1002 Frederick Road
Catonsville, MD 21228
In November, 2002, Louis J. Weinkam, Jr. was re-elected to the office of Baltimore County Democratic State Central Committee for another four year term.
|LIFE ESTATE DEEDS|
With the changes in Medical Assistance and the increase in the number of persons entering a Nursing Home, the use of Life Estate Deeds has been quite popular. This article will examine the do's and don'ts of changing or adding names onto your Deed.
One way to change a deed is to create a Life Estate Deed. Creating a Life Estate Deed gives the owner of the property the opportunity to add someone to their Deed while avoiding Capital Gains Taxes. In viewing this type of Deed, there are two options:
1) Life Estate Deed with Power.
2) Life Estate Deed without Power.
The first item is called a Life Estate Deed with Powers. The owner of the property keeps the property in their name and then specifically states in the Deed that at their passing, the property would go to the named beneficiaries. At the time of death, the Inheritance Taxes, if applicable, would be applied and the property would be turned directly over to the heirs. This Deed does not protect the property from Medical Assistance since the Deed can be revised at any time.
The second Deed is a Life Estate Deed without Powers. The owner of the property adds the beneficiaries to the Deed, but cannot sell the property without the approval of those named beneficiaries. At the demise of the owner, the property passes directly to the named beneficiaries and the appropriate Inheritance Taxes are applied. This type of Deed does protect the property from Medical Assistance if it was done three years prior to the person requesting medical assistance.
Lastly, an owner may add a person to the Deed as a Joint Tenant or Tenant in Common. If this is done, the person who is being added assumes the same Tax Basis as the original owner. Therefore, when the person who owns the property passes away, the appropriate Inheritance Taxes are applied as well as any Capital Gains Taxes, which at the current rate, will be up to 20%.
It is important to consult an attorney who is familiar with these types of Deeds in order to make a proper choice.
Louis J. Weinkam, Jr. is a partner in the law firm of Weinkam & Weinkam, P.A., Catonsville, Maryland concentrating in the area of Estate and Trust Planning and Administration.
|Catonsville Heritage Foundation|
Recently, Louis J. Weinkam, Jr. helped form The Catonsville Heritage Foundation, Inc. The foundation is a non-profit group formed to promote the visibility of local non-profit groups and to solicit donations to support local charitable causes in the Catonsville area. If you are interested in making a tax-deductible donation to this organization, please contact Lou Weinkam, Jr.
Lou Weinkam Jr.'s tenure as President of the Baltimore County Public Library Board of Trustees has expired. He has served on the board the maximum of ten years and will be leaving in June 2004.
|Medicaid Reference Chart|
|Minimum Monthly Maintenance Needs Allowance
|Maximum Monthly Maintenance Needs Allowance
|Maximum Community Spouse Resource Allowance
||$135.00 - heat included
$224.00 - heat separate
|Monthly Personal Needs Allowance
|Divestment Penalty Divisor
|Resource Allowance - Individual
|Resource Allowance - Couple
||$2,500.00 - per spouse separate rooms
$3,000.00 - per couple same room
|Office News - September 2007|
Congratulations to Lou Weinkam, Jr.'s son, Gus, who received straight A's his entire first year at St. Mary's College in Southern Maryland. Congratulations also to Lou Weinkam Jr.'s son,Dominick, who also received straight A's this past year at Catonsville High School. Dominick is currently on the J.V. Football team.
1002 Frederick Road, Catonsville, MD 21228
phone: 410-744-3256, fax: 410-744-3423, firstname.lastname@example.org