PBM

The Law Offices of

Patricia Bloom-McDonald

Proudly providing legal services for the Commonwealth of Massachusetts in the fields of elder law, estate planning, and probate since 2003.

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Patricia Bloom-McDonald can answer your questions about legal services in Massachusetts like… 

  • does a will have to be probated
  • how to transfer property out of a trust after death
  • elder law attorney
  • estate planning attorney
  • laws protecting assets
  • legacy legal planning
  • living trust
  • living trust vs will 
  • pooled trust
  • how long does an executor have to settle an estate
  • revocable trust vs irrevocable trust
  • placing your home in a trust
  • power of attorney
  • probate 
  • probate court pros and cons of a trust fund 
  • how much does an estate have to be worth to go to probate  
  • transfer on death deed
  • real estate attorney 
  • special needs attorney 
  • trust attorney fees 
  • what is probate estate 
  • when someone dies without a will 
  • wills 

Planning your estate is of vital importance and without proper planning your wishes may go unheeded. Let us help you create a solid estate plan.

Older Americans face unique legal challenges – we will work with you to assure all of your needs are taken care of. 

We have years of experience with guardianships, conservatorship applications, name changes, and administration of estates.

“I am committed to helping all people, including those in or near retirement, to prepare a plan for aging in their own home and to access all resources available to them."

Patricia Bloom-McDonald

Why Call Me?

After I fully understand your particular situation and aspirations, I will design a plan and course of action that helps to accomplish your unique goals.

Complimentary Consultation

I know it can be hard to find the right law firm. That's why I offer all new clients a free 1-hour consultation. 


We will discuss your concerns and wishes together and find the best solution to satisfy your legal needs.

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Awards & Distinctions

"My firm’s focus is to put all the right legal and financial pieces in place to provide for your own financial security and that of your loved ones."

Patricia Bloom-McDonald

My Blogs

25 May, 2023
A special needs trust (SNT) allows you to meet your needs while receiving government benefits, such as Medicaid/MassHealth and Supplemental Security Income (SSI). When you have a special needs trust, you can use it to pay for goods and services government benefits do not cover, such as therapy, education,and housing. Since receiving income directly from your trust would jeopardize your eligibility for benefits, your trustee cannot give you cash from your SNT. When you use a credit card for permitted transactions, and your trustee pays off the balance with funds from your trust, these payments to a credit card company are not considered income. An SSI or Medicaid/MassHealth recipient who is capable of managing their own affairs can therefore use a credit card to make small purchases, and the trustee of the special needs trust need not micromanage every transaction. In the past, beneficiaries of SNTs sent their bills to their trustees for payment. Today, an individual with an SNT who qualifies for a personal credit card may find that using a credit card is more convenient. Credit cards have several benefits. Using a credit card to manage payments from your special needs trust allows you to maintain independence, gain access to some of the advantages of a credit card, and easily keep records while preserving your eligibility for Medicaid/MassHealth and SSI. Although credit cards can help people manage their special needs trusts, there are also several important restrictions and considerations to keep in mind. Consult with a special needs planner to ensure all transactions are acceptable under the trust's rules and comply with government regulations. The Benefits of Using Credit Cards When You Have a Special Needs Trust If you have a special needs trust, using a credit card has many benefits, including: Independence : Allowing you to maintain your independence. You can use your card to make qualifying purchases yourself. Your trustee does not have to make the transactions for you. Access to the Typical Advantages of a Credit Card : Using it responsibly can help you establish or build credit history, which may be important for your future financial needs. Record-Keeping : Credit cards provide easy record-keeping and a convenient way to monitor transactions from your special needs trust, which can also help special needs trustees fulfill their duty to maintain records. When you use your card, your trustee can observe your purchases and ensure that all expenses are allowable under the trust’s rules. Your statements can help your trustee keep track of funds leaving the trust. Benefits Eligibility : While adhering to Medicaid/MassHealth and SSI’s income and asset limits, you can access funds from your SNT. Credit cards can help prevent your trustee from accidentally providing you with cash payments that could affect your eligibility for government benefits. Considerations When Using a Credit Card for Your Special Needs Trust While you can use a credit card to access funds from your special needs trust for certain transactions , restrictions apply. If your trustee sees a charge on your card that could affect your benefits eligibility , they can flag it for review. You cannot use your credit card to pay for food and shelter, which SSI would cover. When administering your funds, your trustee must ensure that any expenditures are for your sole benefit if you have a first-party special needs trust. While using a credit card is appropriate, you should not use a debit card. Debit cards are considered cash income. Best Practices When using a credit card for a special needs trust fund, remember several best practices. Choose a card with low fees and interest rates. Set a clear budget and monitor transactions regularly. Keep thorough records and receipts of expenses. Consult with your special needs planning attorney. A special needs planning attorney can help you navigate the rules that apply to your trust and understand how to use a credit card to preserve your Medicaid/MassHealth and SSI eligibility. 
12 May, 2023
With the Federal estate tax exemption possibly about to be lowered, it may be time to think about steps you can take to keep your estate from being taxed. An irrevocable life insurance trust allows you to pass on money to your heirs while avoiding both the federal estate tax, as well as any applicable state estate tax which is currently $1 million in the Commonwealth of Massachusetts. Senate Democrats have proposed lowering the current estate tax exemption from $11.7 million for individuals and $23.4 million for couples to $3.5 million for individuals and $7 million for couples. While it is unclear if this proposal will pass, it is likely that some change to the estate tax is coming. Even if Congress does not take any action, the current rate will sunset in 2026 and essentially be cut in half, to about $6 million per individual. In the Commonwealth of Massachusetts, the current estate tax exemption is $1 million for individuals and is taxed at dollar $1.00. A proposal to raise it to $3 Million and the tax to start at $3 Million (not at $1.00) has been submitted in the legislature but has not yet been voted on or enacted. One way to make up for any estate tax your estate may have to pay is by setting up an irrevocable life insurance trust [ILIT]and funding it with a policy that has a death benefit that would pay your heirs some or all of the amount your estate will be taxed. If you purchased such a life insurance policy directly, it could end up being taxed as part of your estate. But if a trust owned the policy, it could pass outside your estate. While a life insurance trust can be highly beneficial, it is also complicated to set up and maintain properly. The following are some of the requirements: Trustee . If you are setting up the trust, you cannot also serve as a trustee. If you are the trustee, you have control of the trust, which could lead to the trust being included in your estate. You will need to name another trusted person or financial institution to act as trustee. Policy ownership . The trust must own the life insurance policy. If you transfer an existing policy to the trust and die within three years, the policy will still be considered a part of your estate. To avoid this risk, the trust can purchase a policy directly rather than receive an existing policy. Premiums . You need to transfer funds to the trust to pay the policy premiums, which creates an issue with gift taxes. A transfer to a trust is usually not subject to the $15,000 yearly gift tax exclusion. For a gift to qualify for the exclusion, the recipient must have a "present interest" in the money. Because a promise to give someone money later does not count as a present interest, most gifts to trusts aren't excluded from the gift tax. To avoid this, you can use something called a “Crummey” power which gives beneficiaries the right to withdraw the funds transferred to the trust for up to 30 days. As part of the process, the trustee needs to send them a letter, known as a Crummey letter, letting them know about the trust funding and their right to withdraw the funds. After the 30 days have passed, the trustee can use the funds to pay the annual insurance premium. You run the risk of the beneficiaries withdrawing the funds, but if they know that by allowing the money to stay in the trust they will receive more money later, it shouldn’t be a problem. Beneficiaries . The beneficiary of the life insurance policy is usually the trust. Once the funds are deposited in the trust, the trustee can distribute the assets to the beneficiaries in the way specified by the trust. For example, if your beneficiaries are minors, you can wait to have the trustee distribute the assets. Keeping the assets in the trust will also protect them from your beneficiaries’ creditors. The downside of an irrevocable life insurance trust is that you do not have the ability to change it once it is set up, although the policy would effectively be canceled if you stopped paying the premiums. If you are considering this type of trust, discuss it with your attorney.
12 May, 2023
Special Needs Trusts have two primary objectives: Fiduciary management and government benefit eligibility. Special Needs Trusts provide fiduciary management and oversight for individuals who are unable to take direct custody of property, typically because of a cognitive limitation, lack of judgment, or susceptibility to financial manipulation. In this way, Special Needs Trusts are like other types of discretionary trusts, such as a trust established for a minor or a trust created for a spendthrift who lacks financial discipline. All these trust arrangements serve to protect trust property through the appointment of someone who will exercise independent judgment in determining how trust property will be used for the beneficiary’s benefit. Regarding government benefit eligibility, preserving eligibility for Medicaid allows the beneficiary to access residential services, home health and personal care services, transportation, and other benefits. And for those who have no other source of income and whose disability leaves them unable to work, the Supplemental Security Income (SSI) program will continue to serve as a primary source of income. Both programs have stringent income and resource limitations. Common Misconceptions about Trusteeship Misconception #1: Friends and Family Will Do a Better Job Most clients do not understand the distinction between guardianship and trusteeship. Without any practical experience or familiarity with professional trusteeship, clients often equate the financial responsibilities of trusteeship with the personal responsibilities of guardianship. Misconception #2: Friends and Family are Less Expensive Without an understanding the time and effort that is required to do the job right, many clients assume that a family member or friend will not accept compensation. And family members and friends (when consulted prior to the appointment) often promise to do the job for nothing more than love and consideration, also for lack of understanding of what they are about to take on. Misconception #3: “It’s Not That Hard....” More commonly, the family member or friend who is being considered as trustee is far removed from the day-to-day affairs of the person with the disability. He or she may live out of the area and only see the person with the disability a few times a year. Siblings move on and raise their own families, maintain jobs, and have lives to live. Some family members or close family friends have little or no personal experience with the time and effort required to be an effective trustee. Misconception #4: “My (family member/friend) is a (financial professional, accountant, lawyer, etc.), and will be a perfect choice for trustee....” Special Needs Trusts are discretionary trusts, which mean that the trustee must take the time to understand the beneficiary’s needs, and then use the funds under management to meet those needs in a proactive and cost-effective manner. A degree in forensic accounting does little to help a beneficiary if the trustee cannot take the time to review an Individualized Education Plan or have a conversation with a social worker to determine what items or services could help enhance the beneficiary’s quality of life. The Reality Managing a Special Needs Trust requires attention to all the traditional responsibilities of trusteeship investment management, accounting responsibilities, and tax return preparation. But in many (and perhaps most) cases, there are other, more frustrating and time-consuming challenges that lead to ‘trustee burnout.’ A trustee who expected to spend his or her time looking at investments and reconciling checkbooks may instead find herself involved in addressing the consequences of a beneficiary’s lack of executive functioning skills and poor judgment. There can be domestic disputes, financial abuse, and in some cases police involvement. In addition, a trustee may be faced with questions and continued criticism from remaining beneficiaries of the trust who continually second-guess the trustee’s distribution decisions, or a court-appointed guardian for the beneficiary who makes unreasonable demands for expenditures. A Trustee must understand all the laws, rules, and regulations of Medicaid so that the loved one does not lose his or her benefits for incorrect use of the trust assets. The Trustee must also understand the tax laws so that the monies are spent in such a way that there are no tax penalties.  An experiences special needs planning attorney should be consulted in assisting with the preparation of a special needs trust to preserve the loved one’s eligibility for Medicaid.
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