog Author)10575 — Thu, 02 Apr 2009 08:00:00 EST

There are many views on the Federal Estate Tax. Here is a recent Federal Estate Tax editorial from the NY Times.
Let me know what you think and how you feel by commenting below. Here is a hint about my view. I think that there are some conflicting arguments in the editorial.

David M. Frees III, Esquire
Enhanced Esate Planning and Asset Protection
610-933-8069

David Frees is a Pennsylvania Attorney practicing trust, estate planning, and
asset protection law with offices in Chester County, Montgomery County, Philadelphia County and
many counties surrounding Philadelphia.

Are you concerned about protecting your heirs and their inheritance from you
from divorce, lawsuits and esate taxation?

Manditory Minimum IRA Distributions In 2009

dmfiii@aol.com (blog Author)10416 — Mon, 30 Mar 2009 08:00:00 EST

REQUIRED MINIMUM DISTRIBUTIONS from IRA accounts: Remember, in 2009, required minimum distributions for IRA account owners who are 70.5 or older are suspended. In addition, if you are 70 1/2 or older, you are allowed to make distributions directly from an IRA to a charity (up to $100,000) during the 2009 calendar year.

For our clients located in Pennsylvania, note that we have receently prepared two great new reports that are available on this web site for delivery to you by email and with a follow-up mailing of hard copies of the report.

The first, The Ten Most Common Mistakes Pennsylvania Executors Make and How To avoid Them, you should get if you are either an executor or, if you are selecting an executor. The second, on Enhanced Estae Planning is a great resource if you have questions about redoing or updating your wills, trusts, powers of attorney or related estate planning documents. If you have children and or grandchildren and you are worried about protecting their inheritance from divorce and lawsuits, you should get this report. To order either report, just click the report names below:

The Ten Most Common Mistakes Pennsylvania Executors Make

Enhanced Estate Planning In Pennsylvania

David M. Frees III, Esquire

AVVO Rated Pennsylvaina Estate and Trust Lawyer: Superb 9.4

Read This Before You Hire An Estate Attorney - Attorneys Fees

dmfiii@aol.com (blog Author)9955 — Mon, 16 Mar 2009 08:00:00 EST

Are you an executor of an estate in Pennsylvania? Do you know the important facts about legal fees? Do you know why executors hire counsel? Do you know that Pennsylvania executors can be held personally liable for certain mistakes? If you want or need legal counsel to do the executor job correctly, efficiently, and cost effectivley, then read this article before you do anything and before you hire an attorney.

Pennsylvania estate attorney David M. Frees III is experienced in the representation of executors including banks, trust companies, and individuals and family memebers named as executors under a will.

In this brief article david examines the ways in which law firms charge estates, what is best for you, and what is permitted under Pennsylvania law.

Read this before you hire counsel.

David M. Frees III, Esquire

Call one of David's paralegals, his client relations managers, or assitants, Donna, Denise, Tara, Whitney or Matt for a copy of "The Ten Most Common Mistakes Executors Make and How To Avoid Them". This great resource can really help you to select the right ececutor and to do a great job if you are an executor.

call 610-933-8069 or email me at dfrees@utbf.com fo a copy of an appointment.

More on Changes to the Federal Estate Tax

blog@www.paestateplanners.com (news Author)7733 — Sun, 15 Mar 2009 08:00:00 EST

Are you a client of inheritance and estate tax attorney David M. Frees III or are you interested in the changing tax landscape and when the new laws will be taking effect? The WSJ just published a briefing on the effective dates of proposed tax changes that can help you to prepare and have your planning ready for the changes as they occur. Just click here for more information on changes to the estate tax laws.

Why Your Will Might Not Work?

dmfiii@aol.com (blog Author)9759 — Mon, 09 Mar 2009 08:00:00 EST

In Pennsylvania your will may work. This article explains who has the right to inherit and what you need to know to protect your wishes. Spouses, children, grandchildren, and even children of deceased children may have a right to a part of your estate. A will should be carefully created and reviewed periodically to avoid someone recieving part of your estate without your consent.

To read the entire artile click here.

Update Your Tax Software for Savings and Protection

dmfiii@aol.com (blog Author)9771 — Mon, 09 Mar 2009 08:00:00 EST

As the time for filing your 2008 return draws near make sure that you have updated your tax preparation software. There were some significant changes for tax year 2008. And you want to make sure that you get the advantages )if any) and that you avoid the mistakes that would result from outdated software. See more at The Wall Street Journal.

Brought to You By David M. Frees III, Esquire.
610-933-8069

Revocable and Irrevocable Trusts In Pennsylvania

dmfiii@aol.com (blog Author)9773 — Mon, 09 Mar 2009 08:00:00 EST

Revocable and Irrevocable trusts are an important componenet of a Pennsylvania Estate Plan. There are benefits and consequences to either trust and you should be aware of what exactly these trusts are and what they can do for you. A Revocable trust can be changed or canceled during the creator's lifetime while an Irrevocable trust can not be changed.

For more information on Revocable and Irrevocable trusts click here to view the full article.

David M Frees III Comments on the Death Tax Danger to Small Biz

blog@www.paestateplanners.com (news Author)7668 — Sun, 08 Mar 2009 08:00:00 EST

Well known Pennsylvania lawyer and estate planning attorney David M Frees III ferrets out the hidden dangers in proposed estate tax reform. Read David's comments to this blog on the "harmlessness" of estate tax reform.

The Women Of The View Do Not All Agree on Estate Taxes

blog@www.paestateplanners.com (news Author)7657 — Sun, 08 Mar 2009 08:00:00 EST

There are two sides to every argument. David M. Frees III tries to bring you the news, tools, and information that you need to do effective estate planning, asset protection planning and tax planning to minimize or eliinate federal estate taxes. In this video, Whoopie Goldberg, of all people speaks her mind on The View, of all places, on the issue of the death tax. Which side are you on and why?

http://www.paestateplanners.com/video/no-more-death-taxes-on-the-view.cfm Just click here to watch the video.

Feds Preparing To Rasie Federal Estate Taxes on Family Businesses

blog@www.paestateplanners.com (news Author)7667 — Sun, 08 Mar 2009 08:00:00 EST

David M Frees III with offices in Phoenixville, Malvern and West Chester is your source for more information about the possible elimination of discounts used to shelter and pass on family businesses. Frees who works with families to eliminate or reduce federal esatte and eath taxes tries to keep you up to date on the proposed elimination of minority discounts, the step up in basis at death and other techniques to pass on family farms and businesses that are currently under attack. For more information read here.

Possible Elimination of Minority Discounts House Bill In Committee

dmfiii@aol.com (blog Author)9743 — Sun, 08 Mar 2009 08:00:00 EST

Are you interested in pasing on your assets, a business, land, investments or a family farm to your heirs? That might be getting even harder under our new administration.

There is some bad news out of the House of representatives in a proposed bill to reform the estate tax laws. Pennsylvania estate and trust lawyer David M. Frees III is monitoring many of the proposed changes in the death tax laws and recently ran across this very bad piece of proposed legislation.

According to David Frees, "This bill will keep trust and estates attorneys busy for years to come and will raise enourmous amounts of revenue for the federal government. Neither of these things is good for middle class and affluent families."

The bill, currently in the house ways and means committee contains a number of bad provisions for family business owners and for many ordinary families. For example, according to this article, the bill contains a proposed elemination of the step up in basis at death. This could mean that many families will pay capital gains tax on inherited assets.

Even worse, is that the proposed estate tax bill would eliminate minority discounts ( a means that many families have used to pass on family farms and businesses)

So, while the bill looks innocuous on the face of it (it raises the tax exempt amount to 3.5 million dollars) it in fact contains a number of provisions that will radically increase the death tax for many families.

More on this to follow. We will keep our readers informed of the various bills and the progress of these bills through the house and Senate. The short story is, that the federal estate tax looks like it is hear to stay, and that it is going to be worse, rather than better for many middle class and wealthy families.

Finally, if you are considering a family limited partnership and minority discounting as part of your estate plan, it might be the time to act before it is too late. Get the advice of legal and tax advisors soon.

David M. Frees III, Esquire
610-933-8069
dfrees@utbf.com

Follow David M Frees III on Twitter for more updates and information

Why Gifting To Your Heirs Might Make Sense Especially Now

dmfiii@aol.com (blog Author)9538 — Mon, 02 Mar 2009 08:00:00 EST

Why should Pennsylvania residents make lifetime gifts to children and grandchildren when the economy is so bad? Chester County lawyer David Frees with Unruh, Turner, Burke and Frees has offices in Malvern, Phoenixville, and West Chester was recently interviewed on just this issue. Frees who focuses his practice in the areas of estate planning, asset protection planning, and representing executors and trustees, explained that gifting in a down economy has many advantages ranging from asset protection to radically reducing inheritance and estate taxes.

"Many people become reactive when their assets are down." said Frees. They stop doing plannning out of fear. But if you stop, the taxes don't just go away. "And, this economy is worse than most people can remember. However, there is a silver lining."

According to David frees, "When asset values are low it is often possible to transfer homes or vacation homes, business interests and publically traded stock at a very low value." This allows you to transfer more to children and heirs. And, added Frees, "There are also historically low interest rates so it is possible for you to sell or transer an asset and act like the bank but collect very low interest payments." Frees cautioned, that gifting should always be carefully considered and that gift taxes can result unless you use care.

For more information click here to read David Frees' article published on AVVO also realted to gifting in a bad economy.

David Frees practices law in the greater Philadelphia area and has offices in Malver, Phoenixville, and West Chester Pennsylvania. He also has a very high AVVO rating of attorneys in Pennsylvania.

David Frees can be reached at 610-933-8069. Donna, Denise, Tara, Whitney, or Matt can all help you to get an Estate Planning Questionaire, One of Free Excutor reports, or a telephone or in person conference with David Frees.

New Tax Benefits for Retired Pennsylvania Residents

dmfiii@aol.com (blog Author)9540 — Mon, 02 Mar 2009 08:00:00 EST

David M Frees has offices in Phoenixville, West Chester, and Malvern Pennsylvania. He brings clients and prospective clients news and information that you can use. Here, David has discovered some good news for retired Pennsylvanians in the stimulus package.

If you're a retired Pennsylvania, then there are a few provisions of the new federal stimulus law that may provde you with financial benefits. Retire Pennsylvanias should, in many cases be getting a check for at least $250.00. They might also get certain additional benefits if gthey are buying a home, taking college courses, buying a car, or making nergy effcient improvements to the home. For more details see out article. To read on just click here.

Free Report for Pennsylvania Executors

dmfiii@aol.com (blog Author)9541 — Mon, 02 Mar 2009 08:00:00 EST

Attorney David M. Frees III whose practice involves trusts, estates, wills, and esate and asset planning, just has published a new (free) guide for executors of wills probated in Pennsylvania. The report titled: The Ten Most Common Mistakes That Executors make and How To Avoid Them, is a guide for executors to prevent personal liability and a guide to you if you're planning your estate and need to decide who is the best executor.

To get your free copy just click here. It's easy. You just fill out a form on line and the report will be sent to you. You are always welcome to call our offices but no one will call you. We simply want people to have this grea new resource. Order the report now.

Be sure to visit our Trust, Esates and Wealth Preservation Blog too to get ideas, news and information for Pennsylvania residents to help you to reduce taxes, plan your estate, and to avoid family disputes over wills and trusts. Want to get more ideas on protecting your assets and protecting your heirs' inheritance from lawsuits and divorce. Just click here.

David M. Frees III, Esquire
610-933-8069
dfrees@utbf.com
Call Denise, Tara, Donna, or Matt to schedule an appointment or
telephone conference with David or to get your free copy of the erport, or an Estate Planning Questionaire.

Federal Esate Tax News and The Federal Budget

dmfiii@aol.com (blog Author)9501 — Sat, 28 Feb 2009 08:00:00 EST

The Obama administration's first budget appears to contain several important clues as to the fate of the federal estate tax. It appears that the administration will seek a freeze at the exclusion amount of $3.5 million dollars. This means that couples with assets and insurance of 3.5 million dollars or less could avoid more complicated estate planning and could focus on protecting assets for the surviving spouse, children and grandchildren without allocating assets to federal esatte tax planning.

There is a possibility, that a bill might pass that would allow couples to use both spouses exemption amounts and this could shelter up to $7 million dollars. However, there is significant opposition to this. For a slide show on the current law and the possible future. Visit this site and watch the slide show.

David M. Frees III, Esquire

Follow David Frees on Twitter for regular updates on changes to the federal esatte tax laws for Pennsylvania residents.

Estate Planning and The Credit Crisis. Why Understanding It Might Help

dmfiii@aol.com (blog Author)9502 — Sat, 28 Feb 2009 08:00:00 EST

A big part of any effective estate plan is developing a strategy to build, to grow, and to protect and to preserve assets. If you don't undertand the effects of todays credit crisis on your plan and your assets then you are at the whim of others. Now I say that we shouldn't obsess about the economy. And, it is important that we not become so possesed by the bad news that we feel out of control or fail to act on what we can control. But, there are many things that we can control and understanding what has happened to our economy at the macro level helps us to move forward with planning.

This video is a powerful lesson in just a little over 11 minuets.

The Crisis of Credit Visualized from Jonathan Jarvis on Vimeo.

Thank you.

David M. Frees III, Esquire.

The FLP So Good - But Not For Your Personal Use

dmfiii@aol.com (blog Author)9467 — Fri, 27 Feb 2009 08:00:00 EST

FLPs or family limited partnerships have been used by Pennsylvania residents as a sophisticated estate planning technique for years. And, many Pennsylvania will and probate lawyers have encouraged the use of FLps as a best practice for wealthy clients. The technique can help control assets, provide for managment of family businesses, and can provide creditor protection from your own creditors and ;itigation against your children and heirs.

David M frees III as an attorney representing many affluent and moderatly affluent families has been recommending the use of family limited partnerships for all of these reasons. However, as family limited partnerships have become more mainstream he has also noticed (like many other advisers) that families want to move all of their assets into these vehicles. However, moving homes, cars, and other personal use assets into family limited partnerships can be a recipe for disaster.

To find out even more about FLPs click here.

David M. Frees III, Esquire

610-933-8069

Unruh, Turner, Burke and Frees serving clients in Chester, Montgomery, Philadelphia, Lancaster, and
Delaware counties and with officeis in Phoenixville, Malvern, and West Chester Pa.

Installment Sales to Children and Grandchildren

dmfiii@aol.com (blog Author)9352 — Mon, 23 Feb 2009 08:00:00 EST

If you are a Pennsylvania resident who wants to maximize gifts and transfers to your family memebers then now is a great time for planning and executing estate planning. If you want to gift or sell assets such as a family business, a family farm, or commercial real estate, now might be a good time to consider transfering the asset.

Valuations are low and interest rates are at historic lows and will and trust lawyers and advisers know that this allows you to move greater value now. Once the prices and interest rates rise, that increased value will be included in your estate unless you take measures to move it out through Grantor Rentained Annuity Trusts, Qualified Personal Residence Trusts or, through an outright sale to a relative.

The outright sale where you take back financing could be in the form of a traditional note and motgage or a self cancelling installment note. Either of these techniques allow you to freeze the value of the asset now, and to avoid the growth in value through time to be included and taxed. And, now that it appears certain that the federal estate tax is not going away, we have both the federal and state death taxes to try to avoid. And, avoiding death taxes is a poerfult estate planning technique.

David M. Frees III
Will, Trust, Estate and Asset Protection Planning

610-933-8069
dfrees@utbf.com

Offices located in West Chester, Phoenixville and Malvern Click here for directions.

Serving clients throught out Pennsylvania and the Philadelphia region including
Chester County, Montgomer County, Bala Cynwyd, Berwyn, Exton, Chester Springs, Blue Bell, and many
other communitites

Frequently Asked Questions About Pour Over wills, A handwritten Will, and Who Should Be Executor?

dmfiii@aol.com (blog Author)9355 — Mon, 23 Feb 2009 08:00:00 EST

We are alwys looking for ways to help you in your estate planning and asset protection needs. As you know, we also represent many executors and trustees to make sure that the estates and trusts are administered as quickly, efficiently and cost effectivly as possible while still protecting you from laibility.

One great way to provide you with information is for us to answer your questions. So please feel free to leave a question below as a comment, or to call (610) 933-8069, or email me with questions concerning wills, trusts, estates, death tax avoidance, estate planning , or your questions related to estates and trusts.

We recently posted brief transcripts of me answering these questions:

1. What is a pour over will?
2. How do you prove a holographic or handwritten will?
3. Who should you pick as an executor?

Please also watch this brief video for a littlle more about the questions and answers.

David M. Frees III, Esquire
610-933-8069
To Follow Dave on Twitter just click here.

Mistake Number Nine: Failure To Meet The Income, Inheritance, and Estate Tax Deadlines

dmfiii@aol.com (blog Author)9332 — Sun, 22 Feb 2009 08:00:00 EST

The ninth mistake is failing to promptley file Pennsylvania inheritance tax and federal estate tax return and the Pennsylvania and federal income tax returns for the deceased and for the estate. It is important to file these in a certian amount of time and to have them prepared by a professional. A professional knows the things to avoid and the documentation that is needed. Giving all the information that is needed may save you from getting audited and could even create tax savings.
So, it’s important to know the documentation thats needed and when things are due.

For more information on this topic click here.

David M. Frees III Esq.

610-933-8069

For up to the minute news about estate, asset, and wealth protection planning
and for weekly tips to make your planning work follow David Frees on Twitter
David on Twitter.

Mistake Number Ten: Failure To Properly Conclude The Estate Administration And Exposing Yourself To Personal Liability

dmfiii@aol.com (blog Author)9333 — Sun, 22 Feb 2009 08:00:00 EST

The tenth mistake that Pennsylvannia Executors make is failing to conclude their Estate Administration. To conclude Estate Administation you either have to go through court and have them okay it or to create a faimly settlement agreement. Many executors simply hand the money out and walk away. Without closing the Estate Administration the executor is liable should anything happen in the future. Going to court is not necessary in most cases. A family settlement agreement is the best way to conclude an Estate Administration. The agreement lets everyone involved in the estate know all of the information from how much the attorney was paid, to the amount everyone was given, to the executors commision. To limit liabililty and properly conclude an Estate Administration have a family settlement agreement created.

For more information on this topic click here.

David M. Frees III Esq.

610-933-8069

For up to the minute news about estate, asset, and wealth protection planning
and for weekly tips to make your planning work follow David Frees on Twitter
David on Twitter.

Bonus Questions on Mistakes PA Executors Make and How To Fix Them

dmfiii@aol.com (blog Author)9334 — Sun, 22 Feb 2009 08:00:00 EST

The bonus questions are real questions that people often have about Estate Administration. Learn what a pour over will is , find out how to make sure a will is authentic, and figure out who to name as executor of your estate. These are important questions that you should know the answer to.

For more information click on the links above.

Mistake Number Five: Failing To Get The Early Payment Discount For Inheritance Taxes

dmfiii@aol.com (blog Author)9315 — Sat, 21 Feb 2009 08:00:00 EST

The fifth mistake Executors make is either failing to pay the Inheritance Tax early or actually paying it early. Paying the Inheritance Tax early can mean a discount depending on your specific situation. This mistake is similar to someone who buys something on sale just because it is on sale not because they need it. Make sure you look at all the angles and get professional advice on what and when to pay.
For more information on this topic please click here.

David M. Frees III Esq.

610-933-8069

For up to the minute news about estate, asset, and wealth protection planning
and for weekly tips to make your planning work follow David Frees on Twitter
David on Twitter.

Mistake Number Six: Failure To Coordinate with Professional Advisors And To Get The Best Fee Agreements

dmfiii@aol.com (blog Author)9316 — Sat, 21 Feb 2009 08:00:00 EST

The sixth mistake is failing to cooridanate with your professional advisors and also failing to get the best fee agreements. Whether it is preparing inheritance tax returns and or federal and state income tax returns you will need a professional. If you are using an accountant and an attorney you need to make sure they are coordinating their efforts. Let everyone know who all is on you Estate team. If everyone knows who is doing what your bases are covered. Also when shopping around for the best fee deals make sure you are asking the right questions. Find out what you need and what they will do and how much that costs. If you just ask how much they charge hourly you may not know what all that entails.

For more information on this topic click here.

Mistake Number Seven: Failure To Advertise The Estate Administration

dmfiii@aol.com (blog Author)9317 — Sat, 21 Feb 2009 08:00:00 EST

The seventh mistake executors make is failing to advertise the estate administration. The law requires that the appointment of the executor and the existence of the estate be advertised. One reason this is done is that if there were debts owed, that the creditors would come forward and make their claim. This is important because if you do not advertise in your local newspaper and in the legal newspaper for your county you can be liable for many years after you have distributed the assets. In essence if you do not advertise you are held liable for any outstanding debts that come to fruition. Make sure you advertise your estate administration so years from now you do not wind up owing money that you no longer have.

For more information on this topic click here.

Mistake Number Eight: Getting Help Too Late

dmfiii@aol.com (blog Author)9320 — Sat, 21 Feb 2009 08:00:00 EST

The eighth mistake is getting help too late. If you have been an executor already you know that it can be a time consuming, emotinally draining, and trying experience without help. If you have not been an executor all the more reason to get help. The main reason to have accounting and legal help is to limit your liability exposure. There are legal minefields out there and it is the role of your legal and accounting advisors to help you safely navigate through the minefields.

For more information on this topic click here.

Pennsylvania Attorney Recognised For Work In Estae Planning For Families

dmfiii@aol.com (blog Author)9321 — Sat, 21 Feb 2009 08:00:00 EST

David Frees was interviewed on how Pennsylvanias can use wills, trusts, and estate planning to protect assets, family knowledge and family values. He reviews his techniques for family communication and how to avoid family disputes over wills and estates. Enjoy Dave's article on Family Estate Planning and Enhanced Estate Planning.

Death Tax Repeal and Family Farms

blog@www.paestateplanners.com (news Author)7446 — Fri, 20 Feb 2009 08:00:00 EST

Pennsylvania family farmers are concerned about the federal estate tax. State and federal death taxes often make it very hard for family farms to pass from one generation to another since the tax burden is so high. Congress is expected to act on this issue soon and many ranchers and those in the agricultural industry have strong views. For more on the death tax and family farms click here.

Agricultural family businesses, family farms and the death tax

blog@www.paestateplanners.com (news Author)7448 — Fri, 20 Feb 2009 08:00:00 EST

More information for Pennsylvania residents on the proposed changes to the federal death taxes and family farms and businesses. Click Here.

Changes In Federal Taxes and Your Estate Plan

blog@www.paestateplanners.com (news Author)7449 — Fri, 20 Feb 2009 08:00:00 EST

David M. Frees III, brings you more news and infrmation about pending and recent changes to the income and estate tax laws. Click here.

Are you a resident of Chester County, Montgomery County, Philadelphia, Lancaster or Delaware County? Follow this blog for up to date news and information about your will, trust, power of attoeny and changes in the law that impact you and your family.

Mistake Number Four: The Failure To Follow The Terms Of The Will

dmfiii@aol.com (blog Author)9291 — Fri, 20 Feb 2009 08:00:00 EST

The fourth mistake that many executors make is that they misunderstand the will or fail to carry out the instructions the will has laid out. An executor is persoanlly lialbe to follow the actions the will states to do. The executor must take these actions in a timely manner because interest can acrue on late payments and the executor is held liable for the interest. An executor should create a checklist, hire a lawyer to help, and in some cases use Court to decipher the specifics of a will. Use these tools today to avoid a common mistake.
For more information on this topic click here.

David M. Frees III Esq.

610-933-8069

For up to the minute news about estate, asset, and wealth protection planning
and for weekly tips to make your planning work follow David Frees on Twitter
David on Twitter.

Mistake Number Two: Making Early Distributions Without Protecting Yourself

dmfiii@aol.com (blog Author)9169 — Mon, 16 Feb 2009 08:00:00 EST

One mistake Executors make is that they make early distributions of an Estate or Trust before they protect themselves. An Executor is held liable for that Estate or Trust. If you are an Executor and you distribute without realizing it could be subject to probate, taxes, and other expenses you are liable to retrieve the money and pay the responsible parties. To solve the problem make sure you meticulously go through the process, pay creditors, and anyone else asserting a claim.
For more information on this topic click here.

David M. Frees III Esq.

610-933-8069

For up to the minute news about estate, asset, and wealth protection planning
and for weekly tips to make your planning work follow David Frees on Twitter
David on Twitter.

Mistake Number Three: Failure To Comply With Legal Notice and Other Requirements

dmfiii@aol.com (blog Author)9173 — Mon, 16 Feb 2009 08:00:00 EST

There are many requirements that go along with the Probate process. A mistake Pennsylvania Executors make is not being aware of all of the requirements, notices, certifications, and advertising of probate. In probate all benificiaries must recieve a copy of the will or notifcation that the will is in probate. Probate can be a simple process. Make sure you know all the requirements and keep your benificiaries informed.
For more information on this topic please click here.

David M. Frees III Esq.

610-933-8069

For up to the minute news about estate, asset, and wealth protection planning
and for weekly tips to make your planning work follow David Frees on Twitter
David on Twitter.

The Annual Gift Tax Exclusion

blog@www.paestateplanners.com (news Author)7377 — Sun, 15 Feb 2009 08:00:00 EST

While gifts are not totally effective for Pennsylvania residents to escape in heritance tax until one year from the date of the gift, the Internal Revenue Code allows every taxpayer to give away funds to children, grandchildren and others at a new rate this year. For more information click here.

For more information on the best will and trust techniques contact will, probate and trust attorney
David M . Frees III, Esquire.

610-933-8069

Income and Estate Tax Issues Facing Congress

blog@www.paestateplanners.com (news Author)7360 — Fri, 13 Feb 2009 08:00:00 EST

There are a number of important tax issues facing Congress. However, the government seems to be making changes piecemeal and without startegy. This piece examines the need to be less reactive. For more from the Tax Foundation, click here.

Abolish the Internal Revenue Code? 65 lawmakers already sponsor this bill

blog@www.paestateplanners.com (news Author)7361 — Fri, 13 Feb 2009 08:00:00 EST

A bi-patisan group of congressmen have sponsored a bill to actually abolish the Internal Revenue Code. These memebers think that things have gone so far awry, that the only way to fix them is to abolish what is currently in place... (to read more click here).

Protecting Your Heirs From divorce and Lawsuits

dmfiii@aol.com (blog Author)9038 — Wed, 11 Feb 2009 08:00:00 EST

This short video by David M. Frees III describes a new way of thinking about protecting your children and grandchildren from divorce and lawsuits.

Follow David on twitter at http://www.twitter.com/davidfreesesq for up to the minute postings on the law of asset protection, wills, trusts, and estates in Pennsylvania. Click here to follow.

401(k)s Disappearing Value

blog@www.paestateplanners.com (news Author)7314 — Mon, 09 Feb 2009 08:00:00 EST

According to Fidelity Investments, the average account balance of 17,095 workplace 401(k) plans fell by 27% in 2008. The average plan also dropped to $50,200 in 2008 from $69,200 in 2007, and this was after the average contribution of $5,600. This remins us that we must be areful to position our retirement assets based on our ages and proximity to retirement for a rebound, and/or to preserve principal.

Your Car Insurance is the Suprising Foundation of Pennsylvania Asset Protection

dmfiii@aol.com (blog Author)8930 — Mon, 09 Feb 2009 08:00:00 EST

If you are interested in how to protect your assets not only from taxation and will disputes but also from lawsuits and creditors, take a moment to review your automobile and homeowners policies. Simply reviewing your insurance policy is one of the most inexpensive and cost effective strategies to build a fool proof asset protection plan. In fact your homeowners and automobie policies should be the foundation on which all other asset and creditors protection is built.

If you would like more information and resources read the full article by clicking here.

Mistake Number One: Avoiding Executor Liability in Pennsylvania Estates

dmfiii@aol.com (blog Author)8935 — Mon, 09 Feb 2009 08:00:00 EST

David M Frees III, Esquire has just added the first in a ten part series of artciles on the most common mistakes that Pennsylvania executors make and how to avoid them. If you are an executor or you are going to serve as an executor in the future, you may not know that you can be held personally liable for certain mistakes. Knowing those errors and how to avoid them is the best practice of will, trust, and probate and estate lawyers in Pennylvania. David's new series will help you to make sure that you are successful and that you stay out of trouble. To read the first in this series of articles, click here.

David M. Frees III, Esquire

610-933-8069

Follow David on Twitter for the most up to the munuet information on estate planning, estate and trust admininstration, and asset protection planning in Pennsylvania and in Chester County and Montgomery County as well as the best will and trust practices to follow.

David is also a contributor to the Unruh, Turner, Burke and Frees Estate and Wealth Preservation Blog.

News on The Economy and Commercial Real Estate

blog@www.paestateplanners.com (news Author)7302 — Sat, 07 Feb 2009 08:00:00 EST

Commercial realestate makes up a good deal of the wealth in this country. If your estate is made up in large part with commercial real estate this MSNBC article keeps you abreast of the liquidity issues facing the market and what the government is doing. The best will, estate, and trust lawyers help their clients not onl;y to build but also to protect, preserve and pass on their assets including real estate.

Pennsylvania Asset Protection - What Really Works?

dmfiii@aol.com (blog Author)8638 — Mon, 02 Feb 2009 08:00:00 EST

Many Pennsylvania residents have heard about states, such as Delaware, Alaska, and Nevada where state laws
permit residents and in some cases others, to set up trusts that protect their assets from lawsuits. Many other clients have told us about asset protection plans and articles that they have read but which are not really effective under Pennsylvania law. In this post and a few future posts, we will examine a few of the most common misconceptions and we will alert you to a few of the most important strategies and tools that do work.Common

Misconceptions:

Joint Assets Are Protected from Our Creditors and from Lawsuits:

Patially true and partially false. It is true, that when husbands and wife hold assets jointly, that those assets cannot be reached by the indiviual creditors of one spouse. However, if you are found to both be liable, your jointly held assets might be reached in litigation. For example, if you jointly own a house or car and someone is injured by the car or at the nouse, they might get a jusdgment against both owners. Now they can reach jointly owned property.

Also, if there is a lawsuite against one spouse that goes to judgment against that spouse, and the husband or wife predeceases that spouse, the assets all become the property of the survivng spouse. Then, that spouses judgment creditors can reach the asset.

Finally, jointly held assets are not protected from medicaid and nursinghomes, and if you own assets joinmtly with a child, that child's creditors might be able to reach that child's interest in the account.

Assets in A Living Trust Cannot Be Reached By Creditors

Largely false. In most states, including Pennsylvania, a self created trust - one that you create and controll - the person who creats and controls the trust is treated as the owner of those assets and they can be reached by creditors. There are, however, Irrevocable Trust strategies that can be effectivly used to protect assets for your spouse, children and grandchildren.

For more information on the misconceptions about asset protection and the strategies that really work for Pennsylvania residents, be sure to subscribe to this blog or check back regularly. You can also read this brief artcile that we have posted about asset protection. Just click here.

David M. Frees III Esquire
610-933-8069
For up to date estate and asset protection information follow David on Twitter - Just click here to follow.

Can you make your heirs smoke to inherit your stuff?

dmfiii@aol.com (blog Author)8622 — Sun, 01 Feb 2009 08:00:00 EST

This legal blog is fantastic.

I found this article on wills requireing hiers to smoke or not smoke in order to get their inheritance. In the first instance, a man cut off his daughter's interest under a trust becasue he caught her smoking. In the second example, a man who was angry at his wife's prohibitions on his smoking left his estate to her only if she smiked five packs a day. These examples are silly but it does raise the question, "What can we require of heirs in order to get their inheritance?" More importantly, we need to think about how these caluses can be enforced as a practical matter. To read more click here.

We do have a plannng process that allows you to use trusts and other mechanisms to influence the behavior of your heirs and a method to tech your trustees and heirs what is important to you and why.

Many people feel intimidated by the thought of doing their estate plan. They don't know how much it will cost. They worry about how long the process takes. They are afraid to confront economic issues and to share financial information. Our process avoids all of this. Your initial consultation is at no cost to you. We find out what you want and give you all the options in a simple and claer way. And, before you ever have to act, we set a flat fee that is acceptable to you. Then, your appointments are set in advance at times convenient to you to review and sign the documents. Itis easy, clear, and there is no risk to you.

Please call or fax us to get a questionaire or an appointment. 0ffice 610-933-8069 or fax 610-240-9323. Email dfrees@utbf.com

David M Frees III, Esquire
www.twitter.com/davidfreesesq
610-933-8069

My Wife and Kids Get it Right? Guess Again. No will or an out dated will May Not Work.

dmfiii@aol.com (blog Author)8623 — Sun, 01 Feb 2009 08:00:00 EST

Most people take for granted that if they fail to do a will, that their wife, huband and kids will get their estate in that order. However, in Pennsylvania the intsetate laws often give the estate to people in the wrong amounts or in the wrong order.

Want your husband, wife or partner to get your esate? Think that that happens automatically if you die? Wrong.

But you might be thinking, I already have an old will. Does it inlude all of your children? Any born after the will? Any deceased sine then? Are your assets titled correctly to match the will?

Even some very famous and wealthy people muck this up. In a recent tragedy, Keith Ledger (who played the Joker in the most recent Bat Man movie) passed away suddenly after an accidental overdose of perscription medication.

The insurance company is contesting the coverage. His will was drafted before his daughter was born and he was not married to her mother. This created a difficult problem that has involved many attorneys and potential disputes. For more infomation click here. Until recently, it appeared that his 2 year old daughter might not get the estate. And, what about her mother who was an important part of his life?

All of this could have been avoided if he revised his will after the changes in his life.

Make sure that you check in with your advisors when you buy more insurance, have a child, get married or form a relationship that is important to you, your wealth increases, or when there are important changes in your personal circumstances. And, make sure that your assets are stuctured to work with your will or trust.

610-933-8069 and ask for Donna or Denise
fax 610-240-9323

David M. Frees III, Esquire

Follow David on Twitter for Up To Date Information
(Legal) Twitter About the Law
(Communications and Persuasion Skills) Twitter for Business

What Do We Do Now? The Federal Estate Tax is Here To Stay...or is it?

dmfiii@aol.com (blog Author)8528 — Wed, 28 Jan 2009 08:00:00 EST

There are still people arguing for the elimination of the federal estate tax. However, it appears that it is here to stay. This article in the New York Times gets us thinking about the things that the government should be considering. But, all signs now point to a "permanent" estate tax with an exemption of $3.5 million dollars. But, if the tax remains, there are some unique planning opportunities and it will be good to know what we have to work with. That news should be forthcoming soon as congress and Obama seem set on getting a bill together very soon. We will keep you posted. If estates are exempt up to $3.5 million, many families will still need to include tranidional ferederal estate tax planning in their wills and will continue to use irrevocable life insurance trusts to own policies. However, many families will now be free of the tax and can focus planning dollars and tools on eliminating fmily disputes, protecting heirs from divorce and creditor's claims, and on eliminating or eliminating state inheritance taxes.

David M. Frees III, Esquire

Follow David on Twitter for Up To Date Information
(Legal) Twitter About the Law
(Communications and Persuasion Skills) Twitter for Business

New Exemption From Tax - Does it apply to you?

blog@www.paestateplanners.com (news Author)7126 — Mon, 26 Jan 2009 08:00:00 EST

The new limits of exemption from Federal Estate Tax has just risen to 3.5 million dollars. However, this number includes life insurance, joint acounts and other assets that people often think are not taxable. Use this tool to see if the tax applies to you. Remeber, that a professional review of your particular facts is the best solution but this is a fun tool.

You can Avoid Probate and Lose Your Own Assets Now - What's a Parent to Do?

dmfiii@aol.com (blog Author)8446 — Mon, 26 Jan 2009 08:00:00 EST

How good is an estate planiing technique that saves 2.25% in taxes but might cuase you to be taxed on your own asset or to lose it?

That is just what can happen when you use the "joint ownership" of accounts and real estate.

There is a temptation to use joint bank accounts and the joint ownership of real estate and stock accounts to avoid probate and to lower Pennsylvania Inheritance Taxes. However, there are substantial downside risks that should be considered before placing any type of account or real property into a jointly owneed structure.

First, let's consider the pros:

When you place an account in joint names with another person, it becomes a non-probate asset and transfers automatically on death to the joint account holder. In short, it is simple but may not be best.

There may be a tax savings for Pennsylvania Inheritance Taxes. If you have two joint account holders, then only half of the asset is taxed by Pennsylvania. This rule doesn't apply to the Federal Estate Tax which taxes the entire asset. But beware - you may pay tax on your own money if the joint account holder dies before you.

The Cons:

You mkight be taxed on your own asset during your lifetime. That's right. If a joint account holder - let's say a son or daughter dies before you, you pay tax Inheritance Tax on your own asset.

Your heirs might be treated unequally. If you have multiple children and make one the joint account holder of each account and then you become incapacitated, one account might be spent and the other not at all. One child might get your entire estate. Think that doesn't happen? Think again. It happens frequently.

A joint account holder might withdraw the money. This doesn't happen often, but many account tiles allow it and it has been known to occur.

A joint account holder might get sued or divorced and claims might be made on your asset. Remember, it isn't just your asset. When a child is added to an asset, there creditors might claim an interest in that asset. This can be particularly important if you have placed your house in joint names. This also poses very complicated and often negative income tax consequences discussed in another blog entry.

This type of ownership is mistakenly believed to protect assets from nursinghome and mediciad spend down. However, joint accounts are a fully available asset.

In short, joint ownership may have a place in estste and trust planning and for asset protection purposes. However, be sure that such ownership is disclosed to the team working on your estate and asset protection and be sure to discuss the pros and cons in your case.

I Love My Kids' Spouses....but What Parents Can Do To Protect Their Heirs From Divorce

dmfiii@aol.com (blog Author)8447 — Mon, 26 Jan 2009 08:00:00 EST

Have you ever worried about leaving an inheritance to a child or grandchild with an unstable marriage? What if there is a divorce? Has a heir of yours already been divorced? What if they already had the inheritance? would it still be intact?

There is generally a view among clients visiting us for the first time that it is a devil's choice. They believe that they either leave an inheritance to an heir and run the rist of divorce, or they disinherit that heir or leave them less.

There are however, planning tools and estate planning secrets that allow you to give a child or grandchild almost full use of assets while protecting them from creditors of the child and even from divorce.

These planning options run across a spectrum ranging from simple to very complex. As is often the case, the more complex the plan the more effective it is. Asset protection is generally about layering the techniques to make them less attractive and more expensive to attack. And divorce protection planning is the same.

First, and at the most simple level. You can leave assets outrigh, but leave a note or memorandum to the heir encourging the assets to be kept in a segregated account and that they not be placed in joint names with a spouse. In Pennsylvania, this does offer some protection. If the heir keeps the assets separate, they do not become matital assets in the event of a divorce. However, the growth in the value of those assets is marital property. So an issue still remains and, there is a strong psychological compulsion of heirs to make the assets joint even with your memorandum

Next, you can also suggest a pre or psot nuptual agreement be executed as a condition of the gift. Understand however, that this can be viewed a medling in the affiars of your heirs and can cause hard feeels and a problem within their relationship. Also, the heir is free to ignore the document or to voluntarily modify it before or after your death and you would not know. Even where a lawyer is paid by a parent, the lawyer cannot disclose communiocations with the child.

So, while these alternatives have some merit in simplicity, there are obvious disadvantages.

In the next installment we will examine a nummber of more powerful and effective techniques that many affluent families are using. In the meanwhile, we have an article on this topic that you can read here just by clicking.

If you have questions or comments please leave them below or email me at dfrees@utbf.com

David M. Frees III, Esquire is Chariman of the Trust, Estates, and Wealth Preservation Section
of Unrh, Turner, Burke and Frees
He is also an author and speaker on the topics of intergeneraltional wealth, Estate and Inheritance Tax Planning,
Philanthropy and Family Foundations and Donor Advised Funds.

Hot Off The Press - Bad Economy Means Act Now Or One More Reason my Children and Grandchildren Love Me

dmfiii@aol.com (blog Author)8456 — Mon, 26 Jan 2009 08:00:00 EST

I just posted a great new video. It's very short and if your are interested in passing on assets (especially stock, shore hoes, and family businesses) there may be no better time than now. Becasue assets are low and because interest rates are also low, we have a historic opportunity to pass on assets that might double and triple in value. A number of planning techniques such as GRATS (grantor retained annuity trusts) and QPRTS (Qualified Personal Residence Trusts) can also give you more leverage in moving a vaction home, real estate and stock out of your estate and still retain some of the use or value.

Even if you're feeling economically vulnerable right now you should watch this brief video and consider these simple and complex ways to protect your heirs from state and federal inheritance and estate taxes. It does appear that we will have the federal estate tax for some time and both affluent and moderately affluent families can benefit significantly from these secrets.

Watch the video now. Click this blue link.

David M. Frees III, Esquire

Follow david on twitter www.twitter.com/davidfreesesq ( Legal) and www.twitter.com/davefrees (for his communications skills advice and information

Please also be sure to leave questions or comments below to tell us what you need.

Estate Planning and Family Communications Skills Avoiding Trouble Achieving Success

dmfiii@aol.com (blog Author)8458 — Mon, 26 Jan 2009 08:00:00 EST

Dave appeared on Money Matters Today to discuss communications skills for families and business owners and executives. Maxmize your estate plan during your life time with Enhanced Communications skills. Steve Forbes has called David Frees a "Grand Master" of communications skills. Watch this brief show and find out why and how you can use these skills for your family business, within your family to avoid problems, at work, and in your personal life.

Click here for the video link or watch below.

David M. Frees III, Esquire

Follow Dave on Twitter:

Dave Frees on Comminications on Twitter
David M. Frees Esquire on Twitter on the law

Be sure to leave us your comments or questions below. Let us know what you want and what you need!

Asset Protection - Why Knowing Your Auto Insurance Policy Is The Front Line of Defense Part One

dmfiii@aol.com (blog Author)8264 — Tue, 20 Jan 2009 08:00:00 EST

Many clients are interested in complicated and often expensive asset protection strategies. And, there are many good reasons for this. All effetive asset protection planning is about multiple levels of protection. The more complicated the protective strategies, the harder it is for someone to get through and the more dauting the task for a person or lawyer thinking about suing you.

In general complicated does work. And, the plans that utilize trusts, Limited Liability Companies or corporations, insurance, off shore and domestic asset protection trusts, are highly effective, especially when these strategies are combined and coordinated. We are experienced at helping people to build a customized plan that works for them and has just the right level of cost and complexity. But complicated and expensive is not for everyone.

So, if you are looking for a simply easy, and inexpensive way to start ptotecting yourself, your loved ones and your assets, then look no further than your automobile insurance policy.

What? My isurance policy? Yes. The automobile policy is a really important part of your overall estate and asset protection planning. First, you have to check your liability coverage. Is it sufficient? Think about adding an umbrella liability policy that covers your car and your hose. It supplements your auto coverage. If a claim is made against you and it exceeds your $300,000.00 auto liability limit oyu're on the hook and your personal assets can be reached. Add coverage and add a liability umbrella. The you're covered for up to $1 million dollars of coverage or more.

Now some people ask "doesn't that make me a target for litigation?" No. it makes you well insured. And, liability umbrella coverage is very inexpensive. I have a question for you. Who gets a better lawyer assigend to them by the insurance company? Some one with $300,000.00 or some one whose coverage puts over a million dollars of the insurance company's money at risk.

Now there are many more coverage issues to consider including uninsured and underinsured coversges. These are some of the most important coverages and asset protection devices available. Many Pennsylvania drivers have ultra low limits or no insurance. If you're in an accident with one of these drivers you may never recover. You pay quite a bit in premiums to protect other drivers. Make sure that some of those premium dollars now protect you.

Then, there is the issue of full tort vs. limited tort. These topics are the subjest of upcomming blogs. Be sure to follow the blog for more updates and information that you can use. Hve a question? Leave a comment below or email me at dfrees@utbf.com

Also, watch for my soon to be published book on these insurance issues where we reveal the secrets that many Pennylvania insurance companies and agents don't tell you about protecting yourself, your assets and your loved ones. I wrote this book with my brother Robb Frees a licensed Pensylvania insurance agent for over 20 years so you get the inside information that you need.

For even faster updates of the msot imprtant legal topics follow me at www.twitter.com/davidfreesesq

David M. Frees III Esquire
Visit My Biography and the firm Web Site for More Information
To Schedule an appointment call Donna, Tara or Denise at 610-933-8069 and mention David Frees' web site to receive bonus estate planning materials at the time of your consultation.

Obama to Keep The Estate Tax

blog@www.paestateplanners.com (news Author)6956 — Mon, 12 Jan 2009 08:00:00 EST

The Wall Steet Journal reported today what we have been saying for a long time. That is, that the new government will not allow the state tax repeal to take effect and that the most likely plan will be to freeze the current levels.

According to the WSJ - "Under the Obama plan detailed during the campaign, the estate tax would be locked in permanently at the rate and exemption levels that took effect this year. That would exempt estates of $3.5 million -- $7 million for couples -- from any taxation. The value of estates above that would be taxed at 45%. If the tax were returned to Clinton-era levels, it would exclude $1 million from taxation with the rest taxed at 55%."

What does this mean to American taxpayers and families? Well, essentially, if you have more than $3.5 million of assets (or as a couple, if your individual and marital ssets exceed $3.5 and this includes life insurance), then federal estate tax planning is still an important issue and should be considered in your planning and your revised plan documents.

If your estate values (including life insurance and retirement assets) are under this amount, then planning to protect your surviving spouses, children, and your heirs from divorce, lawsuits and state death taxes should remain your focus.

Under our Enhanced Estate Planning Programs (TM) you can also make sure to protect your family knowledge base, your business and personal values as well as your wealth and assets.

Congress is expected to act early on these issues, and once they do consider reviewing your plan with your advisors to avoid it becomming outdated by the changes. You should also review retirement account and insurance beneficiary designations to make sure that they are integrated and match your plan documents.

David M. Frees III, Esquire
dfrees@utbf.com
610-933-8069

Welcome to the David Frees estate Trust and Asset Protection Blog

dmfiii@aol.com (blog Author)7498 — Mon, 22 Dec 2008 08:00:00 EST

Hello and welcome. If you are an executor, or trustee, or if you are looking for accurate and useful information about estate planning, asset protection, and passing on family assets, values and information, then this is going to be a fovorite source of useful tools and information.

If you want to avoid the hype and sales pitches and just want news and information that is useful and thought provoking about how to minimize estate taxes, protect your spouse heirs and loved ones from litigation and divorce, how to succesfully use trusts both living trusts and under your will, then please join us.

Watch the brief video below to get more on the blog contnet and how to use this page for your benefit.

Enhanced Communications - Planning Is Not Just About Taxation

dmfiii@aol.com (blog Author)7502 — Mon, 22 Dec 2008 08:00:00 EST

David M. Frees was recently cornered and interviewed on the topic of family communications and how they relate to estte planning.

http://www.paestateplanners.com/library/20987_2419_web2.pdf

Gifts to Family Members in Bad Economic Times

dmfiii@aol.com (blog Author)7506 — Mon, 22 Dec 2008 08:00:00 EST

There are very few pieces of good financial or tax information in these economic times. However, if you feel that you have assets that are more than sufficient for your lifestyle and you want to help children and or grandchildren, then these tough economic times offer a real advantage for making gifts to individuals or to trusts. In fact, it is possible to transfer many times the amount of your initial gift if your beneficiary has a long investment horizon. To learn more about this strategy watch the brief video below.

David M. Frees III
dfrees@utbf.com
610-933-8069