Estate Planning FAQ's
Do I need a trust if I already have a will?
A will and a trust can each play an important role in an estate plan, but they serve different purposes. A will outlines how you would like your assets distributed after your death and can name guardians for minor children. A trust may provide additional benefits, such as helping manage assets during your lifetime, offering greater control over distributions, and potentially simplifying the transfer of assets to beneficiaries. The right approach depends on your family situation, financial goals, and estate planning objectives.
Does my state (Maryland or Pennsylvania) have an estate or inheritance tax?
State tax laws can affect how assets are transferred to heirs. Maryland is unique in that it has both an estate tax and an inheritance tax under certain circumstances, while Pennsylvania imposes an inheritance tax that varies based on the beneficiary's relationship to the deceased. Because tax rules can change and individual situations vary, it's important to evaluate your estate plan regularly and understand how state-specific considerations may affect your family's legacy.
How often should I update my estate plan?
It's generally a good idea to review your estate plan every three to five years or whenever a significant life event occurs. Marriage, divorce, the birth of a child or grandchild, changes in financial circumstances, relocation to a new state, or updates to tax laws may all warrant a review. Regular updates can help ensure your plan continues to reflect your wishes and supports the people and causes that matter most to you.
How do I create a legacy plan that supports my values?
A legacy plan goes beyond transferring assets—it reflects the values, priorities, and impact you want to leave for future generations. Creating a legacy plan may involve estate planning, charitable giving strategies, family wealth transfer discussions, and documenting your wishes for future generations. By aligning your financial decisions with your personal values, you can help create a lasting legacy that supports your family and the causes that matter most to you.
How do I protect a child with disabilities?
Protecting a child with disabilities often requires thoughtful planning that addresses both financial security and long-term care needs. Depending on your family's circumstances, strategies may include beneficiary designations, guardianship considerations, life insurance planning, and specialized trusts designed to preserve eligibility for certain government benefits. A comprehensive plan can help provide ongoing support while reflecting your family's unique goals and values.
What is a special needs trust?
A Special Needs Trust is a legal arrangement designed to hold assets for the benefit of an individual with disabilities without potentially affecting eligibility for certain government assistance programs. The trust can be used to help cover expenses that enhance quality of life, such as education, recreation, transportation, and other supplemental needs. For families who want to provide long-term financial support for a loved one with disabilities, a Special Needs Trust can be an important component of a broader estate plan.
Learn more about our Special Needs Trust Planning Services
This information is not intended to be a substitute for individualized legal advice. Please consult your legal advisor regarding your specific situation.
