- 2019 Posts
- SNAP Benefits Will Be Funded Through February & Will Be Issued by January 20
- Tish Rudnicki Joins North Shore Senior Center as Executive Director
+ 2018 Posts
- Navigating the Holidays with a Family Member Living with Dementia
- Caregiver Specialist Heather Resnick on Caregiver Support
- Grandparents Raising Grandchildren
- Center Launches North Shore Senior Options
- On Blindness, Alzheimer's and Love
- Shared Vision: Winnetka Congregational Church Woman's Society Benevolence Committee
- Protecting Seniors and Adults with Disabilities: Adult Protective Services
- A Jack of All Trades: Al Davis
- Family Tradition: Gone Fishin'
- Dedicated Volunteer: Fern Kamen
- Generous Soul: Mitchell Slotnick
- Assessing the Older Adult Members of your Family
- Giving Back: Fay Goldblatt
- Adult Protective Services (APS) Program Benefits from Shamrock Shindig
- Humble Beginnings: Bobbi Halloran
+ 2017 Posts
- Arts and Crafts at the Center
- #GivingTuesday at North Shore Senior Center
- Leisure Time Well Spent - Daytrips at the Center
- New Advisory Council Formed
- Playreading with Vivian Mitchel
- North Shore Senior Center's Foundation Board
- Wills vs. Trusts
- Joan Golder Distinguished Senior Lecture Series showcased actor Mike Nussbaum
- 20/20 Corporate Campaign
- Functional Fitness: Training for Everyday Life
- Benefits of Pet Therapy for People with Memory Loss
- Grandparents Raising Grandchildren Benefit from Oktoberfest
- Small Screen Big Stars: Oh What a Night!
- Sharing a Common Thread
- Helping You Make Informed Choices for Care
- 2017 Janet Burgoon Philanthropic Excellence Award for Distinguished Community Partner
- 2017 Janet Burgoon Philanthropic Excellence Award for Dedicated Corporation
- 2017 Janet Burgoon Philanthropic Excellence Award for Outstanding Philanthropist
- Special Needs Trusts
- Gifts in Kind Increase the Center's Impact
- Enrich your Life with Lifelong Learning
- A Little TLC Goes a Long Way
- PEARLS: Reducing Symptoms of Depression Home-based Counseling Services Available
- Big Stars to Chair Annual Benefit
- Evanston Community Foundation
- Million Dollar Round Table Foundation
- Super Senior Day
- New Physical Therapy Services Now Available at North Shore Senior Center!
- Stroke Prevention Tips
- Why Powers of Attorney are Important to You!
- Get Expert Help with Your Tax Returns
- North Shore Senior Center Awarded Gold Status for Philanthropic Efforts
- Fitness as a Goal for Life
- Men's Club Offers Unique Programs to Community
- Spread the Love at North Shore Senior Center
- Jean Griswold Foundation supports House of Welcome Adult Day Services
- "I think a hero is any person really intent on making this a better place for people." - Maya Angelou
- "A true hero isn't measured by the size of his strength, but by the strength of his heart." - Zeus from Hercules
- Winter Safety and Health Tips
- "A hero is someone who has given his or her life to something bigger than oneself." - Joseph Campbell
- A Granddaughter's Love for her Grandmother
- Six Things to Consider Before Making Gifts to Grandchildren
- Lending Closet for Durable Medical Equipment at North Shore Senior Center
- Seniors Can Save Lives by Donating Blood
+ 2016 Posts
- Lifelong Learning Catalog Wins International Award for Best Brochure
- Life Stories are Gifts that Keep on Giving
- Visiting Aging Parents During the Holidays
- Edna Weber Garden of Light Wing at the House of Welcome
- Learn More About What Makes This World Tick
- 60 Years of Service: Advocacy
- 60 Years of Service: Compassion
- Myrna and John Cruikshank, III: Steady and Committed Philanthropists
- Kenilworth United Fund: Longstanding, Civic-Minded Community Partner
- Radford Green at Sedgebrook: Dedicated Corporation and Vested Supporter
- Simple Tips to Improve Your Balance
- 60 Years of Service: Creativity
- Daily Money Management Fosters Peace of Mind
- Opportunities for Learning, Exploring, and Connecting
- The Edna Weber "Garden of Light" Wing
- Protecting Vulnerable Seniors: Adult Protective Services Promotes Quality of Life
- Top Ten Reasons Why Older Adults Continue to Work
- Super Seniors We Admire!
- Scams and Fraud: Protect Yourself
- The State's Devastating Impact on Our Budget
- North Shore Senior Center Southern Hub Moves to Niles
- Alzheimer's Family Support Group
- Evanston Support Group for Family Caregivers
- Family Caregiver Support Group in Skokie
+ 2015 Posts
- Music + Dance + Dialogue = A Musical!
- Flex and Strengthen Your Muscles
- Generous & Caring Corporate Citizen
- More Than Service and Fellowship
- Art Gallery a "Hidden Gem" at North Shore Senior Center
- Sound Off on Hearing Loss
- Making Sense of American Poltics
- Fitness Center Enhances More Than Muscle Strength
- Virtual View of Art: From the Basics to Specialties
- Social Connections are a Key to Successful Aging
- North Shore Senior Center Celebrates Super Seniors!
- Super Senior Spotlight
- What is a Senior Center?
- MDRT Foundation Aids Grandparents Raising Grandchildren Program
- Social Worker Reaches Out to Seniors in Need
- How to Achieve Your Healthiest Brain Yet
- AmazonSmile: Your Online Shopping Can Help NSSC!
+ 2014 Posts
Six Things to Consider Before Making Gifts to GrandchildrenJanuary 09, 2017
By Kerry R. Peck, Managing Partner and Nora K. Baker, Associate Attorney, Peck Ritchey, LLC
Grandparents often are particularly generous to grandchildren as they see their family’s legacy continuing on to a new generation. In many cases, grandparents feel they have ample resources and their children or grandchildren may be struggling financially. Assistance with summer camp fees, college tuition, wedding costs or the down payment on a first home, can relieve pressure on the next generation and permit grandchildren to take advantage of opportunities that otherwise would be out of reach. Some grandparents also don't feel it’s right that children and grandchildren should need to wait for an inheritance, when they have more than they need.
Helping out family members is to be encouraged, but can raise a number of legal issues involving taxes and eligibility for public benefits, as well as questions of fairness among family members. Here are six issues grandparents should consider before making gifts to family members:
Is it really a gift? Does the grandparent expect anything in return, for example that the funds be repaid or that the money is an advance on the grandchild's eventual inheritance? In most cases, the answer is "no." But if it's "yes," this should be made clear, preferably in writing, whether in a letter that goes with the check or, in the case of a loan, a formal promissory note.
Is everyone being treated equally? Not all grandchildren have the same financial needs, and grandparents don't feel equally close to all of their grandchildren. While it's the grandparent's money and she can do what she wants with it, if she's not treating all of her grandchildren equally, she might want to consider whether unequal generosity will create resentment within the family. Many elder law clients say that what they do with their money during their lives is their business. They may help out some children and grandchildren more than others based on need, with the expectation that this will be kept private.
Beware taxable gifts. While today’s tax laws exclude the majority of estates upon an individual’s death, gifts during a person’s life can be a smart way to reduce the amount of your estate at your death to lessen the estate’s overall tax liability. While there's no gift tax for the first $5.49 million each of us gives away during our lifetimes (in 2017), any gift to an individual in excess of $14,000 (in 2017) per year must be reported on a gift tax return. Two married grandparents together can give up to $28,000 per recipient per year with no reporting requirement. And there's no limit or reporting requirement for payments made directly to medical and educational institutions for health care expenses and tuition for others. However, there are many restrictions and qualifications for payments and one should consult with an attorney or CPA before making direct payments to medical or educational institutions on behalf of a grandchild or other family member.
529 plans. Many grandparents want to help pay higher education tuition costs for grandchildren, especially given the incredibly high cost of college and graduate school today. But not all grandchildren are the same age, making it difficult to make sure that they all receive the same grandparental assistance. Some grandchildren may still be in diapers while others are getting their doctorates. A great solution is to fund 529 accounts for each grandchild. These are special accounts that grow tax deferred, the income and growth never taxed as long as the funds are used for higher education expenses.
Don't be too generous. Grandparents need to make sure that they keep enough money to pay for their own needs. While small gifts probably won't make any difference one way or another, too many large gifts can quickly deplete a lifetime of scrimping and saving. It won't do the family much good if a grandparent is just scraping by because he's done too much to support his children or grandchildren.
Beware the need for long-term care. In terms of making certain that they have kept enough of their own savings, grandparents need to consider the possibility of needing care, whether at home, in assisted living or in a nursing home, all of which can be quite expensive. In addition, those seniors who can't afford to pay for such care from their own funds need to be aware that any gift can make them ineligible for Medicaid benefits for the following five years.
There are even more issues to consider that may involve specific family situations. Some grandchildren shouldn't receive gifts because they will use them frivolously or inappropriately, or the gifts may undermine the parents' plans for the grandchild or their authority. In some instances, grandparents may want to consider "incentive" trusts, which provide that the funds will be distributed when grandchildren reach certain milestones, such as graduation from college or holding down a job for a period of time. Communication with the middle generation can be key to making certain that gifts achieve their desired effect or result.
Call 847.509.1099 or 312.201.0900 for a complimentary conversation with one of our estate planning attorneys about devising the best plan for yourself and for your grandchildren.