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DECEMBER 2024
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Short Days, Warm Hearts December’s Reminder to Slow Down and Cherish Family Time
As winter settles in, the air is getting chillier, holiday lights and decorations are on every street corner, and joy echoes throughout our homes — it is the most wonderful time of the year! Have you noticed how much earlier it’s getting dark? Sometimes, the sun goes down before we even have dinner! December brings the shortest days of the year, with limited daylight reminding us to slow down, cozy up, and enjoy the season’s warmth. The holiday season (and shorter days) are a wonderful reminder to be present and to make every moment count — after all, life is short. Kids grow up in the blink of an eye. Our newborn baby
is already changing so much and developing a personality of his own — where does the time go? I know my boys won’t stay young forever, and before I know it, they’ll be going to school, playing sports, graduating, and starting lives of their own. Since welcoming our second son, my wife, Lucero, and I have embraced the importance of taking life one day at a time to appreciate the moments we have. We make a great team while supporting each other to balance our responsibilities and ensure we give each child the time and attention they need. Family always comes first! And that’s where estate planning comes in! It’s one of the most impactful ways to provide peace of mind for ourselves and those who matter most. While I wish we could slow down time, the next best thing is to savor the time we have. Putting a plan in place allows us to fully enjoy life’s moments, knowing we’ve taken steps to protect what’s important. For many, creating or updating an estate plan has been on the to-do list for years, quietly waiting for the “right time,” and it’s important to remember that it goes beyond just organizing wills and trusts — it’s about securing a legacy and ensuring loved ones are cared for. Taking this step gives us the comfort to focus on what is most important: cherishing time with family and being present for the moments that count. So, as the holidays and new year approach, my wish for you is to spend time with family, free from burdens and worries. We’re here to help create that peace of mind so you can make every second count. From my family to yours, Merry Christmas and Happy Holidays!
–Tyler Q. Dahl
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More California families can transfer assets to descendants without undergoing a lengthy and often costly probate process under a new state law. Assembly Bill 2016, which takes effect April 1, changes the definition of “small estates” by raising the probate threshold to $750,000, a massive leap from $184,500. WHAT CALIFORNIA’S AB 2016 SAYS Estates falling under AB 2016’s new “small estates” threshold will now be exempt from the formal probate process, allowing assets to be transferred more quickly and with fewer legal hurdles. The bill also calls for a review of this threshold every three years to account for inflation and other economic factors. AB 2016’s intent is to simplify the transfer of assets, reduce the time and costs associated with probate, and make it easier for families to handle smaller estates. WHY EVEN SMALL ESTATES STILL NEED A PLAN Even with the expanded threshold, families with “small” estates still need a strategic and formalized plan. Without proper planning, your children may lose eligibility for government benefits like Supplemental Security Income (SSI) and Medi-Cal if they receive an inheritance directly. Additionally, if you have minor children, estate planning is still crucial. Without a plan, the court will determine guardianship for your children and the assets they inherit, which may not align with your wishes. WHAT AB 2016 MEANS FOR BUSINESS OWNERS AB 2016 may not simplify estate planning as much for business owners as it does for personal assets. Business succession planning should still be handled formally and strategically, regardless of whether your business assets fall under the $750,000 threshold. To ensure your business’s smooth transition, you will still need to establish an entity and have a trust in place to manage the transfer of ownership. Without these critical documents executed, your business could face unnecessary financial repercussions, disputes, or even dissolution after you pass away. MANAGE YOUR ESTATE WITH CONFIDENCE Don’t let the expanded definition of “small estates” lull you into complacency. At Dahl Law Group, we provide effective legal counsel to guide you and your loved ones through protecting your legacies, children, and businesses. Contact us at our offices in Sacramento or San Diego today to discuss how we can help you plan with confidence, regardless of the size of your estate. Small Estates, Big Benefits AB 2016’s Impact on California Families and Business Owners
Did You Know? Did you know that December is known for having the shortest days of the year due to the winter solstice, which typically occurs around Dec. 21 or 22 in the Northern Hemisphere? It’s true! The winter solstice marks the point when the Earth’s axial tilt is farthest away from the sun, causing the shortest period of daylight and the longest night of the year.
Let’s explore further!
On this day, the North Pole is most tilted — a 23.5-degree angle away from the sun — which results in less sunlight reaching the Northern Hemisphere. As a result, locations farthest from the equator experience the most significant reduction in daylight. For example, places like Alaska have only a few hours of sunlight in December.
Despite the shorter days, the winter solstice
also marks a turning point. After this, the days gradually lengthen, bringing more daylight as we move toward spring.
Do you have a friend who needs our help? When you’re done reading, give them this newsletter and recommend they scan our QR code. We can help them solve their tax, business, or estate planning problems before things get worse.
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How We Helped Our Clients Maximize Profits Navigating Complex Business Sales
When Alice and David* reached out to our team at Dahl Law Group, they were unsure about the impending sale of their successful restaurant and its real estate. They didn’t feel confident in their tax advice despite working with a business broker and a CPA. This uncertainty led them to seek our help, and we quickly identified areas where we could save them money. MAKING THE RIGHT DECISIONS FOR BUSINESS SALE STRUCTURES Alice and David’s situation was more complicated than it appeared. The real estate was held in a C-corporation, and their business, though previously taxed the same way, had switched to S-corporation status for the sale. They had already negotiated the sale of the restaurant as an asset sale based on advice from their business broker, but they didn’t realize how much this would cost them in taxes.
Our team recognized the transaction, as structured, would trigger a significant gains tax. We provided Alice and David with rough calculations, revealing a tax burden of nearly $300,000 if they proceeded with the sale as planned. By negotiating the sale as a stock sale rather than an asset sale, we drastically cut down their tax liability and saved them over $250,000. PROTECTING CLIENTS BEYOND THE SALE Beyond the tax savings, Dahl Law Group played a critical role in protecting Alice and David’s interests throughout the transaction. We worked closely with them to draft enforceable agreements to shield them from potential lawsuits after the sale closed. One major challenge was handling the demands of David’s cousin, a silent partner in the business. They insisted on receiving an immediate return on investment, making negotiations complicated.
By running a detailed analysis of his payout, we were able to calm his concerns and secure his cooperation quickly. In addition, we negotiated a reserve fund to cover any unforeseen costs, including taxes, lawsuits, or other post-closing expenses. LOOKING AHEAD WITH CONFIDENCE Now, with their successful business sale behind them, Alice and David are focusing on their next project: Purchasing another business with the funds they earned. They are retaining Dahl Law Group as they move through this process. If you’re considering selling your California business and want to ensure you’re making the most financially sound decisions, contact Dahl Law Group in Sacramento and San Diego. Our experienced legal team will guide you through every step of the process!
Creamy Thai Carrot and Sweet Potato Soup Ingredients • 1 tbsp coconut oil • 2 cups chopped yellow onion • 2 cloves garlic, minced • 1 tbsp minced fresh ginger • 2 tbsp red curry paste • 4 cups vegetable broth, divided
SUDOKU
Inspired by CookieAndKate.com
• 1/4 cup almond butter • 3 cups diced carrots • 3 cups peeled, diced sweet potatoes • Salt and pepper to taste • Cayenne pepper (optional)
Directions 1. Melt coconut oil in a large pot over medium heat. Add onion, garlic, and ginger and sauté for 5–6 minutes. Stir in curry paste. 2. In a small bowl, whisk 1/3 cup broth with the almond butter until smooth. Add the mixture to the pot, along with the carrots, sweet potatoes, salt and pepper, and remaining vegetable broth. Stir to combine. 3. Bring soup to a low boil over medium-high heat, then reduce heat, cover, and simmer for 15–20 minutes or until the potatoes and carrots are fork-tender. 4. Blend with an immersion blender until the soup is smooth. 5. Season with salt and pepper. Add a pinch of cayenne pepper for more spice if desired.
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INSIDE What’s
2. 1. Cozy Up and Be Present
Why December Has the Shortest Days California’s New Probate Threshold Could Save Time and Money Guiding Clients Beyond the Sale Creamy Thai Carrot and Sweet Potato Soup The Greatest Christmas Sports Moments of All Time
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Stuff Your Stocking With Timeless Sports Memories NFL history. The Dolphins walked away victorious, 27–24, and lost Super Bowl VI against the Dallas Cowboys. While we’d probably be happy about extra football gameplay now, many fans were upset about the game’s length. Some speculate this is why the NFL didn’t schedule another Christmas Day game for another 18 years. LAKERS VS. HEAT, 2004 Many people consider the Los Angeles Lakers of the early 2000s one of the greatest NBA teams ever. Led by Kobe Bryant and Shaquille O’Neal, the team won three consecutive championships in 2000, 2001, and 2002. However, tensions reached a boiling point between the two superstars, which led the Lakers to trade Shaq to the Miami Heat in 2004. The two met as opponents for the first time in 2004’s Christmas Day matchup. The game was neck and neck, leading to a 104–102 overtime victory for the Heat. Kobe finished with 42 points, six rebounds, and three assists, while Shaq had 24 points and 11 rebounds before fouling out in the fourth quarter. This was the most-watched regular season game between 1998 and 2008.
Christmas is a time for tradition, family, and joy, but it’s also one of the best sports days of the year. The NBA has hosted games on Christmas Day since 1947, and this year’s lineup features five matchups between potential playoff contenders. If you’re more of a football fan, you’ll be pleased to hear the NFL has two games streaming on Christmas this year. In honor of this year’s Christmas Day games, let’s look back at some of the most monumental matchups in Christmas sports history. CHIEFS VS. DOLPHINS, 1971 In 1971, the NFL scheduled games on Christmas for the first time. Not only was this game on Christmas, but it was also an AFC Divisional Playoff game. At the end of regulation, the game was tied 24–24, sending these teams into the NFL’s first overtime game. The game was still tied after another 15 minutes, leading to a second overtime period. The game finally ended after 82 minutes and 40 seconds of gameplay and has remained the longest game in
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