If you’re currently in a state of newlywedded bliss, this article might not be for you, as it is going to be a huge bummer. Let’s face it: the stats on marriage don’t look too great. The divorce rate is 44.2%. This means that if you know ten couples, four probably won’t make it. Some say that January is the most common month for divorces, while others say that it is July or August. Some even claim it is March (perhaps after Valentine’s Day’s pink-and-red haze wears off).

Whatever the month, there’s no denying that divorce is a real thing. In this article, we’re going to discuss divorce and its impact on your estate plan. If you feel, for whatever reason or inkling, that this information applies to you, read on. 

What Is Divorce? 

A divorce is the end of the legal contract known as marriage. When a court issues a divorce decree, that signals that your marriage is officially over in the eyes of the law. Divorce can take months, if not years, to finalize. According to experts, a breakdown of the marriage (arguing, lack of commitment, infidelity, etc.) is usually the biggest reason for a divorce. 

Divorce And Your Estate Plan 

Divorce might change your relationship with your ex, but it does not automatically take your ex-spouse off your estate plan as a beneficiary. Chances are, unless you saw a split coming from a mile away, your ex is in your estate plan as a beneficiary. If the divorce decree contains a stipulation to change your beneficiary designation, that’s one thing. If it contains no such clause, you’ll need to talk to an attorney. 

With a lawyer, revise powers of attorney, trusts, wills, and other documents with your ex-spouse in order to move forward. You don’t want to leave any stone unturned, and that is why it is important to sit down with a lawyer and go through your estate plan document by document. 

What Does The Law Say? 

In Florida, the law provides that a provision of a will that affects the ex-spouse of a married person is void upon divorce, annulment, or dissolution of the marriage. The divorce will not invalidate the entire will, though it does remove the spouse as a personal representative or beneficiary. It treats the spouse as though he or she has died and therefore cannot inherit or execute. 

Keeping this in mind, most lawyers agree that after a divorce, someone in Florida should not just rely on this law to cover them. Go through your estate plan and ensure that the documents officially have your ex-spouse removed. Neglecting this task will cause awkwardness at best. At worst, your ex-spouse might get a benefit from your estate when you really don’t want him or her to.

Protecting Assets From An Ex

Along this same line, you might be in a position where you want to protect assets from an ex. There are different financial tools that can help you with this, such as trusts, retirement accounts, and more. The bottom line is that divorce law and estate planning law often find themselves tied together. You don’t want to navigate this process without a lawyer. You might find yourself missing something important or getting an unfair shake from opposing counsel or the court. 

During the turbulent time of divorce, we understand that estate planning is likely the furthest thing from your mind. Some divorces are a terrible, heartbreaking tragedy. Others inspire less-negative emotions. No matter where you are on this spectrum, it’s important to contact WFP‘s legal counsel immediately to ensure your estate plan is updated after the marriage ends. 

If you’ve seen the news, whether tech, political, or otherwise, within the past few years, chances are that the word “cryptocurrency” has popped up on your feed. Cryptocurrency is a type of decentralized coinage. This digital asset is not reliant on a bank, government, or other central authority. Though cryptocurrency has its naysayers because of its volatile price and fluctuations, it seems that this digital asset is here to stay.

No matter whether you’re mining Bitcoin, Litecoin, Ethereum, or any other major, minor, or exotic coin, cryptocurrency can have an impact on your estate plan. It is, after all, an asset, and it therefore falls under the umbrella of estate planning. In this article, we’ll discuss cryptocurrency trustee services and how they work. 

Can Cryptocurrency Be Placed In A Trust? 

A trust is a tri-party fiduciary relationship. The donor, also known as a grantee, transfers title of an asset to a trustee. This second party holds the asset for the beneficiary of the third party, also called the beneficiary. At the donor’s authorization, the trustee eventually transfers title to the beneficiary. 

Though you might think of a trust as holding only cash or property, cryptocurrency can be placed in a trust. This has a lot of benefits. Namely, your cryptocurrency will not be subject to an expensive, complex probate process if you pass away. 

Some Upsides To A Crypto Trust 

Before discussing who administers a trust, it is important to talk about why putting cryptocurrency into a trust could be a good idea. It’s understandable why some crypto holders might be wary. After all, they’ve chosen a decentralized currency for a reason. That said, here are some of the upsides to a crypto trust that you should know: 

• Lessens Risk Of Loss. How do you access your cryptocurrency? Chances are, you have a wallet, password, key, and other digital safeguards that come with owning this type of asset. When you die, who knows these safeguards? If you put your crypto into a trust, there is a lower risk of it being lost after you die, as other people will have necessary information. 
• Privacy. In addition to avoid the hassle of probate, a process that can cost your beneficiaries time and money, a trust allows you to keep your crypto private. It isn’t going through probate court, so hackers and scammers won’t catch wind of it. Everyone knows about high-profile crypto hackings, and you don’t want to give these cybercriminals any reason to latch onto you. 
• Helps Beneficiaries. Your intended crypto recipient(s) won’t have to access and manage your Bitcoin or other crypto before it’s their time to do so. This relieves them of a rather immense burden, and a trusted individual with far more experience, such as a trust services company, will take over the reins. According to CNBC, 10% of people have some type of digital asset. So, companies and individuals have emerged that handle trustee services for cryptocurrency.

Trustee Services 

A trustee can be an individual, corporation, or other custodian. A trust company is a business tasked with the management, administration, and eventual asset-transfer to the trust’s beneficiary. This company acts as a custodian, and, though it can be nerve-wracking to give up control of your crypto to a company, there are some good reasons to go with a service, as opposed to appointing an individual (family member, friend, etc.).

Benefits of Trust Service Companies 

These companies can provide a lot of services to their clients from one central location. This saves a lot of time and effort, as clients do not have to coordinate financial assets, broker information, tax advisors, financial planners, and other services. These companies do charge fees, but their experience in protecting assets and managing investments makes them an attractive choice for some grantors.

If you own cryptocurrency, talk to an attorney about setting up a trust and potentially working with a trust services company. Our attorneys can help answer any questions or concerns you may have about the process. 

In this article, we will discuss the set steps to forming a corporation in Florida. A business law attorney can help you with anything you need, as they are experienced in this field. Listed below is a brief overview of the steps for forming a corporation. 

How to Form a Corporation in Florida

1. Choose the Name

Your corporation’s name has to include “Corporation,” “Company,” or “Incorporated,” as well as their applicable abbreviations. Additionally, the name has to be different from other businesses that have registered with the Department of State. You can check the Division of Corporations business name database, accessible at http://search.sunbiz.org/Inquiry/CorporationSearch/ByName, to make sure your name is unique. FYI, you cannot reserve a name ahead of time. 

2. Prepare/File Your Certificate 

This is where you might need the help of an attorney. In order to legally create your corporation, you have to file Profit Articles of the Incorporation with Florida’s Department of State Division of Corporations. You can file the articles online or via the mail. The articles must have: 

• The corporation’s name
• Principle office street address
• Purpose
• Number of shares the company can issue
• The names/addresses of initial directors and/or officers
• The name, signature, and address of an agent that gets service of process
• Name/address of incorporator

3. Appoint Your Corporation’s Registered Agent

All corporations in Florida have to have agent for service of process, and that individual or company has to be listed on the articles. This entity accepts legal papers on behalf of the corporation in the event it is sued. The registered agent can be a human being, or it can be an entity authorized to conduct business in Florida. Prior to designation, the agent has to agree to accept service of process for your corporation. 

4. Create Bylaws

These internal corporation documents set out the basic ground rules about how to operate your corporation. You do not file bylaws with the state, and there is no legal requirement to have them. That said, it is a very good idea to have corporate bylaws, as they set your corporation’s operating rules on paper. This shows creditors, banks, and the IRS that your corporation is legitimate. There are plenty of sample bylaw forms online. 

5. Appoint Directors/Hold Meetings

Directors are appointed when you name them in your articles, and the person must appoint them after you form the corporation. These directors are on your board until shareholders’ first meeting. After this first meeting, directors should do the following, if applicable: 

• Appoint corporate officers
• Select a corporate bank
• Adopt bylaws
• Authorize issuance of stock shares
• Adopt an official stock certificate
• Adopt a corporate seal
• Set the fiscal year
• Record these actions in fiscal minutes 

6. Issue Stock 

Next, the corporation can issue stock to shareholders in exchange for shareholders’ contribution of cash, property, and/or services. Small corporations issue paper stock certificates, and you’ll need to enter the shareholder’s contact information and full name into the transfer ledger. In Florida, corporate stock’s default is no par value. But, if you want to establish par value, you can. Again, this is a step that would be best carried out by a business attorney, as the law can be somewhat complex. 

7. File an Annual Report

In Florida, if you want to maintain an active status, your for-profit corporation has to file a yearly report. The report’s first version is due the year after you form your corporation. File online between January 1st and the first of May. Reminder notices will be sent to the email address you have provided to the State. 

8. Get an EIN

An EIN is an Employer Identification Number. This federal number is mandatory. You can get an EIN by filing an online application on the IRS website, for which there is no filing fee. 

We strongly advise that you contact a business law attorney to help you form your corporation, as they law can be difficult for laypeople to maneuver. 

Vacation is a great time to kick back and relax, and we don’t want to rain on your parade. Unfortunately, that’s just what this article might do. Vacation and summer can be risky, and there are statistics to prove that statement. While you should definitely still go, we suggest updating and reviewing your estate plan before you leave. Make sure everything is in order, just to be safe.

Is Vacation Dangerous? 

Millions and millions of people go on vacation every year with no issues. That said, there are some interesting travel statistics to note. As it turns out, your vacation itself might not be too treacherous, as Be Travel Wise noted that between 74% and 80% of deaths overseas are caused by natural ailments like heart problems. 18% to 24% are caused by accidents, while only 2% are from infectious disease, a la Cabin Fever (just kidding!).

The holidays themselves can be a little unpredictable. AAA says that over 33% of Americans travel during the holidays, which leads to a 34% increase in car accidents. Lastly, Benenden lists slip and falls, sunburn and heatstroke, food poisoning, and road accidents as five of the “most common types of accidents” while vacationing. 

Bottom line, vacation can come with its own perils, and you need to face this risk not by avoiding vacation, but by updating your safeguards. 

What to Review 

General Recommendation 

Generally, the rule of thumb is that you should review and update your estate plan every three to five years. You should also take a look at it if you are experiencing a major life change, such as a birth, death, marriage, or illness/incapacitation. Other than that, reviewing it before you go on vacation also isn’t a bad idea. Though this might not qualify as a “life change,” it does qualify as a period of heightened risk. Below are some of the documents you should make sure to review:

• Power of Attorney. These documents appoint a trusted individual to manage your financial and/or healthcare affairs in the event that you are too sick or injured to do so. You can rest easy knowing that someone you trust is making decisions on your behalf when you are unable to.
• Healthcare Directive. This very personal document lays out your wishes to doctors and nurses for end-of-life care and other medical procedures. It makes sure your “DNR” and other orders are honored, even when you cannot communicate them. 
• Guardianship Papers. If you have minor children, these papers appoint a legal guardian to your kids if something happens to you and your spouse while on vacation. Make sure to discussed with your proposed guardian before putting them down on paper.  
• Everything Else. Though the three documents above are the most imperative in this context, it wouldn’t hurt to glance over everything else (trusts, last will and testament, etc.) to ensure that those papers are in order, too. 

What If I Don’t Have an Estate Plan? 

If you don’t have an estate plan, there is no time like the present. These plans are vital to ensuring that your end-of-life care and assets are taken care of. Talk to an estate planning attorney today to learn how to start the process. 

Though this article might seem like a bit of a bummer, estate planning is about accepting risks and facing them head-on. We’re sure you will have a great time on vacation, but it never hurts to pick up the phone and contact your estate planning attorney, just to be safe. 

Ready for a sobering reminder? It’s nearly halfway through 2022. It appears time is flying by, and soon it will be the Fourth of July. Summer is upon us, and you don’t want to wait until fall or winter to get your estate plan drafted, if you haven’t done so already. 

In this article, we’ll discuss the potential ramifications of not having an estate plan, in the hopes of motivating you to get going on this vital legal toolset. Also, if you have an estate plan, you’re not off the hook—there are some maintenance recommendations you should follow. 

Tax Issues

There is a reason that estate planning is a process often associated with the wealthy: estate taxes. Federal estate taxes only really impact the super-wealthy, as the exemption is $11.7 million. That said, inheritance and state taxes are two other matters. Estate taxes are paid by the deceased’s estate. Inheritance taxes are levied on the heirs of the deceased. Though Florida does not impose either of these taxes, you’ll have to pay quite a bit if you qualify for the federal estate tax. 

Estate planning can help you legally maneuver around these taxes through trusts, irrevocable gifts, joint accounts, and more. These remove assets from the estate, but you’ll need a plan to actually execute these documents. 

Time and Money Wasted 

If you die intestate, your estate will have to go through probate court, an expensive, time-consuming process. While your estate is in probate court, no one can access your assets and carry out your wishes. They are, effectively, frozen until the courts comb through your estate, apply laws, pay debts, and make their own decisions about how to allocate assets. In Florida, probate takes between six and nine months on average. The probate cost ranges from $1,500 to 3% of your estate’s value, depending on the size. Having an estate plan can make this process far less time-consuming and costly. 

What About Loved Ones? 

As mentioned, when you die without an estate plan, the court makes decisions on your behalf. The court does not know you or your family, and their actions might not align with your wishes. Assets might be passed to the wrong heirs or creditors. Your minor children, if you have them, will get a guardian appointed by the court. This guardian may not have been the one you would have picked. An estate plan ensures your wishes are honored to the fullest extent of the law.

Family Disputes 

This isn’t just the province of daytime court dramas or Jerry Springer. Family disputes over inheritance and wills do occur, and they can get pretty nasty. An estate plan helps prevent these conflicts (or at least ameliorate them), as the plan will clearly and succinctly lay out what you want done with your assets. 

You will be of sound mind when you create the plan, and you can communicate your wishes to your family. Let them express their feelings while you are still alive, as that will allow you to squash conflicts before they can take over the court system. An estate planning attorney is likely well-versed in settling these disagreements; he or she can help. Without an estate plan, your wishes are left up to interpretation (read: disagreement).

Maintaining Your Estate Plan 

If you have an estate plan, good job! Note, you’re still not totally off the hook. According to Fidelity, the rule of thumb is to review your estate plan every three to five years. Conversely, you should review it when there is a significant life event (illness, death, marriage, new birth, etc.). Some people choose to go above and beyond, reviewing it annually or semi-annually. 

Hopefully, this article has spooked you enough to motivate you to set up an estate plan. Without an estate plan, you won’t just inconvenience your loved ones after you die; you’ll also run into issues if you become sick or incapacitated. Contact an estate planning attorney today to learn more and get this process started.