When the time arises to make a decision about long-term healthcare, three steps should be taken. First, be sure that the family member facing care has an updated power of attorney and living will. Second, develop a financial plan with an attorney. Finally, work closely with the attorney regarding bills and asset transfers.
While some people seem to believe otherwise, it is not necessary for there to be a loser for every winner. With cooperation, both sides can often achieve success.
As people get older, many people want to achieve three goals: avoid taxes, avoid probate administration, avoid nursing home expenses. Various estate planning structures exist to allow a win in all categories.
With the right planning, minimizing heirs’ eventual capital gains tax obligations is achievable. A properly organized trust can also help avoid probate. Nursing home tools can also be organized to avoid probate and help the family avoid capital gains tax later.