drafting software actually increase your law firm revenue

How STEPS™ Simplifies Medicaid and Asset Protection Planning

by Uncategorized

Medicaid and asset protection planning requires precision and expertise. Attorneys must abide by the federal and state rules and create tailored strategies for each client. Strategic Trust and Estate Planning Software (STEPS™) by Lawyers With Purpose® offers a specialized solution to simplify these challenging tasks, providing attorneys with the tools needed to deliver accurate and reliable advice. And with the added advantage of the iPug® Asset Protection Trust, estate planning has never been in a better position to serve their clients with their best interests at the forefront of their practices. 

The Challenges of Medicaid Planning

Medicaid eligibility isn’t as straightforward as we’d like it to be, governed by guidelines and strict income and asset limits. Attorneys often relying on manual processes often find themselves caught in a maze of paperwork, calculations, and endless rule updates. Inaccurate calculations or missing documents can easily derail a client’s application.

STEPS™ addresses these challenges head-on by automating the most tedious and error-prone parts of Medicaid planning. From calculating eligibility to generating clear documentation, it provides attorneys with a robust, efficient solution for managing Medicaid cases.

How STEPS™ Supports Medicaid Planning

Eligibility Calculations
STEPS™ automatically calculates eligibility based on the latest rules, saving attorneys countless hours of research and manual work. The software stays up-to-date with rule changes, so attorneys can always rely on the most current information.

Scenario Modeling
With the “what-if” scenario modeling tools, attorneys can create multiple options for clients, helping them understand the financial impact of different planning decisions. This feature is invaluable when navigating the complex rules of Medicaid eligibility.

Clear Documentation
STEPS™ generates Medicaid-compliant documents that meet legal requirements. With pre-built templates and step-by-step interviews, attorneys can generate the necessary paperwork quickly and accurately, reducing the risk of errors.

Simplifying Asset Protection with STEPS™

Customizable Trust Documents
Attorneys can use pre-designed templates to draft asset protection trusts tailored to each client’s needs. These trusts comply with all legal standards and offer flexibility, ensuring that they meet the specific needs of clients while staying within regulatory frameworks.

iPug® Asset Protection Trust

The iPug® Asset Protection Trust, designed for clients seeking to protect their assets while still maintaining control over them, offers unparalleled flexibility. It allows for customization based on specific client needs, creating a protective layer around assets without the rigidity of traditional irrevocable trusts.

The iPug® trust is a key component of comprehensive asset protection, allowing attorneys to map out planning strategies without sacrificing clarity or control. As part of the STEPS™ system, it ensures that clients’ assets are safeguarded in the most effective way possible.

Our strategic trust and estate planning software, STEPS™, includes customizable trusts designed with flexibility in mind. Some traditional irrevocable trusts can’t be altered. However, certain types of irrevocable trusts—like the iPug® —allow for specific modifications based on the type of trust chosen.

Dave Zumpano, Esq., Founder of Lawyers With Purpose said: “Why consider an irrevocable trust? Primarily, for asset protection and tax planning. For instance, if your estate exceeds certain thresholds, the government will tax amounts over that exemption. Currently, this threshold in the U.S. is about $13 million, with a 40% federal tax on anything above that. However, in January 2026, this exemption is set to decrease, possibly to around $7 million, which could increase tax exposure.

Additionally, some states, like New York, impose their own estate taxes, which can add up to 15% on top of federal estate tax. Combined with taxes on retirement accounts, this could mean as much as 74% of some assets are lost to taxes.

So, trusts—particularly customized ones like ours—allow for better control over these outcomes, helping to reduce the financial impact on your heirs.”

The iPug® trust is distinct because it empowers clients with control over their assets while ensuring robust protection from creditors and long-term care costs. Traditional irrevocable trusts are restrictive, often requiring the client to relinquish control, access, and flexibility for tax benefits. But iPug® changes that.

Here’s what sets the iPug® trust apart:

  1. Client Control: With the iPug®, the Grantor can remain the trustee. Unlike older trust types, you don’t have to appoint your children or anyone else as the trustee, keeping you in full control over investment decisions and distributions.
  2. Flexibility in Benefits: You decide whether you retain the right to income. This flexibility ensures that you can protect what matters most without exposing all assets to potential liabilities.
  3. Modification Powers: Even as an irrevocable trust, the iPug® lets you change beneficiaries and other details as your circumstances or relationships change.

How STEPS™ Benefits Your Estate Planning Practice

Efficiency
By automating calculations and document generation, STEPS™ reduces time spent on repetitive tasks. Attorneys can focus more on strategic planning and client interactions, rather than being bogged down by administrative work.

Accuracy
Built-in safeguards minimize errors, ensuring compliance with Medicaid and trust laws. By reducing the risk of mistakes, the software gives attorneys the confidence to offer their clients the highest level of service.

Client Satisfaction
Clients benefit from faster, more accurate results, helping to build their trust in your services. With the clarity and speed provided by STEPS™, you can help clients make informed decisions with confidence, improving overall satisfaction.

Case Study: Streamlining Medicaid Planning

A solo practitioner who had been struggling to keep up with Medicaid planning used STEPS™ to manage their growing workload. With the software’s automated tools, the attorney reduced preparation time for Medicaid plans by 40%, freeing up hours that could be used for client meetings and other important tasks. The result was a more efficient practice and happier clients.

Access iPug® Asset Protection Trust via STEPS™

STEPS™ simplifies the world of Medicaid and asset protection planning. With features designed for these specific needs, it not only saves attorneys time but also improves accuracy and client satisfaction. When paired with the iPug® Asset Protection Trust, the solution becomes even more powerful, allowing attorneys to deliver tailored asset protection strategies with ease.

Want to improve your Medicaid and asset protection services? Book a demo of STEPS™ and discover how our proprietary tools, including the iPug® Asset Protection Trust, can enhance your estate planning practice.

Let’s talk about how our solution can work for your firm.

Federal Court Halts Corporate Transparency Act Enforcement Nationwide

Federal Court Halts Corporate Transparency Act Enforcement Nationwide

by Uncategorized

On December 3, 2024, the U.S. District Court for the Eastern District of Texas issued a preliminary injunction halting the nationwide enforcement of the Corporate Transparency Act (CTA) and its related regulations. The court found that the CTA is likely unconstitutional, as it exceeds Congress’s authority. While this is not the first court to make such a ruling, the nationwide scope of the injunction—rather than applying only to the specific plaintiffs—marks an important development, especially as the compliance deadline for many businesses under the CTA is rapidly approaching.

What is The Corporate Transparency Act?

The Corporate Transparency Act (CTA), enacted in 2021 as part of the National Defense Authorization Act, mandates that reporting companies register with the U.S. Financial Crimes Enforcement Network (FinCEN) and disclose their ultimate beneficial owners—those natural persons who ultimately control or benefit from the company. The CTA aims to help fight money laundering, terrorism financing, tax fraud, and other criminal activities, while also trying to minimize the regulatory burden on businesses operating in the U.S.

FinCEN’s final rule implementing the CTA went into effect on January 1, 2024, and compliance began phasing in during 2024. Reporting companies formed or registered before this date are required to submit their initial reports by January 1, 2025.

Since its passage, the CTA has faced multiple legal challenges regarding its constitutionality. One significant case, NSBU v. Yellen, concluded in March 2024 when the U.S. District Court for the Northern District of Alabama ruled the CTA unconstitutional. The court found that the law exceeded Congress’s authority and issued a permanent injunction, barring its enforcement against the plaintiffs—a small business trade association, its members, and an individual. This decision is currently being appealed in the Eleventh Circuit.

Meanwhile, other district courts in Oregon and the Eastern District of Virginia have also considered the CTA’s constitutionality but determined that the plaintiffs in those cases did not show enough evidence to justify halting enforcement. As a result, those cases were denied a preliminary injunction. Both cases are now being appealed—one in the Ninth Circuit and the other in the Fourth Circuit. Additionally, a Massachusetts district court recently dismissed a challenge to the CTA after it was agreed that it did not apply to certain condo associations.

December 4, 2024 – A U.S. District Court ruling in the Eastern District of Texas has issued a nationwide injunction, blocking the enforcement of the Corporate Transparency Act (CTA). This decision halts the upcoming January 1, 2025, compliance deadline that would have required millions of businesses to disclose their beneficial ownership information (BOI) to a federal database managed by the Financial Crimes Enforcement Network (FinCEN).

The case, Top Cop Shop, Inc., et al. v. Garland, et al. (No. 4:24-cv-478), raised important constitutional issues regarding the CTA. The Court determined that the law oversteps Congress’s authority and violates constitutional rights.

Key Constitutional Issues Raised by the Court

1. Federal vs. State Power

The Court expressed concern that the CTA disrupts the balance of power between federal and state governments. Corporate governance has traditionally been regulated by the states, and the law’s federal oversight was viewed as an overreach.

2. Free Speech and Privacy Concerns

The Court also raised concerns about potential violations of First and Fourth Amendment rights. The CTA requires companies to disclose their beneficial ownership, which could infringe on rights related to free speech and privacy. The Court emphasized that forcing businesses to disclose this information could lead to government surveillance and unwanted exposure of personal or sensitive business details.

3. Financial Burden on Small Businesses

The Court addressed the significant costs the CTA imposes, estimating that the compliance bill could reach $22 billion in the first year. For small businesses, these costs were seen as an undue burden, further complicating the already challenging landscape of running a business.

Impact of the Ruling

Unlike other cases, such as National Small Business United v. Yellen (No. 5:22-cv-01448, N.D. Ala.), the ruling issued a nationwide injunction. This means that all businesses are temporarily relieved from the requirement to comply with the January 1, 2025, deadline.

For businesses that have already filed their beneficial ownership information with FinCEN, they are now able to pause their compliance efforts while they wait for further legal developments. This decision is a major win for small businesses, who were especially concerned about the costs and privacy risks associated with the CTA.

What’s Next for the Corporate Transparency Act?

While this ruling is a significant victory for opponents of the CTA, it is not the final word. The federal government is expected to appeal the decision, and the case could eventually reach the U.S. Supreme Court. A future presidential administration might also have an impact, potentially leading to changes in how the CTA is enforced.

The Court’s ruling highlights the ongoing debate over the balance between transparency and the protection of constitutional rights. As the legal process continues, businesses and legal professionals will need to stay updated on how these issues develop.

Lawyers with Purpose: Supporting Estate Planning Attorneys

At Lawyers with Purpose, we are committed to helping estate planning attorneys build businesses that are not only successful but also meaningful. We offer resources and support in areas like legal education, business operations, marketing, and community building.

If you want to stay informed about changes like the Corporate Transparency Act or need help with growing your law firm, reach out to us. Schedule a discovery call today, and let us help you handle the challenges your practice may face.

Estate Planning Essentials for Crypto Assets

Understanding Estate Planning Essentials for Crypto Assets

by Uncategorized

A recent survey found that 89% of cryptocurrency owners are concerned their families may struggle to identify and access these assets after their death. As estate planning attorneys, it’s important to understand how to effectively incorporate digital assets into your clients’ estate plans. 

Through insights from Brittney Shearin, ESQ., Head of Product & Legal Technical Attorney for LWP,  we will explore essential topics that can help attorneys confidently work this emerging area and better serve their clients who might want to include crypto assets in their wills or trust.

Here’s what you need to know about helping clients secure their financial legacies when it comes to cryptocurrency.

LWP Workflows, now named “FLOWS™

Introduction to the LWP Workflows, now named “FLOWS™” built within the Actionstep platform

by Uncategorized

At Lawyers With Purpose (LWP), we recognize that your law firm is more than just a practice; it’s a business. Without robust workflows, chaos can reign supreme. This is where LWP’s cloud-based systems come into play, allowing you to build a fail-safe practice that reduces mistakes, enhances efficiency, and frees up your valuable time. This enables you to focus on what truly matters: acquiring new clients and enjoying a fulfilling work-life balance.

This blog will explore how FLOWS™ within Actionstep can elevate your practice, leading to greater efficiency and client satisfaction.

Document Drafting for Estate Planning Attorneys

Top Tips for Document Drafting for Estate Planning Attorneys

by Uncategorized

Document drafting is the backbone of estate planning, translating your clients’ wishes into legally sound instruments that ensure their intentions are carried out to the letter. 

Whether you’re meticulously crafting each document by hand or leveraging the efficiency of automated software, the stakes are high—errors can lead to unintended consequences that may jeopardize an entire estate plan.

Bigstock-Soldier-And-Doctor-Shaking-Han-83552111

You Bet Your VA Life Insurance!

by with No Comment Asset ProtectionLegal TechnicalSystems & ProcessesVA

Among the benefits that veterans may access through the U.S. Department of Veterans Affairs (VA) is life insurance. Considering the often-hazardous duty that veterans have encountered and survived, the VA’s life insurance programs are meant to offer a measure of financial security to the family for little or no cost. And proceeds from a life insurance policy on a veteran, no matter whether a VA policy or not, are not considered income by the VA, which can be a valuable benefit for a surviving spouse.

The various VA life insurance programs are listed below with the ubiquitous corresponding VA acronym.

  • Service members’ Group Life Insurance (SGLI)
    • Service members’ Group Life Insurance Traumatic Injury Protection (TSGLI)
    • Family Service members' Group Life Insurance (FSGLI)
    • Service members’ Group Life Insurance Disability Extension (SGLI-DE)
  • Service-Disabled Veterans’ Insurance (S-DVI)
  • Veterans’ Group Life Insurance (VGLI)
  • Veterans’ Mortgage Life Insurance (VMLI)

Bigstock-Soldier-And-Doctor-Shaking-Han-83552111As the names suggest, not all of these life insurance programs are meant for veterans. The only ones that are available to veterans are the last three. The first four programs are applicable to active service members or their dependents. Specifically, Service members' Group Life Insurance is term life insurance coverage for eligible service members that extends until 120 days after separation from service. Coverage under SGLI is $3.50/month for increments of $50,000 up to a maximum death benefit of $400,000 at a maximum monthly premium of $28.

Apart from basic SGLI, there are three versions of SGLI for specific circumstances. For an additional $1 premium per month, Service members'’ Group Life Insurance Traumatic Injury Protection (TSGLI) provides for a benefit paid in life if the service member suffers a loss due to traumatic injury like amputation, blindness, and paraplegia. There is also SGLI for dependents called Family Service members' Group Life Insurance (FSGLI). And the Service members' Group Life Insurance Disability Extension (SGLI-DE) is an extension of coverage for up to two years if the service member is totally disabled at separation.

After eligible active service, only veterans, and not their dependents, have VA life insurance options: the Service-Disabled Veterans’ Insurance (S-DVI), Veterans’ Group Life Insurance (VGLI), and the Veterans’ Mortgage Life Insurance (VMLI). Veterans who receive a new service-connected disability rating have two years to apply for Service-Disabled Veterans’ Insurance (S-DVI). A “new” service-connected disability rating does not include an increase of a previously held rating, nor a rating of Individual Unemployability, which is a special rating under which the VA can pay 100% of full disability compensation to someone whose service-connected disabilities are not rated at that level. Basic coverage under S-DVI, which offers both term and permanent type plans, starts at $10,000, and supplemental coverage can be purchased up to $30,000. If the new service-connected disability began before the age of 65 and lasted six consecutive months, the premiums for the first $10,000 in S-DVI coverage are waived.

For any service member who was covered by a SGLI policy during active duty and does not want to lose that coverage beyond the given 120 days after separation, there is the option of converting SGLI to a Veterans’ Group Life Insurance (VGLI) policy or even to a commercial policy. VGLI is a term life insurance product that provides lifetime coverage as long as the premiums are paid. Coverage can be the same amount as the original SGLI policy or can be reduced by increments of $10,000. Once enrolled, you can increase coverage by $25,000 every five years up to a maximum coverage of $400,000

The final insurance program available to veterans is Veterans’ Mortgage Life Insurance (VMLI), which is specifically for severely disabled veterans who have received a VA Specially Adapted Housing (SAH) grant to help build, remodel, or purchase a home, have the title to the home, and have a mortgage on the home. There is also an application deadline of age 70. A VMLI policy provides coverage equal to the amount of the mortgage still owed, up to $200,000, and is payable only to the mortgage holder. It is a decreasing term life insurance that reduces as the mortgage balance declines.

There is a convenient tool called Overview of VA Insurance Benefits created by the VA that allows you to pick the insurance program and then get further guidance on specific program eligibility. If a service member is qualified for SGLI, he or she, along with their non-service-member spouse, is automatically enrolled. To qualify, the applicant has to be an active-duty member of the Army, Navy, Air Force, Marines, or Coast Guard; a commissioned member of the National Oceanic and Atmospheric Administration or the U.S. Public Health Service; a cadet or midshipman of the U.S. military academies or the Reserve Officers Training Corps (ROTC) engaged in authorized training and practice cruises; or certain reserve members.

Veterans, on the other hand, must complete applications for VA life insurance products. Complete and file form VA Form 29-4364 for Service-Disabled Veterans’ Insurance (S-DVI) or apply online at https://www.insurance.va.gov/portal/. Veterans’ Group Life Insurance (VGLI) requires completion of VA form SGLV 8714 or an online application at the Prudential website: https://giosgli.prudential.com/osgli/web/OSGLIMenu.html. Finally, one can only apply for Veterans’ Mortgage Life Insurance (VMLI) by completing VA form 29-8636.

If you would like to learn more about becoming a Lawyers With Purpose member consider joining us in the room the week of October 24th – October 28th in Houston for The Law Profit Summit and the Tri-Annual Practice Enhancement Retreat.  We promise it WILL change your practice!

By Sabrina A. Scott, Paralegal, The Elder & Disability Law Firm of Victoria L. Collier, PC, and Director of VA Services for Lawyers with Purpose.

Victoria L. Collier, Veteran of the United States Air Force, 1989-1995 and United States Army Reserves, 2001-2004. Victoria is a Certified Elder Law Attorney through the National Elder Law Foundation, Author of “47 Secret Veterans Benefits for Seniors”; Author of “Paying for Long Term Care: Financial Help for Wartime Veterans: The VA Aid & Attendance Benefit”; Founder of The Elder & Disability Law Firm of Victoria L. Collier, PC; Co-Founder of Lawyers with Purpose; and Co-Founder of Veterans Advocate Group of America.

Bigstock-Broken-Wedding-Rings-19863971 (1)

Does Your Trust Really Have Remarriage Protection?

by with One Comment Asset ProtectionDavid J. ZumpanoEstate Planning Drafting SoftwareLegal Technical

As a lawyer practicing in the elder law and estate planning industry for 25 years, I'm always intrigued by what lawyers refer to as remarriage protections. Remarriage protection relates to the provisions that one puts in a trust to ensure after a spouse dies and a surviving spouse remarries (or cohabitates) that the underlying estate plan of the deceased spouse is honored and maintained. The truth is that trust systems in the estate planning industry have little, if any, remarriage language or protections. The general protection that trust systems provide for remarriage is that if a spouse remarries, they allow you to discontinue payments of interest or principal to that spouse, and that's usually limited to the context in a family or marital trust. Wow, that's remarriage protection?


Bigstock-Broken-Wedding-Rings-19863971 (1)Hardly. In the Lawyers with Purpose Client Centered Software (LWP-CCS) system, there are layers of remarriage protections available to the client. First and foremost, the trust system tracks all of the benefits granted to a surviving spouse as you design the plan and import data into the trust system. Second, the trust system tracks all of the authority that you give a surviving spouse as trustee, trust protector, etc. Third, the LWP-CCS system allows you to identify what your client considers to be “remarriage.” In our default definition, the language identifies that a spouse will be deemed to be remarried after cohabiting for one night. The software also allows you to customize your own definition of remarriage, and once that definition is triggered you are then allowed to customize which of the powers or benefits that you have granted a surviving spouse will be modified or eliminated, along with any conditions for reinstatement.

For example, if a surviving spouse has been named trustee, the software knows that and asks you if you want to remove the right of the surviving spouse to be trustee upon marriage. Secondly, the trust software tracks all beneficial interests of the surviving spouse, and if you elect to have remarriage restrictions, the software will show you all the different places where the surviving spouse has retained a right to benefit from the trust. It will also ask if you want to minimize or eliminate any of those benefits individually, not collectively. That is, you can pick and choose which ones stay and which ones go.

Does this seem too good to be true? Well, it is if you have regular software, but the LWP-CCS software has been designed around the needs of the client, not the lawyers. The good news is, once you identify the needs of the client, the software will put in the necessary legal language to accomplish the objectives that you have identified for the clients. This is what being a Lawyer with Purpose means, and this is what client-centered software is all about. Don't go it alone. Let Lawyers with Purpose show you how to do real remarriage protection planning for clients.

If you aren't a Lawyers With Purpose member and are even thinking about adding estate or elder law to your existing practice, or want to make your estate/elder law practice more efficient, join us in the room in Houston this October 24th and 25th. Click here for the full agenda and to discover more of what you'll get from this program!

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