Key Aspects of California Divorce

Understanding California divorce law basics can help you navigate the divorce process more smoothly. Divorce laws in California have similarities and differences from divorce laws in other states.

  • Community Property: California’s community property laws require that assets and debts acquired during the marriage be split equally. This rule seems pretty basic, but issues related to commingling can complicate matters in some situations.
    • For example, in the Jennifer Lopez and Ben Affleck case, Lopez paid for most of their shared home, and if she used her separate assets to pay for the home that could complicate the issue where the general rule is equal division of community property assets.
  • Six-Month Waiting Period: California law requires a six-month waiting period before a divorce can be finalized. This waiting period starts once the non-filing spouse is served with the divorce papers. Even when the divorce is amicable and the couple quickly reach a settlement, the waiting period is still required.
  • Spousal Support: In California, spousal support (or alimony) is awarded to help the lower-earning spouse maintain a lifestyle similar to what they had during the marriage. The court looks at factors like the marriage’s length and each spouse’s earning capacity.
  • No-Fault Divorce: California is a no-fault divorce state, meaning a spouse does not have to prove wrongdoing like infidelity or abuse to obtain a divorce. Citing “irreconcilable differences” is enough to dissolve the marriage.
  • Child Custody and Support: California courts prioritize the best interests of the child when deciding custody arrangements. Child support is calculated using statewide guidelines that consider both parents’ incomes and the time each parent spends with the child. Courts encourage co-parenting, but if the parents cannot agree, the court will intervene to create a parenting plan.
  • Simplified Divorce for Short Marriages: California offers a streamlined process called “summary dissolution” for couples who meet certain criteria, such as being married for less than five years, having no children, and holding limited property and debts. This process eliminates the need for a court hearing, making it faster and less expensive. However, if more complex financial or custody issues are involved, the traditional divorce process will be necessary.
  • Retirement Accounts and Pensions: In addition to other property, retirement accounts and pensions are considered community property in California. This means that the portion of retirement benefits earned during the marriage is subject to division. Dividing these assets requires careful handling to avoid tax penalties, and typically involves obtaining a Qualified Domestic Relations Order (QDRO) to divide retirement accounts properly.
  • Post-Divorce Modifications: Divorce agreements, including those about child custody, child support, and spousal support, are not necessarily set in stone. If there are significant changes in circumstances—such as job loss, remarriage, or relocation—either party can request a modification of the original order. Courts consider these changes to ensure that the agreement remains fair and reasonable for both parties.

Understanding these nuances of California divorce law can help you protect your interests. For more information, refer to the Self-help guide to California divorce, which offers valuable resources and guidance to navigate the process.

Consult an Experienced Family Law Attorney

At David Knecht Law, we have extensive experience with family in California. We are dedicated to supporting you through every step of your legal case. Whether you need legal advice on child custody, support, or any other family law issue, our team is here to help you create the best possible outcomes for your family. Contact us today at 707-451-4502 to learn more about how we can assist you.   

 

Filed Under: Divorce Attorney, Divorce Lawyer, Divorce Planning, Vacaville Attorney, Vacaville Lawyer

Navigating Custody When Your Child Is Neurodivergent

Co-parenting after a divorce is challenging under any circumstances, but it becomes even more complex when a child is neurodivergent. The definition of neurodivergent from merriam-webster.com is a term used to describe individuals whose brain function differs from what is considered typical. Neurodivergent children—those with conditions like autism, ADHD, sensory processing disorders, or other developmental differences—often require a specialized parenting approach.

This article explores some of the common challenges parents face, strategies that can help make shared custody work, and important considerations when raising a neurodivergent child in two homes with suggestions originally published in a psychologytoday.com article about navigating shared custody with a neurodivergent child. Understanding how to navigate shared custody in a way that prioritizes the well-being of neurodivergent children is crucial for co-parenting success.

Understanding the Challenges of Shared Custody for Neurodivergent Children

  • Create structure and routine: Neurodivergent children often thrive on structure and routine. Transitions between two homes, particularly when those environments are different, can cause stress or confusion. Neurodivergent children may have specific needs related to sensory input, communication, or emotional regulation, which must be considered when designing a custody plan. Frequent changes in environment, inconsistent schedules, or differing parenting styles between households can exacerbate stress and anxiety for these children.
  • Avoid plans that involve frequent transitions. Transitions like alternating weeks or mid-week switches—may not be suitable for neurodivergent children. These transitions can cause emotional dysregulation, as these children often struggle with changes in routine.

Tailoring Plans to Neurodivergent Children

When creating a custody plan, consider the following strategies to support the needs of your neurodivergent child:

  • Consistency Between Homes. Consistency is essential for neurodivergent children. Maintaining the same daily routine in both homes—such as mealtimes, bedtime, and therapy schedules—can reduce stress. A parenting plan that outlines these routines to ensure both parents are on the same page can help minimize confusion for the child.

Co-parenting Communication

  • Clear and Regular Communication.

Both parents need to be informed about the child’s daily activities, progress in school or therapy, and any behavioral or emotional changes. Consistent communication ensures that the child receives the same support, regardless of which parent they are with. Using a shared online calendar or app specifically designed for co-parenting can help parents stay on the same page about appointments, therapy sessions, and medications.

Managing Therapy and Special Needs

  • Coordinating Therapies.

Neurodivergent children often require specialized therapy, such as speech therapy, occupational therapy, or behavioral therapy. It is crucial to have clear agreements about who will handle therapy appointments and how both parents can continue supporting the child’s progress across both homes. Additionally, behavioral therapy often involves routines and exercises that need to be consistently implemented. Parents should work together to ensure that both homes are equipped to support the child’s therapy, whether that involves certain tools, exercises, or routines.

Education and School Support

  • Take advantage of school resources.

For many neurodivergent children, school is a critical part of their support system. These children may have individualized education programs (IEPs) or 504 plans that provide accommodations to help them succeed. Parents should attend school meetings together when possible and agree on how to address any issues related to the child’s education.

Additional Tips for Raising a Neurodivergent Child

Contact an Experienced Divorce Attorney

Co-parenting a neurodivergent child presents specific challenges that require careful consideration and collaboration. At the Law Office of David Knecht, we prioritize you and your family. We have extensive experience in divorce and want to help you achieve the best parenting plan for your children. Contact us today at (707) 451-4502. Our experienced team is ready to assist you.

Filed Under: Divorce Lawyer, Family Law, General, General Legal Advice, Vacaville Attorney, Vacaville Lawyer

Warren Buffett’s Estate Plan: Key Takeaways for Effective Wealth Transfer

Warren Buffett, one of the most successful investors of all time, is not only known for his business acumen but also for his carefully planned estate strategy. Buffett has consistently emphasized philanthropy, efficient wealth transfer, and minimizing taxes, which serve as key pillars of his estate plan. While his fortune is massive, the principles behind his estate planning strategies can provide valuable lessons for anyone looking to efficiently transfer wealth to future generations while supporting charitable causes.

Here are the key takeaways from Warren Buffett’s estate plan and what individuals can learn to apply in their own estate planning strategies:

Buffett’s “Death Plan” to Dodge Taxation

  • Minimizing Taxes: One of the most notable elements of Buffett’s estate plan is his focus on reducing the tax burden on his estate. A Yahoo Finance article reveals that Buffett intends to donate over 99% of his wealth to charity, significantly minimizing the estate tax impact.
  • Charitable Giving as a Tax Strategy: By directing his wealth toward charitable causes, Buffett not only benefits society but also reduces the taxable portion of his estate. For individuals with smaller estates, strategies such as charitable remainder trusts (CRTs) and setting up family foundations can serve a similar purpose—supporting causes while reducing tax liabilities.

Generational Wealth and Family Control

  • Trusting the Right People: Buffett has ensured that his three children will manage portions of his estate through charitable foundations, as highlighted in a CNBC article. By empowering his children to oversee specific aspects of his wealth, Buffett ensures that his legacy aligns with his long-term goals.
  • Choosing Executors and Trustees: One of the critical lessons from Buffett’s approach is the importance of selecting trusted individuals to manage your estate. This ensures that wealth is handled responsibly, according to the testator’s wishes. Even for smaller estates, choosing a trustworthy executor or trustee is vital to ensure that your wealth is passed down efficiently and according to your plans.

Philanthropy and Legacy

  • Leaving a Legacy: In a thought-provoking article from The Blum Firm, Buffett’s estate philosophy reflects his belief that wealth should serve a greater purpose. His plan to give away most of his fortune, while still leaving his children with enough to manage charitable foundations, showcases his commitment to leaving a legacy of philanthropy and responsible wealth management.
  • Aligning Your Estate with Your Values: You don’t need to be a billionaire to leave a lasting legacy. Smaller estates can still have a significant impact through thoughtful philanthropy. Consider how a portion of your estate could support causes important to you—whether through a local charity, scholarship fund, or community project.

Practical Estate Planning Lessons from Buffett’s Approach

  • Charitable Giving for Tax Reduction: Incorporating charitable donations into your estate plan can help reduce the taxable portion of your estate while supporting causes you care about.
  • Select the Right Executors or Trustees: It’s crucial to choose trusted individuals to manage your estate after your passing. These individuals will ensure that your wealth is distributed according to your wishes and that your estate is handled efficiently.
  • Plan for Your Legacy: Consider how your wealth will impact your loved ones and your community. Like Buffett, your estate can reflect your values and goals, whether through donations to charity or establishing family foundations.
  • Provide Clear Instructions: Make sure your estate planning documents are detailed and leave no room for confusion. Specify how your assets should be distributed, who should oversee the estate, and how charitable donations or foundations should be managed.

Consult the Law Office of David Knecht

Whether you are interested in preserving your wealth for your heirs or making a lasting impact through philanthropy, our experienced team can help you create a plan that reflects your values and goals. At David Knecht Law, we are here to guide you through this process and help you create a legacy that aligns with your vision for the future. We understand that estate planning is a deeply personal process, and we are committed to helping our clients navigate the complexities of the estate planning process. Contact us today at (707) 451-4502. Our experienced team is ready to assist you.

Filed Under: California Estate Plan, Digital Estate Plan, Estate Planning, Estates, Living Will, Power of Attorney, Trust Administration Attorney , Vacaville Attorney, Vacaville Lawyer

California Divorce 50/50 Custody Schedules

A 50/50 custody schedule, where parents share equal time with their child, is common in California. A 50/50 custody arrangement can be an ideal solution when both parents live close to one another and can easily coordinate schedules, ensuring the child maintains a stable routine. However, there are cases where couples cannot meaningfully share custody due to the distance between their residences. Co-parenting has become a prevalent reality for millions of parents in the U.S. A study published in Demographic Research discussing coparenting trends reveals that the percentage of divorces resulting in joint custody increased significantly from 13 percent in 1985 to 34 percent in the early 2010s with even more sharing custody today.

This article will focus on custody plans for parents who both live in California and discuss some of the most common 50/50 custody plans. Each of these options offers different benefits and challenges, depending on the child’s age, the parents’ work schedules, and their ability to cooperate.

Understanding Common 50/50 Custody Schedules

  1. 2-2-3 Plan: In this schedule, one parent has the child for two days, the other parent has the child for the next two days, and then the child returns to the first parent for a three-day weekend. The following week, the schedule reverses.
  • This plan works well for younger children who benefit from frequent contact with both parents.
  • It requires parents to live close to each other and maintain consistent communication.
  • It can be challenging for scheduling because one parent will have children on Monday and Tuesday for one week and then Wednesday and Thursday another week.
  1. Alternating Weeks: This plan involves the child spending one full week with one parent, followed by a full week with the other parent.
  • One benefit of this plan is fewer transfers and interactions with the other parent at transfers.
  • This plan provides a stable routine, especially for older children who can handle longer periods away from each parent.
  • However, it might be challenging for younger children who may struggle with not seeing one parent for an entire week.

 

  1. 3-4-4-3 Plan: In this schedule, the child spends three days with one parent, four days with the other parent, and then four days with the first parent, followed by three days with the second parent.
  • This plan balances the time spent with each parent over two weeks, providing more extended periods with each parent while still allowing for regular transitions.
  • This plan can be confusing since it is alternating.

Factors to Consider

Creating a successful 50/50 custody schedule requires careful consideration of several factors:

  • Child’s Age and Needs: Younger children often benefit from shorter, more frequent contact with both parents, while older children might prefer longer periods with each parent to establish routines. Consider the child’s school schedule, extracurricular activities, and any special needs.
  • Parents’ Work Schedules: A 50/50 custody schedule must align with both parents’ work commitments. Flexibility and a willingness to accommodate changes are essential to ensure the schedule works for everyone involved.
  • Parental Cooperation: A key to making any custody schedule work is effective communication between parents. The success of a 50/50 schedule depends on both parents’ ability to cooperate, make joint decisions, and prioritize the child’s well-being over any personal conflicts.
  • Distance Between Parents’ Homes: The closer the parents live to each other, the easier it is to manage a 50/50 custody schedule. Long distances can create logistical challenges, especially when considering the child’s school and social activities.

Legal Considerations

California courts prioritize the child’s best interests when determining custody arrangements. While a 50/50 schedule is common, it must be deemed beneficial for the child. Factors such as each parent’s living situation, the child’s relationship with each parent, and the ability to provide a stable environment all play roles in the court’s decision. Additionally, if parents cannot agree on a custody arrangement, the court may order a custody evaluation to assess the situation. The evaluator’s report can significantly influence the court’s final decision.

Getting Professional Help

Consulting with an experienced family law attorney can assist you navigating the complexities of child custody in a divorce. The attorneys here at the Law Office of David Knecht we are experienced in all aspects of family law and can help you. Contact us today at 707-451-4502.  

Filed Under: Divorce Attorney, Divorce Lawyer, Fairfield Attorney, Fairfield Lawyer, Family Law, Vacaville Attorney, Vacaville Lawyer

Celebrity Estate Planning: To Give or Not to Give?

If you have given your estate plan some thought, you may have pondered whether it is better to leave your estate to your children or to a charitable cause? This is an important consideration for estate planning for many people, and it is definitely a hot topic for celebrity estate planning.

The answer to this question is deeply personal and may involve trying to find the balance between promoting hard work and self-sufficiency in your children, but also allowing future generations to benefit from your dedication and labors. While a few stars, such as Whoopi Goldberg plan to leave their wealth to their children, many of the rich and famous take a different view.

This article will discuss high net worth individuals who are not planning to leave a large inheritance for their children and some of their reasons why, with information from these publications: Us Weekly, E! Online, South China Morning Post, Honey Nine, and BBC News

Celebrities Who Do Not Want to Leave a Large Inheritance

  • Daniel Craig – James Bond actor Daniel Craig is one such celebrity who has made headlines for his unconventional approach to estate planning. Craig has stated, “Isn’t there an old adage that if you die a rich person, you’ve failed?”
  • Mila Kunis & Ashton Kutcher – The couple has stated they don’t plan to create trust funds for their children and believe in teaching the value of hard work.
  • Gordon Ramsay – Celebrity chef Gordon Ramsay shares a similar sentiment. Ramsay has been very vocal about not leaving his fortune to his children. He said, “It’s definitely not going to them, and that’s not in a mean way; it’s to not spoil them.” Ramsay believes that his children should work for their own success and not rely on his wealth.
  • Mick Jagger – Rolling Stones frontman Mick Jagger also plans to leave his children out of his vast estate. Jagger’s approach is part of a broader trend among some of the world’s richest individuals who believe that substantial inheritances can stifle ambition and drive.
  • Elton John – The iconic musician has said he plans to give most of his fortune to charity rather than his children.
  • Sting – The renowned musician has indicated that his children will not receive his wealth, emphasizing self-reliance.
  • Simon Cowell – The TV personality and producer has stated that he intends to donate his fortune to charity rather than leaving it to his son.
  • Mark Zuckerberg – The Facebook founder and his wife, Priscilla Chan, have pledged to give away 99% of their wealth during their lifetimes.
  • George Lucas – The “Star Wars” creator has committed to donating much of his wealth to education and philanthropy.
  • Warren Buffett – The billionaire investor has long been an advocate for giving away the majority of his wealth to charitable causes.
  • Jackie Chan – Martial arts legend Jackie Chan is known for his charitable endeavors and has announced that he will donate his entire fortune to charity, rather than leaving it to his son. Chan believes that his son should earn his own way, just as he did.
  • Bill Gates – While not a Hollywood star, Bill Gates‘ approach to estate planning has influenced many in the entertainment industry. Gates has pledged to leave a small portion of his wealth to his children, with the majority going to the Bill and Melinda Gates Foundation. Gates believes that giving his children a vast sum of money would not be beneficial for them in the long run.

Estate planning in Hollywood showcases a wide array of philosophies. The attorneys here at the Law Office of David Knecht, we can help identify your priorities and establish or update an estate plan that will carry out your wishes. Whether you are looking to create a new will or trust, or need to make changes to existing documents, our experienced team is ready to assist. Contact us today at 707-451-4502.  

 

Filed Under: California Estate Plan, Trust Administration Attorney , Vacaville Attorney, Vacaville Lawyer

What do your kids want to inherit?

Are you wondering what your kids want to inherit from you? The answer may surprise you. A recent study on the inheritance expectations of Millennials and Gen Z reveals insights into the hopes and expectations of the next generations.

Key Findings:

  • Inheritance Expectations: A notable 68% of millennials and Gen Z members anticipate receiving an inheritance or have already received one.
  • Average Inheritance Value: On average, these inheritors expect to receive around $320,000.
  • Saving and Investment Plans: Among those receiving an inheritance, 76% plan to either save or invest the money.
  • Debt Repayment Goals: Approximately 40% plan to use their inheritance to pay off debt, with 69% of those carrying over $10,000 in debt hoping their inheritance will cover it.
  • Charitable Giving: A vast majority (92%) of those expecting an inheritance do not intend to donate any part of it.
  • Parental Support: One-third of respondents either already support or expect to financially support their parents.
  • Views on Wealth Transfer: Over half believe that the upcoming wealth transfer could exacerbate economic inequality.

What Millennials Value

According to an AARP article, Millennials place a high value on family heirlooms that carry sentimental value, particularly:

  • Personal letters
  • Cookbooks with family recipes
  • Jewelry with sentimental value
  • Furniture with family history
  • Artwork created by family members
  • Tools or items related to family traditions
  • War memorabilia or items of historical significance
  • Handcrafted items or DIY projects from ancestors
  • Vintage toys or games shared during childhood

What Millennials Don’t Want

An article from The Desert Sun highlights several items that Millennials typically do not want, including:

  • Large furniture
  • Formal dinnerware
  • Antiques
  • Silverware sets
  • Heavy cabinets
  • Bulky dining room sets
  • Fine China
  • Ornate rugs
  • Collectibles with no personal significance
  • Outdated electronics or gadgets

The Importance of Communication

Given these shifting preferences, it is crucial for Baby Boomers to have open and honest conversations with their children about inheritance. An article from Elder Law Answers emphasizes the importance of these discussions, with best practices for facilitating communication:

  • Start Early: Initiating these conversations sooner rather than later allows for ample time to address any concerns and make necessary adjustments to the estate plan.
  • Be Transparent: Clearly explain the reasoning behind your decisions, particularly if they diverge from traditional expectations. Transparency helps build trust and understanding.
  • Listen: Give your children the opportunity to express their preferences and concerns. Understanding their perspective can help in making decisions that are respectful of their wishes.
  • Involve a Professional: An estate planning attorney can provide valuable guidance and help mediate these conversations, ensuring that all legal aspects are properly addressed.

Contact a California Attorney Experiences with Estate Plannin

Estate planning can be very personal and individualized, with a focus on what will make your beneficiaries happy. We want to help you accomplish the estate planning goals that are right for your loved ones. For personalized legal advice on estate planning, visit www.davidknechtlaw.com or call us today at (707) 451-4502.

Filed Under: California Estate Plan, Living Trust , Probate Lawyer, Trust Administration Attorney , Vacaville Attorney, Vacaville Lawyer

The Danger of Declining Estate Planning Rates

Do you have an estate plan? If not, you are not alone, and you may be responding to the latest trends affecting Americans and their estate planning practices. Statistics show that Americans are responding to financial trends including income inequality and rising inflation, and these factors are having an impact on estate planning nationwide.

This article will discuss the statistics and trends and potential impact these may have, with information derived from Caring.com’s 2024 Wills and Estate Planning Survey and an article about the danger of declining estate planning rates originally published by Forbes. See https://www.caring.com/caregivers/estate-planning/wills-survey/ and https://www.forbes.com/sites/matthewerskine/2024/03/20/the-danger-of-declining-estate-planning-rates/?sh=2db3b6924e33

What are the main estate planning trends?

  • As reported in a survey by Caring.com, for the first time since 2020, the number of Americans with a will has declined.
  • Only 32% of Americans have an estate plan in 2024.
  • security for loved ones.
  • For business owners, estate planning ensures business continuity.
  • For art lovers, a plan can preserve the value of art collections.
  • Estate planning can minimize taxes, preserve your legacy and facility philanthropic goals
  • Estate planning can involve more than financial assets.
    • It can control healthcare decisions
    • Designate what happens with your digital and social media assets
    • Provide guidance on how children are looked after in the event of an emergency

What can you do to address these estate planning concerns?

  • The obvious first step is to get your own affairs in order. At the Law Office of David Knecht, we have extensive experience in all aspects of estate planning, and we can help make this process easy. To get started or to freshen up a preexisting plan, contact us today at 707-451-4502.
  • Talk to friends and family. If you estate plan is prepared, talk to your loved ones about how they can get steps to be prepared for the future.
  • Get involved in your community and talk about estate planning with new friends and associates. You can look for opportunities to serve in local communities, on sites such as https://www.cityofvacaville.gov/i-want-to/volunteer

Estate Planning Does Not Have to Be Intimidating

Estate planning can be complicated and it does involve facing the inevitable occurrence of your passing on, but it does not have to be intimidating. All it takes to get started is one call to your estate planning attorney, and we will help you do the rest.

  • This is a 6% decline from last year.
  • 40% of people without a will attribute that to not having enough assets to leave to anyone.
  • The study found 16% notable decline among lower-income Americans.

What are other surprising niche trends?

  • Around 85% of successful business owners have outdated estate plans.
    • This can potentially lead to unintended consequences due to changes in tax law and personal circumstances.
  • Only about 10% of ultra-high net worth individuals with significant art collections have planned for their transfer.
    • This can potentially risk disputes among heirs or mismanagement of the collection.

Why is estate planning important?

  • Estate planning is crucial for distributing assets as to one’s wishes and providing financial security for loved ones.
  • For business owners, estate planning ensures business continuity.
  • For art lovers, a plan can preserve the value of art collections.
  • Estate planning can minimize taxes, preserve your legacy and facility philanthropic goals
  • Estate planning can involve more than financial assets.
    • It can control healthcare decisions
    • Designate what happens with your digital and social media assets
    • Provide guidance on how children are looked after in the event of an emergency

What can you do to address these estate planning concerns?

  • The obvious first step is to get your own affairs in order. At the Law Office of David Knecht, we have extensive experience in all aspects of estate planning, and we can help make this process easy. To get started or to freshen up a preexisting plan, contact us today at 707-451-4502.
  • Talk to friends and family. If you estate plan is prepared, talk to your loved ones about how they can get steps to be prepared for the future.
  • Get involved in your community and talk about estate planning with new friends and associates. You can look for opportunities to serve in local communities, on sites such as https://www.cityofvacaville.gov/i-want-to/volunteer

Estate Planning Does Not Have to Be Intimidating

Estate planning takes some time, and it does involve facing the inevitable occurrence of your passing on, but it does not have to be intimidating. All you need to get started is one call to your estate planning attorney, and we will help you do the rest.

Filed Under: Estate Planning, General, Living Trust , Living Will, Trust Administration Attorney , Vacaville Attorney, Vacaville Lawyer

How to Give Your Heirs Quick Access to Your Accounts When You Die

A recent article published by MarketWatch, https://www.marketwatch.com/story/how-to-give-your-heirs-quick-access-to-your-bank-accounts-when-you-die-11633038931?mod=home-page,  answered the question of how to give your heirs quick access to your accounts when you die.  This article will summarize the information in that article and give insights into various other estate planning tips for California estate plans. 

  •  Transfer on Death (TOD), Payable on Death (POD)

When opening a bank account or amending an existing account, you fill out a form either online or in person to make someone the payable on death beneficiary of the account. 

  • What if you have more than one person you want to designate?

Typically, you can designate as many people as you desire and you will allocate a percentage of the account that will go to each person. 

  •  What is the advantage of the TOD/POD?

While there is still some process involved (the beneficiary has to show the bank a certificate of death and the beneficiary’s identification), the advantage is that probate is avoided for this particular account. This saves time, money and inconvenience. 

  •  What about making your heir the joint owner on your account?

Another strategy is to designate your heir as the joint owner on your account. This has some advantages and disadvantages. On the upside, the heir can withdraw the money upon your death right away. The downside is that the heir can also withdraw the money anytime during your lifetime. It also subjects those funds to creditors of your heir during your lifetime. Because of these risks, a joint ownership plan is not the best for some families. For relationships with a very high level of trust, it might make sense. 

How to Help Your Loved Ones

There are many choices with estate planning in California, but the first step in helping your loved ones is to become informed of your options and get a plan in place. You’ll want to make sure any paperwork related to estate planning easily accessible to your loved ones and that it is up to date with any changes needed. At the Law Office of David Knecht we have extensive experience with estate planning in California and can help you get started or update your existing plan.  Contact us at 707-451-4502 for more information.  

 

Filed Under: California Estate Plan, Vacaville Attorney, Vacaville Lawyer

Revocable Transfer on Death Deeds

A Revocable Transfer on Death Deeds, also known as a  “TOD” or “beneficiary deed” is a simple way to leave your residence to beneficiaries without the need for probate. A free form for this deed can be found here:  https://saclaw.org/wp-content/uploads/sbs-tod-deed.pdf

Because there are potential pitfalls with this type of deed, this article is not intended as a recommendation of Revocable Transfer on Death Deeds. We provide this information as education on this option. 

  •  What is a Revocable Transfer on Death Deed?

The current owner during their lifetime names beneficiaries. The deed has no effect until the death of the transferor, so the deed can be changed, the property can be sold or refinances, etc. When you die, the property does not need to go through probate, but your heirs will need to file or record certain documents. 

  •  What type of properties are eligible for Revocable Transfer on Death Deed?

A Revocable Transfer on Death Deed can only be used with a property with one to four residential dwelling or condominium units or a single family residence with less than 40 acres of land. 

  •  What are the advantages of a Revocable Transfer on Death Deed?

You can potentially avoid probate, provided that it was done correctly and there were no unexpected family changes. It is a simple process. It can be revoked during the lifetime of the transferor if you change your mind. There are some tax advantages. 

  • Have there been recent changes to the laws relating to Revocable Transfer on Death Deeds?

A recent Bill which you can access in its entirety here, https://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=202120220SB315, addressed some of the problems with Revocable Transfer on Death Deeds. 

 It states:  This bill would revise and recast those provisions, and instead make them operative until January 1, 2032. Among other things, the bill would redefine and newly define terms for these purposes, including, but not limited to, “beneficiary,” “real property,” “subscribing witness,” and “unsecured debts.” The bill would make changes to how and when a revocable TOD deed becomes effective or revoked, and would instead require the deed or revocation to be signed by the transferor, acknowledged by the transferor before a notary public, dated, and signed by 2 witnesses, as specified. The bill would add additional provisions to the statutory forms for executing and revoking a revocable TOD deed to conform to these changes, and would add additional information to the statutory “common questions” pages. The bill would require, after the death of a transferor, that the beneficiary serve notice on the transferor’s heirs, and would create a new statutory notice form for these purposes.

 

  • Where can I find out more information on how to properly execute a Revocable Transfer on Death Deed or discover whether there is a better mechanism to transfer my property to heirs?

 

At the Law Office of David Knecht we have extensive experience with estate planning in California. We can evaluate your assets and give you an opinion on whether a Revocable Transfer on Death Deed is right for you and your family. We will listen to your concerns and customize an estate plan that is advantageous to you and your loved ones. Contact us at 707-451-4502 for more information.  

 

Filed Under: California Estate Plan, Vacaville Attorney, Vacaville Lawyer

5 Assets Not to Forget in a California Divorce

There are a few categories of assets that are sometimes missed by couples getting a divorce. This article will discuss five important asset classes to remember in a California divorce so that the division of assets is fair, accurate and equitable.  At the Law Office of David Knecht, at 707-451-4502, we have extensive experience in divorce in California and can help you with complex questions relating to valuation and division of assets in a California divorce.

Bitcoin, Ethereum, or other Cryptocurrency or alternative currency. 

With the popularity of investing in cryptocurrency greatly increasing, this is one important asset class to divide in a divorce.  Crypto assets can be missed because they can be traded through Venmo, or various platforms like Coinbase that the other spouse may not be aware of.  The timing on when it is purchased is important, as well as the issue of whether there were any gains made during the marriage.

Stock options. 

 

Stock options that are granted subject to employment can present a challenge when dividing assets in a divorce.  This can occur because the options may not have vested yet or the employment upon which the options were based may have occurred before the marriage as well as during the marriage.  Even though nonvested stock options may have no present market value, you may want to retain an interest in the shares and potential profits.  This area of family law can be very complex, and possibly the best way to position yourself well relating to stock options is to obtain advice from an experienced divorce attorney who can analyze and comment on your specific situation.

Stimulus money. 

 

If you received stimulus money during the course of your marriage, then this is an asset that can be split as part of the divorce settlement.

Pension plans. 

 

Some employers, particularly the state or federal government, still offer pension plans, and if these were earned during the marriage, it’s an important source of income not to forget in a divorce settlement.

Military Benefits. 

A service member’s military pension in an extremely valuable asset and can be divided just like any asset.  It is important to include military pensions and other military benefits in a division of assets.

Conclusion

At the Law Office of David Knecht, at 707-451-4502, we have extensive experience in divorce in California and can help you with complex questions relating to valuation and division of assets in a California divorce.

 

Filed Under: General Legal Advice, Vacaville Attorney, Vacaville Lawyer
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