By Phillip B. Rarick, Esq., Miami Asset Protection Attorney
If you have never checked Florida’s website for lost accounts and abandoned property you should do so – immediately. You may be pleasantly surprised!
You may think that it is not possible that you have any “unclaimed” property held by the State of Florida – and you could be wrong.
By Phillip B. Rarick, Esq., Miami Probate Attorney
Florida’s 30% elective share law was completely rewritten in 2001 because the old law could be easily circumvented by placing assets in a revocable trust or using non-probate transfers (e.g. life insurance, IRAs etc.) In an effort to curtail such tactics, the legislature overhauled the statute and broadened the share. The result is an expansive elective share that sweeps into the decedent’s “elective estate” many non-probate assets. See F.S. §732.201 —§732.2155.
What Is Included? Florida’s elective share statute retains the 30% share under prior law, but introduces the concept of the “elective estate” (sometimes referred to as “augmented estate”) that consists of the following property interests under F.S. §732.2035:
By Phillip B. Rarick, Miami Lakes and Weston Estate Planning Attorney
Note: This 10 Point Checklist is for those persons who have interests in one or more Florida entities, such as a corporation, limited liability company (LLC), or limited Partnership (LP).
1. Annual Fees. In January the State of Florida will send notices via email reminding you that annual fees for each corporate entity are due no later than May 1. Do not wait to get an email notice from the state, as your fees are due regardless of whether you get a notice. Remember: The deadline to pay these fees is May 1 without penalty.
By Phil Rarick, Weston Estate Planning Attorney
This report is a reminder that the FBAR or Report of Foreign Bank and Financial Account is due June 30. The FBAR is required for U.S. persons having a financial interest or signature authority over one or more foreign financial accounts, including a bank account, brokerage account, mutual fund, trust, estate, pension, cash value life insurance, or other type of foreign financial account having an aggregate value over $10,000 at any time during 2015.
Note: A U.S. person may have a reporting obligation even though the foreign financial account does not generate any taxable income.
By Phil Rarick, Weston Business Attorney
Here is a Big Red Flag: bundling multiple investment properties in the same LLC. This is a mistake we are seeing more and more often: a real estate investor has six condo rental homes; all rental homes are owned by the same LLC. This investor has essentially defeated the purpose of the LLC. A slip and fall claim on one of the properties would expose all six to the claim.
Bundling multiple investment properties in one LLC
By Phil Rarick, Esq.
Here is a simple fact: most small businesses cannot afford or even survive a major dispute between partners if the dispute ends up in court. Such disputes can doom the small business due to interruption of the company business, distract the principal partners from focusing on growth, and soak up all capital needed to sustain the company.
The following are 5 Take Away Points for avoiding court intervention in your business:
By Phil Rarick, Esq., Miami Trust Attorney
Family law attorneys are increasingly using trusts to secure and safeguard the payment of financial obligations in their marital settlement agreements. Such trusts can provide the following key benefits:
By Phillip B. Rarick, Esq., Weston Asset Protection Attorney
The Checklist Manifesto by Atul Gawande is a current, hot selling book written by a physician and advising how to get things right by implementing commonsense systems.
In today’s modern medicine, coupled with our information age, where virtually every procedure can be scrutinized by an “expert” easily found on Google, it should be standard procedure for every doctor to have a comprehensive asset protection plan – one that is up-to-date to meet the challenges of our fast-changing legal system.
By Phillip B. Rarick, Miami Asset Protection Attorney*
| Action Item | Done |
| Homestead is under ½ acre if in municipality; if not in municipality then under 160 acres Note: Consider leaving mortgage on property – even if not necessary – as excellent asset protection option. The mortgage can be paid down to avoid creditor attack. | |
| Trust systems in place for children and loved ones and integrated withcreditor protection structures | |
| Vacation home is titled in LLC, Limited Partnership, or Tenancy by Entireties | |
| Rental properties are titled in Florida LLC or Limited Partnership. If single, consider Delaware LLC | |
| All Florida LLC’s have (1) Operating Agreement with charging order protection; (2) separate bank account; (3) multi-member | |
| All corporate records have been annually reviewed by corporate attorney | |
| Exposed equity investments protected by asset protection structure Note: Exposed investments are those not protected by Florida law. Protected investments are IRA’s, 401k’s, annuities, pension plans, life insurance, Florida pre-paid tuition plans, and 529 plans. | |
| If married, checking/savings account owned as Tenancy By Entireties (TBE) Note: Confirm by going to bank and checking the bank signature card. | |
| Auto and motor vehicles : If married, title in name of person who drives vehicle the most; not in joint name | |
| Boats or jet skies: Title in name of LLC | |
| Adequate property and casualty insurance | |
| Adequate auto, vehicle, and boat insurance | |
| Umbrella liability insurance Note: Confirm with agent that there are no gaps | |
| If professional: adequate malpractice insurance and experienced malpractice agent who specializes in such coverage | |
| Team of caring and qualified advisors, including CPA, attorney, investment advisor, and insurance agent |
For more information, contact Phil Rarick, a Miami asset protection attorney, at (305) 556-5209 or info@raricklaw.com.
* With special thanks for ideas from Alan Gassman, Esq., estate & asset protection planning attorney and guru.
Special Note
The information on this blog is of a general nature and is not intended to answer any individual’s legal questions. Do not rely on information presented herein to address your individual legal concerns. If you have a legal question about your individual facts and circumstances, you should consult an experienced Miami asset protection attorney. Your receipt of information from this website or blog does not create an attorney-client relationship and the legal privileges inherent therein.
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