AGENT: An individual legally authorized to act on behalf of another person or entity, making decisions and carrying out actions as if they were the principal.

AHC (ADVANCED HEALTHCARE DIRECTIVE): Also known as a living will, this is a legal document that outlines an individual's healthcare preferences and medical decisions in case they become unable to communicate or make decisions themselves.

ALTERNATE BENEFICIARY: A secondary recipient designated to receive assets, benefits, or property if the primary beneficiary is unable to do so, often due to specific circumstances or conditions.

BLOCKED ACCOUNTS: Accounts, typically financial, that are restricted and can only be accessed or used under specific conditions, often involving court orders or statutory requirements.

C CORP: A type of legal business entity, or corporation, that is subject to separate taxation from its owners or shareholders, meaning the corporation itself is taxed on its income.

CASE SUMMARY: A concise overview or abstract of the key points and details of a legal case, providing a snapshot of the case's facts, issues, and outcomes.

CERTIFICATION OF TRUST: A legal document that serves as evidence of the existence and terms of a trust without disclosing sensitive details, often used to provide third parties, like financial institutions, proof of the trust's validity.

CONDUIT TRUST: A trust designed to distribute all received income to beneficiaries, who then pay taxes on those distributions, thereby potentially minimizing the trust's overall tax liability.

DEFENDANT: In a legal context, the defendant is the individual or entity against whom a legal action is brought, often in response to a plaintiff's allegations of wrongdoing.

DING/NING/WING: These abbreviations refer to specific types of irrevocable trusts established in particular states (Delaware, Nevada, Wyoming) as strategies for minimizing income and capital gains taxes.

DISCLAIMER: A formal legal act where an individual intentionally refuses or declines the right to inherit or accept ownership of property or assets, redirecting them as specified in the document.

DSUEA: The Deceased Spouse Unused Exemption Amount represents the portion of a deceased spouse's estate exemption that remains unused and can be allocated to a surviving spouse's estate for tax purposes.

ESTATE: The total assets, property, and belongings owned by an individual, often managed and distributed after their death, either through a will or a trust, following the payment of debts, taxes, and expenses.

EXECUTOR: A person or entity named in a will or appointed by the court to manage and oversee the administration of a deceased person's estate, including distributing assets to beneficiaries and settling debts.

FIDUCIARY: A person or entity entrusted with managing the assets, property, or affairs of another party in a legal and ethical manner, requiring them to act in the best interests of the beneficiaries or individuals they serve.

FLP: A Family Limited Partnership (FLP) is a specialized business entity that allows family members to pool assets and retain control while enjoying potential tax benefits through gifting and minority interest valuations.

GRANTOR: The person who creates a trust, transferring assets or property into the trust for the benefit of designated beneficiaries, often setting the terms and conditions under which the trust operates.

GUARDIAN: An individual appointed by the court to make legal, financial, or personal decisions on behalf of a minor or incapacitated person who is unable to make such decisions themselves.

HIPAA: The Health Insurance Portability and Accountability Act, a federal law in the United States that safeguards the privacy and security of individuals' health information, ensuring its confidentiality.

ILIT: An Irrevocable Life Insurance Trust (ILIT) is a trust specifically designed to own life insurance policies, keeping the insurance proceeds outside the grantor's taxable estate and potentially minimizing estate taxes.

INTESTATE: Refers to the situation where an individual passes away without a valid will or testamentary document, resulting in state laws governing the distribution of their assets among legal heirs.

IRT: An Irrevocable Living Trust (IRT) is a trust that, once established, cannot be amended or revoked by the grantor, serving various estate planning purposes, such as asset protection and minimizing estate taxes.

JOINT RLT: A Joint Revocable Living Trust is a trust established by a married couple, allowing them to share assets and plan for the coordinated distribution of their estate while retaining the flexibility to modify the trust during their lifetimes.

KEOGH PLAN: A Keogh Plan, also known as HR-10 plan, is a type of retirement plan designed for self-employed individuals and small business owners, providing them with the ability to contribute to their own retirement savings.

LEPA: A Life Estate Power of Appointment Trust (LEPA) is a specialized trust structure that allows a surviving spouse to receive income from the trust while maintaining the ability to direct the disposition of the trust assets upon their death.

LPOA: A Limited Power of Appointment (LPOA) grants an individual the authority to appoint certain property to specific beneficiaries, while the property remains outside of their estate for tax purposes.

MAPT: A Medicaid Asset Protection Trust (MAPT) is an irrevocable trust established to protect assets from being counted as resources for Medicaid qualification purposes, providing a strategy for long-term care planning.

NETWORTH: The calculation of an individual's financial standing by subtracting liabilities (debts) from assets (property, investments, cash, etc.), providing an indicator of their financial health.

NON-RESIDENT ALIEN: An individual who is neither a legal resident nor a citizen of the country where they are located, often subject to specific tax regulations and estate planning considerations.

NO-CONTEST CLAUSE: A legal provision included in a will or trust that disinherits beneficiaries who challenge the validity of the document, aiming to discourage disputes and legal actions.

POUR OVER WILL: A Pour Over Will is a testamentary document that works in conjunction with a revocable living trust, transferring any assets or property not already placed in the trust during the grantor's lifetime into the trust upon their death.

POWER OF ATTORNEY: A legal document granting authority to an individual (the agent or attorney-in-fact) to act on behalf of another person (the principal) in making financial, legal, or medical decisions, especially when the principal becomes incapacitated.

PRO-RATE: To distribute or allocate something proportionally based on a specific factor or criteria, ensuring a fair division of assets, benefits, or obligations.

REAL PROPERTY: Refers to land, real estate, and any permanent structures or fixtures attached to the land, distinguishing it from personal property, which includes movable possessions.

REMAINDER INTEREST: An ownership interest that becomes effective only after an intervening interest, such as a life estate, ends. For example, in a life estate, the holder retains a life interest, and upon their death, the remainder interest passes to another party.

RESIDUE: The assets and property remaining in an estate after all debts, expenses, taxes, and specific bequests have been satisfied and distributed to beneficiaries, often forming the bulk of the estate's value.

REVOCABLE TRUST: Also known as a Living Trust, a Revocable Trust is a flexible estate planning tool that allows the grantor to retain control over trust assets during their lifetime and designate beneficiaries for the assets' distribution after their death.

S CORP: A Subchapter S Corporation (S Corp) is a type of corporation that passes its income, losses, deductions, and credits through to shareholders for federal tax purposes, potentially avoiding double taxation.

SNT: A Special Needs Trust (SNT) is a legal arrangement that allows assets to be held in trust for the benefit of a person with disabilities, without jeopardizing their eligibility for government benefits like Medicaid and Supplemental Security Income (SSI).

SRT: A Standalone Retirement Trust (SRT) is an irrevocable trust designed to receive retirement assets, such as IRAs and 401(k)s, allowing beneficiaries to receive required minimum distributions (RMDs) over an extended period while protecting the assets from creditors and providing potential tax advantages.

SUCCESSOR TRUSTEE: An individual or entity designated in a trust document to take over the role of trustee in case the original trustee becomes unable or unwilling to fulfill their duties, ensuring the continuous administration of the trust.

TERMS OF A TRUST: The terms, conditions, and instructions established by the grantor in the trust document, dictating how the trust's assets are to be managed, distributed, and used for the benefit of the beneficiaries.

TRUSTEE: An individual or entity responsible for managing and administering a trust according to the terms set forth by the grantor, including making investment decisions, distributing income and principal to beneficiaries, and ensuring compliance with relevant laws.

UNITRUST: Also known as a Charitable Remainder Unitrust (CRUT), this type of trust provides the beneficiaries with a fixed percentage of the trust's value, revalued annually, while the remainder ultimately benefits a charitable organization.

VETERANS TRUST: A specialized trust designed to protect assets for veterans seeking eligibility for government benefits, such as VA pensions or aid and attendance benefits, while ensuring proper allocation of resources to cover medical and long-term care expenses.