The IPug™ Protection Trust

by with No Comment Asset ProtectionEstate Planning Drafting Software

The Lawyers With Purpose Client Centered Software has different genres of trusts.  And it's important to distinguish the iPug protection trust.  Many other national organizations try to compare themselves to it, but they can't.  The iPug is trademarked and even has some patent-pending features to it.

I've had the ability to look at all the softwares in the industry, and they all have features that match some of the features in an iPug trust.  But an iPug trust is a series of features that are unique all in one place that gets a variety of results.  What are some of the results?

For example, an iPug trust can be used for several facets.  One facet it is traditionally used for is Medicaid eligibility.  And there's variations of Medicaid compliance, so we have the income-only versions, we have the control-only versions, and we have the third-party versions, otherwise known in the Lawyers With Purpose community as the MIT, the FIT, and the KIT.  These are our trademarked terms.  You cannot have a MIT, FIT, and KIT unless you have our iPug software.

It is a very unique series of features and functionalities that work together to get results that apply not only to the Medicaid client, but also has uses in VA eligibility and in asset protection, far beyond Medicaid.  For non-taxable estates – ten and a half million dollars or less for a married couple – five and a quarter million dollars currently for a single person – there's a lot of functionality for asset protection.  You can use it for business owners quite commonly and I have a client that just had five of them for his multiple real estate holdings.

So these trusts have multiple, multiple applications far beyond the Medicaid, but also they're user friendly.  Clients like them because they're able to be in control of the trust or able to change them.  They're actually able to even have some uses and benefits from them with some restrictions that we provide training on.  They are very unique and very exciting!  And once you get it, it's hard to go back to anything else.

 

If you are intested in learning more about the Lawyers With Purpose software and want to spend 2 and 1/2 days with us learning about Asset Protection, Medicaid & VA, register for our Practice With Purpose Program today and reserve your spot.  If you are an existing LWP member and would like to attend please contact acrowther@lawyerswithpurpose.com for registration information.

David J. Zumpano, Esq, CPA, Co-founder Lawyers With Purpose, Founder and Senior Partner of Estate Planning Law Center

The VA Benefits Software

by with One Comment Estate Planning Drafting SoftwareLegal MarketingVA

Our VA software is very unique.  With Victoria L. Collier, the number one V. A. expert in the country, helping develop and create the software. 

 

Many people don't know the eligibility standards around VA benefits.  They know that there is a certain amount of assets and income, but you don't know the amount of assets you can have.  In many cases, you can have assets in the hundreds of thousands of dollars and still be eligible.  We have the software that uses the VA's own formulas in making these determinations.

In addition, our software is very unique in that you could enter client information and it will generate the necessary documents for the application.  We have a complete application process that is tracked through a client management system which gives you reporting, so you're very familiar with where each case stands and what step of the process it's in, the forms that have been completed, which ones are done by clients, which ones are done by the office, and the software will generates those forms. 

Very unique and different, unparalleled in the industry.  Very user friendly for any law practice that's experienced, or doing veteran benefits for the first time, they can confidently ensure that their paraprofessionals are able to handle a large majority of this work.  And they can keep tabs on it with the reporting to be confident that they're not missing any major deadlines.

It’s great technology to help any practitioner be confident that they're not missing anything!

If your interested in learning more about the LWP-CCS drafting software, join us in Phoenix October 20-22nd at our Asset Protection, Medicaid and VA Practice With Purpose program.  Click here to register today!  Existing members who would like to participate can contact Angela at acrowther@lawyerswithpurpose.com

David J. Zumpano, Esq, CPA, Co-founder Lawyers With Purpose, Founder and Senior Partner of Estate Planning Law Center

 

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The Medicaid Aspects In The Estate Planning Drafting Software

by with No Comment Asset ProtectionEstate Planning Drafting SoftwareMedicaid

Our Medicaid software is industry-changing. We've designed software with artificial intelligence – it knows the applicable laws and exemptions as you enter clients' information. Not only does it tell you the plan of action to take, but it also designs the funding plan and drafts an opinion letter for you to give to clients.

Click this link to watch the video of Dave discussing the unique Medicaid aspects of the software.

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Who Is The LWP-CCS Drafting Software Designed For?

by with One Comment Estate Planning Drafting Software

In this short, less than 2 minute video, Dave explains how seasoned estate planning attorneys appreciate the flexibility of being able to go beyond fundamental estate planning to help their client families with VA, Medicaid, Asset Protection and even Tax Planning using the Lawyers With Purpose estate planning drafting software.

Bigstock-Play-button-53748670Newer attorneys also appreciate the confidence-building safety of the software that prevents mistakes. Asset protection attorneys who are used to domestic asset protection trusts find that the iPug trusts affords the same benefits without any complications.

Watch the video and listen to Dave explain more of the benefits.

 

 

 

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What’s A TAP™ Trust?

by with No Comment Asset ProtectionEstate Planning Drafting SoftwareLegal Technical

Many people wonder what a TAP™  trust is.  To start, a TAP™  trust is a “Tax All Purpose Trust.”  The name reflects the usability and functionality of trusts that were traditionally much more restrictive. 

Most people are familiar with an ILIT, an Irrevocable Life Insurance Trust.  This trust is traditionally created to hold life insurance policies to ensure it’s proceeds at death, are not included in the estate of the grantor for estate tax purposes.  The ILIT can be either a grantor or non‑grantor trust.  Essentially, a grantor trust is one in which the IRS deems the grantor to be the owner for income tax purposes.  This ensures that all income generated by the grantor trust is taxed to the grantor directly; on his or her tax return, and not taxed to the trust (whose top tax rate occurs at about $11,000 versus the top tax rate for individuals which is more than $450,000.  In a separate regard, transfers to ILIT’s or other grantor trusts are a completed gift for gift tax purposes and excluded from the estate of the grantor in determining the grantor’s estate tax at death.

Bigstock-Close-up-on-old-book-on-colorf-52414138The Tax All Purpose trust is similar to the ILIT but much more expansive.  Traditionally ILITs held only insurance policies.  The TAP™  trust can hold insurance policies, real estate, stocks, bonds, and even business interests.  In fact, it can own any asset you own, even your IRA, (but not until after your death).  A TAP™  trust, like a traditional ILIT, can be set up as a grantor, or non-grantor trust.  As a non-grantor trust, it will be taxed as a separate taxpayer, and all the income is taxed directly to the trust at trust income tax rates.  As a grantor trust, all income is taxed on the personal income tax return of the grantor, at the individual tax rates. The flexibility of the TAP™  provides convenience for clients because a single trust can hold many various assets rather than having a single trust for each type of asset.  Similarly, a TAP™ trust can also act as a standalone IRA trust, if designed.  While other trusts accomplish this with more flexibility, if a client had a TAP™ trust for other purposes, he or she could also use it to accomplish your IRA planning goals. 

Another opportunity use for TAP™ trusts is to make annual gifts to one (or several) people to reduce the taxable estate of the grantor.  In some circumstances clients elect separate TAP™ trusts for each grandchild.  The intent is to make annual gifts in the amount of the exclusion (currently $14,000.00) to each grandchild and appoint each grandchild the trustee of their separate trust.  The TAP™  is used as a mechanism to identify how each beneficiary utilizes and manages the assets to allow the grantor become more confident of the beneficiaries ability to manage it more responsibly.  Ultimately, the client can use the TAP™  trust to identify whether additional annual contributions should be made for the individual and whether they should be the beneficiary of all his assets after death.

In today’s world of expanded estate tax limits ($5,340,000 – 2014), a TAP™  trust is a catchall trust to address the need of clients who want to give completed gifts to third parties without necessarily having them be controlled by the beneficiary, but allows for it if desired.  The primary purpose of a TAP™ trust is to ensure all gifts made to the trust will be excluded from the grantor’s taxable estate.  In the absence of being concerned with estate tax, an irrevocable pure grantor trust (IPug™) should be used.

David J. Zumpano, Esq, CPA, Co-founder Lawyers With Purpose, Founder and Senior Partner of Estate Planning Law Center

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Separating IPug(tm) Trusts From “Traditional” Irrevocable Trusts & RLT’s

by with No Comment Asset ProtectionEstate Planning Drafting SoftwareLegal Marketing

One of the main sources of confusion for clients, their families, our business synergy partners, and even other lawyers, is how the iPug™ trust differs from "traditional" irrevocable and revocable trusts.  In order to help clients make the best decision about what is right for them, we need to educate.  However, in a busy law practice, it is sometimes impractical, maybe even impossible, to fully educate everyone, especially if there are adult children or other busy professionals involved.

Bigstock-Podcast-2624126Lawyers With Purpose Member, Nicole Whipp, is a practicing attorney in Southeast Michigan.  Her firm, Family & Aging Law Center, has three offices that serve five counties in the metropolitan Detroit area. Nicole is a self-proclaimed "serial entrepreneur" and passionate marketer, and is always working to use her marketing to educate about the benefits of elder-centric estate planning. She has created Smart Planning 101 (content is not confined to state-specific law).  It covers topics that generally affect what "older Americans" and their families may face. 

She has created a resource for you that will boost your efforts in educating others about the benefits of iPug trusts (especially if someone says, "Where can I go to find out more about this?"). Recently, Nicole Wipp interviewed Dave Zumpano on her podcast, "Smart Planning 101."  In the course of two episodes, Dave thoroughly explains the fundamental differences between the various types of trusts and how the iPug fits into a complete estate plan.  Even better, he does it using easy-to-understand language.  

The interview and explanation is geared toward the layperson, but that doesn't mean it isn't beneficial to a lawyer. Whether you choose to have clients listen to it on their own time, or you use it to gain insights into how to convey the message in a way that is easy to understand, Dave is there – and even better, on demand!

A note from member Nicole Wipp:

“One of the main benefits of belonging to an organization such as Lawyers With Purpose is that it helps you, the attorney, differentiate yourself in what is becoming an increasingly commoditized market. (Online estate plans, anyone?)  There's no question that a majority of the work we do is highly specialized, yet the public generally still doesn't understand the real benefits of working with an elder law attorney that can help them navigate the maze of federal, state, and administrative law and procedures that can and will affect them.  These podcast episodes with Dave will help illustrate the real difference of what you can provide.”

Nicole C. Wipp, Attorney & Counselor at Law - Family & Aging Law Center PLLC 

 

Industry Leaders In Estate Planning Drafting Software Since 2001

by with No Comment Estate Planning Drafting Software

Our Medicaid qualification worksheet is by far the most advanced in the industry and our Medicaid qualification software is the only software in the entire industry that helps you properly calculate Medicaid eligibility for any type of client. Not only does it help you identify the maximum amount of assets that can be protected in the shortest period of time, it helps you present it to the client in a methodology they can understand and you can be confident you can achieve.  

Click the video below and watch a short presentation on exactly how the Medicaid Qualifiction Worksheet Module in the LWP-CCS works.

 

By use of the Medicaid qualification software, you are able to provide not only clients, but also your referral sources, detailed opinion letters on the asset protection and Medicaid planning strategies you can utilize to get each client qualified in the soonest possible time, protecting the maximum amount of assets based on an individual fact pattern. More importantly, it also calculates the asset risk analysis and the funding road map to ensure the funding is done in a timely and effective manner.

Most recent editions include an IRA liquidation analysis and annuity versus trust planning analysis. An IRA liquidation analysis, which actually calculates the point in time in which it would have been more advantageous to liquidate the IRA and pay the tax, rather than annuitizing and taking the RMD. Another recent edition includes the annuity versus trust planning analysis which helps identify the exact amount of money needed to go into an annuity, and when it would be more effective for the client for a trust plan to be utilized. There is no other software in the industry or even training that provides this information and knowledge. And at Lawyers With Purpose, it's at your fingertips any time you'd like it, in real time.

I have been providing this Medicaid expertise to the national industry since 2001 and have introduced it to at least three different national estate planning legal organizations including the National Network of Estate Planning Attorneys, Wealth Council, and the American Academy of Estate Planning Attorneys. Bringing this knowledge into tools and systems to help estate and elder law attorney know they are not missing anything and getting the best possible result in their practice is something I enjoy brining to Lawyers With Purpose members.

David J. Zumpano, Esq, CPA, Co-founder Lawyers With Purpose, Founder and Senior Partner of Estate Planning Law Center

 

What’s Included In Our Estate Planning Drafting Software (LWP-CCS)

by with No Comment Estate Planning Drafting SoftwareLegal Technical

One of the most unique and powerful elements of the entire Lawyers of Purpose™ Law Practice Model is our industry busting document creation software. What makes it industry busting? It's a whole new dimension to provide competent legal documents. But what makes it unique is that it's not just software, it's a culmination of the estate planning experience for the client.

The name says it all, "Lawyers with Purpose, Client-Centered Software" (aka LWP-CCS). It is unparalleled in the industry, because unlike typical legal software, this software is based wholly on the needs of the client. In fact, the needs of the client are clearly identified in the initial meeting when they hire you. The process we use to help them identify the plan solves the need the client has expressed. It starts all the way back at the workshop where we educate them. It then carries into the initial meeting where they hire us and then into the design meeting where a detailed design template is utilized. This helps to walk the client through their life, while they are alive and well, when they become disabled, when they die, when their spouse becomes disabled or dies, and even when their assets pass to their children and what happens if they become divorced, die, disabled, or have creditors or predators pursue them.

The other industry busting element of this software is that it is a single entry system. This means that a single interview based on the design will generate all documents (wills, healthcare proxies, powers of attorneys, revocable trusts, and irrevocable trusts) all based on a single entry. More importantly, as you go through the interview, the software will warn you if you pick choices throughout it that are inconsistent or could lead to potential malpractice. You are protected at every angle and that's not all.

In addition to these protections and industry busting standards, it is also the most customizable software in the industry. It permits dozens of sub-trusts, trustee appointment for each sub trust, different distribution standards for classes of trusts, stand-alone sub trust and even has an element of artificial intelligence to create results that you as the attorney, once trained, are absolutely confident not only in what you are doing, but anyone in your office that is supporting you in this role will be doing competently and confidently.

Another unique offering of the software is its comprehensiveness. Not only does it provide wills, healthcare proxies, and powers of attorney, but it's our industry exclusive personal needs plan, IPug™ trust, completed gift trust, and Medicaid qualification software. Come see the next generation of document creation.  Click here (or below) to watch a short video (less than 2 min!) about what's included in the LWP-CCS.

David J. Zumpano, Esq, CPA, Co-founder Lawyers With Purpose, Founder and Senior Partner of Estate Planning Law Center

 

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Live Webinar TOMORROW On The Recent Supreme Court Decision

by with No Comment Asset ProtectionEstate Planning Drafting SoftwareLegal TechnicalMedicaid

As many of you learned at our last Member Tri-Annual Retreat the U.S. Supreme Court in Clark v. Rameker ruled that inherited IRAs are not "retirement accounts" for purposes of protection from creditors and predators.  While this shocked many in the industry, it has been the position we have held and trained all of our Lawyers With Purpose Members for the last ten years! 

So what does this mean to us as practitioners? 

Bigstock-Brown-Gavel-46632817Actually, it validates our planning strategy and creates an incredible marketing opportunity for us to go back to our clients and those clients of other attorneys who have not been kept abreast of this very important topic.  It's also a wake-up call to those of you in LWP who do not stay as "active" as capable to stay aware of these things which we regularly talk about on the Live ListServ, and at our Member Tri-Annual Retreat. The good news is, Lawyers With Purpose is swift and the first national organization addressing it – and we will be TOMORROW. 

On Tuesday, June 24th at 12:00 p.m. Eastern Standard Time I will be hosting a live Lunch & Learn for all of our LWP members, all of my financial professionals, and the general estate planning industry at large.  In this one‑hour program you will get:

  • An understanding of the key holdings of the recent Supreme Court decision.
  • Learn the asset protection strategies available for inherited IRAs.
  • Know the four requirements for trusts to qualify to own IRAs without causing taxation.
  • Discover the "inside" and "outside" planning strategies we have used for years to protect inherited IRAs and provide clients with the maximum number of options at death to avoid the loss of an IRA to creditors and long-term care costs.

Also of relevance to LWP members, the complete marketing package that I have created to roll out to my local referral sources will be available and posted to the member ListServ and be posted on the member web site.  This packet will include:

  • E‑blast to send to your referral sources
  • The Power Point presentation to deliver to your advisors
  • The recording of the live presentation to see how I presented it  
  • A complete evaluation that will be a call to act to those in attendance of the program. 

As a side note, at the last Member Tri-Annual Retreat I lead an entire focus session reviewing all the reasons for naming the trust the beneficiary of IRAs.  What was amazing was I indicated in that program, that we were expecting a decision from the U.S. Supreme Court "any day."  Little did we know it would be the very next day.  The powerful parts for those "in the room" is that they are now properly prepared and ready to address this issue and they have a full understanding of the "inside" and "outside" strategies utilizing trusts for IRA protection.  

Please join me for tomorrow's Live Presentation by registering using the link below:
 

David J. Zumpano, Esq, CPA, Co-founder Lawyers With Purpose, Founder and Senior Partner of Estate Planning Law Center

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Special Live Webinar: Supreme Court Rules Inherited IRA NOT Protected

by with No Comment Uncategorized

For the past two years you’ve been keeping your allied professionals and clients advised on the controversy between Federal district courts on whether an inherited IRA is protected from bankruptcy and other predators. 

Bigstock-Brown-Gavel-46632817For the past ten years, Lawyers With Purpose has taken the position inherited IRAs are not protected and have planned for their clients accordingly.  On Friday, June 13th, the U.S. Supreme Court in Clark v. Ramiker ruled inherited IRAs are not retirement accounts for purposes of protection from bankruptcy and general creditors. 

We are excited to bring to the LWP community a LIVE GoToWebinar of Dave presenting a live Lunch & Learn to his allied professionals on what the U.S. Supreme Court has ruled on Tuesday, June 24th at 12:00pm EDT.

In one hour you’ll get:

  • An understanding of the key holdings of the recent Supreme Court decision.
  • Learn the asset protection strategies available for inherited IRAs.
  • Know the four requirements for trusts to qualify to own IRAs without causing taxation.
  • Discover the "inside" and "outside" planning strategies we have used for years to protect inherited IRAs and provide clients with the maximum number of options at death to avoid the loss of an IRA to creditors and long-term care costs.

While many are surprised by the Supreme Court’s ruling, we believe working with well qualified, forward thinking estate planning attorneys, like you, is essential for your clients to protect their most valued asset.  Now let’s let your community and allied professionals know, and showing up for the GoToWebinar will get you the information you need to know to start that conversation.

Join us on Tuesday, June 24th at 12:00pm live via GoToWebinar. Click here to register now! We hope you can join us!