- A revocable living trust allows people to avoid probate, maintain privacy over their estate, and control how and when heirs inherit assets. - It provides for disability planning so a court does not appoint a conservator and allows people to choose their own medical decision makers. - A revocable living trust can also help preserve estate and gift tax exemptions which can save millions of dollars in taxes.

1. Estate Planning & Wealth Preservation Planning using REVOCABLE LIVING TRUSTS Speaker Kevin L. Day, Esq. Solana Beach, California This material is Copyrighted and may be reproduced only with the owners written consent

2. This presentation does not constitute the rendering of legal advice or services. The information being presented is intended for informational use only and is not a substitute for legal advice. State, national and international laws vary, as do individual circumstances; so always consult a qualified attorney on all legal matters. Legal Notice and Disclaimer This material is Copyrighted and may be reproduced only with the owners written consent

3. Kevin L. Day, Esq. is one of the leading estate planning and international asset protection planning attorneys in the United States and is President of the law firm of Day & Associates Incorporated in Solana Beach, California. Mr. Day’s Bachelor Degree is in Chinese Studies, and he holds both a Masters of Business Administration in International Management and Doctor of Jurisprudence degree.

4. Domestic Revocable Trusts; Probate Avoidance [why you want this] Cost 5-7% of your estate 2 years time on average for a smaller estate Control You decide how and under what conditions your heirs inherit Privacy [No Public Record Filing Required] Disability Planning You decide who can make your healthcare decisions Do not have a Court Appointed conservator running your estate Tax Saving - with the proper provision keep your gift tax exemptions. [This could mean millions of dollars in savings] This Session What You Are Going To Be Seeing More Of

5. What is a Trust In general terms all Trusts behave the same… Trustee Legal Owner Beneficial Owner Trust Deed Beneficiary Assets Settlors

6. Grantor Trustee Beneficiary Trust What Is A Trust? Grantor Trustee Beneficiary

7. Revocable vs. Irrevocable Revocable vs. Irrevocable Revocable vs. Irrevocable Revocable vs. Irrevocable What Is A Trust? Settlor Trustee Trust Beneficiary

8. Understanding Living Trusts How to Avoid Probate [time and costs] How to Preserve Estate Tax Exemptions How to Control Distributions and Conditions of Inheritance How to Maintain Privacy of Your Affairs Revocable Trust

9. SETTING UP YOUR LIVING TRUST Make Decisions Living Trust Team Inheriting Instructions * Medical Care Issues Attorney Prepares Documents Change Titles You Keep Complete Control

10. FOR EXAMPLE: From “ John and Mary Smith, Husband And Wife” To “ John and Mary Smith, Trustees Under The Smith Family Trust Dated January 1, 2009”

11. PROBATE FEES- California Example-Every state is different $ 15,000 100,000 200,000 500,000 1,000,000 2,000,000 5,000,000 $ 1,200 8,000 14,000 26,000 46,000 66,000 126,000 ……………………… . ……………………… . ……………………… . ……………………… . ……………………… . ……………………… . ……………………… . CALIFORNIA PROBATE FEES ( § 10800 et sec) These fees can be charged by the attorney…..and the Court.

12. How a Funded Revocable Living Trust Works Co-Owned Property of Husband & Wife At 1st Death No Probate Husband’s Separate Property Wife’s Separate Property Surviving Spouse’s Trust: $1,000,000 in 2014 Estate Tax Exclusion Amount Decedent’s Bypass Trust: $5,000,000 in 2011 Estate Tax Exclusion Amount At 2nd Death No Probate Outright to Children Revocable Living Trust of Husband & Wife

13. SUMMARY COMPARISON Cost Time Privacy Contesting Incapacity Minors Control LIVING TRUST $,2000 - $5,000 4 - 8 Weeks Maximum Difficult No Probate No Guardianship Maximum PROBATE ≈ 7% of the Estate 1 – 2+ Years None Easy “ Living Probate” Guardianship None

14. Uncle Sam Wants His Inheritance Paid Within 9 Months

15. Revocable Living Trust Protection from Probate No Conservatorship Needed You Maintain 100% Control Gift Tax Exemption Preserved Maintain Privacy (No public action) Inheritance Conditions (gradual steps, education, etc) Lawsuit Protection – None

16. Documents Included In Your Complete Living Trust Estate Plan Administrative Instructions Document Signing Instructions Living Trust Agreement Pour-Over Wills Community Property Agreement (if applicable) Advanced Medical Directive Durable Power-of-Attorney for Health Care including Directive to Physicians Regarding Use of Artificial Life Support (“Living Will”) Durable & Special Power-of-Attorney for Property Limited & Miscellaneous Power-of-Attorney Successor Trustees Instructions Funding Your Trust Instructions Final Instruction Checklist

17. Your choice successor You You You REVOCABLE TRUSTS (“Living Trusts”) Who Can Hold Which Position? Grantor Trustee Beneficiary Trust

18. Already Have A Living Trust? Have your estate planned reviewed. Laws Change Assets Change Tax Changes Family Changes

19. Do It Your Self Estate Planning? Completing a questionnaire does not make an estate plan. You are making permanent decisions about your assets. Moving your assets and funding your plan has consequences.

20. Your Next Step I Need a Trust Don’t wait another day. Call 1-800-648-0966 and receive $500 off the cost of a Complete Trust Package. Call 1-800-648-0966 and the first 5 people will received a FREE Trust review. A $125 Value. I Already Have A Trust

21. 1-800-648-0966 & DAY ASSOCIATES I N C O R P O R A T E D Estate Planning & International Asset Protection Law