Losing a partner is an incredibly painful experience, filled with emotional challenges and complex life considerations. One pressing question that often arises during this difficult time is: “Can I continue living in my partner’s home after their death?” The answer largely depends on several factors, including ownership of the property, your relationship with your partner, and whether there are any surviving heirs or mortgage obligations. Let’s explore these aspects to provide clarity on this sensitive issue.   1. Understanding Property Ownership   The first question to answer is determining how the property is owned:   Sole Ownership If your partner solely owned the home and did not leave a will , the property may go through Pennsylvania's intestacy laws. As an unmarried partner, you have no right to any portion of the home under the intestacy laws.  Pennsylvania does not currently recognize common law marriage for unions formed after January 1, 2005. However, its possible that common law marriages that were established before that date could be recognized.  You may end up in litigation with your partner’s heirs trying to prove your common law marriage.  Another possibility might  be proving you had an equitable interest in the home, such as having contributed to the mortgage or improvements made to the property.  Neither is a good or economical option.   Joint Ownership If you and your partner owned the home together, whether as joint tenants with right of survivorship or tenants in common, your rights may be different. You’ll need to review the deed and see what is states about why kind of joint ownership you have.  In the case of joint tenancy with right of survivorship, the surviving partner automatically inherits the deceased partner’s share of the property, allowing you to continue living there without disruption. However, in a tenancy in common scenario, the deceased partner's share may pass to their heirs, which could complicate things.  You’ll own your half of the property but you may have to buy your partners’ heirs out of the other half of the property.   Tips for Unmarried Couples Buying a Home Together   2. Tenancy Rights   If you were renting the home together and your partner has passed away, Pennsylvania law provides certain protections for surviving tenants. Typically, tenants also have the right to continue living in the property as per the original lease. However, you should notify the landlord of your partner’s death, as the lease may require updates or changes based on the tenancy agreement. It’s advisable to review this document carefully and consult an attorney if you’re unsure of your rights.   3. Living Arrangements and Legal Considerations   Continuing to live in the home may also depend on other considerations:   Co-Habitation Agreements We highly recommend that unmarried couples living in a home that one of them owns have a co-habitation agreement.   These agreements cover not just the death of a partner but also break-ups, extended disability and other events of life.  They can provide for an orderly transition out of the home, repayment of expenses each partner put into the home, sale of the home and division of the proceeds.    Estate Administration If your partner had a will or trust, they could give you the right to continue living in the property even if they do not convey ownership to you.  This might be as simple as giving you a specific time period to transition to a new residence. It could also allow you to remain indefinitely so long as you continue paying the bills.    Mortgage Obligations If there is an outstanding mortgage on the property, determine if you will need to assume responsibility for payments. This is particularly important if you want to continue living in the home. Discuss with the mortgage lender about your options, as some lenders may allow you to take over the mortgage, while others may require the estate to be settled first. Navigating life after the loss of a partner is profoundly challenging, and the legalities surrounding property ownership can add to the confusion. Understanding your rights in Pennsylvania regarding the continuation of living in your partner’s home is vital to making informed decisions during this difficult time.   If you find yourself in this situation, it’s advisable to consult with Fiffik Law Group’s experienced real estate and estate planning attorneys . We can provide tailored guidance based on the specifics of your situation and help you explore your options, ensuring you have the support you need as you move forward.

On December 3, 2024, a Texas Federal Court entered a preliminary injunction suspending enforcement of the Corporate Transparency Act (CTA) nationwide. The January 1, 2025 reporting deadline is no longer in effect. Learn More The Corporate Transparency Act (CTA) became effective on Jan. 1, 2024 and its requirements cover over 32 million small businesses. Pursuant to the CTA most small businesses must file information disclosing information and identities of owners of those small businesses with the Financial Crimes Enforcement Network (“ FinCEN ”). Real estate investors , in particular, may be vulnerable to the reporting requirements under the Act, particularly in light of how real estate ownership is regularly structured. Many real estate ownership entities will not be able to take advantage of the Act’s exemptions and will be deemed reporting companies and therefore subject to the Act. Real estate is commonly owned by single purpose entities (SPEs) without employees, as is typically required by third party mortgage lenders, and are without a physical office. Further, many real estate investments will not reach the $5 million revenue threshold since they do not include other assets that are unrelated to the real estate. Even if an SPE owns income producing property that reaches the $5 million revenue threshold, it is unlikely to have 20 full-time employees. Those SPEs that do not fall within the exemptions will be deemed reporting companies, and beneficial owner information will likely need to be reported. It is not uncommon for real estate SPEs to have only a few owners or even one sole owner. Therefore, most or all of the beneficial owners (i.e., those with an ownership interest of at least 25% and/or other control rights) will have to provide their beneficial owner information. For those real estate entities that have only a few owners or control parties, putting aside privacy concerns, the information may not be terribly burdensome to gather and report, but for real estate investments that are put together by sponsors, the individual owners may be passive investors who are not commonly involved in the day-to-day, and often will not know each other. Sponsors may know the name, address, and tax identification number of each individual investor, but if the investor is an entity, particularly trusts, they may not have that information for its beneficiaries, and are unlikely to have copies of the required identification documentation. There is also the issue of changes in ownership and update requirements for reporting. As a real estate fund is marketed, the beneficial ownership of early investors will likely (and frequently) change. Early investors may initially be 25% owners of the entity until they bring on additional investors, and new sales of units may require updates to the FINCEN report within 30 days of the change. For new real estate investors, gather the beneficial owner information during the initial questionnaire and investment process, or, better yet, require each investor to obtain their own FINCEN identifier number and provide it to the company, which may help to reduce privacy concerns and minimize data breach risk, by shifting the reporting burden to the individual. As new investments are offered, include these requirements in subscription agreements, offering materials, and entity documents and require the investors to keep the information updated. Be sure to include authorizations to provide the required information to FINCEN, in accordance with the Act, and update privacy protocols. The experienced team of business attorneys at Fiffik Law Group are here to help you understand how the Corporate Transparency Act impact your business. We will help you comply with the Act and establish policies so that your business can remain in compliance.

On December 3, 2024, a Texas Federal Court entered a preliminary injunction suspending enforcement of the Corporate Transparency Act (CTA) nationwide. The January 1, 2025 reporting deadline is no longer in effect. Learn More Beginning in 2024, Pursuant to the Corporate Transparency Act (CTA) , most small businesses must file information disclosing information and identities of owners of those small businesses with the Financial Crimes Enforcement Network (“FinCEN”) .   It’s estimated that 32 million small businesses will be required to comply with the CTA.  Business owners operating as a sole proprietorship might wonder if the CTA applies to them. The short answer is “no”.  Unless a sole proprietorship was created in the United States by filing a document with a secretary of state or government agency (such as the Pennsylvania Corporations Bureau). A business is a “reporting company” as that phrase is defined by the CTA only if it was created  in the United States by filing such a document. Filing a document with a government agency to obtain (1) an IRS employer identification number, (2) a fictitious business name, or (3) a professional or occupational license does not create a new business entity, and therefore does not make a sole proprietorship filing such a document a “reporting company” required to file with FinCEN. The experienced team of business attorneys at Fiffik Law Group are here to help you understand how the Corporate Transparency Act impacts your business. We will help you comply with the Act and establish policies so that your business can remain in compliance.

On December 3, 2024, a Texas Federal Court entered a preliminary injunction suspending enforcement of the Corporate Transparency Act (CTA) nationwide. The January 1, 2025 reporting deadline is no longer in effect. Learn More The Corporate Transparency Act (CTA) became effective on Jan. 1, 2024 and its requirements cover over 32 million small businesses. Pursuant to the CTA most small businesses must file information disclosing information and identities of owners of those small businesses with the Financial Crimes Enforcement Network (“ FinCEN ”). What type of information must be disclosed? The reporting company must submit information to FinCEN about: (1) the reporting company, and (2) each beneficial owner and company applicant. This includes: the name, date of birth, and street address of each beneficial owner and company applicant; and an image of an approved identifying document (e.g., a non-expired passport or driver’s license) proving the veracity of that information, among other things. For people who have ownership interests in many small businesses, they are faced with providing this private information to lots of business entities who have unknown data privacy practices.  It’s a recipe for data breaches and identity theft.  How do you protect your privacy? Owners and investors who have privacy concerns are encouraged to get a FINCEN identification number.  FINCEN has provided the ability for every individual to get a FINCEN identification number by providing FINCEN with: Full legal name; and Identification (US passport, driver’s license, state ID card, or a foreign passport if available). FINCEN will then issue a number so that the owner/investor need only provide the reporting company their individual FINCEN number. This means the individual will not have to disclose their residential address or copy of their ID to the company if an individual wishes to maintain privacy. If the owner/investor moves or changes their name, the individual has 30 days to disclose such information to FINCEN.  It relieves the owner/investor of the burden of relaying changes to all the companies in which they have an ownership interest. It’s a one-stop reporting obligation.    The experienced team of business attorneys at Fiffik Law Group are here to help you understand how the Corporate Transparency Act impact your business. We will help you comply with the Act and establish policies so that your business can remain in compliance.

A Texas Federal Court entered a preliminary injunction suspending enforcement of the Corporate Transparency Act (CTA) nationwide. The Court held that the CTA was likely unconstitutional and that reporting companies would be irreparably harmed if they were forced to comply.   What is the Corporate Transparency Act (CTA)?   The Corporate Transparency Act (CTA)  previously became effective on January 1, 2024 and its requirements covered over 32 million small businesses. Pursuant to the CTA most small businesses must file information disclosing information and identities of owners of those small businesses with the Financial Crimes Enforcement Network (“ FinCEN ”).   The CTA is part of the U.S. government’s efforts to make it harder for bad actors to hide or benefit from their ill-gotten gains through shell companies or other opaque ownership structures.    Not complying with the CTA, providing false or fraudulent reports, or willfully failing to comply would have resulted in fines of $500 a day for as long as the report is inaccurate, and that is just the civil penalty. Failure to comply may also have been subject to criminal penalties up to a $10,000 fine or two years in jail.   Learn More: Are You One of the 32 Million Small Businesses Impacted by the 2024 Corporate Transparency Act? Maintaining Privacy Under the Corporate Transparency Act Is a Sole Proprietorship a Reporting Company under the Corporate Transparency Act?   Real Estate Investors and the Corporate Transparency Act   What does this mean for business owners?   The January 1, 2025 compliance deadline is no longer in effect for reporting companies formed or registered prior to January 1, 2024. However, the court decision does not specifically address the compliance deadline for reporting companies formed or registered on or after January 1, 2024, so it is unclear whether or not they would be penalized for not meeting the deadline if the enforcement of the CTA is not permanently suspended.   The Court did not make a final decision that the CTA is unconstitutional, only that it is likely  unconstitutional. This Court’s decision will likely not be the final word on the CTA’s enforceability.   Subscribe to Fiffik Law Group for the latest updates!

If you find yourself the subject of a workplace investigation, whether they concern allegations of misconduct, harassment, or discrimination, it can be difficult to know how to handle yourself.  Should you answer questions?  Are you require to give access to your phone or email?  Do you have the right to know exactly what your accuser said about you? It's essential for employees to understand their rights in these situations to ensure they are treated fairly and justly. What is a Workplace Investigation?  A workplace investigation is when a company formally investigates whether there was a policy or legal violation in the workplace, typically based on an allegation by an employee concerning the actions of a co-worker, supervisor or conditions at the workplace.   It may also involve a workplace injury . The investigation will involve speaking to witnesses, looking at relevant documentation, and anything else that will help the company understand what happened and what do they need to do about it. Sometimes the investigation will be short and only involve a discrete inquiry.  Other times, the investigation will be lengthy and involve investigating multiple issues. Common Types of Workplace Investigations Sexual Harassment Sexual harassment can occur when a supervisor tries to pressure a lower level employee to exchange sex or sexual favors for promotions or keeping their job. Another kind of sexual harassment occurs when an employee repeatedly makes improper comments of a sexual nature and in such a way that it is “severe and pervasive,” which meets the legal standard for sexual harassment. Workplace Violence, Bullying and Threats Workplace violence can occur between two employees, between a supervisor and an employee, or an employee and a member of the public or a third-party such as a contractor. Workplace violence can involve an assault which could also have criminal implications for the attacker, or it could involve threats, harassment, or stalking. Fraud, Theft or Embezzlement Owners, employees and even vendors can find themselves the target of financial misconduct.  It could be as simple as theft of cash from the register, inventory or food.  It can also involve theft of company trade secrets and confidential information.  Social Media Disparagement, Defamation or Harassment Unfortunately, some employees and affiliates of your organization may use social media in an irresponsible or illegal way. Examples of wrongful behavior include spreading false statements about the organization, disparaging the organization, or using social media to harass co-workers. Safety/OSHA When someone is injured or killed, these events can result in governmental investigations of the circumstances of the even as well as other conditions in the workplace that violate the law.  Sometimes employees report workplace conditions before injuries happen that result in governmental agency investigations. General misconduct Many workplace investigations stem from allegations of general misconduct, or bad behavior. Behaviors such as yelling, making threats, rudeness, absenteeism, tardiness, gossiping, or substance abuse can lead to a workplace investigation to determine what occurred, and what disciplinary measures need to take place. Generally, a company’s code of conduct or employee handbook will have examples of general misconduct that can lead to discipline or termination, and before taking these steps, sometimes it is necessary to conduct an investigation. Pennsylvania is an Employment-at-Will State It’s important to understand, in the context of workplace investigations, that in many instances your employment can be terminated even if the accusations against you are entirely untrue.  If you think that’s unfair, you’re not wrong but fair and the law are sometimes distant cousins. That’s largely because most workers in Pennsylvania are “at will” employees.    If an employee does not enter into a specific written contract with the employer, the employee is deemed to be an “at-will” employee.  This means that neither worker or employer is bound to one another and each is free to end the relationship, or change the terms of the relationship, at any time, for any reason (or no reason).  As long as the employer does not violate any state or federal law, and does not unlawfully discriminate against the employee, the employer is free to fire, demote, or change the terms of the employment situation (including reducing hours or pay) with the employee, without explanation or reason.  Similarly, the employee can simply decide that they do not want to work for the employer any longer and they can sever ties at any time without explanation or advanced notice. Your Rights as a Target of an Investigation If you are the target of a workplace investigation, the law does not provide you with a right to “due process” like there would be in a court of law.  If an employer engages in a faulty or negligent investigation, there is no right to sue.  However, you are not entirely without rights in this context. Employers are required to conduct investigations under certain circumstances to protect themselves from liability.  Certain rules about investigations have been developed as a result of litigation over these investigations.  1. Right to Be Informed One of the fundamental rights employees have during a workplace investigation is the right to be informed of the nature of the investigation. This includes understanding the allegations or issues being investigated and, where appropriate, the process that will be followed. You should ask about these things before responding to any allegations against you or participating in the investigation.  Employers are generally required to provide employees with enough context to prepare for an interview or inquiry, while balancing the need to maintain confidentiality for all parties involved.  2.  Right to Privacy  Pennsylvania recognizes the tort of invasion of privacy.  However, it can be difficult in a workplace setting to discern the scope of information over which the worker has a legitimate expectation of privacy.   Typically, workers should not consider their desks, work computers or office space as their private property.  Employers can view anything a worker did while using company computers, email systems and phones.  However, employers cannot record phone conversations without the workers knowledge.  Employers can also search an employee’s personal items, such as lunch boxes and other bags when the search is related to a legitimate business purpose (such as theft prevention).  You cannot be forced to take a polygraph test – it is unlawful for an employer to both request it or terminate any employee for refusing one.  However you can be required to submit to a drug or urine test.  The manner in which these tests are conducted do have certain privacy restrictions.    3. Right to Participate Employees have the right to participate in the investigation process. This typically means that you should have an opportunity to provide your side of the story. Whether you are a complainant, a witness, or the subject of the investigation, you should be allowed to share your account, present relevant evidence, and identify potential witnesses.  If you are being interviewed and the interviewer is taking notes, you should ask about the interviewer’s role in the investigation and ask to review their notes prior to the conclusion of the interview.  Point out any inaccuracies in the interviewer’s notes and ask that they be corrected.  The interview cannot be recorded on a device without your consent.  You can condition your consent on your employer’s agreement to provide you with a copy of the recording.  You also have the right NOT to participate in most instances (with the exception of some governmental investigations).  In situations where a potential crime has been committed, it may be wise to remain silent.   4. Right to Respect and Dignity Throughout the investigation, every employee has the right to be treated with respect and dignity. Investigations can be stressful, and it is crucial for employers to conduct them in a professional manner. Employees should never be subjected to harassment, intimidation, or retaliation for their involvement in the investigation process. 5. Right to Confidentiality There are a wide variety of laws that require employers to protect certain employee information, such as personal identifiable information, health information, mental health information and results of drug or alcohol tests. To the extent possible, employees have a right to confidentiality during workplace investigations This means that the details of the investigation and its outcome should be kept private, only disclosed to those who need to know for purposes related to the investigation.  Before participating in an investigation, you should ask about the extent to which the results of the investigation will be kept confidential.  Employees should be aware, however, that complete confidentiality may not always be possible, especially for reports that involve criminal activity or other regulatory requirements. 6. Right to Be Free from Retaliation One of the most critical rights employees have during and after a workplace investigation is the right to be free from retaliation. Participating in a workplace investigation is a protected activity under the law.  Retaliation can take many forms, such as adverse job actions, harassment, or discrimination, and is illegal under both federal and Pennsylvania state law. If you believe you are facing retaliation for participating in an investigation or raising a complaint, it is essential to document your experiences and seek legal advice. 7. Right to Seek Support Employees have the right to seek support during a workplace investigation. This could include consulting with a union representative, an attorney, or even an employee assistance program (EAP) if offered by the employer. Unless you’re in a union, you do not have the right to have a “witness” with you in an employer interview.  Having support can be invaluable during this stressful time, helping you navigate the process and ensuring your rights are protected. Participating in a workplace investigation can be challenging, but understanding your rights is the first step to ensuring you are treated fairly throughout the process. Remember that if you feel your rights are being violated, or if you have concerns about how an investigation is being handled, it may be beneficial to consult with an experienced employment law attorney at Fiffik Law Group. Staying informed and proactive can make a significant difference in protecting yourself during a workplace investigation. If you have any specific questions or concerns regarding a workplace investigation in Pennsylvania, feel free to reach out for further guidance. Your rights matter, and you deserve to have them protected.

Misunderstandings about wage withholding are common among small business owners. For employers, violations of wage payment and withholding laws can lead to regulatory action and even personal liability .  It’s crucial for both employers and employees to understand the rules surrounding this issue to ensure compliance and protect their rights. We'll explore the legal framework governing wage withholding in Pennsylvania, including what can be withheld, the procedures involved, and the consequences of improper withholding.   What is Wage Withholding?   Wage withholding refers to the practice of an employer deducting certain amounts from an employee's paycheck before it is paid out. These deductions may be required by law or agreed upon by the employee. In some instances, employers may be tempted to withhold amounts or even entire paychecks from their employees.   Legal Basis for Withholding Wages in Pennsylvania   1. Mandatory Withholdings   Certain deductions are mandatory and must be made by employers under federal and state law:   Federal Income Tax: Employers are required to withhold federal income tax from employees’ wages as determined by the IRS. Social Security and Medicare Taxes: These taxes are also mandated and must be deducted from employee wages. State Income Tax: Pennsylvania has a flat state income tax rate that employers must withhold. Local Taxes: In some areas, employers must also withhold local wage taxes, which can vary by municipality.   2. Voluntary Withholdings   Employers can also withhold wages for deductions that employees voluntarily agree to in writing, which might include:   Health Insurance Premiums: Contributions to health insurance plans can be deducted. 401(k) Contributions: Employees may choose to contribute a portion of their wages to retirement plans. Union Dues: If employees are part of a union, dues may be withheld. Paycheck Advances: Federal laws prohibit paycheck deductions that reduce an employee’s pay below minimum wage. But payroll advances are the exception to this rule. If an employee owes your business money because of an advance, you can withhold money to repay it. Some states don’t allow this exception, so be sure to check with an attorney in your state beforehand. Businesses aren’t allowed to profit from payroll advances. You can charge an administrative fee to cover paperwork, bank charges, or recordkeeping changes, but you can’t make money off them. If you choose to charge an admin fee, keep it low. Contributions authorized in writing by the employee for charitable purposes. Deductions for purchases or replacements by the employee from the employer of goods, wares, merchandise, services, facilities, rent, or similar items. Deductions for purchases by the employee for his/her convenience of goods, wares, merchandise, services, facilities, rent, or similar items from third parties not owned, affiliated, or controlled directly or indirectly by the employer.   3. Authorized Garnishments   Employers are permitted to withhold wages for authorized garnishments. This typically occurs following a court order, including:   Child Support Payments: Employers must comply with garnishments regarding child support, which can require them to withhold a certain percentage of wages. Tax Levies: The government may issue a levy to collect unpaid taxes, directing employers to withhold a portion of an employee’s wages.   Limitations on Wage Withholding   While withholding wages is often necessary, there are limitations to prevent abuse:   Minimum Wage Compliance: Federal laws prohibit paycheck deductions, even those done with the permission of the worker, that reduce an employee’s pay below minimum wage. Limits on Garnishments: Under the Consumer Credit Protection Act (CCPA), an employer cannot garnish more than 25% of an employee's disposable earnings (the amount left after mandatory withholdings) or the amount by which the employee’s earnings exceed 30 times the federal minimum wage, whichever is lower.   Unlawful Withholdings   Under Pennsylvania law, the general rule is that  all  employee deductions have to be for the employee’s benefit, not the employer’s.  Some common payroll deductions often made by employers that are unlawful include:   Tips: An employer cannot collect, take, or receive any gratuity or part thereof given or left for an employee, or deduct any amount from wages due an employee on account of a gratuity given or left for an employee. However, a restaurant may have a policy allowing for tip pooling/sharing among employees who provide direct table service to customers. Photographs: If an employer requires a photograph of an applicant or employee, the employer must pay the cost of the photograph. Physical Exams, Blood Tests: An employer may not withhold or deduct from the wages of any employee or require any prospective employee or applicant for employment to pay for any pre-employment medical or physical examination taken as a condition of employment, nor may an employer withhold or deduct from the wages of any employee, or require any employee to pay for any medical or physical examination required by any federal or state law or regulation, or local ordinance. Paying for shortages at the cash register or broken items:  This is also allowed at the federal level as long as it doesn’t bring your pay below minimum wage; but it’s disallowed in some states. In Pennsylvania, they are assumed to not be allowed because such deductions don’t benefit the employee.   Procedures for Withholding Wages   Employers must follow specific procedures to ensure lawful wage withholding:   1. Written Authorization: For voluntary deductions, employers should obtain written consent from the employee, specifying what will be deducted and how much.  This should be signed in advance of commencement of the deductions.   2. Proper Notification: If an employer receives a court order for garnishment, they must notify the employee of the order and the amounts to be deducted.   3. Timely Payments: Employers must remit withheld amounts to the appropriate authorities promptly to avoid penalties or liability.   Consequences of Improper Withholding   If an employer fails to comply with wage withholding laws , they may face serious consequences, including:   Legal Liability: Employees may file lawsuits against employers for improper deductions or failure to pay earned wages. Fines and Penalties: The state and federal government impose fines for non-compliance with withholding rules. Department of Labor Audit: Mishandling wage withholdings may lead to workers filing complaints with the state or federal regulators.  These complaints can sometimes trigger an audit of all of the employer’s payroll practices.  Those happen without notice, are invasive and time consuming.     Wage withholding is a critical aspect of employment in Pennsylvania that requires careful adherence to legal standards. Misunderstanding of the rules is very common.  Employers should understand the rules governing these deductions to ensure compliance and protect themselves from liability and governmental investigations. If you are unsure about your obligations or rights relating to wage withholding, consulting one of the experienced employment attorneys at Fiffik Law Group.  We can provide clarity and help you navigate potential challenges.

Some retirement plans require spousal consent to validate changes or other actions like withdrawals and rollovers. This rule generally applies to qualified retirement plans or defined benefit plans. We’ll break down these rules and provide guidance on how to navigate this crucial aspect of estate planning.   What Are Retirement Accounts?   Retirement accounts, including 401(k)s, IRAs (Individual Retirement Accounts), and pensions, often come with unique rules regarding beneficiary designations. Beneficiaries are the individuals or entities (like your estate or a trust) that will receive the account's assets upon the account holder’s death.   The Importance of Beneficiary Designations   The beneficiary designation is critical because it takes precedence over a will or other estate planning documents. In other words, the contents of the beneficiary form that you complete for your retirement account will override anything in your Will or Trust relating to the account. If you fail to designate a new beneficiary, or if the designated beneficiary predeceases you, the account could go into your estate and may not pass in line with your wishes.   Its not uncommon to make mistakes when completing beneficiary forms.   Common Situations Where Spouse is Removed as Beneficiary   In most marital units, the preferred plan is for the surviving spouse to inherit the proceeds of the retirement account. There are tax advantages as well but that’s a topic for another post. Real life has lots of twists and turns and there are plenty of situations where one might not want their spouse as a beneficiary of their retirement account:   You have children with someone other than your spouse and want to ensure they receive a portion of your estate; You’ve become estranged from your spouse but never filed for divorce; Your spouse has substance abuse challenges; Your spouse suffers from dementia or other cognitive impairments; Your spouse has gambling problems; or You are divorced   Spousal Consent in Retirement Accounts   Spousal consent is the permission one spouse gives the other to perform an act. In this context, it is the agreement between spouses regarding an action that affects a retirement account. Spousal consent may relate to activities like withdrawals, distributions, or the designation of beneficiaries. Generally, a spouse can consent by completing and signing an administrative form. Some retirement plans  require spousal consent  to validate changes or actions. This rule generally applies to qualified retirement plans or defined benefit plans. For example, if you want to change a designated beneficiary on your 401(k) account to someone other than the spouse, your spouse must consent. However, the rules are different when it comes to IRAs.   Spousal Consent and 401(k) Plans   In Pennsylvania, federal law, specifically the Employee Retirement Income Security Act (ERISA), requires that contributions made to 401(k) plans by a spouse must receive the consent of the other spouse for certain actions, particularly when it concerns retirement benefit distributions. This is designed to protect the financial interests of both spouses in a marriage.   1. Qualified Joint and Survivor Annuity (QJSA) When a participant in a 401(k) plan passes away, the benefits typically go to the surviving spouse. However, if the participant wishes to designate someone  other than their spouse as the beneficiary, they must obtain written, notarized consent from the spouse.    2. Withdrawals and Loans If a participant in a 401(k) plan would like to take a loan or withdraw money from their account, spousal consent may also be required. Not all plans mandate spousal consent for loans, but many do, especially if it involves withdrawing a significant sum. Hence, reviewing the specific terms of a 401(k) plan is crucial.   3. Divorce Proceedings During divorce, a 401(k) plan is often subject to division. A Qualified Domestic Relations Order (QDRO) may be required to ensure that a portion of the retirement plan is awarded to the non-participant spouse. For this to happen legally and equitably, the consent of both spouses during the division of assets is necessary.   401K Rollover to IRA and Spousal Conent   Generally, you can rollover funds in a 401k to an IRA without spousal consent. The regular distribution rules apply in most instances. Married 401(k) account holders who do not want to leave their entire amount to their spouse can elect to receive a lump sum distribution once they become eligible. Then, they can roll those funds into an IRA and designate anyone they prefer as their beneficiary. In most cases, the 401(k) distribution and IRA beneficiary designation will not require spousal consent.   Is Spousal Consent Required for IRA Distribution?   Generally, a spouse does not need consent when taking an IRA distribution because IRAs are not subject to the spousal consent rules under ERISA and the Retirement Equity Act (REA). These laws apply to qualified retirement accounts, one major difference between IRAs and qualified plans.   Is Spousal Consent Required for IRA Beneficiary Designation?   Generally, you do not need spousal consent when changing your IRA’s beneficiary designation. However, you may require spousal consent if you live in a community property state. Community property rules vary from state to state but generally treat assets and debts acquired during the marriage as jointly owned. This includes funds in your IRA that accumulated since you married, assuming you lived in a community property state all those years.   If the IRA owner dies or divorces, the spouse could be entitled to a portion of the funds unless they waive that right. Since the nonparticipating spouse has an interest in the funds, the IRA owner must obtain spousal consent when designating a beneficiary other than the spouse. Naming someone in your will or trust as the beneficiary of your IRA funds generally does not change the rules — you still need spousal consent, subject to legal exceptions.   Why Consulting an Attorney is Important   The intersection of marital rights and retirement accounts can be complex. It is wise to consult with one of Fiffik Law Group’s attorneys experienced in estate planning and family law to ensure compliance with the law. Our attorneys can help you navigate these requirements, interpret legal documents, and understand your rights and obligations in this process.   By understanding these rules and taking proactive steps, you can make informed decisions about your retirement accounts, ensuring that the benefits you’ve prepared for your future are distributed according to your wishes.

If you’re wondering whether bankruptcy can help or is right for you, this post is for you.  Filing for bankruptcy can be a daunting decision, often accompanied by feelings of anxiety and uncertainty. However, understanding the right timing can make a significant difference in your financial future. Here are some insights to help you determine when might be the best time for you to file for bankruptcy.   Understanding Bankruptcy in Pennsylvania   Bankruptcy is a legal process designed to help individuals or businesses eliminate or repay their debts under the protection of the federal bankruptcy court. In Pennsylvania, the two most common types of bankruptcy for individuals are Chapter 7 and Chapter 13.   Chapter 7 Bankruptcy: This type allows individuals to discharge most of their unsecured debts, such as credit card debt and medical bills. However, it requires passing a means test, which assesses your income and expenses.   Chapter 13 Bankruptcy: This option is for individuals with a regular income who want to create a repayment plan to pay back all or part of their debts over three to five years. It allows you to keep your property while repaying your debts.   A bankruptcy filing stops foreclosures , evictions, repossessions, utility shut-offs, wage garnishments and other collection actions in their tracks. It discharges your liability for most debts and prevents seizures of your home, car and household goods.  It’s a powerful tool for folks dealing with credit problems.    Its Never Too Early to Consider Bankruptcy   While its sometimes too early to actually file bankruptcy, its never too early to find out of bankruptcy is a good option. Its helpful to have time to be ready to file.  Filing might be too late after a foreclosure sale or seizure of a bank account.  Bankruptcy can stop pending evictions, creditor lawsuits and foreclosures.  But there are fewer rights in bankruptcy after a court has ordered the eviction.    Last Minute Filing Options   While planning in advance is best, there are options if you seek help at the last minute before a foreclosure, repossession, eviction or garnishment.  Bankruptcies in an emergency can be filed with very little preparation by completing a brief petition, a statement of your social security number and a list of the names and addresses of your creditors.  Additional forms must be completed shortly after the emergency filing.   When to Wait to File   If you are not facing immediate loss of your home, car or wages but its likely that you’ll incur debt you cannot repay in the near future, a bankruptcy filing should be delayed until those new debts are incurred or you’re beyond your ability to handle those debts. New debts incurred after filing bankruptcy are not discharged in that case. For example, if the source of credit problems is a medical problem and the associated bills, it is better to wait until the medical condition is resolved before filing.  If you file while you’re still incurring expenses, the expenses incurred after filing will not be discharged in the bankruptcy case.   Don’t Go on a Spending Spree Before Filing   If you can discharge debts in bankruptcy, you might be tempted to go on a spending spree thinking you’ll never have to pay the bills if you file.  That’s a bad plan.  In a chapter 7 bankruptcy, debts incurred in this way may be declared as nondischargeable.  Deciding when to file for bankruptcy is a significant decision that should not be taken lightly. If you find yourself in a position of overwhelming debt , facing collection actions, or struggling to pay bills, it may be time to consider your options. Consulting with Fiffik Law Group’s knowledgeable bankruptcy attorneys in Pennsylvania can provide you with the guidance needed to make an informed decision about the best time to file.   Remember, bankruptcy is not a failure but rather a tool to help you regain control of your financial future. By understanding the indicators that suggest it might be time to file, you can take proactive steps toward rebuilding your financial life. If you havec questions or need assistance, don’t hesitate to reach out for a consultation . Your fresh start may be just around the corner.

Caring for a loved one can be one of the most rewarding yet challenging experiences of our lives. Whether it’s a parent with dementia, a spouse recovering from a serious illness, or a child with special needs, the complexities of caregiving can feel overwhelming. Thankfully, there are professionals who can help navigate these complexities and support families on their caregiving journey. Seeking help from these professionals help maintain an elderly person’s well-being and long term care.   1. Geriatric Care Managers Geriatric care managers, also known as aging life care professionals, are specialized practitioners dedicated to assisting older adults and their families in managing the complexities of aging. They do not deal directly with medical issues.  Rather, they provide a holistic approach to care by assessing the needs of the individual and their family, coordinating services, and acting as advocates.   These professionals can help families:   Assess your parent’s needs Create a comprehensive care plan that’s a roadmap for now and into the future Connect with medical and community resources Offer behavioral interventions for dementia and even coaching for families with dementia challenges Assist with placement, moving, family conflict and caregiving oversight Oversee home care plans Navigate complex healthcare and legal systems   By utilizing the expertise of a geriatric care manager, families can reduce stress and ensure that their loved one receives personalized care tailored to their unique needs.   2. Elder Law Attorneys When caregiving involves legal considerations - such as power of attorney , guardianship , or estate planning - an elder law attorney should be part of the support team. These legal professionals specialize in issues affecting older adults and can guide families through the often-complex legal landscape associated with aging.   Elder law attorneys can help families:   Create wills , trusts, and advance healthcare directives Secure government benefits earlier than you might assume, preserving precious savings for other care needs Draft powers of attorney and guardianship documents Understand Medicaid and Medicare options Review and advise about admission agreements for senior care facilities Navigate disputes regarding care and financial responsibilities   Having one of Fiffik Law Group’s elder law attorneys on your side ensures that families can make informed decisions and secure the best possible future for their loved ones, providing peace of mind during a challenging time.   3. Certified Financial Planners (CFP) Planning for caregiving involves immediate and future financial implications along with tax considerations and documentation.  Wise investing with a certified financial planner helps you arrange for in-home care or retirement living,  both of which are quite expensive.  Even if you already have a financial advisor, consider getting a second opinion but one who does not work on commission only but advises and manages investments.    4. Certified Public Accountants (CPAs) Managing someone’s daily spending, taxes or decisions about selling property can place a caregiver at significant risk.  It’s not unusual for a family member unfamiliar with your loved ones’ finances to question your management of finances.  Working with a competent CPA who has experience helping older adults and their families understand the tax consequences of bad or premature transactions on assets is very helpful.  They can provide caregivers with guidance on the financial recordkeeping necessary to defend financial decisions if questioned.  These professionals can protect you from being charged with exerting undue influence on your loved one, especially if you hold power of attorney for finances.      Caring for a loved one is a journey that no family should have to navigate alone. By reaching out to professionals such as geriatric care managers, elder law attorneys, certified financial planners and CPAs, families can create a robust support system tailored to their specific needs. Each professional offers unique insights and skills that can lighten the burden of caregiving, foster communication, and encourage holistic care.

The Aid and Attendance benefit is a monetary benefit that helps eligible veterans and their surviving spouses (widows/widowers) to pay for the assistance they need in everyday functioning (eating, bathing, dressing, and medication management). To qualify for Aid and Attendance, the veteran must be at least 65 years old or have a permanent and total disability and meet the service, asset, income and medical requirements. The surviving spouse of an eligible veteran can also receive the benefit if he or she needs care. Service Requirement The veteran must have had at least 90 consecutive days of service, with at least one day of active service during these times of war: WWII: Dec. 7, 1941, to Dec. 31, 1946 Korean Conflict: June 27, 1950, to Jan. 31, 1955 Vietnam War era: August 5, 1964, to May 7, 1975 Gulf War: August 2, 1990, until the present For a list of full requirements go to the Eligibility for Veterans Pension page at VA.gov . The veteran doesn't need to have retired from the military but can't have a dishonorable discharge. Asset Requirements The VA changed the asset calculation a few years ago to make it simpler to apply. In 2021, the veteran (and spouse, if married) must have less than $130,773 in assets, including bank accounts, investment accounts, IRAs, other retirement accounts, and the cash value of life insurance, excluding the veteran's home. This asset level is adjusted for the cost of living each December. Income Requirements The income criteria is complicated. A veteran’s and their spouse’s joint, countable income must be less than the pension amount for which they are eligible. For example, a married veteran in 2021 is eligible for $27,549 in annual A&A benefits; if their countable income is $10,000, then they are eligible to receive an additional $17,549/year in benefits. However, because the VA allows applicants to deduct certain expenses and forms of income from their “countable income”, the applicants’ actual income can be considerably higher than their countable income.. A detailed explanation of how the VA calculates income is available here . Medical Requirements A doctor usually must certify that you need help with activities of daily living such as bathing, eating and getting dressed. Nursing home patients need to provide extra paperwork from the facility about the costs and type of care they receive. The need for that help does not have to be related to their military service. Restrictions There are no restrictions on how A & A pension benefits can be used provided it is for the benefit of the veteran or their surviving spouse. It can be applied towards skilled nursing, assisted living, in-home care, adult day care services, or to fund home modifications to accommodate for a disability. Paying Family as Caregivers VA Pensions can be used to pay a family member who is the caregiver of a veteran or survivor (with the exception of spouses). Care expenses can be deducted from a Veteran or surviving spouse’s income, including payments made to family members, such as children or grandchildren. Beneficiaries can then receive an increased pension benefit equal to the amount they have paid to their family member for care. Unfortunately, this method does not work for the veteran’s spouse since joint income is calculated as household income. Therefore, any salary the spouse received would be included as part of their household income, and would not be considered a deductible care expense. The experienced Elder Law attorneys at Fiffik Law Group are available to assess your family situation and suggest Asset Protection Strategies that are right for you. Contact us today to begin the conversation.

Despite your diligence, sometimes payments due to your business don’t get to you.  A vendor mails a refund to the incorrect address (data entry error); maybe your mailing address changed and payments were sent to your old address; you didn’t extend the mail forwarding order; the Post Office messed up. There are a lot of reasons why payments don’t get to you. Not all of those payments disappear into thin air.  There’s still a chance you can collect on them.    When a vendor has a payment owed to you that they can’t deliver, they send it to the Bureau of Unclaimed Property, a division of the Pennsylvania Treasury.  The state estimates that 1 in 10 Pennsylvanians – including Pennsylvania businesses - have unclaimed property , with the average claim being about $1,600 . It's time to find out if you are one of them!   What is Unclaimed Property?   Unclaimed property refers to tangible items or financial accounts that have not had any activity or contact for an extended period. This can include:   Contents of safety deposit boxes Checking or savings accounts Stocks Insurance payments or refunds Certificates of deposit Utility security deposits Other financial accounts   When these items go unclaimed, they are turned over to the Pennsylvania Treasury, which currently holds more than $4.5 billion in unclaimed property.   Stacy Garrity, the State Treasurer, emphasizes the significance of claiming unclaimed property: "Treasury receives hundreds of millions of dollars in unclaimed property every year, often because of something as simple as a misspelled name or an out-of-date address. But let’s be clear: this is YOUR money we’re talking about, and I want to return it to you."   For the first time ever, the Pennsylvania Treasury Department returned more than $500 million  over two consecutive years, highlighting the importance of reclaiming your assets.   How to Check for Unclaimed Property   The process of checking for unclaimed property is simple and quick . You can visit patreasury.gov/unclaimed-property  to search for any unclaimed assets under your name or your business's name.   To file a claim, you must create an account online. Claimants can upload documents directly and monitor the status of their claims. Typically, direct deposits will arrive 7 to 10 business days  after a claim is fully processed in Treasury's system. Anyone can claim unclaimed funds by submitting a claim form along with proof of ownership. The website provides a step-by-step guide, and the requirements will vary depending on what you are claiming and its value. By taking a few moments to check, you could potentially uncover hidden resources that can benefit your business. Whether it’s cash from an old account or valuable items from a safety deposit box, reclaiming your unclaimed property can provide a significant financial boost.   New Changes Starting in 2025   Starting in 2025 , Pennsylvania will implement a new process for returning unclaimed funds. Amounts under $500  will be returned directly to the people they belong to, eliminating the need for them to file a claim with the state Treasury first. This change will make it even easier for individuals and businesses to receive their unclaimed property.   Take Action Today!   Don’t let unclaimed property slip through your fingers. Make it a priority to check if you or your business has unclaimed assets waiting to be claimed. The process is straightforward, and it’s worth your time to ensure that you are not leaving any money on the table.   If you have any questions or need assistance navigating the process, feel free to reach out to our team at Fiffik Law Group. We are here to help you with your legal needs and ensure that your business thrives. Start your search today at patreasury.gov/unclaimed-property and take the first step toward reclaiming what is rightfully yours!