Donna Neff's Law Blog
December 12th, 2011
Picking up from last week’s blog where I took a look at some things you should consider before traveling to the US this winter, let’s take a brief look at issues relating to US property ownership and US citizens living in Canada.
Owning US Real Property
Given the price of US real estate and our strong dollar, many Canadians are buying or thinking about buying a US vacation property. If you own or are planning to purchase US real property, you should know whether your Canadian will and POA’s are considered valid in the jurisdiction where your property is (or will be) located. If anything should happen to you, will your executor or attorney for property be able to deal with your US real property? Read the rest of this entry »
Posted in Estate Planning, Foreign property, Foreign recreational property, US Issues, Wills in Foregin Jurisdiction | No Comments »
December 5th, 2011
In honour of the recent US holiday weekend, I thought I would focus on some estate planning topics south of the border for the next couple of blogs. Are you or someone you know:
- travelling to the US,
- buying or thinking of buying US real property,
- living in Canada but are a US citizen.
For all of these situations, there are estate planning considerations of particular importance to ensure that your legal obligations are met. Read the rest of this entry »
Posted in Estate Planning, Power of Attorney for Personal Care, Power of Attorney for Property, US Issues | Comments Off
November 13th, 2011
Two months ago after much thought and research and talking to other iPad™ users, I took the plunge and bought an iPad 2. This wasn’t meant to be a toy but a tool for getting real work done, any place, any time that suited me and my busy on-the-go schedule. Read the rest of this entry »
Posted in Computer and Other Passwords, Tech Tips | Comments Off
October 28th, 2011
Question: How do I know if I can have a Registered Disability Savings Plan (“RDSP”)? Will it affect my payments under the Ontario Disability Support Program (“ODSP”)?
Answer: Any Canadian resident under the age of 60 and who qualifies for the federal Disability Tax Credit is permitted to have an RDSP. An RDSP has a $200,000 lifetime contribution limit; however, there is no annual contribution limit. There are no restrictions on when the funds can be withdrawn or for what purpose they can be used once withdrawn. The supplemental grants and bonds provided by the Government of Canada are only available until age 49 and only if certain conditions are met.
Withdrawals from an RDSP must begin at age 60. There are minimum and maximum withdrawal amounts which are based upon various formulas. For example, the amount, generally monthly, is based on how much is in the plan when withdrawals are to begin and the life expectancy of the beneficiary.
For ODSP purposes, RDSPs are fully exempt and are not considered income or an asset. Withdrawals are not considered income by ODSP; however, once the withdrawal is received by the beneficiary, the $5,000 asset limit would then apply.
Posted in Person with a Disability, Registered Disability Savings Plans | Comments Off
October 15th, 2011
If you hold an asset jointly with an adult son or daughter, such as a bank account or a cottage, you may be surprised to learn what will happen to the asset after you die. Like many parents, you might assume that the asset passes directly to your surviving child and that he or she can do whatever he or she likes with the asset. However, unless you have made your intentions clear, the law will presume that your child is holding the asset in trust for your estate. In other words, the law does not presume that the asset belongs to your child. Read the rest of this entry »
Posted in Cottages and Estate Planning, Estate Planning, Joint Assets | Comments Off
October 1st, 2011
Question: Can a parent exclude or ‘cut’ a child out of his or her Will?
Answer: Generally, in Ontario, a person who is mentally capable of making a will is free to leave his or her estate to whomever they wish. A parent could exclude a child from his or her will; however, if the parent had a legal obligation to support the child at the time the parent died, the parent’s estate could be subject to a claim to continue that support. If a child is not named as a beneficiary of a parent’s estate and if the child believes they are entitled to support, an application could be made to court asking for support from the estate. Whether or not the application would succeed would depend upon many factors and the result could not be guaranteed.
A child who has been excluded as a beneficiary could challenge the will in court if there is evidence that the parent was influenced by someone to leave the child out or if the parent lacked testamentary capacity at the time of signing the will.
Posted in Estate Planning | Comments Off
September 7th, 2011
Although some of us may be desperately trying to hold on to summer, fall is undoubtedly in the air. For some reason, fall always seems like the right time to get things in order, maybe even more so than the beginning of a new year. One thing you will want to ensure you have in order is your Power of Attorney for Property (“POA PPY”). If you become incapable or unable to take care of your financial affairs and do not have a valid POA PPY, you may create a very difficult situation for your loved ones. Everyone, regardless of the amount or kind of assets they have, should have a POA PPY. Don’t be confused by the use of the word ‘attorney’ – in Ontario, ‘attorney’ means ‘substitute decision-maker’ and not a lawyer like it does in the U.S. Read the rest of this entry »
Posted in Estate Planning, Power of Attorney for Property | 1 Comment »
August 4th, 2011
Via Twitter, I found an interesting idea loosely based on Japanese Haiku, a form of poetry. Instead of a pattern of 5-7-5 syllables, Matt Holman suggests a pattern of 5-7-5 words arranged in three lines to create a tightly-focused ‘elevator pitch’.
To develop the pitch, Matt suggests answering these three questions:
1. Who do I help? (5 words)
2. What do I do for them? (7 words)
3. Why do they need me? (5 words) Read the rest of this entry »
Posted in Uncategorized | Comments Off
July 19th, 2011
In the midst of this glorious heat wave, let’s stay firmly rooted in cottage-mode, and afloat in the cool lake in particular, and look at a final series of issues you will want to consider for your cottage sharing agreement. Please note that the issues are not set out in any particular order of relevance.
One major, and possibly contentious, issue may be the use of the cottage itself. How will usage of the cottage be determined? Will a formal schedule be prepared? What about usage by family and friends of the owners? Be sure to fully negotiate this issue with all parties. Read the rest of this entry »
Posted in Cottages and Estate Planning, Joint Assets | Comments Off
July 3rd, 2011
As the first long weekend of the summer winds to a close, let’s stay in cottage-mode a while longer and delve into the nitty-gritty questions you need to consider before having a cottage agreement drafted. Start with the basics,
- If the cottage is not already owned, how should the purchase price be divided?
- How should title to the property be held? For example, who should be involved, owners and spouses or owners only? How should title be held among the various owners, as joint tenants with right of survivorship (last one alive owns it) or tenants-in-common (each person’s share passes on death as per the person’s will; if no will, according to provincial intestacy laws)? Read the rest of this entry »
Posted in Cottages and Estate Planning, Joint Assets | Comments Off
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