When choosing a life insurance beneficiary, it is very important to be clear in the designations of who is going to receive the benefits after the death of the insured.
Due to specifications regarding the wording of beneficiaries, certain members of the family may be left out, while others may be unintentionally included.
It becomes especially complicated when there is an ex-spouse involved, or adopted children.
Should the beneficiary die before the insured, then a contingent receives the benefits instead.
However, this can become complicated if the contingent is a minor and no guardian has been designated. The process of determining insurance beneficiaries can be complicated, especially given the changing family situations that happen with divorce and death.
When deciding on your insurance beneficiaries, make sure the beneficiaries are clearly distinguished, with varying levels of contingents.
Specifying Your Beneficiaries
When writing out who will receive life insurance benefits upon your death, simply putting one-word designations like “spouse”, “children”, or “grandchildren” isn’t enough anymore. If you put “spouse,” then former spouses may be included in the event of a divorce. In the case that children are the beneficiaries, then which children will be included must be specified.
Are they only children from your marriage, or do children born out of wedlock count?
Also, it must be specified if adopted children are included, or the children of a spouse which you may have adopted as well. The same applies for any grandchildren. Also, if the children are minors, it is generally recommended that a guardian be appointed, as benefits aren’t usually paid to minors.
The beneficiaries can be specific, or a class. Specific beneficiaries are identified by name and relationship to the insured, while a class is identified mainly by relationship, such as “children.” If a class is chosen as a beneficiary, who belongs to that class needs to be clearly identified, as legal complications can arise if the class isn’t distinguished.
Also, it is advisable to have several levels of contingencies. In the case that a beneficiary dies, the benefits will go to the contingent.
However, if the contingency dies as well as the beneficiary, the benefits may be left in limbo, or to be disputed by other family members. That is why several contingencies must be clearly identified, as many complications can arise considering the possibilities of a changing family structure.
How Much Life Insurance Will Your Beneficiaries Need?
As important as it is to find your right beneficiary, you have to make sure that person(s) is left with enough money to cover any financial obligations you will leave behind. So let’s take a look at some of the factors that help you decide how much coverage you need to buy.
You always need to calculate your current debt situation first. The main goal of your life insurance plan is to give your family the money needed to pay off all your bills and debts. The number you come up with should be the baseline for how much coverage you start looking for.
If it’s in your budget we also suggest adding a few years worth of salary to the final total as well. Your income has helped support the family for years and a sudden loss could bring on major lifestyle changes. To stave that quick change it’s best to up the value some to provide some breathing room as they cope with a drop in household income.
Another category to account for is the funeral expenses. While you may not realize it, funerals are expensive. Funerals can come in around $10,000, and is a big expense that some might not be ready to pay. Your coverage will give your family the money that they need to fulfill your family wishes.
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Getting Affordable Life Insurance
In addition to choosing the right beneficiary, and ensuring that they will have enough money, it’s also important to get the most affordable life insurance plan available. A lot of applicants are surprised to see how cheap a life insurance plan can be, regardless of how much life insurance you need.
One of the easiest ways to get lower insurance rates is by cutting out tobacco. Users pose a much greater risk to have health problems like cancer or heart problems, which equals a greater risk to the insurance company. By mitigating that risk they’ll be charging you much more for your insurance coverage, and that charge could be twice the quoted amount.
The medical exam you’ll go through is going to show the carrier a snapshot of your overall health. If you’re overweight, then your premiums are going to be around 50% higher than a person that rates healthy. So when you know the date you want to apply its best to start living a healthier life a few months before. Eat a little cleaner, exercise a little more. These actions will keep your premiums down.
Another action is to lay off the gas pedal. When the insurance company is reviewing your application, they are going to pull your driving records. With a lengthy accident or ticket history, the carrier could see you as a high-risk applicant, which is going to translate into more expensive coverage. Slowing down on your way to work in the morning can save you hundreds of dollars every year, not to mention you won’t have to pay those expensive speeding tickets.
Our last tip is the easiest step for you. Compare, compare, compare. And you can make it even easier by working with us! We have years of experience working with quality insurance companies and we’ve helped all types of applicants get the perfect plan for you. Our status as independent agents allows us to gather as many quotes as fast as possible and present them to you in a simple form.
Explore all Possibilities with Life Insurance Beneficiaries
When deciding on life insurance beneficiaries, it is best to consider all possible situations. While it may become complex and it is grim to think of the future deaths of you or family members, all of these things do happen. Save your possible beneficiaries the trouble of having to dispute the distribution of benefits, and make sure to define the beneficiaries as specifically as possible.
Don’t use vague wording that may include or leave out people you don’t wish to.
You will want to make sure your benefits go to the intended recipients after your death. Try speaking with a life insurance advisor to determine how to properly designate your beneficiaries.
Angelo Mozilo, Whose Mortgage Giant Fell in Housing Bust, Dies at 84
He built Countrywide Financial into the country’s largest mortgage lender, but its increasingly risky loans helped precipitate the 2008 financial crisis.
July 18, 2023
Angelo Mozilo, a founder of Countrywide Financial who presided over that lending giant’s rapid ascent and then its collapse during the financial crisis of 2008, died on Sunday. He was 84.
His death, in the Santa Barbara, Calif., area, was announced in a statement by the Mozilo Family Foundation, the family’s philanthropic organization. It did not specify a cause.
Countrywide was a major player in the run-up to the housing crisis, when looser financial regulations enabled lenders to aggressively sell risky mortgage products to prospective homeowners, contributing to a bubble in housing prices. That burst, in 2008, when home values came crashing down, led the U.S. economy into a prolonged recession.
Mr. Mozilo, who was the son of a Bronx butcher and worked his way through Fordham University, became one of the most recognized executives associated with the crisis. Motivated by his modest beginnings, he had built Countrywide into one of the nation’s largest mortgage lenders by the early 2000s. But he still wasn’t satisfied: He wanted the company to attain 30 to 40 percent market share, far more than any single lender had achieved.
sales culture propelled the company’s growth and profits but ultimately led to its downfall. As the housing market crashed and borrower defaults soared, Countrywide’s lending practices came under the scrutiny of legislators, regulators and consumer advocates.
Financial pressures began to mount, and the company, based in Calabasas, Calif., west of Los Angeles, was acquired by Bank of America in 2008 at the fire sale price of $4 billion. But the purchase ended up costing Bank of America billions more in legal and other costs it had inherited.
At the time, nearly 150 mortgage lenders had failed, many of which were taken over by healthier institutions.
Mr. Mozilo, recognizable by his crisp suits and deep tan, continued to defend his company throughout the ordeal. “Countrywide was one of the greatest companies in the history of this country,” he told congressional examiners in September 2010, more than two years after Bank of America bought the company.
his member profile in the Horatio Alger Association.
By the time he was 14 he had his first job in the financial industry, working as a messenger boy for a Manhattan mortgage company.
He was married to Phyllis (Ardese) Mozilo for more than 50 years. She died in 2017. He is survived by their five children, Christy Mozilo Larsen and David, Elizabeth, Eric and Mark Mozilo; and 11 grandchildren.
post on Tuesday.
“He was an excellent father and a legend in the mortgage industry,” he added during a phone call.
Mr. Mozilo and a partner, David Loeb, who died in 2003, started Countrywide in 1969 with $500,000. Within a few decades, the company had grown from a conservative home lender, originally based in New York, to the largest mortgage lender in the United States. As of 2007, it had 900 offices and $200 billion in assets and made $500 billion in loans that year.
In the early 1990s, after government data revealed that lenders were disproportionately rejecting minority borrowers for home loans, Countrywide saw an untapped market and began offering more loans in low-income and minority communities.
“When I first brought the loans into the office, they said: ‘You’re nuts, you’re crazy, don’t do this. There’s a reason why we’re rejecting these people,’” Mr. Mozilo later told the congressional commission investigating the crisis. The loan officers, he said, “had very static, inflexible guidelines.”
a 2019 CNBC report. “It affected my reputation, it affected my family, it had a profound impact on my entire life. So I cared. Then a lot of years went by, and my wife passed away, and I turned 80 years old, and now I don’t care. There’s other things more important in life.”
Ben Protess contributed reporting.
Tara Siegel Bernard covers personal finance. Before joining The Times in 2008, she was deputy managing editor at FiLife, a personal finance website, and an editor at CNBC. She also worked at Dow Jones and contributed regularly to The Wall Street Journal. More about Tara Siegel Bernard
A version of this article appears in print on , Section B, Page 11 of the New York edition with the headline: Angelo Mozilo, Leader of Lender In 2008 Housing Bust, Dies at 84. Order Reprints | Today’s Paper | Subscribe
When I learned that my late grandfather had left me his prized watch in his will, I was swept away by a confusing mix of emotions.
I felt touched, of course, that he thought of me and wanted me to inherit something he treasured so highly. Naturally, I also felt a pang of melancholy realizing that the watch came loaded with memories of his vibrant life, but also his passing.
The more surprising emotion, however, was stress. Did I really deserve this watch? What would I do with something so valuable? Would he expect me to wear it? What if I lost it? Am I allowed to sell it?
According to CNBC, around 40% of America’s young generation will inherit wealth. Much of the time, that wealth will come in the form of physical valuables like watches, jewelry, clothing, art, and collections.
If you’ve inherited something valuable or think you might in the future, you might already be facing the confusing mix of emotions that I went through. That’s why I felt inspired to write this piece. Despite the fact that millions of young people will inherit valuables, there’s not a lot of material out there to help us not only appraise and sell the items but get comfortable with the idea of selling in the first place.
What’s Ahead:
Process those complex emotions and decide if selling is right for you
When I received my grandfather’s watch, I found myself in a similar headspace as Frodo when he inherited The One Ring. Staring down at our newfound jewelry, the hairy-footed hobbit and I both realized three things:
It’s valuable.
I don’t exactly know why it was given to me.
I probably shouldn’t tell anyone that I have it.
Naturally, Frodo and I both reached the same, misguided conclusion – that we should hide it and never speak of it again. This, of course, was the wrong choice; basically, a form of procrastination until we figured out what to do with it.
Whereas Frodo eventually threw his inheritance into a volcano, that isn’t really an option for you and me. We know that whoever left us the item wouldn’t have wanted us to just bury it in our linen closet, so that leaves us with two choices: use it or sell it.
Most people assume that if their late relative left them something valuable, it’s because they wanted them to use it and enjoy it as they did in life. Therefore, if you immediately turn around and sell it, it’s like returning their thoughtful Christmas gift to the store. It’s awkward and uncomfortable, and the fact that it’s your inheritance makes it feel even worse.
However, while it’s possible that your late relative wanted you to enjoy whatever they left you, it’s important to distinguish the difference between inheritances and gifts.
Inheritances are not gifts
A gift is something that someone gives you with the full intent that you’ll use it and benefit from it. Therefore, if you return a gift to the store, it signals to the gift-giver that they missed the mark. That’s why we do it in secret.
An inheritance, however, is a form of wealth transfer. Your late relative may have intended for you to use and enjoy the item, or they may have fully intended for you to just sell it and benefit financially.
The difference between an inheritance and a gift, therefore, is the intent of the giver. A gift is always meant to be kept, while an inheritance is meant to be kept or sold.
If an inheritance is meant to be sold, why not just sell it and leave the money in the will? Well, most people don’t sell their valuables in their twilight years; they enjoy them in life and let the next generation decide what to do with them.
How do I know whether my late relative intended for me to keep or sell my inheritance? It’s impossible to say. There’s no statistic that says “XX% of baby boomers intend for their grandchildren to sell their inherited valuables,” and even if there was, everyone’s situation is different.
There are signs, however – if your late relative left you an extensive art collection for your 500 sq. ft. apartment, they probably intended for you to just sell it. If they left you their wedding ring and they know you’re about to get engaged, it’s a safe bet that they want you to use it.
But even if you conclude your late relative probably wanted you to keep your inherited valuables, it’s still OK to sell them.
Here’s why you shouldn’t feel guilty selling your inherited valuables
Inheritances can come in countless forms, from real estate to trust funds to diamond earrings. They can be intended for the recipient to keep or to sell, or anything in-between.
But regardless of their form or surface-level intent, the underlying intent of all inheritances is exactly the same: whoever left it to you wants you to prosper and be happy.
Your goal, then, is to handle your inheritance in a way that honors your late relative’s underlying wish: to make you happy. Keeping it and enjoying it might honor that wish, but so could selling the item and investing the money so you can achieve financial independence faster.
For instance, you could consider a robo-advisor with a lower buy-in like Betterment. Betterment stands out with an easy-to-use platform, a generous selection of Socially Responsible Investing (SRI) opportunities, and the ability to access a human advisor once your balance exceeds $100,000.
Putting your money into an investment opportunity can do a lot more for you than keeping the gift in a box at the bottom of your dresser for years.
Protect the item from theft, damage, and depreciation
Before you get your inherited valuable appraised and sold, you need to educate yourself on how to store it, protect it, and overall preserve its value.
For example, I inherited a rare Japanese teapot from a grandparent a few years ago valued at around $100. Because I love tea so much, I decided to classify this inheritance as a “keep.” However, because I never taught myself how to properly maintain such a fancy teapot, I let water sit in it for too long and rust it. Totaled and worthless, the teapot now sits in my kitchen as an ignominious reminder to not be a lazy knucklehead with my valuables.
The first step to inheriting something valuable, then, is to teach yourself how to use it, maintain it, and store it. Teapots may need special cleaning; art may need to be stored in a cool, dark location; leather goods need routine conditioning; watches may need winding, etc.
In tandem with proper care and maintenance, you’ll want to keep your valuables someplace safe. Even if your renters insurance has adequate theft protection to cover the value of your goods, you still run the risk of the claim being rejected or getting paid less than the item’s market value.
For small items like watches, jewelry, or card/coin collections, consider renting a safety deposit box at a local bank. $60 per year is a small price to pay for peace of mind!
For medium-sized items like artwork or furniture, your first inclination might be to borrow space in a friend or family member’s basement or attic. After all, a giant painting is probably too big to steal!
Storing valuable art/furniture in a basement or attic is a common mistake, however, because these areas are subject to moisture and variable temperatures, which can damage and devalue your stuff. Consider renting a climate-controlled storage unit instead, and look for one outside the city limits where it’s cheaper.
Lastly, if you inherit something really big like a car, you’ll want to protect it from the elements by parking it in a covered space or at least investing ~$250 in a fitted car cover. Since you’ll inevitably have to drive it, you’ll want to get some cheap collision and comprehensive coverage, too, which will also protect it against damage and theft. That may all sound expensive, but keep in mind that you’ll get it back when you sell it.
Big or small, once you have your inherited valuables safely stored and protected, it’s time to see what they’re worth.
Appraise the item
Before getting a professional appraisal, you can get a rough idea of how much your inherited valuable is worth by heading to eBay.
Don’t pay too much attention to asking prices in active listings. Sellers can ask for whatever they want; doesn’t mean it’ll sell.
For a better idea of your item’s true market value, filter by SOLD listings only. You can do this by searching for your item, then clicking “Advanced”
Then check the box for “Sold listings”
In this example, you can see that in general, vintage Gucci bags are selling for anywhere from $300 to $500.
eBay is an excellent self-appraisal tool, but you can also get a more accurate appraisal from a site dedicated to reselling your specific goods.
For example, I got my grandfather’s watch appraised at Precision Watches & Jewelry and Crown & Caliber – both were entirely online, requiring only a description and serial number.
For cars, I recommend using Edmunds’ True Market Value (TMV) Tool. It’s entirely free and can give you a realistic valuation of your inherited car in seconds. If you’re thinking of keeping the car your late relative left you, you can research its True Cost to Own (TCO) to know how much it’ll cost you in depreciation, gas, maintenance, repairs, insurance, etc. If you decide to sell the car, well, you can do that on Edmunds, too!
For art, furniture, and other assets that might prove difficult to appraise online, you can connect with a live appraiser. The American Society of Appraisers has an online directory where you can search for and connect with an appraiser of your goods in your area. Most appraisals cost ~$150 or less, and it’s worth it so you don’t end up underselling your stuff!
Sell the item
Your penultimate step, of course, is to make the sale.
Whoever appraised your item will also have tips for how and where to sell it. They’ll likely make an offer themselves; if so, just be sure to get multiple appraisals online to ensure you’re getting a good deal.
At the risk of sounding lecture-y, just be sure you follow the essentials of selling a high-value item; ship the item well-packed and well-insured, and if you meet anyone in-person, bring a friend and meet somewhere safe. Lastly, be sure the buyer brings cash or cash equivalents, such as Venmo or PayPal, so you receive your full asking price onsite.
I got some cold feet before selling my grandpa’s watch and you might, too. It helped to remind myself that my grandpa didn’t necessarily want me to wear his fancy watch; just to do something with it that made me happy. My grandpa was smart with money and achieved financial independence early in life, and would surely want the same for me. Therefore, I knew that if he saw me sell his watch and invest the money wisely, he’d be proud.
If you use the money from your inherited valuable to inch closer to freedom, happiness, and financial independence, your late relative will likely be proud of you, too.
So make sure you park your money somewhere safe. A Chime® Savings Account is a good example, with no monthly fees2 and a slick UI.
2 There’s no fee for the Chime Savings Account. Cash withdrawal and Third-party fees may apply to Chime Checking Accounts. You must have a Chime Checking Account to open a Chime Savings Account.
Summary
Inheriting a high-value item like a watch, jewelry, car, or even a rare piece of art can elicit a mixed bag of emotions. You may feel glad that your late relative thought of you, sad that they’re gone, and guilty that you aren’t sure what to do with the precious asset that they left you.
Selling an inherited valuable may initially feel uncomfortable, but it’s important to remember that whoever left it to us probably just wants us to be happy. Selling the item and investing the money to accelerate our financial independence is a great way to honor that wish.
Builders are increasingly focused on catering to so-called baby boomers, or those aged 55-years and up, with communities designed especially for their needs.
BUILDER reports that baby boomers are perhaps the most significant demographic for homebuilders, as they currently number around 76 million and hold around two-thirds of home equity in the U.S.
And so builders are trying to be proactive in addressing the housing needs of this all-important group. One idea that’s gaining momentum is age-restricted communities, which PulteGroup said is already proving to be a big hit. For example, its recently built “active adult” community Del Webb Bexley in Tampa Bay, Florida, saw more than 800 prospective buyers show up on the first day of an open house event, looking to buy one of just 850 available homes there. Due to the enormous response, PulteGroup says it’s now planning to build additional homes in the area.
Builders say that the retirement communities of yesteryear are unlikely to appeal to the baby boomer generation, and that the focus now is on much smaller-scale developments. Newer communities are also more focused on social activities, while golf and country club-type amenities are becoming less popular. Instead, baby boomers are looking for amenities such as nice restaurants and “pickleball-like setups”, BUILDER reported. They’re also seeking communities that are more accommodating to a variety of age groups, so that they’re children and grandchildren are more willing to visit.
“When it comes to serving the boomers, one size does not fit all,” Char Kurihara, vice president of sales and branding at Elevate Homes, told BUILDER. “Builders should recognize the need to offer multiple products and communities for these buyers.”
And builders are reaping the rewards of these baby boomer-focused efforts. According to BUILDER, 44 of the country’s top 100 building companies now offer an “active adult” line, and 13 of those firms say revenue from this accounts for more than 25% of their sales.
“There are really two groups of people to focus on right now when it comes to building new homes: millennials and baby boomers,” Jeff McQueen, division president at Shea Homes, which offers the Trilogy brand, told BUILDER. “But millennial household formation has been delayed, so, the other option is boomers. There’s been a huge pivot in the last five years, post-recession, where builders are now offering a single-level plan in almost all communities that cater to an empty nest buyer. Whether they call it active adult housing or not, they’re selling to more and more active adult customers.”
Mike Wheatley is the senior editor at Realty Biz News. Got a real estate related news article you wish to share, contact Mike at [email protected]
A family trust is a trust that benefits the children, grandchildren, siblings, spouse or other family members of the person establishing the trust (grantor). Family trusts are common in estate planning to ensure certain beneficiaries receive assets when the grantor dies. They can be revocable or irrevocable.
What is the main purpose of a family trust?
The main purpose of a family trust is to ensure that certain assets pass from one family member to another
American Bar Association. Family trust. Accessed Jul 10, 2023.
. Family trusts (and trusts in general) also typically avoid the probate court process, which can be expensive, public and time-consuming. Using a family trust to avoid probate can thus help ensure that beneficiaries receive their inheritances faster and with more privacy.
Family trusts can be revocable or irrevocable.
A revocable trust allows the grantor (also known as the settlor) to make changes to the trust during his or her lifetime, such as adding funds, changing which assets are in the trust or changing beneficiaries.
Family trusts, like most trusts, have three major players:
The grantor or settlor, who creates the trust and transfers assets into it.
The trustee (or trustees), who manage(s) the trust for the beneficiary. If the trust is revocable, the grantor can also be the trustee and appoint a successor trustee in case he or she becomes unable to handle trustee responsibilities in the future.
The beneficiary (or beneficiaries), who will inherit assets or gain financially from the trust.
Best for: Ease of use. Cost: One-time fee of $159 per individual or $259 for couples. $19 annual membership fee thereafter.
Best for: Users who want an all-inclusive experience. Cost: $99 per year for Starter plan. $139 per year for Plus plan. $209 per year for All Access plan.
Best for: State-specific legal advice. Cost: $89 for Basic will plan. $99 for Comprehensive will plan. $249 for Estate Plan Bundle.
Family trust vs. living trust
The main difference between a family trust and a regular living trust is that in a family trust, all the beneficiaries are family members of the person who created the trust.
How to set up a family trust
Although some particulars vary depending on your state’s laws, setting up a family trust typically involves three steps:
Draft the family trust document. Your trust document will need to contain the names of your family beneficiaries and what each will inherit, as well as a list of the assets in the trust and the name(s) of your trustee(s).
Incorporate state rules. You can hire an estate planning attorney or use an online will maker to set up a trust. Whichever method you choose, be absolutely sure you’ve met all your state’s requirements and have the required signatures to create a valid family trust; even small errors or omissions could cause big headaches.
Fund the family trust. The grantor transfers assets — such as bank accounts, investment accounts and real estate — to the trust by retitling the assets in the name of the trust. Once transferred, these assets become the trust’s assets. Assets transferred to an irrevocable trust remove the assets from the grantor’s control in the eyes of the IRS, which could reduce estate taxes — although most estates aren’t large enough to be subject to estate tax. The federal estate tax ranges from rates of 18% to 40% and generally only applies to assets over $12.06 million in 2022 or $12.92 million in 2023.
If you’re planning to create a family trust, you have a number of different trust types to choose from, such as:
Spendthrift trust: A spendthrift trust limits a beneficiary’s access to the trust assets according to specific terms the grantor sets. Spendthrift trusts help ensure that beneficiaries can’t squander their inheritance; they also protect trust assets from creditors
Cornell Law School Legal Information Institute. Spendthrift trust. Accessed Jul 11, 2023.
.
Testamentary trust: A testamentary trust is a trust created by the terms of your will and only funded upon your death. Beneficiaries can only access the assets at a predetermined time. Testamentary trusts can be used to give a surviving spouse an income or provide children funds once they’ve reached a certain age.
Bypass trust: A bypass trust transfers a spouse’s share of the estate to a trust at death. The surviving spouse may get income from and use the trust assets; however, the trust’s beneficiaries inherit the assets when the surviving spouse dies.
Pros and cons of family trusts
Advantages of a family trust
Including a family trust in your estate plan offers many advantages.
Avoid probate: Unlike wills, trusts typically don’t have to go through probate, and your assets transfer to beneficiaries quickly and smoothly, without the time and expense that probate involves.
Avoid a conservatorship: If you choose a successor trustee or co-trustee to manage your trust, you might be able to avoid conservatorship if you become incapacitated.
Privacy: Because you avoid probate, which is public record, what your family inherits from you via a family trust remains private.
Less vulnerability to a court challenge: Because they avoid probate, trusts tend to be more difficult to contest than wills, and because trusts are private, fewer people will know about your estate.
Flexibility: A family trust lets you decide who gets what and when. You can also help ensure that family members with functional needs don’t lose access to government benefits because of their inheritance. Additionally, if your trust is revocable, you can add or remove assets or change your beneficiaries as you see fit.
Tax planning vehicle: Certain types of family trusts can help reduce estate taxes, though most estates fall below the threshold for estate taxes. However, income over $600 generated by trust assets may be taxable
.
Disadvantages of a family trust
Family trusts also have a few disadvantages to be aware of.
Cost: Hiring an estate planning attorney to set up a family trust can be expensive. Additionally, you may have to pay court fees and compensation to your trustee.
Paperwork and complexity: Creating a trust and transferring assets can require complex paperwork and recordkeeping.
Higher tax rate: Trusts have their own tax brackets, and the threshold for the highest bracket is lower than for individuals. This means trusts might pay higher taxes on the income their assets generate.
When The Sound of Music hit the big screen in March 1965, audiences fell in love with the von Trapp family.
The hills and the movie theaters alike became alive with the sound of music, dance, and romance thanks to Maria and her crew.
As the third highest-grossing film of all time, The Sound of Music stole our hearts, as did the film’s stars Julie Andrews and Christopher Plummer as Maria and Georg.
And these are just a few of our favorite things!
That’s why today, we’re taking a look at another big part of the musical family’s legacy: the Trapp Family Lodge in the United States. Continue reading about the family’s majestic alpine lodge that sits on 2,500 acres in the Green Mountain State.
How the von Trapps landed in the United States
The family’s homestead has more than just raindrops on roses and whiskers on kittens.
As the story goes, the von Trapp family escaped their native Austria as the Nazis took over their beloved homeland.
The family’s daring escape led them to none other than Vermont in the United States.
Before officially moving to the New England region of the US, they toured the country in the early 1940s as the Trapp Family Singers.
They soon settled in Stowe, Vermont, on a farm with sweeping mountain vistas reminiscent of their beautiful native land. The house they lived in at the time was called “Cor Unum”, which means “one heart”.
How Trapp Family Lodge came to be
In the summer of 1950, the von Trapps opened their rapidly expanding, 27-room family home/lodge to guests.
After a devastating fire in 1980, the home was replaced by the Trapp Family Lodge, a 96-room alpine lodge situated on 2,500 acres.
Offering guests a variety of indoor and outdoor resort amenities, the entire property is owned and operated by the von Trapp family.
How to get the von Trapp experience
Located at 700 Trapp Hill Road in Stowe, VT guests are greeted with wide, open arms at the stunning Vermont resort.
After the fire in 1980, the lodge was expanded, rebuilt and reopened to the public in 1983. And in 2000, the west wing was added.
Open all year long, the resort offers a year-round indoor heated pool and hot tub, along with an outdoor pool during the summer months.
Guests are treated to world-class dining with three different restaurants serving farm-to-table cuisine.
There are plenty of trails to explore, tours of the sugar house (via snowshoes during the winter), and brewery tours of the onsite brewery, to name a few of the fun activities.
And did we mention the ski hill?
Of course, there’s much to check out, including family photos, movie posters, playbills and more von Trapp family memorabilia on display at the Trapp Family Lodge.
Bring your family to the family lodge
Grab the kids and pack your bright copper kettles and warm woolen mittens!
The Trapp Family Lodge is a great place to explore the great outdoors with your family, while getting a huge dose of movie memorabilia.
Maria and Captain von Trapp are survived by their children Johannes and Rosmarie, many grandchildren, as well as many great-grandchildren.
You might run into one (or many of them) while visiting the lodge as they are the owners and operators of the exclusive Vermont resort.
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Citizen Kane’s imposing Xanadu was based on this real-life castle
Menabilly, the Real-Life Inspiration for the Manderley House in ‘Rebecca’
Because life insurance is a vital purchase for the protection of your family, it’s important that you make the best decision for your policy. There are hundreds of different companies and policy types to choose from, how are you supposed to know which ones fit your needs? We are here to help. One of the popular options for life insurance is AARP, but how does the company stack up against its competition?
The AARP life insurance plan might seem like the best choice.
Sadly, the senior citizen group misses the mark when it comes to cheap life insurance.
You have to be a member of AARP to purchase one of their policies, and group members will ALWAYS get better prices on products, right? Not so fast.
History of AARP
If you want to look at the beginning of AARP, you have to go all the way back to 1958. It all started with Dr. Ethel Percy Andrus, who was a form principal.
AARP actually started as the National Retired Teachers Association, which Dr. Andrus had established in 1947 to help retired teachers get adequate health insurance.
The NRTA received tons and tons of requests for assistance with health insurance, even though those people weren’t retired teachers. This showed Dr. Andrus and others the need for insurance help for seniors.
They have changed a lot, but they say they have stuck to their three main principles:
Promote independence, dignity and purpose for older persons
Enhance the quality of life for older persons
Encourage older people, “to serve, not to be served
Now, this is how AARP got started, but what about today? If you haven’t heard of the company, then you haven’t watched TV or checked your mail in the past 50 years.
Just because they are well-known, doesn’t make them an automatic slamdunk.
Developed by New York Life Insurance Company one of the leading life insurance companies in the United States, the AARP plans try and offer several benefits to protect policyholders and families. But the price isn’t worth the protection
As far as the quality of New York Life Insurance Company, they are a great carrier, but their prices are far from great. I remember helping one customer save 50% on their monthly premiums.
You have to do some groundwork to select the right one that meets your needs as well as compliments any other policies, trusts or other benefits you are leaving behind to your loved ones. Make sure before you make your final life insurance purchase decision that you obtain quotes from numerous companies, such as Banner Life Insurance company or American General Life Insurance company to make sure that you are getting the best policy for your needs.
Guidelines and policies are different among each carrier in the marketplace. And with hundreds of different companies your rates could be all over the board and your time would be spent pouring over the many options. We have all the data you need for low cost term life insurance policies directly to you. Don’t waste your time talking on the phone with agents and answering the same questions repeatedly.
AARP Life Insurance Company Financial Strength
Due to its extremely large amount of reserves, New York Life Insurance Company is considered to be strong and financially stable. It also has a great reputation for paying out its policy holder’s claims. For these reasons, the company has been given positive ratings from the insurer rating companies. These ratings include the following:
New York Life Insurance Company is not an accredited member of the BBB (Better Business Bureau. However, the BBB has given the insurer a grade of B+. This is on an overall grade scale of A+ to F. Throughout the past three years; there have been 93 total complaints that were closed with the Better Business Bureau. Of those, 33 were closed within the past year.
Here’s a quick rundown on the type of policies that AARP offers:
AARP Level Benefit Term
This plan lasts for a specific length and offers as much as $50,000 in protection in case you are lost. This policy lasts until you are 80 years old and the premiums begin cheap, but they slowly increase over time. There is no physical exam and you only have to answer three simple questions.
One of the biggest advantages to this plan is that it doesn’t require you to go through the medical exam to get life insurance coverage. A lot of seniors seeking life insurance have poor health or have several pre-existing health conditions, such as diabetes, that can prevent them from getting coverage if they have to go through the medical underwriting.
There are several pitfalls to these types of plans as well. The first is that any policy that doesn’t require a medical exam to be approved is going to be more expensive than one that does. We suggest avoiding no exam policies unless you know that you won’t be accepted for traditional coverage with an exam.
Extra Protection Term
Extra Protection Term is similar to the LEvel Term Policy, it gives more protection. You can buy up to $100,000 (double the previous policy).
This is an excellent option because most applicants need more life insurance coverage than the basic plan offers. It’s important that you get enough coverage to provide for your loved ones if anything tragic were to happen to you.
Permanent AARP Insurance
Their whole life allows you to get protection from $10,000 – $100,000 and is guaranteed for any applicant who is between 50 and 75.
An added bonus is you can add your spouse if they are between 45 and 74.
This is a great option for anyone that wants permanent life insurance protection. If you don’t want to every have to worry about losing coverage, or having to buy another policy, the permanent AARP plan is perfect for you. Although, these policies will cost more than a simple term life insurance policy.
Guaranteed
As with the permanent life insurance, this offer coverage that will last a lifetime with up to $15,000 in coverage. Also, there is no exam and no premium increase. There is a mortality risk charge.
Once you’ve picked your plan, you can apply for the policy through the website or by mail.
One of the unique features of being an AARP member is the Young Start Program. This lets you get insurance coverage for your children or grandchildren as well.
Other Coverage Products Offered Through AARP Life Insurance Company
In addition to the term and permanent life insurance coverage that is offered via New York Life Insurance Company for AARP members, there are also over insurance products that AARP members can take advantage of – typically at a nice discount in premium.
One of the other key products that AARP members can obtain via New York Life is annuities. These financial vehicles can offer a lifetime stream of retirement income – which can help to relieve the fear of outliving one’s savings. Today, as people are living longer than ever before, outliving retirement income is a concern. But, with a retirement annuity through AARP’s plan, that is no longer a worry.
Fixed immediate annuities that offer lifetime income with a cash refund are available to AARP members who are between the ages of 50 and 89. Lifetime income annuities with a ten-year guarantee are available to those AARP members who are between the ages of 50 and 85. Both of these annuity options allow the receipt of guaranteed monthly income payments for life. These annuities may be purchased using funds from savings and CDs, or even with money from an IRA or a 401(k).
The (Few) Advantages of AARP
So far, everything seems pretty negative about AARP, and for the most part, it is. But there are a few good things about buying life insurance through the membership group.
One of those is how quick the application can be. They have a simplified application process.
Also, with tier plans, you aren’t going to pay drastically higher rates if you smoke. This is rare, but AARP doesn’t drastically jack up your premiums if you smoke.
One other unique benefit of AARP is they won’t check criminal records. Just about every other carrier is going to look for any severe criminal activity, with AARP they won’t look into your past.
Sure, all of these things are great, but are they worth it?
You can get a fast policy which won’t cost you for being a smoker, but it’s still going to be noticeably more expensive.
Even with the member “discount,” they still aren’t the cheapest choice.
We have many carriers that cater to people over 60 years-old seeking affordable life insurance coverage. With over 60+ of the best life insurance companies at our disposal, a good majority of them will come in better priced than what you can get with AARP. In fact, we’ve replaced several policies from AARP clients that were floored on how much less they could obtain a policy.
Talk with one of our professionals today to see if you can put more money back into your pocket.
Just like when you’re buying anything else, you probably shouldn’t go with the first option you price out. Going with the first insurance policy you find will cost you every month.
If you currently have an AARP policy, don’t worry, you aren’t locked into the policy. We can easily help you find a cheaper policy.
The more experience that a company has with insuring people over the age of 50, the better rates that you’re going to get. You shouldn’t have to pay ridiculous premiums every month to get life insurance coverage. Let us help you find the perfect policy to fit your needs.
If you have any questions about getting life insurance or about AARP life insurance policies, please contact us today. We would be happy to answer those questions and connect you with the perfect plan.
As a retired applicant, you might be wondering about your life insurance needs or how much you’ll spend on your coverage.
Don’t let any confusion or price keep you from getting life insurance. We would love to connect you with a cheap policy to protect your family. Not only can we answer your questions about AARP and any insurance coverage needs.
Award-winning chef Melissa Ann Barton is parting ways with her Nashville area abode, and we’re here to give you a quick tour of the meticulously renovated home — which naturally comes with a dream kitchen.
Barton, who’s gained quite a reputation working as a private chef for famous artists like Keith Urban, Kenny Chesney, Derks Bentley, and Martina McBride, bought the house in 2019 (per public records), and then embarked on a massive renovation that transformed the 4,507-square-foot property into a light-filled, contemporary beauty.
“I’ve been fortunate to show many wonderful houses in Middle Tennessee, but every once in a while, I’m introduced to a house that stands out from the rest”, listing agent Chris Grimes tells us.
“That house just feels better built than most – and much more attention was given to the design and function than usual.That is what Melissa Ann and Alan Barton accomplished with their retreat masterpiece in West Nashville. They say luxury is found in the details, and if that is the case, this home is a showcase of luxury.” Chris added.
Recently brought to market for $2,650,000, the chef’s home sits within 18+ wooded acres on Cub Creek Road, adjacent to River Road — which is one of Nashville’s best kept secrets. Artists seeking privacy such as Keith Urban and Kenny Chesney have sought homes on and just off of River Road.
Beyond its great location, which places it just over 10 minutes away from stores and restaurants in Nashville West, the house has plenty to offer.
Spanning 4,507 square feet of elegantly appointed living space, the Nashville area home comes with 4 bedrooms and 5 bathrooms, and large windows that invite the verdant outdoors in.
While the whole house is a treat for the eyes, it’s the kitchen that steals the show with its impeccable design and stellar finishes. And its real-life chef owner was the one who envisioned the space and brought it to life.
“Having deep Appalachian roots, food is my love language. Creating a space that is functional and inviting was a must,” Melissa Ann Barton says in an exclusive quote for Fancy Pants Homes. “Invoking the same sense I apply to my food and events was my guide…timeless with a twist of hip!“
Melissa Ann Barton has been a private chef for famous artists like Keith Urban, Kenny Chesney, Derks Bentley, Martina McBride, and more for years! But, when she designed her chef’s kitchen, she had only one client in mind: her grandchildren.
Related: Food Network’s Valerie Bertinelli bids adieu to her lovely L.A. home
“Being blessed by cooking for clients in some of Nashville’s coolest homes, I drew upon those experiences to design my own. Supporting artisans is important so we incorporated as many handmade items as possible.”
“People love to visit, nibble, and listen to music and watch the food preparation,” Barton tells us, explaining her design choices when creating her dream kitchen, which includes “lots of seating and counter space, dishwashers in 2 locations, 2 sinks and great equipment.”
“Sexy lighting, lots of windows and open shelving with eclectic items provide personality and warmth. If you can make folks feel welcome and comfortable in your kitchen, provide great food and an interesting playlist, strangers become friends!”
Melissa made sure every element was on point. Every light fixture was either handmade, imported, or purchased from a specialty vendor and all the tiles were either handmade or hand painted.
Heading outside, there’s even more space to entertain friends and guests thanks to an impressive tiered deck system that’s both functional and visually appealing.
Mimicking the attention to detail showcased throughout the house, the expansive decks were constructed with all under-mounted hardware and screws to prevent anyone from ever stubbing their toes on such things.
It’s also worth noting that part of the 18.6 acres the property sits on falls under a “revocable greenbelt”, allowing the homeowners to pay significantly reduced property taxes — less than $4,000/year.
Chris Grimes of local Nashville brokerage Corcoran Reverie holds the listing.
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One of the biggest wealth transfers in history is about to unfold.
That is, it’s estimated that more than $68 trillion in wealth – involving 45 million households across the U.S. – will be transferred through inheritance in the next 25 years.
Will you be one of them?
If you’re a Millennial or a Gen Zer, chances are you may be in the group of Americans most likely to benefit from this massive transfer.
If so, you’ll need to know how to plan for an anticipated inheritance, even if you’re not sure of the details.
What’s Ahead:
1. Have a rough idea of the amount that you are set to inherit
Though this seems like a simple step, it often isn’t.
Not all parents or grandparents are open about their personal net worth (it’s a generational thing). And asking how much you can expect to inherit – or, if you’ll be inheriting anything at all – can seem presumptuous at best, and greedy at worst.
Some parents and grandparents will be open to this question. Some may even provide the information without you asking. But if that’s not your situation, you’ll need to proceed carefully and delicately.
How do I find out how much I will inherit?
You probably already have an idea of your parents’ approximate net worth, but if you don’t, don’t beat yourself up. After all, it isn’t always that obvious on the surface.
The best way to find out?
Just ask.
If your parents aren’t forthcoming about their finances, you’ll need to step back. That doesn’t mean giving up, however. You can let some time pass, then approach the subject later. Just be sure to frame it in such a way that you’re interested in protecting all they’ve worked so hard to accumulate.
2. Learn what makes up the inheritance
Some estates are very simple, while others can be incredibly complicated. The best scenario is a parent who rents his or her home (no house to sell) and has nearly all wealth sitting in financial assets, like bank and brokerage accounts.
Things get way more complicated when a large share of the estate is held in real estate, and especially investment real estate. More complicated still is business equity.
Collectibles, like jewelry and artwork, can also be problematic. You’ll first need to get a ballpark estimate of the value. But before they can be sold, they may need to be formally appraised.
Just as important, your parents may prefer to pass real estate, business interests, or collectibles to specific individuals. That may or may not include you, which is something you need to know before you plan to inherit them.
3. Know if there are other beneficiaries
This is as delicate an issue as requesting the value of your parents’ estate. If you are the sole beneficiary, it’s a non-problem. But if there are siblings, or others your parents may want to distribute assets to, the waters can get a bit muddy.
In a perfect world, your parents will set up an equal distribution for you and your siblings. But real life isn’t always so simple.
For reasons known or unknown to you, your parents may choose unequal distributions. This can be due to family politics, like one sibling being favored over the others, or one sibling being closer to your parents than others. In some situations, parents may choose to give a larger share to a child who provides for their direct care in their later years.
There may still be other situations where your parents want to make special provisions for one of your siblings or even a grandchild.
Yes, it can get worse!
But those aren’t even the most complicated beneficiary situations.
Given that divorce is common, and often involves a second set of children, there may be issues and limitations.
In some extreme situations, parents may disown one or more children, and exclude them from the inheritance. If that might be you, you’ll need to know.
Finally, complicated family situations can result in probate. That’s where the estate has to go before a judge prior to distribution. This can happen because of the nature of the family situation, or because one or more potential beneficiaries (or even an excluded party) challenge the distribution of the estate proceeds.
If that situation seems likely, it’s one that should be discussed with your parents. They may need to set up a trust to ensure each beneficiary gets the intended distribution so the estate can avoid probate.
4. Understand the intended distribution process
This primarily has to do with the timing of inheritance distributions. While the conventional distribution method is to distribute all beneficiary shares on a common date when the estate is settled, that’s not always the case.
Parents sometimes arrange to have estate assets distributed gradually.
For example: if one or more beneficiaries is considered to be irresponsible with money, the parents may set up a staggered distribution over a period of several years.
A staggered distribution is often accomplished through a trust. If your parents have set up a trust, either for part or all of the estate, you’ll need to know of its existence, as well as the intended distribution.
Some trusts are even more specific
For example, they may include provisions that will distribute funds based on certain milestones. Common examples include holding distributions until the beneficiary turns 30 (or some other age), or gets married (or divorced, if the marriage is shaky).
Trusts can be amazingly specific, which is why people set them up. That’s also why you’ll need to know any distribution method that will be used.
Some estates may also have provisions to make staggered distributions based on asset types.
For example: cash-type assets may be distributed early in the estate process. But real estate and business interests may not be distributed until they have been liquidated.
5. Estimate your personal finances at the anticipated time the inheritance happen
A big part of how you handle an inheritance will be determined by your own financial situation.
If you already have a sizable personal estate, you may be able to simply fold the inheritance into your existing plan. But if your finances are limited, you may need to be more intentional and figure out what you’re going to do with the inheritance when it arrives (ya know, so you don’t blow it all on a bright red Mustang).
The point is, only when you have a clear picture of your own finances can you make the best use of an inheritance. And to get the greatest benefit, it can help to improve your finances before you receive the money. The better positioned you will be when the inheritance comes in, the more flexibility you’ll have in choosing where to allocate the money.
If you’ve not been investing up to this point, you may want to begin before the inheritance comes in. It’s best to get investment experience with a small amount of money, so you don’t risk losing your windfall through poor investment choices.
Read more: Best Investment Accounts For Young Investors
6. Design a plan (aka what to do with the inheritance)
If you already have your own personal financial plan, planning for an inheritance will be much easier. But even if you do, you should have at least a loose plan for what to do with the new money. The worst choice is holding off until the inheritance is received. Without a solid plan, you may quickly draw down the new money, financing a series of wants.
Having a plan for the inheritance will ensure the money will provide for a better future. To learn how to set up a financial plan, check out our article: What Is A Financial Plan And Why Do You Need One?
Decide what your priorities are
The main purpose of a plan is to set up a series of priorities.
For example: if your retirement planning isn’t where you want to be, you can make it a priority to fix that with the inheritance. You can either use the new money to enable you to make larger retirement plan contributions or plan to set up an annuity specifically for retirement.
Take advantage of annuities
One of the advantages ofannuitiesis that they can be used to shore up an adequate retirement plan.
Read more: What Is An Annuity And Should You Consider One?
The investment earnings on annuities accumulate on a tax-deferred basis, like retirement plans. But the major advantage is that there are no limits to your contributions. You can make a single, large lump sum contribution to an annuity and let it grow tax-free until retirement. You can set a date that distributions will begin, which can even cover the rest of your life.
In addition, Dr. Guy Baker, CFP and founder of Wealth Teams Alliance, also points out:
“Annuities are a fixed-income alternative. The opportunity to get a market return with no downside risk can be dramatically better than the income from an investment-grade bond of comparable risk. The amount to put into an annuity should coordinate with the age of the beneficiary and the investment objectives. In general, an indexed annuity can provide significant benefits for no additional risk.”
However, since annuities are complicated instruments themselves, you’ll need time to do research and evaluate the best one to take. That’s best done in advance of receiving an inheritance.
Consider starting your own business
In a different direction, maybe you’ve been dreaming of starting your own business. If you lack the capital to do that up to this point, the inheritance can make it happen.
In the meantime, you can make preliminary plans for the business, andeven get it up and running as a side hustle. When the inheritance arrives, you’ll have an established business to grow, rather than starting a new one from the ground up.
Starting a business is always risky, though, so make sure you carefully consider such a big move if/when you do receive an inheritance.
Read more: How To Start Your Own Business – A Complete Step-By-Step Guide
7. Find out if there will be tax consequences
You’ve undoubtedly heard the saying,
“the only things certain in life are death and taxes.”
Well, guess what? Sometimes the two happen at the same time.
Officially, they’re called inheritance taxes. Because estates can contain a lot of money, governments view them as rich revenue sources. Just like they tax your income, your home, your utility bills, and even your purchases, there are taxes designed to snatch a part of an inheritance before you receive it.
There’s good news and bad news here.
Let’s start with the good news…
There is a federal inheritance tax, but the good news is that it only applies to very large estates.
Under current IRS regulations, estates that transfer from one spouse to another are generally tax exempt. But even when they pass to other beneficiaries, like children and grandchildren, there’s a federal estate tax exemption of $11.7 million, for 2021.
That means if the total value of the estate (before distribution) doesn’t exceed $11.7 million, there’ll be no federal tax on the inheritance.
Now for the bad news…
18 states impose some type of state-level inheritance tax. And while some of those states match the federal estate exemption, there are no fewer than 13 with lower exemptions.
On the low-end, Massachusetts and Oregon can tax estates as low as $1 million. Rhode Island sets the threshold at $1,595,156.
Not many Americans have a net worth of over $11.7 million. But there are many millions with estates of $1 million or more. Even if you’re not affected by the federal estate tax, you may be subject to it at the state level.
If any of the estate tax thresholds may apply in your situation, whether at the state or federal level, you’ll need to be prepared for this outcome.
So make sure you estimate for a lower inheritance
The best strategy is to estimate a lower inheritance, based on applicable estate tax rates. Fortunately, the estate will pay the inheritance tax before the money is distributed. But you still need to be prepared for a lower distribution amount.
If your parents are open about your inheritance, you may even be able to discuss the tax consequences with them. That way they’ll be in a position to take action to minimize them before the fact.
8. Decide if you’ll need a financial planner
If you believe your net worth is too small to justify a financial planner right now, you may change your mind when you receive a large inheritance. But you don’t have to wait until the inheritance arrives to at least consult a financial planner.
If you know the approximate size of your inheritance, paying for a meeting with a financial planner may be money well spent. The financial planner can help you to make decisions to both set up your current finances in anticipation of the inheritance, as well as to make intelligent decisions when it actually comes.
The financial planner may also provide ideas you may want to convey to your parents. They’re often unaware of strategies that will minimize inheritance taxes, or create a strategic plan for a more successful distribution of the estate.
In addition, if there may be questions surrounding the estate, perhaps involving the children of a previous or subsequent marriage, the financial planner may recommend consulting with an estate attorney.
The more you can do in advance, the less likely it is you’ll be blindsided when the inheritance arrives and the stakes are higher.
Read more: Are Certified Financial Planners Worth The Money?
9. Decide if you’ll need a trust
If you don’t have one now, receiving a large inheritance might make a trust advisable. It may even be completely necessary if the inheritance is particularly large, or if you yourself have children from a previous marriage.
A trust is a way to protect your assets, and to ensure the money is distributed as you wish upon your death.
Shawn Plummer, CEO of The Annuity Expert, explains further:
“You may need a trust if you want to specify how your assets will be distributed without a probate court getting involved. While a will can achieve a similar purpose, wills have to be authenticated by a probate court and can require more time and money.”
Just as important, a trust has the potential to protect your assets from seizure by creditors, or from litigation. With the larger personal estate the inheritance will create, you may need just that kind of protection.
And don’t worry, you won’t need to pay an arm and a leg to get these documents drawn up. Trust & Will offers estate planning help with plans starting at just $39. This can help you avoid racking up a high bill with an estate planner.
Summary
You’ve probably known of situations where someone came into a large windfall, only to be broke a few short years later. Unfortunately, it’s not an uncommon outcome.
The sudden arrival of a large amount of money can cause an unprepared recipient to blow what could be a life-changing opportunity. It could have the potential to dramatically improve your finances and your life.
You’ll need a plan to make that happen, and it’s never too early to start drawing one up.
Nelson Rising, who oversaw some of the biggest real estate projects in California and ran Los Angeles Mayor Tom Bradley’s political campaigns, has died at 81.
Rising’s family said he died Thursday at his Pasadena home of complications from Alzheimer’s disease.
Rising led the development of such large-scale properties as U.S. Bank Tower, an office skyscraper in downtown Los Angeles that was for many years the tallest building in the West, and Playa Vista, a mixed-use neighborhood created on land near the Los Angeles coast that had been home to business mogul Howard Hughes’ aviation empire.
In San Francisco, he oversaw one of largest mixed-use developments in the city’s history with the revitalization Mission Bay, an abandoned rail yard and brownfield site near downtown.
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“From Mission Bay to projects that helped revitalize downtown Los Angeles, Nelson Rising spearheaded iconic developments that transformed neighborhoods across California,” Gov. Gavin Newsom said. “Nelson cared deeply about California and Californians, and his dynamic leadership and problem-solving brought together stakeholders from across the board to accomplish monumental feats.”
A protege of diplomat and former Secretary of State Warren Christopher, Rising forged consensus for mammoth urban projects that required backing from multiple government agencies and citizen stakeholders.
“He made stuff happen that was extremely complicated,” said John Cushman, chairman of global transactions at real estate services firm Cushman & Wakefield.
In addition to navigating complex government approval processes, Rising was able to defuse passions that inevitably rose around large real estate projects that altered city streets and skylines, Cushman said.
“People get very fired up. Nelson could bring calm,” Cushman said. “He could take confusion and chaos and translate it into common sense and bring people back to the table who were yelling. He was a genius in terms of dealing with people”
Rising was shepherded into behind-the-scenes roles in Democratic politics by Christopher and served as Bradley’s campaign chairman in each of his mayoral victories beginning in 1973, as well as in his gubernatorial defeat in 1982.
Rising worked for Bradley after successfully managing the upstart 1970 campaign of John Tunney, a 36-year-old lawyer who defeated a Republican incumbent in the U.S. Senate. After Tunney’s victory, The Times described campaign manager Rising as an “enthusiastic amateur” who was “pleasant but tough.”
The experience led Rising to becoming a producer on “The Candidate,” a satiric 1972 film with parallels to the Tunney campaign. Robert Redford played an idealistic young lawyer running for the U.S. Senate who grows dependent on the advice of his campaign manager and media consultants.
Recognized as an authority in corporate and public finance, Rising served on the board of directors of the Federal Reserve Bank of San Francisco in the late 1990s and early 2000s, including a three-year stint as chairman. Other public service included three years in the United States Marine Corps Reserve during college.
Rising was born on Aug. 27, 1941, in the Queens borough of New York, the second of two children. A few years later the family headed west to Glendale. Rising’s father, Henry, worked as chief engineer at the Statler Hotel in downtown Los Angeles. His mother, Mary, was a seamstress.
Rising attended UCLA on a football scholarship and went on to graduate from its law school in 1967. He found work at Los Angeles law firm O’Melveny & Myers, where he was mentored by Christopher, a partner at the firm. The attorney and statesman was a high-profile leader in Democratic politics and served as secretary of State under President Clinton.
“Christopher was a mentor to me all … through my life,” Rising said in a podcast. Rising named his first son Christopher in honor of their friendship.
Former Los Angeles Dodgers owner Peter O’Malley had a decades-long friendship with Rising and tapped him to be “my No. 1 consultant” in O’Malley’s drive to build an NFL stadium next to the Dodgers’ ballpark in the 1990s, he said. At the time, Los Angeles did not have a pro football team.
Rising, then chief executive of Catellus Development Corp., was an “extraordinary communicator” who built support for the project, O’Malley said. The plan had the backing of many city officials and the NFL, but O’Malley withdrew his proposal at the request of then-Mayor Richard Riordan, who supported a plan to get pro football back in the Los Angeles Memorial Coliseum.
“You can’t fight City Hall,” O’Malley said, but Rising proved his mettle to the team owner in the failed campaign. “He was at my side with brilliance and ideas. He was a very thorough guy — he even brought in an acoustician who could advise us on sound levels.”
O’Malley said he enjoyed brainstorming with Rising. “He was a very forward-thinking realist. I don’t think I have met anyone in L.A. similar.”
Rising was an executive for commercial developer and landlord Maguire Thomas Partners in the 1980s and ’90s and oversaw some of its biggest projects, including Playa Vista, the sprawling and controversial development that sprang from property near Marina del Rey where Hughes built his enormous wooden airplane popularly known as the “Spruce Goose” during the 1940s.
Hughes’ company tried to develop the property after his death, but ran into tenacious opposition over its proposed density and threat to local wetlands. Maguire Thomas took over the stalled project in the 1980s and put Rising in charge of reviving it in a new form. Rising labored for four years to reach compromises with environmental activists and other opponents. He secured city approval for the project in 1993.
Maguire Thomas lost control of Playa Vista in 1997 after defaulting on payments to its lenders, but the project moved forward largely on the vision Rising advanced and is now home to thousands of residents. Its office space is in the heart of the Westside’s “Silicon Beach” favored by technology companies.
Rising was Maguire Thomas’ partner-in-charge for the Library Square development in downtown Los Angeles, which included the 72-story U.S. Bank Tower and the 52-story Gas Co. Tower. The intricate project created by the developer, the city and the Community Redevelopment Agency provided about $125 million toward financing the renovation and expansion of the fire-damaged Central Library and other city benefits.
“Nelson Rising has left a lasting mark on our city’s skyline,” Mayor Karen Bass said. “Nelson’s work is very much a part of L.A.”
Rising was recruited in 1994 to take over Catellus Development, the languishing real estate spin-off of Southern Pacific Railroad that hoped to reinvent itself as a builder. Over the next 11 years he supervised the growing company and its most ambitious project, Mission Bay.
Catellus, which also owned Union Station in Los Angeles, was sold in 2005 and Rising went on to start a private real estate company with his son Christopher.
Rising’s civic roles included serving as chairman of the Grand Avenue Committee, and as real estate advisor to and negotiator for the Joint Powers Authority, which consisted of the city of Los Angeles, the Los Angeles Community Redevelopment Agency and Los Angeles County. The Joint Powers Authority oversaw the Grand Avenue Project, which includes the Broad museum, expansive Grand Park and the $1-billion Grand LA hotel, apartment and retail complex designed by Frank Gehry.
“To have somebody of his experience and his capacity to understand all sides of an issue to talk with was not only unusual but critical,” said Bill Witte, chief executive of Related California, the primary developer of the Grand Avenue project. “The consistent theme was his ability to deal with both the public and private sectors, to understand all sides of an issue but to be focused on getting things done. I think no one was ultimately better at getting all of those things done than Nelson.”
Rising is survived by his wife of 59 years, Sharon; sons Christopher and Matthew; three grandchildren; and a sister, Charlotte Conway. His daughter, Corinne, died in 2018.