Blog

Can A New Jersey Resident Serve as the Personal Representative of a Florida Resident’s Estate or Trust?

Posted by on Jun 23, 2017 in Estate Planning | Comments Off on Can A New Jersey Resident Serve as the Personal Representative of a Florida Resident’s Estate or Trust?

By Fredrick P. Niemann, Esq. of Hanlon Niemann & Wright, a Freehold, NJ Estate & Probate Administration Attorney Many of our parents (and some of my loyal readers) are thinking about retirement and moving to the Sunshine State.  Their house(s) here will be sold, and they will move all of their assets and real estate to their new state of domicile.  For family members left behind in New Jersey, the question becomes whether the family member, as a citizen of New Jersey, can be appointed as executor or administrator of their loved one’s...

read more

What Happens to My Estate Plan When I Get Divorced?

Posted by on Jun 21, 2017 in Estate Planning | Comments Off on What Happens to My Estate Plan When I Get Divorced?

By Fredrick P. Niemann, Esq. of Hanlon Niemann & Wright, a Freehold, NJ Estate Planning, Wills & Trust Attorney Most people think that once a judge of the Family Division signs his or her name to a Judgment of Divorce, followed by the parties signing their property settlement agreement, each is automatically cut out of the other’s Last Will and therefor won’t receive a penny when he or she dies. And in large measure they are correct. In some regards, an ex-spouse forfeits certain rights to the other’s estate, such as the right to...

read more

Creditor’s Rights Under the Uniform Trust Code of New Jersey

Posted by on Apr 26, 2017 in Estate Planning | Comments Off on Creditor’s Rights Under the Uniform Trust Code of New Jersey

By Fredrick P. Niemann, Esq. of Hanlon Niemann & Wright, a Freehold, NJ Trust Law Attorney One of the new provisions of the Uniform Trust Code as adopted in New Jersey addresses the relationship between creditors and trust beneficiaries.  Creditors can execute upon a beneficiary’s interest in the trust, and any distributions made from the trust by the trustee based on the language of the governing trust document. The law limits the way creditors can execute upon the interest of a beneficiary.  If the trust contains a spendthrift...

read more

Do You Understand the Rules for Early Withdrawal from a 401(k) or other Retirement Fund(s)

Posted by on Apr 24, 2017 in Estate Planning | Comments Off on Do You Understand the Rules for Early Withdrawal from a 401(k) or other Retirement Fund(s)

By Fredrick P. Niemann, Esq. of Hanlon Niemann & Wright, a Freehold, NJ Estate Planning Attorney Withdrawing money from a retirement plan before retirement is something that many people consider at some point. The circumstances in which it is allowed are limited. And even if you can do it, it may not be a good idea. Few people want to work until the day they die, and saving enough for retirement takes time and dedication. When you withdraw early, you are not just losing the amount you take out, but you are also losing all of the earnings...

read more

Estate Tax Apportionment – Surprise: Who’s Paying My Death Tax Bill?

Posted by on Mar 22, 2017 in Estate Planning | Comments Off on Estate Tax Apportionment – Surprise: Who’s Paying My Death Tax Bill?

By Fredrick P. Niemann, Esq. of Hanlon Niemann & Wright, a Freehold, NJ Estate Planning Attorney With Estate Planners advocating assets passing outside of probate, more focus should be given to the allocation of estate death taxes. Who is responsible to pay death and/or inheritance taxes if due? Individuals want give as much of their estate to various family members as possible but fail to have a clear understanding of the tax allocation rules. This failure to plan can easily be defeated. Federal and state laws have tax allocation rules....

read more

Owning an Interest in an LLC Can Be Subject to New Jersey Inheritance Tax

Posted by on Mar 13, 2017 in Estate Planning | Comments Off on Owning an Interest in an LLC Can Be Subject to New Jersey Inheritance Tax

By Fredrick P. Niemann, Esq. of Hanlon Niemann & Wright, a Freehold, NJ Estate Probate Attorney Recently an Estate executor connected with me about a decedent who owned a 30% interest in a LLC domiciled in Florida. It was not a single member LLC. The issue was whether NJ would treat the LLC interest as intangible property. Unfortunately for the estate, a member interest in an LLC is intangible property and is considered to be held in the state of decedent’s domicile (in this case NJ). So even though the LLC owned rental property located...

read more

The Apportionment of Estate Taxes Part 2: How Much Of A Tax Burden?

Posted by on Mar 10, 2017 in Estate Planning | Comments Off on The Apportionment of Estate Taxes Part 2: How Much Of A Tax Burden?

By Fredrick P. Niemann, Esq. of Hanlon Niemann & Wright, a Freehold, NJ Estate Administration and Probate Laws Attorney In our last blog, I discussed paying the estate and inheritance tax an estate must bear.  Remember that in the absence of language that states who will pay the taxes, the estate tax is borne by all those beneficiaries entitled to a piece of the property.  This is not always the case.  Often times, wills contain a clause stating that the residuary of the estate shall pay for any estate or inheritance taxes.  But when...

read more

The Apportionment of Estate Taxes Part 1: Who Bears the Burden?

Posted by on Mar 10, 2017 in Estate Planning | Comments Off on The Apportionment of Estate Taxes Part 1: Who Bears the Burden?

By Fredrick P. Niemann, Esq. of Hanlon Niemann & Wright, a Freehold, NJ Estate Administration & Probate Laws Attorney One of the biggest challenges I have as an estate planning attorney is determining who must bear the burden of state and federal estate death and inheritance taxes.  As you may have heard, the estate tax is being repealed by New Jersey.  This repeal, however, has not taken effect, and according to the terms of the law, will be phased out step by step.  Come January 1, 2017, the estate tax exemption amount will be...

read more

Is A Revocable Life Insurance Trust Subject to New Jersey Death Tax?

Posted by on Jan 30, 2017 in Estate Planning | Comments Off on Is A Revocable Life Insurance Trust Subject to New Jersey Death Tax?

By Fredrick P. Niemann, Esq. of Hanlon Niemann & Wright, a Freehold, NJ Estate Planning Attorney I was recently asked whether a revocable life insurance trust is exempt calculation of any NJ Death Estate tax. N.J.S.A. 54:34-4(b) and (c) exempts property passing to or under “any trust” funded by life insurance. I have heard people say that it must be an irrevocable trust in order to avoid the estate tax, but the operative words “any trust” in that NJ statute seems to include revocable trusts. Perhaps the confusion that New Jersey exempts...

read more

Why Do So Many People Think They Need a Trust vs a Will in Florida?

Posted by on Jan 20, 2017 in Estate Planning | Comments Off on Why Do So Many People Think They Need a Trust vs a Will in Florida?

By Fredrick P. Niemann, Esq. of Hanlon Niemann & Wright, a Freehold, NJ Estate Planning & Wills Attorney A client is a NJ resident working at Rutgers. She owns assets in NJ involving real property ($200,000) + $750,000 in retirement accounts and it’s probable she will inherit $100,000 from her mom in the near future. Her husband is a FL resident (he works for Broward County, FL). He too owns NJ real estate and property ($200,000 condo) + a $110,000 in retirement accounts + $40,000 boat and may inherit $250,000 from his mom. The...

read more