Safety Tips Concerning Young Children

The following are key reminders to discuss with your children.

1. Teach your child to never accept cand or gifts from a stranger.

2. Adults should not be asking kids for help: with directions, finding a lost animal, to mail a letter, etc.

3. Explain the importance of reporting any strange person or incident with both a trusted adult and the police.

4. Explain "yell and tell." Children should yell if anyone tries to touch them. The should then tell a trusted adult or the police.

5. Teach your child to memorize their address or phone number, and never share that information with a stranger.

6. Talk to them about "good strangers", like police officers, firemen, and teachers.

7. Point out your "meeting place", should your family get separated somewhere. When in a store, always meet at the cash registers.

8. Familiarize your children with the homes in the neighborhood they can go to for help.

9. Teach them to go back inside the school if anyone other than expected shows up to give them a ride, this may include a neighbor or family member. Most abducted children are taken by family members or acquaintances.

10. Children should not wear clothing with their name on it, for example, sports jerseys.

11. Explain to your child that adults may lie and even try to trick them to go with them, such as "your mom is in the hospital, come with me."

12. Explain to your child if they dial "911", they will be speaking with the real police.

13. Tell your children to never tell callers that they are home alone.

14. Tell your children why it is important for you to know where they are at all times.

15. Explain the difference between opening the door, but acknowledging that someone is home. Children can turn the porch light on and off or move a curtain, making appear someone is home. If no one answers the door and they do not see evidence of someone being home, a burglar may try to force their way in.

Courtesy of the Palatine Police Crime Prevention Unit.

Scams, Swindles, and Fraud, Oh my!

More and more often, it seems that financial swindles are front-page news. Even seemingly savvy investors have been swindled out of their life savings. One swindle, involving Bernie Madoff and his investment company, recently ended in a guilty plea to numerous counts of fraud. Investors discovered that $65 billion in their investment accounts held by Madoff simply did not exist.

The investors that fell prey to the Madoff ponzi scheme had been very happy. Their investments always performed wonderfully and went higher and higher, as if by magic. There is an old adage that if something seems too good to be true, it usually is. Well, the Madoff case is just one example of the accuracy of the old adage.

Of course, scams are not limited to the investment field. There are plenty of scams to go around, even in a seemingly staid field like estate planning. Some people promise the moon, at a cost that is amazingly low. Some individuals and companies selling estate planning services are really trying to sell you annuities or other insurance products. Some people are paralegals or unlicensed or novice planners, with little knowledge or experience. This lack of knowledge and experience could cost your estate tens of thousands of dollars or more.

If it seems too good to be true, it probably is. Don’t get taken. Seek the counsel of a qualified estate planning attorney:

Qualified: Does the person have the experience necessary to handle the complexities of your unique situation? Even the most complex situation may appear simple on the surface. Only a qualified estate planning attorney has the experience necessary to spot all the issues involved.

Estate Planning: Do they focus in estate planning? If you needed brain surgery, you would go to a brain surgeon. Estate planning is a complex field involving a nexus of several substantive areas of law. Only an estate planning attorney has the knowledge, experience, and judgment necessary to design a plan to meet your unique needs.

Attorney: Are they licensed to practice law in your state? Only a licensed attorney has the legal knowledge you need to navigate this complicated legal field.

Someone who is unlicensed or unqualified may be cheaper, but unexpected problems may arise. Your family may discover, perhaps only after you are gone, that your estate plan is vague or ineffective to accomplish your goals. Your life savings might not go to the people you intended. Worse, an improperly drafted estate plan could result in your family members paying gift taxes, estate taxes, generation-skipping transfer taxes and even income taxes that could have been avoided or reduced with proper planning. Even worse yet, a poorly drafted plan could result in family discord and years of litigation. In essence, your family may discover that what you have is really an estate scam rather than an estate plan.

A qualified estate planning attorney can help you put a plan in place that will minimize the chance of discord and will ensure that your wishes are carried out.

Maritess Bott of Bott & Associates, Ltd. is a member of the American Academy of Estate Planning Attorneys and has been engaged in the practice of law for the last eleven years. For more information or to attend an upcoming seminar, call 847-818-9084 or visit www.bottestateplanning.com.

Living Trusts Enhance Privacy Protection

A common recurring nightmare is finding yourself in a public place without any clothing. This nightmare cuts to the heart of one of our primal fears: the fear of not having privacy and the protections which privacy provides.

Today, nosy neighbors, or those with more malicious intentions, can find a great deal of information about you by doing simple online searches. If you value your privacy, you probably have an unlisted telephone number. But, did you know that someone may be able to find where you live simply by knowing your name, even if you have an unlisted telephone number? If you own your home, a search of county property records typically will reveal a list of the properties owned by you. If you’re not Donald Trump, it would be fairly simple to determine which property is your residence.

For many of us, this only leads to minor annoyances like junk mail. However, for law enforcement officers, security officers, educators, politicians, local personalities, doctors and others, it could lead to embarrassment or even a compromise of your family’s safety. Imagine a mentally disturbed criminal knowing where the arresting officer’s family lives. That’s a scary thought! You can imagine your own nightmare scenario.

But, you can reduce the possibility of that nightmare becoming a reality by enhancing your privacy with a Revocable Living Trust. If the Trust owns your home and other property, it is the name of the Trust and Trustee which appears in the property records, not your name. If you could have a friend serve as Trustee, then a search for your name would not locate any property owned by the Trust.

A Trust has additional privacy advantages at your death. Property held in your individual name must go through “probate” at your death. Probate is a public process in which the nature and extent of your assets are a matter of public record. With probate, the names of your beneficiaries are a matter of public record. Since a Trust does not die, no probate is necessary. A Trust is private, even at your death. With a Trust, the nosy neighbor will not be able to find out your very personal wishes nor what you owned at your death. Nor will those unscrupulous characters, who might seek to take advantage of your family when they are at their most vulnerable.

A qualified estate planning attorney who focuses in this field can help you create a Trust to protect your privacy and provide peace of mind both during life and after your death.

FREE PHOTOS WITH SANTA!

FREE PHOTOS WITH SANTA!

Saturday, December 19, 2009
9:00am – 2:00pm
3701 Algonquin Road, First Floor, Rolling Meadows IL 60008
(Corner of Algonquin and Route 53) (Park on the West Side of the Building)

For more information, call us at 847-818-9084 or email us at mbott@bottestateplanning.com

* No waiting in long lines at the mall!
* FREE PHOTOS printed on the spot
* FREE Continental Breakfast and Light Lunch

* Plenty of FREE parking available

* FREE TREAT BAG for all children
* Enter Raffle to win a $50.00 Gift Card
* FREE TOTE BAG with all purchases
* Close to Woodfield Mall

THIS EVENT WILL ALSO FEATURE A BLOW-OUT SALE
OF “RECCO S”, an exclusive line of BOYS CLOTHING inspired by World Cup Soccer, which comes in size 6 months to size 10. The clothing retails for
$30.00 to $70.00. They are the perfect holiday gifts for the little boys on your list. All sales are final. Cash only.

UNBELIEVABLE PRICES!

T-Shirts $5.00
Long Sleeve Shirts $5.00
Jackets $10.00
Cotton Bottoms $10.00
Woven Bottoms $15.00

This event sponsored by: Bott & Associates, Ltd.

Estate Planning: It’s Not Just About the Documents

What is an estate plan? An estate plan is a plan that passes your assets to whom you want and in the manner you want after your death. However, an estate plan is more than just documents. For example, some of your assets may not even be controlled by your Will or Trust.

Let’s look at a case study. Mike had a Will which left everything to his wife, Sally. It also provided that if Sally did not survive him, it would have set up continuing Trusts for his kids.
Mike owned the following assets:
Family farm worth $2 million, owned in joint tenancy with his sister, Mary
Retirement plan with $2 million, opened when he was still single
House, worth $500,000, owned jointly with his wife, Sally
$5,000 in a checking account

Is this a good plan? Unfortunately, no, it is not. Sally may not get anything! How can this be? Well, first, the family farm, which was owned jointly with Mary, went to Mary, the surviving joint tenant, by operation of law at Mike’s death. The retirement plan went in accordance with the beneficiary designation Mike had put in place before he even met Sally. Since he never changed the beneficiary designation, the beneficiary is still Susan, who was his fiancée at the time he opened the retirement plan. Sally will get the house. However, Mike and Sally refinanced the house when real estate values were high, so the mortgage actually exceeds his equity in the house. Sally gets only the checking account.

What did Mike do wrong? Mike failed to seek the advice of an experienced estate planning attorney. An experienced attorney who focuses in estate planning would have seen the problems with this plan and would have advised a better plan. For example, a better plan would have included changing the beneficiary designation on the retirement plan and changing the ownership of the family farm from joint tenancy to tenancy in common. Joint tenancy property passes to the surviving joint tenant, notwithstanding a Will, while tenancy in common property does not. Property governed by a beneficiary designation passes to the beneficiary pursuant to the most recent beneficiary designation, notwithstanding a Will.

Remember, your assets can pass by ways other than a Will:
By contract or other arrangement, such as Trusts, Partnerships, and Buy-Sell Agreements
By operation of law, such as joint tenancy or tenancy by the entirety
By beneficiary designation, such as life insurance, 401(k)s, and IRAs

An experienced attorney who focuses in estate planning can help you devise a plan so that nothing falls through the cracks. That way, you will have the security of knowing that the assets you’ve built up will be there for your family when they need them most.

Maritess Bott of Bott & Associates, Ltd. is a member of the American Academy of Estate Planning Attorneys and has been engaged in the practice of law since 1997. For more information or to attend an upcoming seminar, call 847-818-9084 or visit www.bottestateplanning.com.

Pet Planning – Not Just for the Rich and Eccentric

When people think of someone setting up a Trust for their pet, they might imagine Leona Helmsley’s pet Maltese named Trouble drinking Perrier from a crystal bowl in a lavish Manhattan penthouse. While Helmsley left $12 million to her pet dog, this was not her only bizarre moment. The “Queen of Mean” was known to have many eccentricities.

However, you don’t have to be rich and eccentric to set up a Pet Trust. Pet Trusts are most commonly set up by caring individuals who just want to make sure that their non-human family member is taken care of in the event of their own death or disability.

Setting up a Pet Trust is as easy as 1-2-3 when you go to a qualified estate planning attorney who has experience with setting up such trusts. First, you need to decide who would be willing and able to provide the love and attention your pet deserves. Who will get your dog’s tail wagging or get your cat purring? You should name this person as your pet’s caretaker.

Next, you need to consider how much money should be set aside for your pet’s future care. While Helmsley left $12 million to her dog, Trouble, your pet probably does not need to pay $100,000 a year for security and $8,000 a year for grooming! In order to calculate your pet’s needs, simply estimate the annual expenses for your pet’s food, grooming, medical care, and other needs and multiply that by your pet’s likely remaining lifespan. You may want to include some money as a reward to the caretaker for taking on the responsibility of providing the love and attention necessary to provide a happy home for your orphaned pet.

Finally, you need to consider who will manage and distribute the money you have set aside for your pet’s care. This person is the Trustee of the Pet Trust. The Trustee could be the same person who is providing the care for your pet, it could be another trusted friend or family member or it could be a professional Trustee or charity involved with caring for pets.

You plan for your human family, leaving them money and painstakingly considering Guardians, Trustees, and Executors. Your furry and feathered family members deserve consideration, too! Remember, without you planning for them in advance, they may face the same awful fate that awaits so many other orphaned pets. Contact an estate planning attorney who focuses in this area today to set up a Pet Trust for your special friend. You will sleep better knowing that they will continue purring or wagging their tail even if you’re no longer able to care for them.