plan. “If you get sick or die, you have a backup. The trust owns assets,” says Susan. “When you can’t function anymore, you resign, and a backup money manager takes over control.” Every item designated in the estate that is managed by the trust then comes under the control of the new signer. Sometimes that’s the eldest child, or in some actual cases, it could be the waitress from your favorite restaurant. Regardless of who it is, you avoid sending the people you care about through probate court by effectively setting up a thorough trust. If you had to guess the approximate cost for home care if someone close to you needed it, what would you say? It’s almost like guessing how many jelly beans are in a jar — you might have an idea, but getting close is more luck than anything. “If someone needs long-term residential care, home care costs are $20–$25 for hourly, $11,000–$16,000 a month for 24-hour care in the home, $4,500– $6,000 a month for institutionalized IT’S NOT ALL PART OF THE PLAN
care, and skilled nursing is $8,000– $10,000 a month.” Susan says. Staggering, right? For most of us, the wheels start turning immediately, and our first thought is, “How am I going to pay for this?” “Out of pocket, insurance, or a government program” is how Susan says most people pay for it. Medicare and Medicaid can help, but ultimately, the best place to start is by taking Susan’s advice: “Talk with a certified attorney who understands benefits.” Don’t just talk to them once, either. “I encourage people to review their estate plan every three years whether they think they need to or not. The law changes, health changes, relationships change, money changes,” Susan explains. The dynamic nature of life means plans constantly need to be updated. It’s a lot like football. In the early days, players didn’t wear helmets or pads. Over the years, players became bigger, faster, and stronger, so the league adapted the rules and added safety equipment to make sure players were safe. The NFL reviews the rules each year and takes the initiative to protect the players. The same idea applies to your estate plan. If you don’t update it on a regular basis, your inheritance could be subjected to threats you never knew existed. When developing a niche, some businesses offer a wide variety of services to their clients in an attempt to be a one-stop shop, and the law is no different. You’ll find practices that provide almost every service under the sun. But Susan is a specialist and an expert in her field. “The advantage is, this is all I do,” she explains. Susan THE IMPORTANCE OF SPECIALISTS
“It’s easy to ignore until something goes wrong. You don’t want that,” warns Susan.
DEATH-PROOF YOUR LIFE
“A revocable trust is like setting up a little business,” Susan says.
The best way to take control of your assets is to start by opening a dialogue with an expert like Susan. The next step is to have them set up a revocable trust to change the ownership of assets out of your name. Essentially, a revocable trust places all your holdings, property, retirement accounts, vehicles, and any other items of value into the ownership of the trust. You still manage this entity as the trustee, so while you’re alive, your assets are still under your control, but the technical ownership is in the name of the trust. If you should pass, those assets are not subjected to probate because they still have an owner.
The best part about having a trust is that you can establish your backup
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