FAQ's

Answered directly from our attorney. 

Legal Fees

Legal fees for probate litigation vary based on the complexity of the case and the billing method  agreed to. Here are the common ways I determine legal fees:

  1. Hourly Rates: This is the most common billing method for probate litigation. I charge $300 for each hour (or portion of an hour) spent working on your case. 

  2. Flat Fees: In some instances, I may agree to handle certain probate/decedent matters for a flat fee. This is more common for simpler tasks or stages within the probate process, such as drafting and filing a petition for probate, handling creditor claims, or completing a petition for final accounting and distribution. Flat fees provide certainty regarding legal costs but are less common in litigation due to the unpredictable nature of disputes.

  3. Contingency Fees: While less common in probate litigation compared to personal injury cases, I may take a probate case on a contingency basis, particularly if the litigation involves a substantial estate and a clear entitlement to assets. Under this arrangement, the attorney's fees are a percentage of the inheritance or assets recovered as a result of the litigation. If there is no recovery, there are no attorney's fees, though the client may still be responsible for certain costs. The percentage can vary but typically ranges from 25% to 40%.

  4. Retainer Fee: I requires an upfront payment known as a retainer fee, which serves as a deposit against which future costs are billed. As I work on the case and incurs charges, these are deducted from the retainer amount. The client may need to replenish the retainer if it becomes depleted before the case is resolved.

  5. Costs and Expenses: In addition to fees for legal services, probate litigation can involve various costs and expenses, such as court filing fees, costs for obtaining copies of documents, fees for expert witnesses, and costs for depositions. These are usually paid by the client, separate from the attorney's fees.

Customizing an estate plan to meet individual, family or business need involves a detailed and thoughtful process, recognizing that each situation is unique.

Here are some considerations I take to ensure an estate plan is tailored appropriately:

  1. Comprehensive Assessment: I begin with a thorough assessment of the your family assets, including real estate, investments, business interests, retirement accounts, and personal property. Understanding the scope and details of the assets is crucial.

  2. Family Dynamics: I consider the family structure, relationships, and dynamics. This includes identifying all potential heirs and beneficiaries, such as spouses, children, stepchildren, and others who may have a claim or interest in the estate. Understanding the relationships and potential conflicts is essential for planning and smooth implementation. 

  3. Special Considerations: I hone in on special circumstances that may require additional planning, such as:

    • Special Needs: If a family member has special needs, a special needs trust may be necessary to ensure they are provided for without jeopardizing their eligibility for government benefits.
    • Minor Children: Establish guardianship preferences for minor children and consider setting up trusts to manage their inheritance until they reach a responsible age.
    • Blended Families: Blended families require careful planning to ensure that assets are distributed according to the individual's wishes, balancing the needs of a current spouse with children from previous relationships. One major issue is there will always be a surviving spouse. 

  4. Goals and Objectives: I clarify the your goals, such as minimizing estate taxes, ensuring the continuity of a family business, or supporting charitable causes. This will guide me with the choice of estate planning tools and strategies.

  5. Estate Planning Tools: I utilize a variety of estate planning tools tailored to your needs, including:

    • Wills: To direct the distribution of assets and appoint guardians for minor children.
    • Trusts: To manage and protect assets, avoid probate, and address specific goals (e.g., revocable trusts, irrevocable trusts, charitable trusts).
    • Powers of Attorney: To appoint someone to make financial and healthcare decisions if the individual becomes incapacitated.
    • Healthcare Directives: To specify wishes regarding medical treatment and end-of-life care.

  6. Tax Implications: I consider the tax implications of the estate plan, including estate taxes, inheritance taxes, and income taxes, and implement strategies to minimize tax liabilities.

  7. Regular Review and Updates: I reach out to ensure your plan reviewed and updated regularly, especially after major life events such as marriage, divorce, the birth of a child, or significant changes in assets. This ensures that the estate plan continues to reflect the your wishes and accommodate changed circumstances.

  8. Professional Guidance: I engage with experienced financial advisors who can provide advice, navigate complex tax issues, and offer creative solutions tailored to your specific needs.

By addressing these areas with care and precision, the estate plan can be customized to meet the unique needs and objectives of your family providing peace of mind and security for the future.

The tax implications of your estate plan can vary significantly based on the size of your estate, the types of assets you own. Here are the primary tax considerations I keep in mind when designing your estate plan:

  1. Estate Taxes: The federal government imposes an estate tax on the transfer of the decedent's estate to their heirs and beneficiaries. As of  2023, estates worth more than $12.92 million for individuals and $25.84 million for married couples are subject to federal estate taxes. These thresholds are subject to change, so it's crucial to stay updated on current limits. California does not impose estate taxes! 

  2. Inheritance Taxes: California does not impose an inheritance tax! 

  3. Gift Taxes: To prevent individuals from avoiding estate taxes by giving away their wealth before death, the federal government also imposes a gift tax. There are annual gift tax exclusions and a lifetime exemption that aligns with the estate tax exemption. Making gifts within these limits can be a strategic way to reduce the size of your estate and the potential estate tax liability.

  4. Generation-Skipping Transfer (GST) Taxes: This tax applies to transfers made to a beneficiary who is two or more generations younger than the donor, such as a grandchild. The GST tax is in addition to estate or gift taxes and aims to prevent avoidance of taxes through skips in generations. The exemption limits for GST are aligned with the federal estate tax exemption.

  5. Income Taxes: Certain types of trusts and estate planning strategies can have income tax implications for both the estate and the beneficiaries. For example, retirement accounts and other income-producing assets can generate taxable income to beneficiaries.

  6. Capital Gains Taxes: Beneficiaries may be subject to capital gains tax if they sell inherited property that has appreciated in value. However, the basis of inherited property is generally "stepped-up" to its fair market value at the time of the decedent’s death, potentially reducing the capital gains tax owed if the property is sold shortly thereafter.

If minimizing tax liability is a priority, it's vital to conduct regular reviews and updates of your estate plan. This approach ensures your strategy adapts to any changes in tax legislation and continues to meet your objectives efficiently.

With years of dedicated experience in estate planning, I have developed a comprehensive understanding and expertise in creating tailored estate plans that address the unique needs and goals of each client. My experience spans a wide range of estate planning services, including wills, trusts, powers of attorney, healthcare directives, and more. I've worked with diverse clients, from individuals and families to business owners, helping them secure their legacy and ensure their wishes are respected. Through continuous education and staying abreast of the latest legal developments, I ensure that my clients receive informed, effective, and compassionate guidance through the estate planning process.