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with Nicole Brandon and guest Brett A. Bjornson

Hourglass Bride with Nicole Brandon and guest Brett A. Bjornson, Bjornson Law

Title: Brett A Bjornson - Legal Agreements

Tags: Legal Agreements, Wills, Estate Planning, Prenuptials, Prenuptial Agreements, Family Planning, Family Future, Legal Agreements, Wedding To Do, Decisions, Advice, Money, Investment, Investments, Afterlife, Contracts, Homes, Homeplaning, Insurance, Life Insurance, Trustfunds, Financial Analysis, Wedding Contract, Wedding Agreement, Marriage License, Legal Pitfalls, Agreements, Notary

Unlimited Life

Unlimited Life – New Science, Ground-Breaking Information, Ultimate Health, Secrets, Tools and Technology for Leading and for Living an Unlimited Life.

Hour-Glass Bride – The World’s Number One Show for Relationships, Intimacy, Communication, Connection, Sexuality, Marriage, Happiness, Bliss, Passion, Sensuality and Living the Happily Ever After.

Nicole is revered Internationally and one of the World’s 100 Most Influential People. In 2019, 2020 and 2021 she was on the top list 10 of the Most Fascinating People in the Nation.

From stage to screen, from books to broadcasts Nicole shares her dynamic gifts and talents for having it all.

Nicole is known across the globe as “The Ambassador of Kindness”. Knighted for her humanitarian service Nicole has been a Peace Ambassador in 59 countries. Nicole is also a World Peace Flame Carrier and a proud Member of the Transformational Leadership Council and the Association of Transformational Leaders in Europe. She has been a Keynote Speaker on almost every forum from Fortune 500 Companies, The Olympics, the World Cup, Charity Events and even to Doctors and Medical Organizations on What is a Miracle.

An undefeated champion with 220 wins out of 220 competitions Nicole holds National and International titles in Dance and Acrobatics. Nicole has been inducted into the Martial Arts Hall of Fame and into the Elite Black Belt Hall of Fame. She is a 7 Time Hall of Fame Inductee.

Nicole is a New York Times Best Selling author (having penned 32 books). Her talent on the air find her Hosting 6 Internationally acclaimed programs (Passionate Living, Unlimited Life, Hourglass Bride, Parenting Today, The Green Room, and The Secrets to a Dream Life) 

Nicole is the Television Host of (Happily Ever After, Keeping Score, Mental Prison and DreamLife)

Her videos, books and broadcasts can be found worldwide. 

Nicole coined the phrase “Artistry in Motion” which of course, is the way she lives.

Main website:
https://nicolebrandon.com/

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https://www.instagram.com/nicolebrandonworldwide/

Facebook:
https://www.facebook.com/nicolebrandonunlimitedlife/

YouTube:
https://www.youtube.com/channel/UCEuLyaoWuTiXfdKf4K8bkAg

DreamLife Secrets:
https://anchor.fm/dreamlifesecrets

Ambassador of Kindness:
https://www.ambassadorofkindness.net/

Nicole Secrets:
https://drive.google.com/drive/folders/1-8mjwCuVTFoFtCU3FnjsOR5NOnlxy4Ir?usp=sharing

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Weekly Show
BBS Station 1
Wednesday
Starts
10:00 pm CT
Ends
10:55 pm CT
Show Transcript (automatic text 90% accurate)

what hi it's Nicole Brandon and welcome to hourglass Drive I am really intrigued by Today Show months and months and months ago we are making list of what we really want to bring you the tools and techniques how to have a happily-ever-after how to really communicate and have your life Today Show is actually at the top of my list it was really a proper information the correct information and we leave something that can help you as a couple as you bring your life together and you're really lucky how to do before the things together CTA station specialist to his channel to 30 years experience
entity planning and his multi-faceted experience as an attorney and it's a CPA including his complex legal matters concerning property income gift estate issues and I net worth so he's so much and you know mostly what I was intrigued by is really that he's working specifically for the family support planning he also has served
litigators across the vast array of trust and tax matters any.
And singleness challenging and complex Financial transactions on the principle of
Eeveelution Esquire professional corporation which is a thriving Independent Business Practice Act in 2004 with the vision of creating Southern California and prior to that his firm was well regarded as the premier Boutique firm that specialized in income trust to Statenville transfer my chest so excited I looking at stepping into the Green Lantern what are the legal ramifications would it illegal matter is what
forward and you grow closer and you're looking Ashen Hunter generations to come and where do you look for that legal advice and how do you know when it's the right time and how do you know who to turn to on the right questions to ask and so I'm just so thrilled I just witnessed today so please welcome
oh my goodness what is the highest rate of experience you have to go on for a little longer than I thought oh no I mean I didn't even read your complete and what you doing this so accomplished and so first time when I was very young at about the age 18 envision myself dealing with people on a financial level and went into the truck in the state area to CPA and then over time I went and got my law degree and began to practice law but my focus has always been on trust and estate matters which involves families
that sentence in the right time and you know this is why we have people that are marrying you know a spouse it already has children and so they're becoming a new family and sometimes they're combining their families and then we have people that have been married 25 years or fifty years that are listening to the show for the tools and techniques to deepen their relationship and so when is the right time for somebody to come to you like a minute and I say that because often younger couples are the most difficult to deal with because trust and estate planning has to do with mortality issue an address is when you die and the younger you are the last you envision your mortality and they seem to put it off they seem to think that there's no need to address it
I'm going to live forever and they delay even if they come in as a client even if they sign an engagement letter in it they go forward they procrastinate on executing the documents and estate planning to Forever moving Target so it's constantly revised and redressed I'm so executing the documents once is a good thing because they're in place but what do you think about young couples you think about whether or not they have children because of the impetus there to create an estate plan has more to do with having a child in G's what if we're both gone me and my husband are gone what do we do then and who's going to take care of our child that's the principal concern for younger couples so starting with a younger couple the child and produced a create even a simple will in California and I'm a California attorney so I can only speak to California law
where in California is a very simple document do you can hand write it as long as you sign and date it and it's all in your handwriting that it constitutes a will and even if the will says I leave everything to my husband and yet if my husband is gone and I'm gone I want my friend John Smith to be the guardian of my child that's the biggest decision for a young couple who's going to take care of my child when I'm gone if I was in an accident tomorrow
that is really really is a far from their homes are here from different countries where you been and where do you trust and adding it some consideration I will be in your heart
the subject of who takes care of your child when you're gone is so deep and it's a wide Continuum of choices I mean a lot of couples think LOL I will pick our parents they're still young enough to take care of our infant child if we were gone tomorrow and yet something that or it's not going to be your parents going to be my parents so that this course is often difficult between couples because they don't know who to choose is it in local is it a friend is it the best friends that have 3 kids and they contemplate whether or not that best friends going to be the guardian if they're gone and then you have to contemplate whether or not your child's going to mess in with their children and whether or not they're going to be like the Cinderella step child or not treated and also when you think about someone being the guardian of your child you also have to think about whether or not that same person is going to be the one who runs the money for that child in other words if you have
not only are you contemplating who's going to take care of your child physically but who's going to take care of the money for that child over time and they are you kind of step back and go with cheese I don't know if I want the guardian to be the caretaker of my child and the caretaker of my money because if there's a caretaker of my money they might just use it to build an addition on their house to put a bedroom into my child sleeps in total really tough question sometimes step back and on the trustee note of who watches the money for the child you often contemplate whether or not you have co-trustees that dear friend that you chose the uncle that you chose the parents that you chose and maybe an independent third party that helps watch the money to make sure nobody does dip into those does money's left to itch and infantile
do you need a person's permission so if I said okay if something happened to me I would want my best friend Chris to take my kids and then do you need Chris's permission to do what happens if she passed away or you're gone and then your friend does not want the child for once and it's also a good idea to create a series of choices not just one because like you said if that person Chris passes who are the next two going to be just in case and that person is not required to take on the responsibility in California if you name a guardian that Guardian has to be approved by the court there's no two ways about it and that's a good thing you want the court to oversee that process you want the court to give Chris a the legal authority to deal with your children but Chris is not bound Chris can just deny the
so in other words you named Chris and you don't name anyone else
Chris chooses not to do it well then it's up to any other interested party to step into a court of law and say a little like they'll raise their hand and say we'll watch out for this child and the judge very well might appoint that person even if you didn't choose that person if the court finds it's in the best interest of the child so no Chris doesn't need to accept the responsibility but it sure would be nice to Chris said that she would
so that she knows that she's on that list and then she knows to petition the court if you're gone and you might even want to give Chris a copy of your will where you name the cheese the appointed person to be the guardian of your children
it's such information it really is the storm that just happened you know how much the way I might do a little little kids and is such a marvelous thing and it's and it's such a security
to do this like I said my parents is it going to be my brother is it going to be your sister or you know what I don't want my brother and I know you don't want your sister and we do think it should be the best friend Chris but again when you think about the best friend Christy has three boys and you have one girl and you're thinking do I really want to take my girl and put her in that environment without family for the rest of her life and that's a very young age I mean like like I mentioned earlier State planning is a never-ending moving Target until you die so when you have an infant's three you don't know what that child going to be a scholar you don't know if that child can be a drug addict you don't know if that child might be in an accident at young age and has special needs and require constant medical attention when you don't know all those things it's very hard to plan has
child ages and becomes 12 15 18 Stephen 25 because for your more elderly audience they contemplate well cheese if I'm worth a certain amount of money when do my children get that money out right how long do I leave it in trust do I leave it in trust until they're 18 do I wait until they're out of college say 25 or do I let him have it all out of the gate or do I lock it up until they're 67 zup a whole range of issues in that when you in in California unlike Canada does not even permit trust friends since but in California to u.s. trust her use across the board they're quite common and a husband and wife that creates a trust
between themselves that trust offers no asset protection that trust is just like an alter ego the trustees on the assets for the benefit of whatever the terms in the trust our where I'm going with that is that when one of them dies or when both of them died and they leave in assets Assets in trust for the benefit of their children that trust for the child is an asset protection trust me when I say that I go that means a lot because asset protection is one of the first things that you contemplate with respect to the state planning a young couple who buys a house in California generally if they have automobile insurance with the same carrier that has the Casualty Insurance on their house they can get an umbrella policy and you can get an umbrella policy fairly inexpensive way for like 3 to $500 per million dollars and in other words if someone has a slip and fall in your driveway and they are riding a skateboard
bang their head and they sue you and you don't have an umbrella policy you can very well lose your house if that's your principal assets
if the range on that is a million up to 5 but why I mention that is that umbrella policy is one of the first things that I discuss with my clients and that it's very important to him but take that away and think about an 18 year old or 22 year old or 24 year old or even a thirty-year-old who goes in the business signs a line of credit and then goes bankrupt if they have assets that you leave them at a young age those assets will be gone because they went bankrupt that those assets are left in the trust until 8:25 till 8:30 or 35 or even fifty or sixty it's a tool that protects those assets during the rest of their life or at least the term of that trust so if it is locked up until their 40s they go bankrupt when they're 25 the creditors might be able to reach the income stream from that trust but they won't be able to reach into the trust and grab the assets out of it
so that the the whole concept of dealing with a sad deal with the guardianship out of the gate and realizing the estate planning The NeverEnding moving Target that these children are going to age and your wealth is going to accumulate in your going to build a sex together and when you build acids together you still taking about Estate Planning and then if we die what do we do with these assets and one concept my children can manage the money or they can and I started this thread with the whole idea with that when children are young you don't know what they're going to turn out to be you don't know if they're going to be fiscally responsible you don't know if they're going to be adventuresome entrepreneurial and go off into a business and potentially lose all their assets you don't know whether or not to protect them with a irrevocable trust it's locked up until their age 40 but which acts as an asset protection trust so that you know and I have to stop this from
I want with kind of a wacky website years ago 3D Estate Planning in the reason I went with three the estate planning was because I believe that you can conceptualize Financial issues with 3D volumes and you move it's a dynamic puzzle it's constantly changing that starts with your children but it moves into Financial issues and what do you do with the assets diliman trust you'll even one crust you leave him in multiple trust it just opens up a huge gamut of issues
and then can you also put in trust for children that are born yet if you have a three-year-old can you say this is the person that I would want to take care of my children or this is how I would want the money to be handled and not only for the children but for any future children I may have her every time a baby is born do you need to redo it when you write a trust you generally refer to your issue in other words you don't you name the children that you have when you're alive but the dispositive terms to turns the direct the assets when you die you describe
the children as your issue and you leave a share to each one of your issues so you know the trust is more last self-adjusting in that if you have one child you name that child in the car you drive but if it's positive terms where the assets go when you're gone or gone open it up to all of the children that you have and the trust that I draft expands that in that if one of your children is born has children and dies then that share to that deceased child will go to his children
surely it is self adjusting more or less it's always good to revise it but it's not necessary because of this positive term include all issue and issue is who who you birth through your children are
what is the difference between straight will you know when you're talking about estate planning but it's somebody you know or whatever that is what is the difference between sure did allow for Petra so that's a really good point if you don't have any children but you have that that favorite goldendoodle that you wanted to create a trust for you can but you need a person there but but removing that California has a probate process that's relatively expensive and complex and probate means to prove the will in a probate is required when you don't have a trust for in most cases
and don't get me wrong I want to mix this up with another concept called will substitute will substitutes are are things like a brokerage account you can have 60 million dollars in a brokerage account and you can designate where that goes by filling out a beneficiary designation for that brokerage accounts that directs where the assets go when you die no will who is required and I are a pension of 401k those all have beneficiary designations beneficiary designations direct where assets go when you die regardless of what your will says that's also true for life insurance and annuities life insurance and annuities 401K pension and Ira even a brokerage account or a bank account all have beneficiary designation options you fill those out that's where the money goes in other words when someone dies with one of those assets
and someone knows that they're the beneficiary of that account they just call up the Maryland state call up to Morgan Stanley they call up the Goldman Sachs and they say My Mother My Friend my cousin died and I understand I'm a beneficiary designation if your name is on that beneficiary designation that brokerage house for that bank will speak with you they'll send you forms you'll send them a death certificate after you sign those forms and he'll turn around and send you the money without account so in other words there are these satellite entities that can be directed to people without the use of a will so we call him will substitutes in effect
a will in California that's all you had and you didn't use a will substitute is required to be probated again probate means proved it will end with a million-dollar estate in California that's not too crazy because even in the coastal area is a piece of real estate for dirt is a million million V just for the ground alone and real estate is one thing that you cannot use a will substitute substitute on they don't allow you to have payable on death Deeds directing where an asset goes when you die so imagining having a million-dollar estate having a will and dime you're stuck with a probate which is a minimum minimum 11 months maybe 15 months to go through the process with an Executor which is overseen by the courts and on a million dollars through statutory fees I recall is like $23,000 for the attorney and $23,000 for the executor 46,000
to deal with the administration over a 15-month period and is very expensive
unlike
it is it it it it it is just crazy and
that's really why living trust just came about in large part the good thing about a living trust and living trust is a revocable trust with something that you can change during your lifetime again it offers no asset protection but a living trust in California avoid probate and a good thing about a living trust is that it's private the bad thing about a living trust is that it's private in other words no one's looking over the shoulder of the trustee unless someone pulls it into court whereas with a will the publicity in a public forum like a Los Angeles Superior Court there's a judge overseeing where those assets go and he demands an accounting a less than accounting is Way by all the parties
so a living trust is good and I deal a lot with nuclear families that married couple 3 kids I deal a lot with Blended families three kids on one side two on the other and that's a complex subject that I want to come back to but the
the idea of a living trust where you have a nuclear family in a good family and end I don't know if the eldest son the eldest daughter or the the most financially responsible child is chosen to be the successor Trustee of mom and dad are gone it's really a fairly easy process to deal with the administration after death unlike a probate so when someone dies with a trust there's actually a a notice. We're by the trustee needs to mail out notice to all the heirs and all the beneficiaries and say these are the terms of the trust and we actually just send out the whole trust instrument and you wait 4 months and that for a month when do when someone dies Sunday night a living trust is the time frame during which someone can protest the truck if they don't come past the trust it's more less than cement and then the trustee goes along with the administration and administration in those instances how I don't know $1,500 for $1,000 it's just not that expense
to deal with the administration of living trust everything is organized on the front end so the probate process is in large part has been avoided with the Advent of living trust a man again living trust for good cuz they're private but they're bad because they're private because if you have a bad trustee they might just run off to Mexico with the money
this is such a crazy an incredible concept but I know it's true I was looking at your back I work for the IRS for 2 years I was a overtime but the Irish training was excellent because it cause you to think about what questions you need to ask as opposed to you do you think about someone being audited and I was a revelation or not however my manager was a little bit frustrated with me because you said too many people are calling in to say how nice I was and that wasn't the goal of the IRS
I love this actually you know there was a years back the gulags and I suppose in a gulag archipelago to two-volume book about to be lags where the people were imprisoned and what they would do is they go out and hit one person take him to jail for that person's family would tell 10 others that you don't mess don't mess around. Going to get thrown into a gulag in large part that's the theory behind the IRS although their audit rate has fallen to go out an audit one so everyone tells their friends are being audited and everyone's more or less fight and didn't
Nicole tell me if you were getting audited wouldn't be like kind of a hair-raising experience something wrong and not sure what there's something you should have done that didn't trip The Wire
absolutely and you'd probably tell 10 friends
correct and that's the whole concept but it was a good experience because they put you through an extensive training program I dealt with a lot of examinations individuals trust Partnerships corpse trusts and Estates are handled States in particular are handled by Attorneys at the IRS so that's a whole different gamete to hold different departments but it was just a great experience because it allows you to go out and sniff documents and it's really important to be able to suss out what it is you're dealing with and that comes into play when you're dealing with a husband and wife to come in to discuss and estate plan because you need to in short order understand what assets they own understand whether or not they have IRS 401K is that are subject to beneficiary designations be able to explain to them that those type of assets are controlled by the beneficiary designations and anything that I write in the trust instrument or oh well won't control where those assets go unless you direct them
the trustee of the trust after you're gone so it turns into kind of a complex puzzle and that's one thing I enjoy I enjoy the puzzle element I enjoy the families and every family has their own story didn't do the couple's that come in but they both have to come in and you can't just have a wife or have a husband say I'm going to go get an estate plan because the attorney needs to hear from both of them because it's a joint decision
one of them Mike spearheaded
but they both have grandchildren that whatever that is it this is really something that needs to be looked at and focused on but I'm so impressed and the meticulous building that you have to be able to separate your heart your spirit you saw the betterment of the family of the couple and their future and then each legal issue as a separate issue all to create that quality in additional for that couple is looking for
you know the
DD young couple issue this is a bridal show in and when it comes to young couples in California we have community property laws in community property laws effective we say everything acquired during marriage and built during marriage is community property well
often times people come into marriage marriages with with other assets to begin with and at least under California law and actuals they discussed post Naturals and I don't do family law so I could just anybody who really wants good information on family while they need to speak with a family law attorney however it's interesting that when you have a free instance when you have when you go and get a prenup if you have a federal pension or 401K that's governed by Arisa
to waive those rights you actually have to be married so someone might come in and say this pension is going to be mine forever and you're going to sign a prenup will that prenup won't control the right that they're waving if they're not married
so you can't sign the release to that right until after marriage to the prenup won't affect any kind of pension plan that's governed by Alissa unless it's find after marriage a little newer than I don't know family lot and I'm speaking about family law all right now but I'm just saying that's one little issue that if someone says all I want a prenup I want to protect my assets I kind of stepped back and I say well first of all all those assets are separate property anyway so as long as you don't come and go them they won't become Shepherd Community Property the problem though is
if somebody had a had a house a rental property and they had it before marriage and let's assume it had no debt on it but they had that house and then they got married and then during their marriage they started fixing up the house they put in a new brick patio or they put in a new roof or they they did it and they actually extended the energy doing a lot of the work well that energy was Community effort so all of a sudden little slices to that house becomes community property just because he worked on it during marriage even though he owned the whole thing before so there is an instance where you kind of say well geez that's that's what I do want a prenup I want to be able to improve it but I'm not a big advocate of prenuptial especially with the young couples and in one of the reasons are not as when you think about what community property is the whole concept is the idea of building assets together
so when you when you have to a couple to get married and they both have separate assets and I got we're going to keep our ass that separates the kind of go we'll wait a minute where's the family unit here where's the family units is going to be building asshats together tonight being dealing with young couple. I've often suggested that why don't you create a little pool of money I mean if you eat your own separate property put a pool together grow that pool together work together otherwise you're working a part
confirm the truth of holistic perspective you want people to grow together and have a long happy marriage why would you have this economic divide on the front end it's just a question is the question that you don't ask that gets you into trouble and I'm creating a positive environment I think is one of the things that you work through not with a priest but with a financial advisor and it doesn't need to be an attorney that can be a CPA can be a life insurance agent I'll do life insurance agents going to watch the my life insurance I mean don't get me wrong but
what happens if somebody is you know specially you're in California so you have a celebrity that was a rock star or a movie star and they have a business person and they have all these assets if one of your two people seriously and you and I marry into that debt
do you still want to pull that day and still want to pull it or not I'm a little hazy on the community property issues on death but community property can I believe can be liable for supper property debts and I mean I'm paying someone has separate property someone has a separate property liability and someone's going to collect on it the community can be liable for that I believe and this is something the family law attorney should be should confirm I believe that the separate property might be protected but I'm not sure so when it comes to those kind of issues and I'm just a little hazy but green the families together I'll bring that Unity I'll bring that Mutual Vision in and that focus and so you were just sharing about when you're going to children
and then how do you create that as A1c
and I said I wanted to talk about Blended families Blended families of the toughest
no matter how much a stepparent loves his or her stepchildren they're not theirs and if they have their own children from prior marriage that's one issue if the couple has a child from that marriage it's another issue so you always step back and it'll just let me give you an example you have if you have a blended family with three children from prior marriage and together they marry and they only have one child and it was the wife that had three children from the prior marriage and the couple had one child from their marriage and their contemplated in the state plan and the the husband said we'll only have one child when I die that's how I was getting everything that I and the other spouse's will wait a minute I have four children and I'm going to split 25% each with him
well did you talk as a whole can of worms and what if you try to set that whole concept up into an equation
one person's giving 25% of half which is 12 and a half so all four children need to get 12 and a half percent which adds up to 50% and the one-child husband he's going to get a hundred percent of his 50% so one child is going to get 50% + 12 and a half 62 and a half percent each of the other one going to get 12 and a half it's very disproportionate but should it be any other way I asked a question should it be any other way because I'm Not The Judge first place no
I have no personal skin in the game and my job is only to see what it is that the couple wants to work out and let me make you one more thing about California law on and dealing with a couple every client that comes to see me if they engage with a sign of conflict labor and there's an inherent conflict between spouses what a knowledge whose uncle is going to take care of the child versus my mom and dad or or or a friend they have is conflict because they have to mutually decide if that conflict ever gets out of hand between the couple I have to resign I can't represent either of them with a blended couple that conflict even greater and it's never my position to judge their decisions
I don't know I kind of screwed over into another area 12
when couples come in there's generally for principal documents that I recommend that they have it so well it's a trust it's an advance Healthcare directive for medical purposes and it's a limited power of attorney that the will is a pour-over well it says if I die and I do have something to probate your honor put it in my trust and so it's a pullover will it just gets into the trust of the trusses up is the mechanism by which the assets are transferred to the children after death in advance Healthcare directive is used for medical purposes unlimited durable power of attorney is a limited because of all the apps that should be in the truck from the financial matters are handled by the trustees of the trust but the limited power of attorney gives someone authority to deal with an IRS audit or sign a tax return if you're in a coma or deal with the Social Security Administration if you can or obtain third-party information it's just it has General needs the advance Healthcare directive
obviously takes care of someone else making medical decisions for you if you can't and where I was going to ask you if you want to be cremated or buried
do you want your agent after you're gone to be able to donate your body parts under the California Anatomical Gift Act well people come back with all sorts of responses can those responses are our personal today I'm in the worst thing an attorney could do is suggest with respect to a personal response that it's wrong and there's nothing wrong for anyone there's nothing wrong to leave 25% to for children
I think that was my example earlier across the board and there's nothing wrong with 62 and 1/2 going to 1 and 12 and a half going to the three others it's it's personal and unique
and on that note because the state planning to NeverEnding moving Target
the idea of sharing your estate plan with other people is always something that I suggest do with great reservation in other words you create a document you send that document out the people whether it's your children or friends or someone else
it's out there and people know about it if you change that document and you don't send it out people don't know that you changed it for one but they also have a preconceived notion of what it is that you're going to do with your estate plan because you sent it out to begin with so I guess my my point about that is
I don't believe it's a good idea to share that information it's personal it's someone his age information that no one should be should judge or get upset about and when you're gone I'll be taken care of and the good thing about it is when you're gone cuz you're not there for anyone to get mad at that for every state you know we were talking about California law but those are four things that every couple should really have correct well I spect yes 49 and 50 states I think they're more or less similar to the very difficult day for me to understand is Louisiana because it's a civil law state and I just want to go there but you're right and the poor documents together effectively allow things to be maintained outside of a court court of law
because if you don't have those documents and all of a sudden Alzheimer's flips in or you you fall down and you go into a coma or you have a terrible disease or something he's just can't manage things he brings up the subject of the conservatorship well generally with an advance Healthcare directive someone to make medical decisions with a cross where you cry transferred assets to the trustees of the trust the trustees control the financial issues if you have a limited power of attorney someone can sign tax returns for you to the documents taken together allow you to avoid the formalities of a conservatorship but in effect act like a conservatorship and the good thing about it is it's a private the bad thing about it is it's private
no one's looking over anyone's shoulder like they do in a in a conservatorship where a judge is involved
626 brilliant information and we have people find you I mean you're so incredible and your information is so brilliant and you were so clear and I've learned I'm listening to you today so much and I know that I have so many more questions for you be on this show is so many more people will but I would love for people to be able to really be able to talk to you to be able to have you handled that your sense of care is so high and so deep in you were so committed to really helping people and so on your whistle very best way you know when it's that's interesting when you bring up the notion of a phone number and someone calling did you hear about the attorney that this woman called and said are you the attorney that charges 1000 bucks for two questions he says yeah what's your second question
truly tasteless
biscuits previously planning.com about I don't know 20 30 YouTube presentation and I started doing that to share technical talks about different issues in California I'd mention it to Beyonce in ISM I don't know why they popped up on YouTube when I signed out but there's 30 presentation fairly complex Crescent State matters on YouTube under the name bjornsson ISM I have at the ormson laws my Twitter handle I guess you'd call it and the previous eight planets on the 3DS a planning.com point the estate planning matter is probably should have been 5D estate planning. Calm and I mention that because when you get in I was in Palo Alto for a long time when I was in Palo Alto it was 10 to a hundred million net worth because it was a calm environment
in a lot of advanced estate planning what I call the Exotic crust were there however it is in this is important point for anybody to know a single person in 2013 can die with five million $250,000 and not have an estate tax that means a husband and wife can shelter 10500005 million to 50 * 210 million dollars is a lot of money
and if you don't have 10 million dollars you really question whether or not you need an exotic estate plan for that matter I don't know if you don't get more than 15 million that you really need some of these Advanced things because the ideal state plan if you're going to spend some of it before you're done but I say that
why do you say that what I bring up Exotics but in California
we have Prop 13 which allows people to keep their property taxes down and when Mom and Dad bought the house for three thirty thousand dollars and they're only paying three grand a year and it's worth two million if somebody buys that two million dollar home they're going to pay 1% of that or Twenty Thousand a year
if a parent transfers the house to a child they have a parent child transfer exclusion whereby the child can keep the $3,000 property tax base instead of paying the $20,000 a year so I just went in the property tax issues income tax issues gift tax issues estate tax issues and then the California probate code those are five different subjects and on all the tax issues sometimes they have inverse effects in other words you might have a saving savings and property taxes but you have an income tax consequences or or gift tax consequences to goes the other way so I say 5D because you don't know which one to do and it is a complex puzzle. Always easy
Justin credible information and then how do you know if somebody is has your best interest at heart and check if it's a lot of attorneys like a renegade so there's one group of people that you kind of go with him it is there an easy way out is no right solution of this and with families it's always tough because you don't know but
I guess that's a tone of something I wouldn't like I wouldn't want someone to be judgmental on the Stateside I often question how an attorney who doesn't have a tax background can practice in the estate planning field because I just mentioned that this 5D concept to property tax income tax or state tax and gift taxes going different ways can have different consequences can be done tomorrow so when you ask around if they're in estate planning attorney. So I'm asking whether or not to have in the state background this is critical and let me just give you a simple example of that like I said in California with real estate prices as high as they are
somebody has a house that's worth a million dollars and they're going to gift it they're going to give it to a child and they're not going to have a taxable estate
so they just want to give it to the child to avoid probate or something but they only paid $100,004 an hour when you give the house to someone the the GIF with the base is what the mom pay for that house a hundred thousand dollars transfers to the don't eat it transfers to the child so the person gets the house with $1000000 the basis of which is a hundred grand the gifted to the child to child spaces 100 Rancho the child late ourselves that house they have $900,000 with a game well there's other income tax issues like a 250 g exclusion on the sale of a home to come into play for the 500 for a married couple but
I raised this issue because if someone dies with the home and then leaves it to the child they get something called a step-up in basis step-up in basis means it's even though the mother only paid a hundred grand when a child gets that house as a result of the death of the child spaces in that house will be a million-dollar so she tells it she'll have no gain or loss that affects you'll have a loss because if she pays a 5% Commission on a million-dollar house 50050 grandma's on that commission if she sold it relatively soon after mom died so there's a simple income tax matter when it comes to foreign issues I have to tell you it's just you really want someone who knows foreign issues well and I'll be honest I don't I don't deal with a lot of people in France recently I did though and I found out that I think Frank has a mandatory Airship law and in that I think it's either all or a portion of the assets are required to go to Children's wear at that's not true
there's no requirement that if you have three kids you have to leave your assets to the kids you can leave all of your assets to the charity you can leave it to the foundation you can leave it to a girlfriend you can leave it to a boyfriend you can leave it to the maid if you want
40 years old yes we have pet rats and you could leave 50 million dollars in a pet trust but that pet and cover is the pets that was around when you dyed it doesn't apply to the pets offspring
so sorry
it's amazing that you know we think of that each and every one of these aspects and it's like it's wider scope in the picture just shifts and changes and I know that we had we don't have a lot of time you have a question about the screen up as far as see you saying that some of the property you have to actually wait until you're married to be able to clarify whose property it was to do with the the right
Arisa Prisa controls federal pension plans and it's my understanding against a question but a 401k which a lot of people have I believe is governed by a river rights to a plan can't be given up until their obtained in other words a spouse doesn't obtain rights to a nerissa plan until they're married well prenup is pre-marriage postnup is post marriage if you sign a prenup how can you waive rights that you don't have until you're married
so you have to waive those rights for the Post not well
couples getting married one of them says I want to have a prenup he's as fine signs a prenup and she didn't really want to sign or he didn't really want to sign it and afterwards are going okay I want a postnup I want to sign it you want to divorce
another show another words Federal right certain federal rights can be waived until you're married there for you cannot wave them with the prenup
information and what information do I want to bring to people because the shows with your life together relationship communication and this is the truly important subject for a couple and you've been so clear on this information you know you've taken the time to do this and that you've given us as much information that you've given us and I'm looking at this list to an end so far all of our listeners on the show to make sure that they have these four things I trust in advance Healthcare directive and a limited power of attorney and do they have these things on where have they gone and have they talked about it
25 years I've been married very long to find you and still create
planning.com Sigma GIF to a couple getting married for that how to be able to hold their lives and their Estates and their future together what would it be if it's two-fold much like I said in the beginning have a common pot to build the Common Thread that allows the family to bond together as opposed to drive them apart and when you sit down with advisers if you don't like them don't go back you really have to have a relationship with that person you have to trust that they're not going to judge you and you have to trust that they're giving you get information if they understand all the facets to estate planning so it's two-fold it's like look for a positive environment for yourself but make sure you have a positive environment with your your advisers you really want a constructive
overall holistic environment
that's brilliant information thank you for that and can you go ahead and spell your name and the YouTube for a listener so Brooke bjornson Branson and on YouTube it's bjornsen ISM b j o r n i s m it's a great place to go watch videos about California estate planning law
you are just terrific and truly you and I hear of this information is just this wealth of knowledge and wisdom and truly something I think it's so important for every couple and everybody that starting a life together and people that are sharing a life together that are looking for their future and our future Generations so thank you so much for being with us today
what incredible information it's interesting because I've thought about your health care as far as he was making those decisions for you who's going to take care of your children if something should happen to you and none of us has decisions how do we make sure their future Generations are taken care of in this information just amazing I love the sexiest YouTube video so go to Brett your sin and check out his information reach out to him and truly if you were looking to plan your future this is going to work out
hourglass ride and next week we have eyes for you my sister cuz he's going to teach us how to play not just in business but in relationships as well and then next Sunday on Alex last ride we have one of the shows that we've been having so much. I wish you all a wonderful week happily ever after Ever wonderful