Merry Christmas! https://youtu.be/eyx-do59RHk?si=AkOa8C1r_4-57inZ

Happy Holidays! https://youtu.be/cy4764rq9i0?si=QX0Y3eKiAnNAmkHe

It’s common for Florida parents to place their home into a revocable trust to “avoid probate.” Unfortunately, when that home is their Florida homestead and they have minor children, doing so can actually create more problems than it solves.

Florida’s Constitution gives strong protections to the family home, and those protections can override even the best-drafted trust. Parents who deed their homestead into a trust before their children reach adulthood may leave their family in a complicated legal situation when both parents pass.

The Florida Constitutional Rule That Overrides Your Trust

Under Article X, Section 4 of the Florida Constitution, a homestead cannot be devised (left by will or trust) if the owner is survived by a spouse or minor child.

That means even if your home is titled in a revocable trust, the trust cannot control it if a minor child survives you. The home immediately falls outside the trust’s control and instead passes according to Florida’s homestead laws.

This restriction exists to protect families — but it can also derail well-intentioned estate planning.

The Complicated Process That Follows

When both parents pass and a minor child survives, a Petition to Determine Homestead Status must still be filed in probate court, even though the home was in the trust.

Here’s what typically happens:

- A probate proceeding must be opened.A petition is filed to determine that the home qualifies as protected homestead.

- The petition can’t be finalized right away.The court usually delays the final order until after the 90-day creditor period ends, because all interested parties must first have a chance to be notified.

- Someone must maintain the home in the meantime.The trustee or surviving family members usually continue paying the insurance, taxes, and upkeep, even though the trustee has no authority to sell or distribute the property.

- When the order is finally entered, title passes directly to the heirs.If a minor child is among them, the court may require a guardianship of the property until the child turns 18.

This process can take months — sometimes longer — and often causes confusion because the home appears to belong to the trust on paper, but the trustee can’t actually manage it.

Why the Trustee’s Hands Are Tied

Once a Florida homestead passes to a surviving minor child, the trustee’s authority ends at the front door.

The trustee cannot:

- Sell the property

- Use it to pay estate debts

- Follow the trust’s distribution terms

The Constitution prohibits it. Even if the trust language says otherwise, Florida law wins every time.

The Real-World Impact on the Family

Families are often caught off guard by this situation. While the intention was to “make things easier,” what actually happens is:

- A probate must still be opened to determine homestead.

- The trust can’t manage or sell the home, even for the child’s benefit.

- A guardianship may be required, adding more cost and oversight.

- Estate administration becomes more complicated, not less.

In short, what was supposed to avoid probate ends up creating more of it.

A Better Way to Plan for Minor Children

Parents with minor children can still plan effectively — just differently. Consider these options:

- Wait to deed the home into the trust until your youngest child turns 18.

- Keep the home in your individual names and use your will to express your intent for the homestead to be transferred to the trust after the children reach adulthood.

- Review your plan regularly as your children grow, so it can be updated once the homestead restrictions no longer apply.

By waiting, you avoid the risk of the trust being overridden and protect your family from unnecessary court involvement.

The Bottom Line

Florida’s homestead protections are powerful — and inflexible. Once a minor child is involved, the Constitution, not your trust, decides what happens to your home.

If you currently have minor children and your home is titled in your revocable trust, this is an important time to revisit your plan.

Talk to a Local Attorney Who Understands Florida Homestead Law

Every family’s situation is different, but one thing is certain: placing a Florida homestead into a trust while you still have minor children is rarely a good idea.

If you’d like to review your estate plan or correct an existing deed, contact Bart Scovill, PLC, serving Sarasota, Lakewood Ranch, Bradenton, and Venice. https://scovills.com/?p=3318

Check out our Christmas Edition! https://youtu.be/8QgFJYrP3o0?si=w4da6XivFFBoI7DP

Rising health insurance costs aren’t new, but what’s happening now is different. Subsidies are shrinking or disappearing, premiums are jumping, and many families—especially those dealing with serious medical conditions—are facing impossible choices. You can’t control Congress or the insurance companies, but you can control how prepared your family is when the system gets shaky.

This article isn’t about politics. It’s about recognizing what’s coming and making sure your legal planning keeps your finances and your healthcare decisions on solid ground.

What’s Driving the Crisis?

1. Loss of Temporary Subsidies

For years, expanded federal subsidies kept premiums manageable for middle-income households. Those temporary incentives are rolling back, and many Floridians are seeing their premiums double—or worse.

2. Higher Premiums for Anyone With Medical Risk

Insurers can’t deny coverage for pre-existing conditions, but they can (and do) raise premiums across the board. Families managing chronic or serious medical conditions are feeling the squeeze the most.

3. Fewer Affordable Private Options

Many private carriers are increasing deductibles, narrowing their networks, or leaving the market completely. That leaves families with difficult decisions and fewer safety valves.

Where This Collides With Estate Planning

Healthcare and estate planning have always been linked, but instability in the system makes that connection unavoidable.

1. Families Need Clear Authority for Medical Decisions

If insurance changes force provider switches or require fast authorization for treatment, the people handling your medical care need unquestioned legal authority. A Health Care Surrogate and HIPAA Authorization make sure there’s no delay.

2. Durable Powers of Attorney Become Even More Critical

When premiums jump or coverage changes, families often need to move money or negotiate debts quickly. A Florida Durable Power of Attorney gives someone the legal authority to act when timing matters.

3. Medical Debt Can Affect Your Estate

Estate planning won’t stop medical inflation, but it can keep a bad situation from getting worse. Proper homestead planning and well-structured trusts can help protect your family from the fallout of large medical bills.

4. Long-Term Care Planning Is No Longer Optional

If the insurance market continues to destabilize, more Floridians may find themselves paying for long-term care sooner than expected. Early planning offers more options and fewer surprises.

How You Can Make Your Voice Heard About Subsidies

Many families feel powerless when premiums spike, but you aren’t without options. Congress controls federal subsidies, and every representative and senator tracks constituent messages closely—especially when a large number of people raise the same concern.

If you believe the subsidy expansions should be extended, here are the most effective ways to reach the people who make that decision:

1. Contact Your U.S. Senator

Florida’s two U.S. Senators can be reached through:

- senate.gov → Find Your Senators → Contact Form

- Phone numbers listed directly on their official websitesWritten messages and phone calls are logged and tallied.

2. Contact Your U.S. House Representative

Your House member represents your district directly.Visit:

- house.gov → "Find Your Representative" → Enter your ZIP codeEach member has a contact form and district office phone line.

3. Keep Your Message Simple and Direct

A brief message is more effective than a long one:

- State you are a Florida resident

- Explain that health insurance costs have become unsustainable

- Ask Congress to extend or reinstate the enhanced Marketplace subsidies

Even a small number of calls can influence whether these provisions get attention.

Why “Waiting to See What Happens” Isn’t a Strategy

Crises rarely hit all at once. They build slowly, then arrive suddenly.

A subsidy expires…A premium doubles…A denial requires an urgent switch in providers…

When these events collide with a health emergency, families without clear legal authority in place can lose valuable time, money, and control. Estate planning is not just about “what happens when I’m gone.” It protects your family when life becomes unpredictable.

Conclusion

You can’t fix the health insurance crisis, but you can make sure your family isn’t left vulnerable when the system shifts under your feet. If you have questions about how rising healthcare costs might affect your estate plan, contact Bart Scovill, PLC through our website’s contact form.

Disclaimer: This article is for general informational purposes only and is not legal or tax advice. Estate planning and probate matters are fact-specific, and laws change over time. Bart Scovill, PLC does not provide tax advice. You should consult with qualified legal, tax, and financial professionals before making any decisions. https://scovills.com/?p=3384

When most people think about estate planning, they focus on real estate, bank accounts, or retirement savings. But for many Floridians, residual income—money that continues to flow in after the initial work is done—can be just as important to plan for. Residual income might come from royalties, rental properties, business interests, or even online ventures, and if it’s not addressed correctly, it could create complications for your loved ones.

What Is Residual Income?

Residual income is any ongoing stream of revenue generated after the initial effort or investment. Common examples include:

- Royalties from books, music, or patents

- Rental income from real estate

- Licensing fees from intellectual property

- Business profits from a company you own, even if you’re not actively working there

- Affiliate or digital marketing income from websites or online platforms

Unlike a one-time asset transfer, these sources often require continued management after death. That means your estate plan should clearly identify how they will be handled.

Why Residual Income Creates Special Challenges

Residual income can be tricky in estate planning because:

- Timing matters: Payments may come in monthly, quarterly, or yearly. If your plan doesn’t specify how to handle ongoing distributions, heirs may face delays.

- Management is required: Someone may need to maintain rental properties, manage contracts, or ensure intellectual property remains protected.

- Tax considerations: Residual income may create income tax obligations for your estate or beneficiaries.

- Transfer restrictions: Some business contracts or licensing agreements limit who can inherit rights or ownership.

Planning Options for Residual Income

A thoughtful estate plan can ensure that these income streams continue to benefit your family without creating unnecessary burdens. Options include:

1. Use of a Revocable Living Trust

Placing residual income assets into a trust allows for seamless management if you become incapacitated and smoother transitions after death. A trustee can continue managing the income-producing property without probate delays.

2. Successor Management for Businesses

If residual income comes from a business, identify who will step in to manage or oversee it. This could be a family member, co-owner, or professional manager. Clear instructions help prevent disruption.

3. Handling Intellectual Property

Copyrights, trademarks, and patents may continue generating royalties long after you’re gone. Your estate plan should spell out who inherits these rights and who will enforce or renew them.

4. Tax-Smart Planning

Residual income may carry unique tax consequences. For example, rental income or royalties are taxable to the recipient. Structuring these assets in a trust or entity may help simplify tax reporting for your heirs.

Keeping Beneficiaries Informed

Residual income often requires explanation to those inheriting it. For example, your children may understand a savings account but not the details of your book royalties. Including instructions in your estate plan—or a separate letter of guidance—can help them manage these assets wisely.

Conclusion

Residual income can be one of the most valuable parts of your legacy, but it requires special attention in your estate plan. Without careful planning, your loved ones may face confusion, disputes, or missed opportunities. If you have questions about how to include residual income in your estate plan, contact Bart Scovill, PLC for guidance tailored to your situation. https://scovills.com/?p=3297

Recent headlines and online ads have made many Florida homeowners fear “home title theft” — the idea that someone can steal ownership of their home with a few clicks. It’s a real type of fraud, but the actual risk is often misunderstood. Let’s look at what title theft really is, how common it is, what you can do to protect yourself, and how having your home in a trust might help.

What Is Title Theft, Really?

Title theft — sometimes called deed fraud — happens when a scammer forges your name on a deed and records it in the public records, transferring ownership to themselves or a fake buyer. They might then try to sell the property or use it to secure a loan.

Fortunately, even if a fraudulent deed gets recorded, it doesn’t mean you’ve legally lost your property. Florida law recognizes ownership based on valid transfers, not forged ones. The challenge is discovering the fraud quickly and taking legal steps to correct it.

How Common Is Title Theft?

Despite alarming marketing claims, true title theft cases are rare in Florida. Most clerks of court now use digital recording systems that track document patterns and signatures, making it difficult for fraudulent deeds to go unnoticed.

When title fraud does occur, it usually involves:

- Vacant land or investment property, not occupied homes.

- Owners who live out of state or haven’t checked their records in years.

- Identity theft used to apply for fraudulent mortgages.

Even then, law enforcement and courts can usually reverse the fraudulent filings. The key is early detection.

What Can You Do to Protect Yourself?

You can’t stop someone from filing a document in the public record, but you can make sure you’re alerted the moment it happens.

Sign Up for a Free County Property Fraud Alert

Most Florida counties now offer free property fraud alert systems. You can register your name or property and get an email or text if any document is recorded using that information.

Examples include:

- Sarasota County Clerk of Court: SarasotaClerk.com

- Manatee County Clerk of Court: ManateeClerk.com

- Hillsborough County Clerk of Court: HillsClerk.com

These alerts don’t prevent filings, but they let you act immediately if something suspicious appears.

Avoid Paid “Title Lock” Services

Many paid “title lock” or “title protection” services heavily advertise but often provide nothing more than what your county already offers for free. They can’t actually prevent a forged deed from being recorded.

Lock or Freeze Your Credit Reports

Most fraudulent property transfers are connected to stolen identities used to open loans. You can make this much harder by locking or freezing your credit with all three credit bureaus — Equifax, Experian, and TransUnion. It’s free, reversible, and doesn’t affect your credit score.

If you’re retired or rarely apply for new credit, keeping your reports frozen is an easy, permanent safeguard.

Check Your Property Records

Once or twice a year, visit your county property appraiser’s website and confirm that the ownership information and mailing address are correct. If you see any changes or unfamiliar names, contact your county clerk’s office immediately.

How a Trust Changes the Picture

When your home is titled in your revocable living trust, the deed reflects ownership by the trustee rather than by you individually. That alone can make it harder for a scammer to impersonate you or falsify ownership documents.

It’s not foolproof — a determined criminal could still record a fake deed — but the trust provides an additional layer of verification and transparency. More importantly, it keeps your estate plan organized and makes it easier for your family to act quickly if something suspicious occurs.

What to Do If You Suspect Title Fraud

If you think someone has filed a fraudulent deed or tried to claim your property:

- Check your county property appraiser’s website immediately.

- Contact the Clerk of Court and report the fraudulent document.

- File a police report and keep a copy for your records.

- Contact a Florida attorney experienced in real estate or probate matters. You may need to file a quiet title or declaratory action to clear the record.

The sooner you act, the easier it is to undo the damage.

Final Thoughts

Title theft is real but rare. With free county monitoring, locked credit reports, and a properly titled trust, you can reduce your risk to almost zero.

If you’d like to discuss placing your home in a trust or want help ensuring your property is protected, contact Bart Scovill, PLC for a review of your estate plan. https://scovills.com/?p=3339

Our latest upload! https://youtu.be/NiOdrZrsxp0?si=RATFrONjPlxDWECJ

When preparing an estate plan, Florida residents often think about providing for loved ones living abroad. While this is a generous and thoughtful decision, naming foreign beneficiaries can add unexpected complications. From tax reporting to delays in transferring assets, it is important to understand the challenges and plan carefully to avoid problems for your heirs.

Challenges of Naming Foreign Beneficiaries

1. Tax Reporting and Withholding

U.S. tax law treats foreign beneficiaries differently than domestic heirs. In some cases, financial institutions are required to withhold a percentage of distributions to non-U.S. persons. For example, retirement accounts and certain investments may trigger mandatory withholding or income tax liability for the beneficiary.

2. Difficulty Accessing Financial Accounts

Foreign beneficiaries may face obstacles in accessing accounts due to identity verification, compliance with anti-money laundering regulations, and international banking restrictions. This can result in significant delays or, in some cases, the inability to receive funds directly.

3. Currency Conversion and Transfer Costs

When assets are distributed internationally, beneficiaries often incur high wire transfer fees, unfavorable exchange rates, and delays. These additional costs can reduce the value of what the beneficiary ultimately receives.

4. Legal and Practical Barriers

Not all countries recognize U.S. legal documents in the same way. A will or trust designed under Florida law may require additional steps to be enforceable abroad, sometimes requiring local counsel. This can slow down the administration process and increase expenses.

5. Potential Probate Complications

If foreign beneficiaries are named directly on certain financial accounts, probate in Florida may still be required to handle compliance or legal verification. In addition, coordinating with foreign institutions can complicate the process.

Recommendations for Avoiding Problems

Work with an Experienced Attorney

An estate planning attorney familiar with international considerations can help structure your plan to minimize taxes, delays, and administrative hurdles.

Consider Using a Trust

A properly drafted trust can help control the manner and timing of distributions to foreign beneficiaries. This can protect against unnecessary withholding or reporting problems and ensure compliance with both U.S. and foreign law.

Provide for Alternative Beneficiaries

In some cases, it may be appropriate to name a U.S.-based trusted individual or entity (such as a trust) to receive assets on behalf of a foreign beneficiary. This can simplify administration and ensure assets are managed according to your wishes.

Communicate with Financial Institutions

If you plan to name foreign beneficiaries on retirement accounts, bank accounts, or life insurance policies, check with the institution to confirm their procedures. Some may refuse to maintain accounts for non-U.S. persons or may impose additional requirements.

Keep Records Updated

Clear, accurate beneficiary designations and estate planning documents help reduce delays. Be sure to review them regularly, especially if your family circumstances or tax laws change.

Conclusion

Including foreign beneficiaries in your estate plan is possible, but it requires careful attention to legal, tax, and practical considerations. Without planning, your loved ones could face significant delays, costs, and tax burdens.

If you have questions about how to provide for family members outside the United States, contact Bart Scovill, PLC for guidance tailored to your situation. https://scovills.com/?p=3295

Myth, Mistake or Truth? https://youtu.be/B5TSXxTjfns?si=xmml-6b4x9nw-pGJ

A common myth in Florida is that a person with dementia cannot sign estate planning documents. While dementia is a serious diagnosis, it does not automatically mean someone has lost the mental ability to make decisions. Florida law looks to mental capacity—the person’s ability to understand what they are doing—at the moment they sign, not simply their medical diagnosis.

Dementia vs. Mental Capacity in Florida

Dementia is a medical condition that can impair memory, reasoning, and judgment. But “capacity” in the estate planning context is a legal concept focused on whether a person can:

- Understand the nature of the document,

- Recognize the effect of signing it, and

- Appreciate how it impacts themselves and their property.

This distinction is critical. Someone may carry a diagnosis of dementia yet still have sufficient capacity to sign valid estate planning documents during periods of clarity, often referred to as lucid intervals.

Mental Capacity Requirements for Estate Planning Documents in Florida

The standard for mental capacity depends on the type of document being signed.

Wills

To sign a valid will, a person must have “testamentary capacity.” This means they must:

- Understand they are creating a will,

- Know the nature and extent of their assets,

- Recognize the natural objects of their bounty (typically close family members), and

- Understand how the will disposes of their property.

This is a relatively low threshold compared to other documents.

Trusts

Capacity to create or amend a trust is usually held to the same standard as making a contract. The person must be able to:

- Understand the nature and purpose of the trust,

- Comprehend the effect of transferring assets into it, and

- Make rational decisions regarding its terms and beneficiaries.

This is a higher standard than a will because trusts are often treated as contracts.

Powers of Attorney

For a power of attorney, the person must have the capacity to understand the authority they are granting. This requires:

- Awareness of the powers being delegated,

- Comprehension of the risks and benefits of giving those powers, and

- The ability to make a rational decision in appointing an agent.

Designations of Health Care Surrogate

The person must understand:

- That they are giving someone authority to make health care decisions on their behalf, and

- The nature and scope of those decisions.

This standard is closer to the power of attorney standard and ensures the signer appreciates the significance of entrusting another with health care decisions.

Living Wills

For a living will, the person must be able to:

- Understand the nature of the document,

- Comprehend the medical treatments they are authorizing or refusing, and

- Appreciate the consequences of those choices.

Fluctuating Capacity and Lucid Intervals

Dementia often involves ups and downs. A person may seem confused one day but fully clear-headed the next. Florida law allows documents signed during these lucid intervals to be valid, provided the person had the required level of mental capacity at the time of signing. Attorneys often document the circumstances carefully to reduce the risk of future challenges.

Why Capacity Matters

If someone signs without sufficient capacity, the document could later be contested and invalidated. For example:

- A will might be overturned in probate,

- A trust could be disregarded, or

- A power of attorney might be rejected by financial institutions.

This can lead to delays, family disputes, and court intervention.

Conclusion

A diagnosis of dementia does not automatically prevent someone from making estate planning decisions. Florida law requires that mental capacity be assessed at the time of signing, and many people with dementia retain that ability during lucid intervals. Families should not assume incapacity without proper evaluation. If you are concerned about a loved one’s ability to sign estate planning documents, consult with an attorney promptly to review the situation and take steps to ensure documents are valid.

Disclaimer: This article is for general informational purposes only and does not constitute legal advice. Every situation is different, and you should consult with an attorney regarding your specific circumstances. https://scovills.com/?p=3290