Because many of our clients are P&G employees and retirees, we write articles exclusively for our P&G clients that may be useful for planning purposes. Please click on any of the links below to read the full article.
John B. Cornetet practices in the areas of estate planning, retirement planning, income tax planning and financial planning. He has served over fifteen hundred P&G families as a Certified Public Accountant, Attorney at Law, and Certified Financial Planner.
If you have any questions or would like to talk with us about any issues relating to estate planning, retirement planning, financial planning, or tax planning, please call 513-771-2444.
Circular 230 Disclosure. Any U.S. federal tax advice contained in this material was not intended or written to be used, and cannot be used, by any person for the purpose of avoiding any penalty that may be imposed by the Internal Revenue Service. Further, any U.S. federal tax advice contained in this material deemed written to support the promotion and marketing by others of any transactions or matters addresses was not intended or written to be used, and cannot be used, by any person for the purpose of avoiding U.S. federal tax penalties that may be imposed on such person, and each taxpayer should seek advice based on the taxpayer’s particular circumstances from an independent tax advisor.
Check List for a Terminally Ill person
Nobody likes to deal with financial, legal, and tax in the final months of life. However, it is important to address them. While the person is alive, he/she can provide information and instructions.
Duties of a Health Care Agent
This is an essential checklist to be used in the event you are appointed as a Power of Attorney for Health Care. Any legally binding action should only be taken after consultation with qualified counsel.
Establishing an Estate Plan for a Blended Family
Creating an estate plan that is equitable and fair to your new spouse and your children from a first marriage can be difficult to think about. In practice, there are a number of practical solutions and planning techniques that resolve conflict.
Estate Planning for a Non-US Citizen
Estate planning issues for non-citizens who reside in Ohio are the same as any U.S. citizen. There are three important topics: disability, death, and estate taxes.
Estate Planning When You Own Real Estate in Other States
It is fairly typical for people to own real estate in another state. This can be a second home, vacation home, lot, family farm, or timeshare interest.
Keeping the Family Cottage, Farm or Cabin in the Family
Many families have a goal of keeping a family cottage, vacation home, or farm in the family. Here are some concerns and discussion points to consider.
Medicaid Rules Concerning Nursing Home Cost
A chief concern for many of my clients is the cost of long term care in a nursing home facility.
Using an IRA Trust as the Beneficiary of your IRA
From time to time, I like to post current planning ideas. Here is one that requires the beneficiary to keep your PST/IRA as a tax deferred vehicle as long as possible.
What is a Generation Skipping Trust
A Generation Skipping Trust is a Continuing Trust established for a child or other beneficiary which is intended to last for the beneficiary’s lifetime. Such a Trust would typically be established under an individual’s or couple’s Living Trust agreement.
What is Probate and How to Avoid It
Probate is the process of court supervision of the administration of one’s Last Will & Testament once they have passed away. Probate also applies if you die without a Will.
Change To P&G Plus by the Pension Protection Act of 2006
The recent Pension Protection Act of 2006 makes possible the rollover from a 401(k)/qualified plan into an IRA after the death of the owner. Under the new law, a beneficiary may rollover plan assets into a decedent’s IRA and then use the life expectancy method. The Trustee of a Trust also has the same option. 1 page. PDF 15k.
Do You Have A Living Will?
The Terri Schivo case in Florida highlighted the need for advanced written directives concerning your wishes on the topic of medical care and the removal of life support. The problem in her case was that there was no written direction. This can be avoided by you and your family by creating the following legal documents. 2 pages. PDF 20k.
Avoiding Fights Over Personal Property
Emotions are at their peak when someone dies, especially when there are no clear instructions for handling the disposition of the family heirlooms. The creation of instructions for your own estate plan and causing your parents to do the same is the best thing you can do to preserve family harmony. Here are some options. 1 page. PDF 61k.
ARAG Legal Insurance – Use It Or Loose It
If you signed up for the ARAG Legal Plan for 2005, you must use it or loose it by December 31. It provides you with an after tax benefit up to $665. The plan does not cover Trust. 1 page. PDF 55k.
Ohio Estate Plan When You Move To Another State
The articles covers some issues to think about when moving to another state such as full faith and credit and comity, estate tax, probate, disability, and other practical issues. 2 pages. PDF 80k.
What is Probate?
This pamphlet is designed to answer some of the questions that you may have about the estate administration process, taxes and probate. 7 pages. PDF 96k.
Making Legal and Financial Decisions For Your Parents
This guide was written to help you, the child, recognize the issues and to provide basic answers to topics such as the power and control to decide, information gathering, estate planning, and Medicaid. 7 pages. PDF 116k.
Roth IRA for Grandchildren
A Roth IRA grows tax free until retirement and is withdrawn tax free. A great gifting opportunity, you can use your wealth to set up your grandchildren’s tax free retirement account. 1 page. PDF 54k.
The Top Ten Biggest Estate Planning Mistakes
And the number one biggest mistake is… 1 page. PDF 6k.
Fiduciaries in an Estate Plan
There are three fiduciaries in an estate plan. They are Guardian, Executor and Trustee. I will describe the role of each. 2 pages. PDF 59k.
Estate Planning for the Second Marriage and Non-Traditional Family
Money, new spouses, children from the first marriage and the previous divorce experience all make facing this issue difficult. Obviously, it is extremely important to deal with these issues. It might come as a surprise, but it is not hard to create a win-win situation. 2 pages. PDF 64k.
Charitable Remainder Trust
A Charitable Remainder Trust (CRT) is a great vehicle to diversify out of P&G stock, avoid capital gains tax and aid the charity of your choice. You get to use the money for your lifetime and the principal of the Trust passes to the charity when you die. 1 page. PDF 56k.
Versatility of Trust
Trusts are used to accomplish three main purposes. They are tax avoidance, probate avoidance, and for the management of wealth distributions to your children or other heirs. This note outlines the third purpose. 1 page. PDF 7k.
Estate Planning & Divorce
Under Ohio law when you terminate your marriage, your ex-spouse is taken out of your Will. Thus, it is critical to revise your estate plan after your marriage is terminated. 1 page. PDF 6k.
Retirement Planning Checklist
This is a list of tasks that you need to accomplish as you approach retirement. These items allow you to get your financial and legal house in order to increase the chances of a successful retirement.
Retirement Plan Distribution Choices
The strategy you should consider and the options and rules that apply to your P&G retirement plan depends on your age at the point of separation from service. With this guide, you can narrow your choices and focus on options available to you based on your age and financial need.
Three Fundamental Questions to Answer Concerning Retirement
Do I have enough money to retire? How do I access my retirement account in a tax efficient manner? How do I organize my investments to last?
Using a Bond Ladder to Protect your Retirement Plan
A hallmark principle of successful retirement planning is to have three to five years of predictable cash flow to live on during the first several years of retirement. If you retire at the beginning of a down market, you will not have to sell stocks that are down to live. The concept is to create a bond ladder that each rung of the ladder represents one year of budget needs.
IRA and PST protection under the new Bankruptcy Law
Clients will frequently ask: How much insurance do I need? Is my PST better protected than an IRA? What happens in a law suit? This article will answer these questions. 2 pages. PDF 22k.
How The New Tax Law Has Shaken Up Retirement Planning
Your Retirement Plan is likely out of date. The old methods of retirement planning have been changed because of the new tax laws. You have a fantastic opportunity to take advantage of the new rules when you retire. 2 pages. PDF 60k.
When you retire, you may elect to keep your PST in P&G Plus. However, if you take your plan assets from P&G, you have three options: lump sum distribution, IRA rollover, and partial rollover. 2 pages. PDF 62k.
No Cost Stock Collars
One of the ways to protect the downside risk of P&G stock dropping rapidly, either just prior to exercising stock options or just after retirement and before you can diversify, is to use a stock collar. 1 page. PDF 55k.
Questions For Your Prospective Money Manager
There are advantages and disadvantages with both options. I will analyze them to help you make the decision whether to use P&G Plus or an IRA. 4 pages. PDF 13k.
Money Management Relationships
There are four main types of relationships that may be established when you retire. Each offers different advantages and cost structures. Pick the relationship that best meets your needs. 2 pages. PDF 9k.
Mutual Funds 101
Many people use mutual funds but do not clearly understand them. What is a mutual fund? What are the advantages and disadvantages of a mutual fund? 2 pages. PDF 11k.
Comparison of P&G Plus to an IRA
There are advantages and disadvantages with both options. I will analyze them to help you make the decision whether to use P&G Plus or an IRA. 2 pages. PDF 61k
How to Calculate the Gain on Employer Stock Taken Out of the Plan
If you do a partial rollover and pull some P&G stock out of your retirement account, you are taxed at ordinary income tax rates on the Average Employers Cost. Here is how you calculate the tax consequences when you sell those shares in the future. 1 page. PDF 7k.