8/10/2019 Article Inheritance Scam

http://slidepdf.com/reader/full/article-inheritance-scam 1/4

http://passingbucks.com/articles/index.html

ArticlesThe following articles will, hopefully, help you understand more about inheritance andopen your eyes to a better way to handle these matters.

The Living Trust Dilemma

nheritance !cam

Loss of nheritance

"hat s #our "ill, Trust or $%& 'issing(

 )o *ontest( )ot+

'arriage -ow to et %etter esults without a 0renup

etting #our 1air !hare

!tructuring of 0artnerships and Trusts

The %ig 2mpty !pot: -ow To 1ind 3ualified Trustees

Trustee %aby !teps

etting the Trust !tarted

ood to o

%eneficiaries who nherit

Trusts one %ad+

4 "arrior to the 2nd

Living Trust 1unding

Like 'inds

eneration !kipping Trusts

!tate and 1ederal ealities

'inutes and llusions

*reating $seless Trustees

CHARLES ARTHUR ENTERPRISES

3435 OCEAN PARK BLVD, SUITE 10!""#

SANTA $ONICA, CA %0405&#1#' 54!"1((

8/10/2019 Article Inheritance Scam

http://slidepdf.com/reader/full/article-inheritance-scam 2/4

http://passingbucks.com/articles/inheritance.html

I)*erit+)ce Sc+by Charles Arthur  

0assing wealth to your %eneficiaries is tricky business. "ith much to know, and notraining, most parents or grandparents make decisions based on limited information. 1or

example, using a Living Trust to leave your meager or substantial goods to your children

avoids probate. "hat does that mean, exactly( etting into the legal 5argon of probate brings up another word: ntestate( "hat is that( 4re you lost already( have only 5ust

 begun.

f you die without a "ill, you have died 6intestate.6 #our assets are up for grabs and a0robate *ourt decides who gets your 6stuff.6 The court gets a chunk of the estate7s value

through fees for this service. 4void dying intestate if there is anyone in your life who may

 benefit from receiving your wealth, even if it is, by your standards, not much.

-ills +). Pr/+tef you take the time to write a "ill with instructions about what heirs get your worldlygoods, finances and property in your name at death still must be reviewed by a 5udge. -e

or she issues an order approving those entrusted with your goods to release them to

named %eneficiaries. This is costly. #our lawyer and the courts get their share beforeheirs get theirs. $sing a "ill, though, removes confusion about who gets your assets,

even if it takes three to five years for heirs to benefit from your "ill.

#ou can also set up a Testamentary Trust in your "ill. 4fter you die, this puts all yourassets into a Trust for your heirs, with instructions to Trustees about distribution and

wealth management. 2ither the court names these Trustees, or you do. The 0robate *ourt

takes it cut for this service. f it chooses the Trustee, you gamble with the funds left toyour %eneficiaries. 4 stranger has less interest in their welfare than a person you trust.

Lii)2 Trst +). /r2et!e!)/tsThe basic inheritance tactic is to avoid 0robate *ourt by creating a Trust while you are

alive. This is most often done through a Living Trust, where you keep control of all your

assets until you die. "hen you die, this setup allows your chosen representative to get themoney and deliver it to named %eneficiaries without going through 0robate *ourt. This

6successor6 has cosigned on all Trust documents and the financial accounts. This means

you give him or her the authority to write the checks and transfer real estate before youleave this existence. #our representative is the !uccessor Trustee while you are alive, and

then becomes the Trustee. This works 5ust fine only 1 your %eneficiaries agree with howyou setup your estate. f one %eneficiary challenges your Trust, all your assets,

investments and cash become sub5ect to probate anyway.

This most basic Trust has troubles. 4ll of them due to lack of information. 1or example,

the Trust accounting for this Living Trust must be kept separate from personalaccounting8. !ince the cash can be used by the Trustee or Trustees, usually the parents, it

 becomes the Trustee7s personal pile to spend. -ardly anyone reali9es that setting up a

Living Trust earmarks the assets for the %eneficiaries, and the Trustees '$!T keep

8/10/2019 Article Inheritance Scam

http://slidepdf.com/reader/full/article-inheritance-scam 3/4

accurate accounting records. 4fter the !uccessor Trustee becomes the Trustee, he or she

is legally responsible to the %eneficiaries to produce these records if the %eneficiaries

want to see them.

%ecause often mom and pop have no idea that creating the Living Trust limits their

ability to give assets away, they continue to live their lives spending to their hearts

content. Their contingent %eneficiaries, the ones who get what is left, await their passingto get the house, car and anything else. 'eanwhile, these uneducated Trustees your

 parents;, having reached oldage forgot they named you as their heir. $nfortunately this is

a common problem. 1earing the care giver will abandon them in their last hours, theseTrustees bribe this aid by giving away your inheritance to him or her<this includes the

house, the car, and the savings account. This reality is so rampant that new probate laws

 past last year limit what care givers can get=.

 )ow the Trustees of this Living Trust pass, and you fight to get these assets, given as

 bribes, returned. The good news is you can prove they are yours because you are the

named %eneficiary. The bad news is the assets in the Trust go to pay the legal fees, and sowhen you reclaim the precious 6stuff6, the cost may be more than the asset7s value.

Liite. -e+lt* Bil.i)2'ake no mistake, this valuable missing information is deliberate. %y limiting your ability

to build wealth, the little piles of assets gathered in your family are washed away by

thoughtless spending, court fees, oldage forgetfulness, as well as internal familys>uabbles. t takes training, and substantial education to pass on wealth<a fact most

 people have hardly considered.

The next step up is a evocable Trust, it performs much like a Living Trust where youkeep control until you die. $se a evocable Trust when complex investments and real

estate re>uire serious attention. &ften, an ndependent Trustee is employed. 4t any time,

though, the Trust !ettlor, the one setting up the Trust, can change his or her mind, revokethe Trust or fire the Trustee.

T*e Tric /6 T+7es$p to this point, those people setting up a "ill, or a evocable Trust are taxed on the

earnings of the Trust. n the Living Trust, these earnings can include working for others.

Depositing one7s paycheck into the Trust checking account identifies these funds for the%eneficiaries, even if the Trustee mom or pop; spends the money.

The next Trust category is rrevocable. 4ssets, funds, investments are transferred into a

Trust with usually two Trustees. They manage the wealth under the name of the Trust forthe %eneficiaries, and the Trust pays the taxes. The !ettlor7s name is not on any financial

records. f created with well thought out plans, the rrevocable Trust gives the family its

 best advantage. t can also bring you facetoface with the ma5or financial power gamesof our planet. Those who control wealth discourage passing it on.

8/10/2019 Article Inheritance Scam

http://slidepdf.com/reader/full/article-inheritance-scam 4/4

Ki)2 /6 t*e $/)t+i)

*hildren often play a game titled ?ing of the 'ountain. 1ind a mound of dirt somewhere,and there is a scramble to see who can get on top first. &nce there, the bully pushes the

rest down. This 6reigning ruler6 becomes nearly impossible to dislodge.

rrevocable Trusts are divided into two types. The first one is !tatutory, the second one0rivate. t is the later where the power games are put in place to rule this world.

True wealth rolls forward generation after generation. 2ach one adds to the stockpile ofcash, assets, and power. &nly a particular irrevocable setup holds this level of wealth, for

it must create substantial agreement among %eneficiaries who have a vested interest in

keeping the game going. The design of the !tatutory Trust usually ends it after three

generations, while the 0rivate Trust, operating via renewable contracts, can continue itswealth building tactics for hundreds of years.

This article cannot go into the depth of these inheritance setups, but clues you into thevast amount of information you might be missing. "hen setting up a "ill or a evocable

Trust, you would be smart to incorporate longrange tactics used in rrevocable Trusts tosetup your family for generations.

Those longrange tactics are found in the books, The Art of Passing the Buck, Volumes I

and II , available by clicking on the books link below or in the left column.

//t)/tes8 

8.  Evangelho v. Presoto 8@@A; BC *al.4pp. th B8E , C@ *al.ptr.=d 8B.

=. 'arshall 4. &ldman, igh Court !esolves Care Custodian Issues in Probate

Code, Los 4ngeles Daily Fournal, 1ocus, !eptember =A, =GGB, p. C.

*harles 4rthur is the pen name for the group which authored The Art of Passing the

 Buck, Volumes I and II .