The Seniors Family Partnership strategy has been adapted from one commonly used by wealthy families to transfer the family business or wealth while avoiding taxes. It offers the opportunity of income for seniors as long as they are able to enjoy it. It is designed to avoid probate (lifetime and at death) and preserved family and financial privacy. It is often recommended for those who are still healthy, willing to plan ahead and want to control their assets for as long as possible.

Seniors Family Partnership is an Asset Protection Planning strategy that’s been employed by wealthy families for years. Using it allows an individual to pass assets or a family business onto children or loved ones in a way that avoids or substantially reduces confiscatory estate taxes. Estate Crafters has adapted this strategy to aid individuals and families faced with confiscatory nursing home expenses to pass their assets, including the family home, onto their loved ones.

Individuals and families who want to assure that the bulk of their life’s savings go to their loved ones, regardless of whether a nursing home stay is a possibility or the current living situation. Those who will accept a stream of income and who will cede enough control to let a loved one they select manage their investments will also benefit.

No! Only loved ones need to be involved. However, Estate Crafters will bind all loved ones together by agreement so that they can act together in ways that are advantageous to the family.

A Seniors Family Partnership involves no insurance company, sales agents, premiums or commissions. Instead, assets are transferred to loved ones under terms of an agreement that allows continued distributions of income to the elder(s). After the elder(s) is(are) gone, loved ones, not the bank or insurance company, receive all the assets and the remaining annuity installments, if any, over a handful of months.

Yes! Unlike the typical “Divestment” or “Half-A-Loaf” strategy, the three year “Look Back” or penalty period, in which elders who make a gift can be deemed ineligible for Medical Assistance (MA), should not apply. Rather, one “exchanges” one’s assets for an interest in the partnership. If the Seniors Family Partnership is properly structured, and meets all state requirements, the individual(s) should be immediately eligible for MA whether they currently live in or about to live in a nursing home.

Yes. MA rules allow the “Community” or “At Home” spuse to use the Community Spouse Resource Allowance (CSRA) to keep a certain amount of assets in his/her own name. At the same time the “Community” spouse may increase his/her income by exchanging the institutionalized spouse’s assets fro units in a Seniors Family Partnership. Single persons may exchange all but $3,000 of their “available” assets for partnership interests. Ultimately all assets, not just left over installments, go to loved ones invited to be partners.

A single individual or a couple who want to protect the bulk of their estate for family or loved ones, and who are willing to let a trusted family member or a loved one manage their investments pursuant to a partnership agreement. The agreement can provide them a monthly income, yet its also designed to preserve all or most of the principle for family or loved ones when the elder(s) is(are) gone.

Yes. Estate Crafters suggest a trusted adult child, grandchild or loved one be named managing partner of the Seniors Family Partnership when ready.

Designated laws, nearly a century old, protect partnership assets and the elder(s) financial security from estranged in-laws or grasping creditors.

Yes. If the elder(s) is(are) young enough and the partnership’s investment does well investment earnings may exceed their needs and/or desired payouts. In such cases remaining assets available for future distribution to loved ones may exceed the amount the elder(s) initially exchanged for the Seniors Family Partnership interest. Elder(s) may also gift a part or all of their interest in the partnership to loved ones.

Yes. Healthy younger folks can have their “Asset Protection” plans in place, name themselves managing partner and take all “pass through” income from their Seniors Family Partnership as long as they’re well and live independently.
Yes. The younger and healthier you are, the more opportunities you have to transfer interests in assets you want loved ones to have an enjoy in the future.
Yes. Should a nursing home stay be required, interests in a Seniors Family Partnership can be “re-structured” so the “Community” or “At-Home” spouse receives all the income.
Yes. Special partnership language has been developed to allow those who wish to avoid probate.
Yes. Asset shrinkage from nursing home expenses can be reduced or eliminated altogether.
Yes. Estate Crafters can also adapt the Seniors Family Partnership to help younger families in their 40’s and 50’s protect the “Community” spouse’s income, and their children’s opportunity to go to college, if the other spouse is forced to live in a nursing home permanently after a disabling stroke or accident.

Yes. If you have a “modest sized” estate (between $50,000 and $999,000) and want assurance the bulk of it will go to children or loved ones, even if you are now in or may someday enter a nursing home. Contact Estate Crafters. After learning a few key facts about your situation Estate Crafters can usually tell whether a complete evaluation would be worthwhile. If it is, you can schedule a Family Consultation to review all your Asset Protection options and the estimated cost of each with an Estate Crafters attorney.

Yes. Estate Crafters encourages adult children and loved ones to come along, ask questions and learn about this complex ever-changing area of law. The goal of the Family Consultation is to empower you and your family to make a knowledgeable decision concerning which Asset Protection strategy best suits your family’s needs and goals.

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