48 THE QUEENS COURIER • QUEENS BUSINESS • DECEMBER 14, 2017 FOR BREAKING NEWS VISIT WWW.QNS.COM
queens business
The Elder Law Minute TM
Handling the Debt of One’s Estate
BY RONALD A. FATOULLAH, ESQ.
AND DEBBY ROSENFELD, ESQ.
Draft ing and overseeing the execution
of wills are standard activities in most
elder law and estate planning fi rms. Th e
main purpose of a will is to direct how
an individual’s assets shall be distributed
aft er he/she dies. Nonetheless, a
will can also be used for other purposes.
Th rough a will, an individual (‘testator”)
can provide instructions as to how
his/her debts should be paid and disposed
of. Typically, a benefi ciary or heir cannot
inherit another person’s debt, but if
an individual dies with debt, it ultimately
reduces the amount that each benefi ciary
receives. Articulating and clearly delineating
how the debt of one’s estate should
be paid is ultimately very helpful to the
various benefi ciaries.
ELDER LAW
If a person dies (the “decedent”) with
outstanding debt, the executor appointed
in the will is responsible for making sure
those debts are paid. Paying off a decedent’s
debt may require the executor to
sell some of the assets held by the estate,
and the decedent may have wanted to specifi
cally leave such assets to designated
benefi ciaries. Th ere are two types of debts
that a person can leave behind:
Secured debt, which is debt that is
attached to a piece of property or an asset,
such as a car loan or a mortgage. If the
debt is not paid off , the lender can ultimately
pursue the actual asset in order to
be made whole; and
Unsecured debt, which is any debt that
is not backed by an underlying asset, such
as credit card debt or medical bills.
If an individual owns an asset that is
subject to debt and leaves such asset to
benefi ciaries, the debt remains with the
property. Th e benefi ciary can then decide
whether to continue to pay on the debt
or sell the property to pay off whatever is
outstanding. If a person believes that an
inheritance encumbered by debt would
cause a burden for his/her heirs, language
can be added to the will to specifi cally
address these concerns.
If, for example, the estate is comprised
of real property, the testator can designate
that one specifi c property be sold in order
to pay off any debt attached to other properties.
In the alternative, the testator can
indicate that each benefi ciary is responsible
for any debt attached to the property
received. By clearly instructing how
debt should be handled, the testator can
avoid any bad feeling or misunderstandings
upon his demise. Instructions allow
for a peaceful and uneventful distribution
of assets.
Ronald A. Fatoullah, Esq. is the principal
of Ronald Fatoullah & Associates, a law
fi rm that concentrates in elder law, estate
planning, Medicaid planning, guardianships,
estate administration, trusts, wills,
and real estate. Debby Rosenfeld, Esq. is
a senior staff attorney at the fi rm. Th e law
fi rm can be reached at 718-261-1700, 516-
466-4422, or toll free at 1-877-ELDERLAW
or 1-877-ESTATES. Mr. Fatoullah
is also a partner with Advice Period, a
wealth management fi rm, and he can be
reached at 424-256-7273.
RONALD FATOULLAH
ESQ, CELA*
editorial
EMPLOYMENT MATTERS:
6 Secrets of Successful People
Dear Mindy, What makes
people successful? Can you
tell me what characteristics
are necessary to be successful
in the business world?
Searching for success
Dear Searching, Successful
people approach their personal
and professional life
with clear direction and
unwavering focus. Integrate
the following tips into your
daily routine and you will be
more likely to meet with success in business
and in life.
Set Goals and Commit to Achieving
Th em - Successful people set very specifi
c short-term goals that ultimately
lead the way to achieving broader
long-term goals. Setting and achieving
goals is an ongoing process that allows
for consistent growth.
Have Focus and
Direction – While setting
and achieving goals
is a cornerstone to success,
if you set unrealistic
goals you will not be able to
attain them. Focus on small
achievable goals that will
help build your confi dence.
Set priorities so that you can
manage your time eff ectively
and don’t be afraid to say no
to “time wasters” that take
you away from your direction.
Regard Mistakes as Learning
Experiences - In order to achieve success,
people must believe in themselves.
Negativity holds you back and
does not allow you to make progress
in life. Everyone makes mistakes.
However, successful people regard
mistakes as learning experiences, not
as an excuse to quit trying. Only you
can determine how much or how little
you achieve.
Work Smart, Not Hard – Make a
conscious eff ort to spend time pursuing
work and activities that get you
closer to achieving your goals. Take
time to determine how you can be
more productive and eff ective rather
than busier. Once you defi ne your
long-term goals, it is easier to make
good decisions in your life.
Have Confi dence – People who
have self-confi dence are more likely
to believe that they have the capacity
to achieve their dreams. Negative selftalk
is very limiting. Remember that
you have the ability to make decisions
that will determine how much or how
little you can achieve.
Maintain Health and Well-Being
– It is easier to be productive when
you are healthy and happy. Here are a
few essentials to well-being: surround
yourself with supportive people, get
suffi cient sleep, eat healthily, exercise
regularly, enjoy your time away from
work, maintain high ethical and moral
standards, remain positive and fi nd
ways to eliminate stressors in your life
to ensure that you are living up to your
potential.
Learning how to manage your time,
your health, your fi nances and your
goals will add up to a positive, successful
future.
Mindy Stern, SPHR, SHRM-SCP,
ACC is a trusted HR advisor, leadership
coach, author, speaker and president
of AIM Resource Group Inc. If you
are ready to make a meaningful impact
on your career call for a free 30 minutes
strategy session. Visit the website
at www.aimresourcegroup.com or call
718-217-1074 to get results!
Do you want your questions answered
in this column? Send requests to: info@
aimresourcegroup.com.
EMPLOYMENT
MATTERS
MINDY STERN
SPHR, SHRM-SCP,