The United States Census Bureau issued a report back in 2010 that contained some data that is very relevant to those who are interested in elder law, retirement planning, and estate planning.

Your anticipated longevity is going to be a very important piece of information to work with when you are attempting to come up with a budget for your retirement years. And of course, if you have specific ideas regarding what you would like to be able to do for your loved ones after you pass away this is part of the equation as well as you are preparing a budget.

The aforementioned Census Bureau report stated that among 10 year age groups the portion of the population aged 85 to 94 grew faster than any other between 2000 and 2010.

If you were to join this group you would be looking at a significant period of time during which you would be required to pay your way without working if you retire at the typical retirement age in your mid-to late 60s.

In addition to this, people who reach their 80s and above often need long-term care. Medicare will not pay for an extended stay in a nursing home, and some enormous expenses can be incurred given the high cost of care.

There is a lot to take in consideration if you want to be prepared for all the eventualities of aging given the fact that people are living longer. We have prepared a special free report that puts it all into perspective. If you like to obtain your copy simply click this link and complete the form that you see to the right of the page: South Carolina Elder Law Report

Kuhn & Kuhn Law Firm is a member of the American Academy of Estate Planning Attorneys.

As we all know employment markets have been tight over the last several years, but Americans have a tendency to find a way. There has been an increase in the number of people who are self-employed, and this can be an option for those who are willing to take matters into their own hands.

Economic Modeling Specialists International has stated that there has been a 14% increase in the number of people who work for themselves for the most part between 2001 and the present time. There are some 10.6 million self-employed people in the United States.

If you are among them you must take personal responsibility for your own financial stability during retirement. Those who work for a company are often offered the opportunity to contribute into a group 401(k) plan. Many employers will actually match contributions made by employees up to a certain percentage.

Of course if you are self-employed the above option is not going to exist for you. However, there are 401(k) plans for self-employed individuals; you just need to take action to create an account, learn the rules, and make contributions into it.

During 2013 the maximum allowable contribution is $17,500. If you are 50 years of age or older you can add an additional “catch-up” contribution, and the maximum amount that you could add was $5500 in 2012.

Self-employment can be rewarding on many different levels, but it is up to you to prepare for your future. To discuss your retirement vision with an expert don’t hesitate to give us a call at 843-577-3700 to set up a free retirement planning consultation.

Kuhn & Kuhn Law Firm is a member of the American Academy of Estate Planning Attorneys.

We would like to take a look at three of the most commonly asked questions regarding the Social Security program.

How Much Will I Get?

The way to find out this information is to sign up on the Social Security Administration website and view your personal statement so you can gain an understanding of approximately what you can expect to receive when you qualify for benefits. You can then use this projection to help you gauge exactly how much supplementation is going to be necessary.

When Can I Apply?

You can apply four months before you reach the age of eligibility. The earliest you can receive Social Security is at the age of 62, but your benefit would be reduced because of this early application.

You could wait until you reach the age of full eligibility, which is somewhere 66 and 67 (depending on your exact year of birth) if you are not yet receiving your benefit.

The third option would be to accrue delayed retirement credits that will increase your benefit when you do apply by continuing to work beyond your full eligibility age. You can allow these delayed retirement credits to accumulate until you are as old as 70.

How Do I Apply?

You have three different options. The old-school method would be to simply get in the car and go to the brick-and-mortar Social Security office. Alternately you can apply by phone and the phone number is 800-772-1213.

The third option would be to apply online. You can follow this link if you are interested in submitting your application electronically:

Apply Online for Social Security Benefits

Kuhn & Kuhn Law Firm is a member of the American Academy of Estate Planning Attorneys.

When you want to be prepared for the future starting and contributing into an individual retirement account can be a good idea.

In addition to an IRA’s use as a way to generate resources for retirement such an account can also be a good estate planning tool if you want to gain tax efficiency as you set aside resources for the benefit of succeeding generations.

You may begin contributing into a traditional individual retirement account with the expectation of needing these funds yourself when you retire, and along the way you may find that you actually do not need to tap into these resources beyond the minimum requirement. On the other hand, you may know all along that you’re using the IRA as an estate planning tool.

The advantage here is to “stretch” the individual retirement account. If you are contributing into a traditional IRA you are going to be required to pay income tax when you receive distributions. In the event that you do not deplete the funds entirely and pass the remainder along to the beneficiary your beneficiary would be subject to taxation on the distributions.

The longer you can defer taxation the better. Some individual retirement accounts will allow the beneficiary to stretch the IRA by receiving the minimum distribution allowable by the IRS.

When this is done your beneficiary is pulling assets out of the account as slowly as possible. Meanwhile, tax-free gains may be accruing.

The smaller the distributions are the less the tax responsibility is going to be.

It should also be noted that the possible length of the stretch as it were is based on the life expectancy of the beneficiary. The younger the beneficiary is the further the individual retirement account can be stretched.

Kuhn & Kuhn Law Firm is a member of the American Academy of Estate Planning Attorneys.

The goal that most people have while they are traversing their career paths is to be able to retire someday and do so in comfort.

When you work to support your family over the decades you invariably have limited spare time. As a result a lot of things that you would like to do probably have gone undone. The objective for many is to be able to have these experiences once they retire.

This is easier said than done. The income that is derived from Social Security is limited, and this alone is not going to be enough to support the lifestyle that most people would like to enjoy.

If you are just going along drifting day-to-day without any type of cogent plan that leads to a comfortable retirement you are taking quite a risk. Recent studies have shown that a very significant percentage of baby boomers will never be able to retire because they simply don’t have enough money to do so.

On the other hand, if you have in fact worked with a good financial planning lawyer to put a cogent long-term plan in place you are not drifting–you are building toward your future.

Even people who are not earning six figures of annual income can be prepared to retire if they work within an intelligently conceived framework over an extended period of time. The key to a secure financial future is to engage professional guidance as you devise a plan and subsequently exercise the financial discipline to make the right decisions on a sustained and consistent basis.

Kuhn & Kuhn Law Firm is a member of the American Academy of Estate Planning Attorneys.

You must have a thorough understanding of the benefits that are available to you when you are planning for retirement as a military veteran.

Most people are aware of the fact that you are entitled to a retirement pension after 20 years of service. If you do retire after serving 20 years your pension benefit will be based on a percentage of your base pay. The longer you stay in the higher the percentage will be when you do begin to draw your pension benefit.

After 40 years of service you would be eligible to receive your entire base pay as your pension benefit, and if you combine this with your Social Security benefit you would find yourself in a rather comfortable situation during your golden years.

It is important to recognize the fact that your surviving spouse would not continue to receive your pension benefit after you pass away. However, the military gives you the ability to provide ongoing income to your husband or wife through the Survivor Benefit Plan.

Once you retire you must pay premiums monthly to participate in the plan. If you choose the maximum amount of coverage your spouse would receive a benefit equal to 55% of the benefit that you were receiving while you were still alive.

The best way to proceed as a a veteran looking forward toward the future is to sit down and discuss your situation with a licensed and experienced South Carolina financial planning lawyer. Your attorney will answer all of your questions and help you devise a plan that leads to a truly comfortable retirement.

Kuhn & Kuhn Law Firm is a member of the American Academy of Estate Planning Attorneys.

There was a court case resolved in the state of Kentucky recently that is interesting to people who are in the field of elder law. This case underscores the reason why it is a good idea to discuss matters with a legal professional before you take actions that you may regret later on.

Back in 1992 Jeanne Crutchfield obtained long-term care insurance in anticipation of the possibility of the need for living assistance at some point in the future. Unfortunately Ms. Crutchfield was diagnosed with Alzheimer’s disease in 2009 and she entered a facility called Barton House.

This facility is specifically designed to provide around-the-clock care to people who are suffering from Alzheimer’s and it apparently suited her needs perfectly. She assumed that long-term care insurance would pick up the tab.

Much to her dismay the insurance company said that residence in this particular facility was not covered under the terms of her policy.

A lawsuit was filed by Ms. Crutchfield and the court ultimately found in favor of the insurance company. The ruling stated that the terms of the policy were quite unambiguous and the specific requirements were not met by Barton House.

A good elder law attorney would have been able to interpret the terms of the policy and advise Ms. Crutchfield or her representatives about the types of facilities that would and would not be covered.

When you are making decisions that could have potentially devastating financial consequences it is always a good idea to consult with a legal professional before taking any action.

Kuhn & Kuhn Law Firm is a member of the American Academy of Estate Planning Attorneys.

There are intestacy rules of succession in place that would hold sway if you were to pass away without having executed any estate planning documents. Most people are going to have more specific designs so it is not a good idea to rely on the probate court to distribute your assets in accordance with intestacy laws.

However, if you are married your spouse would be provided for under these laws. But if you are in a committed live-in relationship with someone without being married this individual would not be recognized. For this reason estate planning is absolutely integral for people who are engaged in unmarried domestic partnerships.

We are stating the above because the United States Census Bureau has compiled statistics that show a senior lifestyle trend developing. More and more people who are in their 60s are deciding to live together without actually getting legally married.

Some refrain from getting married to remain eligible for pension benefits. Social Security survivor’s benefits can be a factor as well for some older Americans, but once you are 60 you could still retain the benefits after getting remarried.

Because of the fact that Medicare will not pay for a long-term stay in an assisted living facility many people rely on Medicaid to pick up the tab. You must stay within upper resource limits to qualify for the program, and getting married could impact your eligibility status.

And of course, some people don’t get married because they simply want to retain full legal possession of their assets for any number of reasons.

Regardless of why you choose to eschew marriage if you want to make sure that your partner is provided for you must state your wishes in writing with the assistance of a good local South Carolina estate planning lawyer.

Kuhn & Kuhn Law Firm is a member of the American Academy of Estate Planning Attorneys.

South Carolina estate planning lawyers often field questions about the federal estate tax. This year the tax is imposed on resources that exceed $5.12 million. The $5.12 million exclusion is going to be reduced to just $1 million in 2013.

There are over 8 million households in the United States with assets exceeding $1 million so this is a change that is impacting many Americans.

You should be advised that with the assistance of a good inheritance planning attorney there are things that can be done  to react to exposure to the federal death levy. Exactly how to proceed will vary on a case-by-case basis so it is important to get personalized attention from an expert.

We do have one advantage as residents of South Carolina when it comes to taxes on asset transfers. A number of states throughout the United States (including our neighbors in North Carolina) have an estate tax on the state level to deal with in addition to the federal estate tax.

Fortunately, we are not among them.

Many people decide to relocate after they retire. If you are interested in making sure that your wealth is preserved for the well-being of your loved ones you would do well to understand the tax laws in the state that you are considering as a retirement destination.

If you move somewhere that has an estate tax (or an inheritance tax) on the state level you are suddenly faced with an added level of tax responsibility that can erode your wealth. This is an important factor to take into consideration when you are making plans for retirement.

Kuhn & Kuhn Law Firm is a member of the American Academy of Estate Planning Attorneys.

Retirement planning is integral for serious minded individuals who want to be able to enjoy a certain modicum of financial security during their senior years. Putting yourself in a position to be able to pay your way for perhaps a couple of decades or more without working can require some long-term financial discipline as you act within an intelligently conceived framework over an extended period of time.

In order to be able to reach your objectives you must accurately project your future expenses. With this in mind you would do well to be cognizant of your property tax responsibility.

Taxes generally do not remain constant. You may be presented with ever-increasing property tax bills while you are living on a fixed income. When you are making your projections you should keep this in mind because in fact a great many people do indeed fall behind on their property taxes and as a result tax liens are imposed.

According to the National Tax Lien Association between $7 billion and $10 billion in property taxes will go unpaid each year. Investors purchase tax liens from municipalities, and this can be quite lucrative because of the interest that is charged to homeowners trying to catch up on their back taxes.

If you have any concerns at all about being able to keep up with your property taxes you have options. You may not need a home as big and as expensive as the one that you have been residing in once you retire.

Downsizing can have positive financial implications as you reduce your tax responsibility and lower your utility and maintenance costs. In addition, the reduction in square footage can make it easier for you to get around if reduced mobility starts to become a concern as you reach an advanced age.

Kuhn & Kuhn Law Firm is a member of the American Academy of Estate Planning Attorneys.