I recently wrote on the topic of "Do It Yourself" estate planning. As a follow up, please click on the link below to read a great article on this subject.
After reading this article, if you have changed your mind, then call us at (586) 264-3756.
I subscribe to several different journals and try to follow developments in things other than law (believe it or not). Other than sports and current events, I also enjoy following recent developments in medicine that impact my clients.
This weekend, I cam across a great article on Dementia. I have republished this article for your review here:
More Education Delays Dementia Signs--But Not Damage
A new study of hundreds of human brains helps to explain why education seems to help stave off dementia
By Katherine Harmon
Education has been liked to decreased risk for dementia for decades, but researchers behind a new study opened up the brains of hundreds of people who had died with the disease to try to find out why this correlation exists.
The scientists found that the number of years a person had spent in school early in life did not change the amount of damage to the brain from dementia.
Most of the previous studies describing the link between education and risk for dementia were purely observational—a method in which "you can't really prove a cause and effect," says P. Murali Doraiswamy, head of biological psychiatry at Duke University and who was not involved in the new research. He also notes that many of the cognitive tests to diagnose dementia are biased against those who have lower levels of verbal and reasoning abilities due to less education to begin with.
"If low education is truly associated with dementia then you would see a higher pathology in the brain," Doraiswamy says. And that is not what the researchers behind the new study found. The work is described in a paper published online July 26 in Brain.
The findings indicate that a person's education in early life does not have much impact on how much physical damage dementia seems to do to the brain. Those who had the fewest years of formal education had "increased vulnerability to cognitive deterioration," the researchers noted in the study, making them less able to cope with slipping mental function.
But the conclusions do not indicate that the more learned are immune to the degenerative condition. A number of well-educated scientific minds, such as Charles Kao whose 1960s work on fiber optics won him the 2009 Nobel Prize in Physics, have fallen prey to Alzheimer's disease.
The researchers analyzed survey data and interviews from three large cohort studies in the U.K. and Finland in which subjects were followed for up to two decades. And 872 people in the studies donated their brains for postmortem analysis (some 56 percent of whom showed some signs of dementia before death). Most of those who died during the studies had finished their formal education more than 70 years before death—an association that the authors of the new paper described as "remarkable."
The years of education ranged from zero through postgraduate degrees. Subjects who hailed from the U.K. had had a nine-year mandatory school minimum at the time when subjects were growing up, but those from Finland tended to have far fewer, which was "quite informative because there was no mandatory education [there] at the time," says Hannah Keage, a researcher at the University of Cambridge's department of neuroscience and a co-author of the new study.
Education for a healthier brain?
As the number of people projected to be diagnosed with Alzheimer's disease grows by the decade, researchers struggle to tease apart the possible confounding variables to find clearer understandings of risk. Everything from diet to exercise to a word-puzzle habit have been purported to help reduce the risk of dementia, but many of these lifestyle issues are also intimately linked to education.
"There's a really big hypothesis that those with less formal education led a less healthy lifestyle," Keage says, "but we didn't really find that at all." Many studies have pointed to a greater risk for cardiovascular disease in lower socioeconomic classes (in which people are also likely to have fewer total years of education). But the brain dissections showed that vascular damage, which has been linked to dementia, did not correlate with the amount of formal education a person had had in their younger years.
The researchers did find that on average, those with additional years of formal education had heavier brains at the time of death.
"We can't tell if it's education leading to greater brain weight," Keage says. "It may be that those with larger brains are more predisposed to taking more education." As she and her colleagues discuss in the study, the more substantial heft might be due to an increased number of synapses as a result of education—and a more stimulating, healthier mental life thereafter.
Researchers are still on the hunt to figure out just what role early-life education has on later-life cognitive performance. "Is it truly a cause and effect, or is it a marker for something else?" Doraiswamy asks of education. Education, he suggests, could be a marker for something as distant as prenatal nutrition, as mothers who do not get the proper nutrition while pregnant often give birth to children with smaller brains.
Improving odds
Although no cure exists for Alzheimer's or other forms of dementia, some research results have suggested slight benefits if dementia is diagnosed early. As such, does this mean that a more educated person, who might not show signs of decline as early on as someone less learned, would be at a disadvantage?
Not necessarily, Keage says. "Those with higher education are more likely to seek services" and diagnosis if they start to feel they are slipping. She adds that "those with a higher education do have a sharper trajectory [of decline] to death."
But for most the news that formal education early in life might help delay some of the symptoms of dementia comes decades too late. "People past their education age seemed to be disappointed by the results," Keage says. She emphasizes, however, that education seems to be "just one more factor that can modify your dementia risk." Doraiswamy says it likely plays a small role and is probably less important than genetics as well as a host of health and lifestyle factors that are only starting to be parsed out.
"There's probably still some neuroplasticity left in the brain during adulthood," Doraiswamy notes. He suggests more studies of the impact of midlife and late-life hobbies and occupations to see what patterns education duration plays throughout life—and what those long past their campus days can do to improve their odds.
For now, research suggests a healthy diet, exercise and social engagement as likely to help stave off the dreaded condition. So if you did not go in for a PhD, Keage says, "I don't think it's time to give up yet."
Living in Michigan? Are you a fan of the Michigan State Spartans or an alum? Then tune in to Spartan Nation Radio on the web.
Our firm is proud to be the official law firm of Spartan Nation. Spartan Nation is a great sports network dedicated to college athletics news with a specific interest in the Michigan State Spartans athletic teams.
Every Wednesday, at 8:35PM, we are pleased to present "Sports and the Law," a segment following recent legal developments and their impact on the world of sports.
Often times, as I meet with clients, I learn that a client has attempted to do their own estate planning. While Michigan law allows for holographic wills (a Will written and executed by an individual in their own handwriting) there are certain complexities that remain with estate planning in Michigan.
In fact, the biggest error that I routinely see is the failure to address "living probate", by a "Do It Yourself Estate Planner". As you may be aware, Michigan law allows for two type of probate: (1) living probate; and, (2) probate of the Estate. As most people try to avoid the probate of an estate after death, they often ignore avoiding probate in the event of a disability.
Simply stated, if you become disabled and are unable to handle your own affairs and have NOT made arrangements by executing power of attorney documents, your family will be forced to seek a guardianship and conservatorship in Probate Court.
This is because, in addition, to having authority of decedent's estates, the probate court has exclusive jurisdiction (authority) over the matters of an incapacitated person. Although a guardian and conservator will have authority over the affairs and decisions of a disabled person, Court involvement is often expensive, restrictive and time consuming. Fortunately, for those who plan with an attorney, probate can be avoided at the time of incapacity and death.
Michigan law provides us with tools to avoid both forms of probate. Living probate can easily be avoided by executing power of attorney documents. A general durable power of attorney allows an individual to appoint someone else to handle his or her day-to-day affairs and manage his or her finances. A medical power of attorney allows an individual to appoint someone to handle his or her medical decisions in the event of disability.
Power of attorney documents can be complex. Therefore, it is always advisable to consult with a qualified elder law attorney to draft these documents to meet your estate planning goals. If you reside in Macomb County, or in the Metro Detroit area, and, are looking for an elder law attorney, call us at (586) 264-3756.
Continue reading "Living in Michigan and thinking of Estate Planning?" »
It is important to understand the interplay between the Veteran's Administration (VA) Aid and Attendance (A&A) Benefits and state Medicaid law.
Clients often come to our office in Sterling Heights after hearing about the A&A benefit through seminars organized by financial planners. Seminars in Southeast Michigan are becoming more and more common place as insurance agents and planners learn that eligibility for such benefits can be created through the use of careful financial planning.
Although seminars can provide valuable information to veterans, an attendee should exercise caution prior to working with a planner to apply for such benefits. Prior to working with a planner, a potential client should perform his or her own due diligence by asking the planner a few simple questions:
1. Do you also practice Medicaid financial planning?
2. Do you have a relationship with a Service Organization?
3. Do you have an existing relationship with an elder law attorney?
4. What is your commission in assisting with my planning?
These questions will shed light on the planner's intentions and whether or not he or she truly has the best interests of the client in mind. If the planner is unable to answer these questions, the potential client should consult with an elder law attorney that is skilled in the areas of VA benefits and Michigan Medicaid law.
Because federal law currently does not provide a "look-back" period for A&A eligibility there is an incentive for planners to earn commissions by funding financial products owned by people other than a veteran seeking A&A benefits. This strategy can be catastrophic if the planner is not well versed in state Medicaid law.
Conversely, current federal law provides that a Medicaid applicant is subject to a five (5) year "look-back" period. This audit period is designed to identify gifts, transfers, or "divestments" made within five (5) years of an individual's application for Medicaid benefits. Any such transfers will result in periods of ineligiblity to receive Medicaid benefits even if the applicant is otherwise qualified to receive nursing home benefits from Medicaid. As a result, transfers made for A&A eligiblity can disqualify an applicant from receiving Medicaid benefits for later nursing home care.
However, through prudent planning an individual can avoid this pitfall. Prudent planning can be accomplished by working with a team of advisors which should include an elder law attorney, CPA, and a financial planner well skilled in Medicaid and VA planning that also has an affiliation with a veteran's service organization.
As always, if you are a resident of Metro-Detroit and are looking for legal advice feel free to contact our office for a free consultation at (586) 264-3756 or via the internet through our website: www.smdalaw.com.
Remember, "Call first... Act second!"
Our firm is pleased to announce that we have partnered with Spartan Nation as a sponsor of Michigan State University related news regarding Spartan Athletics.
Through our sponsorship, we have become the "Official Law Firm of Spartan Nation". Spartan Nation is a media source created by its founder, Hondo Carpenter, Sr.
If you are an MSU alumnus or have a family member enrolled at MSU, please mention your connection when making your appointment to receive a courtesy discount on professional services.
On October 13, 2009, VA Secretary Shinseki decided to establish service connection for Vietnam veterans with three conditions; Parkinson's, B cell leukemias, and ischemic heart disease. These join the already established conditions
In the case of a surviving spouse, either the veteran's death certificate should list one of these presumptive diseases as cause of death OR the cause of death must be linked to one of these diseases.
The decision to add these three new conditions was based on scientific evidence linking these conditions to exposure to Agent Orange, an herbicide sprayed in Vietnam. As in all other conditions, the VA typically requires proof of "boot on the ground" in most cases or proof of direct exposure to Agent Orange.
Please note that on November 2nd, the National Veterans Affairs and Rehabilitation Commission released a bulletin stating that the VA instructed its regional offices to stay the adjudication of all claims seeking presumptive service connection related to the three new conditions pending the introduction of final regulations into the Federal Registry. However, veterans (and surviving spouses) who would qualify for these benefits are urged to go ahead and submit a claim to help lock in a retro-active payment date.
Although many of you are, or can become, eligible for Non-Service Connected Pension Benefits (most commonly, Pension plus Aid & Attendance), there are many who would be better off applying for Service Connected Compensation. However, in order to ascertain which benefit would be best for you, one must fully understand SC compensation benefits.
Unlike NSC pension claims, there is no asset or income limitation for SC compensation (with the exception of a parent's claim). For this reason, it may be possible to still obtain benefits for those clients with excessive assets who would not qualify for pension.
For veterans who are already receiving SC compensation, one should look at the rating of the disability and the amount that the veteran is receiving.
The general rule of thumb is: If the veteran is rated 85% or more and is receiving close to or more than pension would pay, the veteran should at least consider filing for an increase in SC compensation over pension.
Even in cases where the veteran is rated 100%, it may be possible to get additional VA money in the form of Special Monthly Compensation (SMC).
Veteran compensation claims generally take longer to process than pension claims; therefore, when in doubt, it may be best to apply for pension for those eligible veterans. Once the pension is awarded, the veteran can always submit a second claim for compensation and if approved, the VA will award whichever claim pays the most.
Unfortunately, the sting of our economy in Detroit, with the struggles of the automotive industry, has reached beyond individual consumers and into seniors' pocketbooks. With the increase in unemployment, foreclosures and other difficult times, the Michigan State Department of Human Services (DHS) and the Attorney General have noticed a correlation in elder abuse. Not physical or mental abuse; but, financial abuse.
Most commentators agree that the best way to avoid access to joint accounts or misuse of funds is to establish an effective long term care plan that includes estate planning documents that contemplate planning for disabilities or governmental benefits. By working with an accredited individual or an elder law attorney you can put together the best defense possible against elderly financial abuse.
In todays Detroit News, I came across a great article on point. The article can be found here, or I have included it as an excerpt to this post.
Continue reading "Metro Detroit Hardships Lead To An Increase In Senior Abuse" »
After a relative dies, the last thing grieving family members may expect are calls from debt collectors asking them to pay their loved one’s outstanding debts. According to the Federal Trade Commission (FTC), the nation’s consumer protection agency, a surviving relative usually has no legal obligation to pay the debts of a family member who has died. In fact, the rights of surviving relatives are covered by the Fair Debt Collection Practices Act (FDCPA), which prohibits debt collectors from using abusive, unfair, or deceptive practices to collect from you.
Under the FDCPA, which is enforced by the FTC, a debt collector is someone who regularly collects debts owed to others. This includes collection agencies, lawyers who collect debts on a regular basis, and companies that buy delinquent debts and then try to collect them.
Here’s what the law has to say about who has responsibility for a dead relative’s debts.
Who is responsible for paying the debts of a relative who has died?
Generally, someone’s estate is responsible for paying their debts. But if there isn’t enough in the estate to cover the debts, they typically go unpaid.
Am I am legally obligated to pay the debts of a deceased relative?
You usually don’t have a legal obligation to pay the debts of a deceased relative who was not your spouse. Even a spouse’s obligation to pay may be limited under state probate law. To determine whether you’re legally obligated to pay, talk to an attorney who is knowledgeable about this area of the law.
What should I do if a debt collector contacts me about a debt of a relative who has died?
Give the debt collector the contact information of the decedent’s personal representative. That’s the person responsible for settling their affairs, including paying any outstanding debts from the estate. If there is a will, the personal representative is known as the executor; if there is no will, the personal representative is known as the administrator.
Don’t give any of your personal information, like your Social Security number, birth date, or financial account numbers to anyone unless you know who you’re dealing with. Some con artists may check obituaries and other legal notices, and then contact relatives of a deceased posing as debt collectors. These scam artists can use your personal information to help them commit identity theft or other types of fraud.
Do I have to speak with a debt collector who contacts me about the debts of a deceased relative?
No. But if you’re a decedent’s personal representative, or otherwise legally obligated to pay the debt, you may want to talk with the debt collector to see if you can resolve the matter.
Can I stop a debt collector from contacting me about the debts of a deceased relative?
Yes. If you decide that you don’t want a debt collector to contact you again, write a letter to the collector saying so. Then, make a copy of your letter, send the original by certified mail, and pay for a “return receipt” so you will be able to document what the collector received and when. Once the collector receives your letter, they may not contact you again, with two exceptions: a collector can contact you to tell you there will be no further contact and to let you know that they or the creditor plan to take a specific action, like filing a lawsuit. Remember that even though the collector is prohibited from contacting you again, they still may sue the estate of your relative or the legally responsible person to collect the debt.
Can debt collectors tell anyone else about my dead relative’s debt?
Other than to get the personal representative’s location, a debt collector generally is not allowed to disclose your relative’s debt to anyone other than the deceased’s spouse, parent (if your relative is a minor child), or guardian.
For Complaints and More Information
Report any problems you have with a debt collector to your state Attorney General’s office (www.naag.org) and the Federal Trade Commission (www.ftc.gov). Many states have their own debt collection laws that are different from the federal Fair Debt Collection Practices Act. Your Attorney General’s office can help you determine your rights under your state’s law.
For more information about debt collection and the additional rights provided under the FDCPA, see Debt Collection FAQs: A Guide for Consumers at ftc.gov/credit.
For information on other credit-related issues, visit www.ftc.gov/credit and www.MyMoney.gov, the U.S. government’s portal to financial education.
The FTC works for the consumer to prevent fraudulent, deceptive, and unfair business practices in the marketplace and to provide information to help consumers spot, stop, and avoid them. To file a complaint or to get free information on consumer issues, visit ftc.gov or call toll-free, 1-877-FTC-HELP (1-877-382-4357); TTY: 1-866-653-4261. The FTC enters consumer complaints into the Consumer Sentinel Network, a secure online database and investigative tool used by hundreds of civil and criminal law enforcement agencies in the U.S. and abroad.
After a relative dies, the last thing grieving family members may expect are calls from debt collectors asking them to pay their loved one’s outstanding debts. According to the Federal Trade Commission (FTC), the nation’s consumer protection agency, a surviving relative usually has no legal obligation to pay the debts of a family member who has died. In fact, the rights of surviving relatives are covered by the Fair Debt Collection Practices Act (FDCPA), which prohibits debt collectors from using abusive, unfair, or deceptive practices to collect from you.
Under the FDCPA, which is enforced by the FTC, a debt collector is someone who regularly collects debts owed to others. This includes collection agencies, lawyers who collect debts on a regular basis, and companies that buy delinquent debts and then try to collect them.
Here’s what the law has to say about who has responsibility for a dead relative’s debts.
Who is responsible for paying the debts of a relative who has died?
Generally, someone’s estate is responsible for paying their debts. But if there isn’t enough in the estate to cover the debts, they typically go unpaid.
Am I am legally obligated to pay the debts of a deceased relative?
You usually don’t have a legal obligation to pay the debts of a deceased relative who was not your spouse. Even a spouse’s obligation to pay may be limited under state probate law. To determine whether you’re legally obligated to pay, talk to an attorney who is knowledgeable about this area of the law.
What should I do if a debt collector contacts me about a debt of a relative who has died?
Give the debt collector the contact information of the decedent’s personal representative. That’s the person responsible for settling their affairs, including paying any outstanding debts from the estate. If there is a will, the personal representative is known as the executor; if there is no will, the personal representative is known as the administrator.
Don’t give any of your personal information, like your Social Security number, birth date, or financial account numbers to anyone unless you know who you’re dealing with. Some con artists may check obituaries and other legal notices, and then contact relatives of a deceased posing as debt collectors. These scam artists can use your personal information to help them commit identity theft or other types of fraud.
Do I have to speak with a debt collector who contacts me about the debts of a deceased relative?
No. But if you’re a decedent’s personal representative, or otherwise legally obligated to pay the debt, you may want to talk with the debt collector to see if you can resolve the matter.
Can I stop a debt collector from contacting me about the debts of a deceased relative?
Yes. If you decide that you don’t want a debt collector to contact you again, write a letter to the collector saying so. Then, make a copy of your letter, send the original by certified mail, and pay for a “return receipt” so you will be able to document what the collector received and when. Once the collector receives your letter, they may not contact you again, with two exceptions: a collector can contact you to tell you there will be no further contact and to let you know that they or the creditor plan to take a specific action, like filing a lawsuit. Remember that even though the collector is prohibited from contacting you again, they still may sue the estate of your relative or the legally responsible person to collect the debt.
Can debt collectors tell anyone else about my dead relative’s debt?
Other than to get the personal representative’s location, a debt collector generally is not allowed to disclose your relative’s debt to anyone other than the deceased’s spouse, parent (if your relative is a minor child), or guardian.
For Complaints and More Information
Report any problems you have with a debt collector to your state Attorney General’s office (www.naag.org) and the Federal Trade Commission (www.ftc.gov). Many states have their own debt collection laws that are different from the federal Fair Debt Collection Practices Act. Your Attorney General’s office can help you determine your rights under your state’s law.
For more information about debt collection and the additional rights provided under the FDCPA, see Debt Collection FAQs: A Guide for Consumers at ftc.gov/credit.
For information on other credit-related issues, visit www.ftc.gov/credit and www.MyMoney.gov, the U.S. government’s portal to financial education.
The FTC works for the consumer to prevent fraudulent, deceptive, and unfair business practices in the marketplace and to provide information to help consumers spot, stop, and avoid them. To file a complaint or to get free information on consumer issues, visit ftc.gov or call toll-free, 1-877-FTC-HELP (1-877-382-4357); TTY: 1-866-653-4261. The FTC enters consumer complaints into the Consumer Sentinel Network, a secure online database and investigative tool used by hundreds of civil and criminal law enforcement agencies in the U.S. and abroad.
Today I appeared on the "Ask Your Neighbor" radio show with Bob Allison. The topic that we discussed was the use of estate planning documents for disability and long term care planning. You can listen to the segment on the 690 am website.
Among the highlights that we discussed were the use of power of attorney documents to engage in Medicaid planning and VA benefit planning. Like my last post, we discussed the importance of establishing power of attorney documents prior to the onset of illness. These documents are important as they can allow your designate attorney-in-fact to preserve resources and accelerate the qualification process for Medicaid.
Next week, I will be discussing the A & A benefit in more detail. Tune in if you would like or call our office! (586) 264-3756
Local: 586-264-3756
Toll-Free: 866-529-3537
