Richard Belott is a Chatham, New Jersey, executive who delivers tax preparation and accounting services to business clients. Professionally, Richard Belott focuses on retirement and elder care planning that preserves sufficient assets when clients must transfer to nursing homes or assisted living facilities.
Paying for elder care often involves using privately purchased long-term care insurance. Insurance premiums average more than $5,000 annually for a 55-year-old couple; it covers a sizable portion of nursing home care, home health care, adult daycare, or personal care. Purchasing long-term care insurance is most effective before age 60, allowing funds to accumulate and grow.
Another strategy centers on asset protection trusts, such as irrevocable trusts, that involve the transfer of assets from a trustee’s control to a beneficiary. Typically managed by a trusted family member or outside financial firm, trusts channel funds toward nursing home care if the person becomes incapacitated. The strategy does not impact Medicaid income eligibility for nursing home care. However, the actual care costs are often higher than the regional rate at which Medicaid is assessed. Once established, it’s not possible to alter the trust without the permission of the beneficiaries.
An alumnus of Fairleigh Dickinson University with a BS in accounting, Richard Belott is an accountant and financial advisor who owns and manages Belott & Company CPAs, LLC. Richard Belott provides his clients with a wide range of services, such as tax, retirement, and elder care planning.
Elder care planning ensures financial, medical, and other details related to elderly person’s well-being are in order before that person becomes mentally incapacitated. Mental incapacity is a state in which an individual’s cognitive faculties are compromised to the extent that they cannot comprehend the consequences of their actions or make informed decisions. This condition is legally defined as a point where a person becomes physically incapable of expressing their wishes, such as when they are unconscious or in a coma, or mentally unable to grasp the nature of their actions.
Various factors, including age-related cognitive decline and other medical conditions, can cause mental incapacity. It is a significant legal and ethical concern, as it necessitates a clear determination and plan to ensure the individual’s well-being.
Both medical and legal assessments may be necessary to determine that someone is mentally incapacitated. Typically, a qualified medical professional, such as a physician or psychiatrist, assesses the individual’s mental state by evaluating their cognitive functions, memory, decision-making abilities, and understanding of their actions. Concurrently, if the need for legal intervention arises, the court may step in. The court may use the medical assessment and other evidence to ascertain whether the individual is indeed mentally incapacitated and unable to manage their affairs. This dual evaluation ensures a thorough and objective determination of mental capacity.
Richard Belott owns Belott & Company CPAs, LLC, in Chatham, New Jersey. He has been a CPA/PFS since 1992. Outside of work, Richard Belott maintains a healthy lifestyle through regular exercise.
These straightforward approaches can make regular exercise in your daily routine easier. For a start, remember that you don’t have to squeeze your entire workout into one session. Breaking it down into ten-minute increments in the morning, at noon, and in the evening can provide similar benefits to a continuous 30-minute workout. This flexible approach allows you to fit exercise into your busy schedule without feeling overwhelmed.
When you engage in physical activity, a brisk walk can more effectively manage weight than a stroll. The goal is to exercise your body in an agile manner so you can exercise your muscles adequately as soon as possible.
Consider joining a fitness class as a fun and structured way to stay active. Many local gyms, community centers, and nearby studios offer various classes, from dance to yoga. These classes introduce you to new activities and provide a supportive and motivating environment to help you stay on track with your fitness goals.
Charitable giving comprises a key aspect of wealth management for many individuals. With more than a million charitable organizations to choose from, donors should conduct careful research and take an active, focused approach to ensure their money has the greatest impact.
The first step in creating a charitable giving plan involves a clear articulation of giving objectives. Donors should begin by brainstorming their inspiration for charitable giving. Does a particular current event or situation inspire their giving? Did their parents instill in them a commitment to philanthropy? Beginning with “why” can make charitable giving a more meaningful experience for the donor.
Next, the donor might create a purpose statement that distills their motivation for giving into one or two sentences. By clarifying their values and principles, donors can create a guiding light that can keep them focused on their giving. Over their professional life, they might reevaluate this giving statement periodically. For example, donating to public radio might be important to someone in their 20s, while childhood literacy could emerge as a priority once they become parents themselves.
After determining which causes they wish to support, donors should perform due diligence to ensure the work of these charities is reputable and impactful. Resources such as Charity Navigator and GuideStar evaluate nonprofits based on accountability, impact, transparency, and other criteria, providing vital information about where donations can have the greatest effect.
Donors can support just one organization, or opt to give to a community foundation that supports multiple community needs. Then, they should create a giving strategy that considers exactly how much and how often they can give. Even people without the resources to donate financially can create an impact with their time, choosing to volunteer or organize a fundraising event. Just an hour or two of specialized work can sometimes help charitable organizations even more than money.
Donors who make cash donations should do so carefully, choosing the option that gives the best tax advantage to donor and recipient. Donor advised funds (DAFs), for example, can disburse funds over the course of several years, while the donor can receive a tax deduction for the entire amount at the time of the donation. Alternately, qualified charitable distributions (QCDs) allow donors to give up to $100,000 tax-exempt from their IRA.
Charitable giving can continue as part of a person’s estate plan. An individual may donate a piece of property or real estate, creating a charitable legacy that endures for generations. Alternately, they might create a family endowment or private foundation. Donors can place assets into a charitable trust, which involves placing assets and property into one legal entity.
Not only does a charitable trust ensure the ongoing support of favored organizations, but it holds significant tax advantages for donors. Donations are not subject to capital gains tax on appreciation. This means that if a donor places a real estate asset into a charitable trust and the organization sells it for cash or to make investments, the full amount of the sale goes into the trust.
Additionally, charitable trusts reduce estate tax. When assets or property become part of a trust, they are no longer a part of one’s estate and therefore not subject to estate taxes.
Estate planning involves the management of a person’s assets in the event of their incapacitation or demise. Such planning is beneficial for everyone, regardless of their income level or assets. A well-thought-out plan makes the administration of the estate smooth and tax efficient and ensures that assets are distributed as desired.
Despite the advantages of estate planning, many people have not yet embraced it. This often leads to estates being managed according to state laws, which can make the process lengthy and sometimes heavily taxed. A lack of planning can also result in high legal fees in cases of a dispute, as well as the possibility of unintended people benefiting from the estate.
To avoid such unpleasant outcomes, planning one’s estate with the assistance of an estate attorney is advisable. They will advise on various strategies, the first of which is writing a will. A will is a recognized legal document that stipulates a person’s wishes related to how the assets they own are distributed after their death. It also includes how the welfare of any minors will be handled and whether a trust will be established in the person’s lifetime or after. The legality of a will is determined through a probate court process.
Another estate planning strategy is establishing a trust. A trust is an arrangement that gives authority to third-party agents or trustees to hold assets on behalf of beneficiaries. Unlike a will, a trust becomes effective after it is signed and provides for the management and distribution of assets while a person is still alive and after their demise.
Annual gifting is another tax-efficient element of estate planning that involves providing gifts to beneficiaries. This has the twin benefit of passing wealth to one’s next of kin while lowering a person’s tax obligation and the size of their estate. The IRS has an annual gift exclusion that allows a certain amount of property to be given away without any gift tax or related reporting.
Insurance is another way to protect a person’s wealth in case of unexpected misfortune. An insurance policy not only benefits the policy holder, but also their family members.
There are other valuable strategies available, such as intra-family loans, transitioning to retirement, and family limited partnerships. Regardless of the strategy chosen, estate planning comes with several benefits. One of these benefits is family wealth continuity, which can ensure the wealth of a family is successfully maintained by family members over multiple generations. The knowledge that dependents are taken care of offers significant peace of mind.
Timely estate planning also helps to minimize taxes. Federal taxes imposed on assets after death can be as high as 40 percent, while different states have additional taxes that further increase the tax bill. Advanced planning can minimize or eliminate these taxes.
Estate planning also often provides for the management of assets in case one becomes incapacitated. Instructions that a person has given beforehand will be followed, such as appointing a trustee to oversee assets and ensure continued income generation.
Estate planning is a process whereby a person decides who will handle their affairs in the event of death or incapacitation. This is usually done with an attorney who drafts several legal and financial documents to ensure their wishes are carried out in case they cannot carry them out personally. In addition, estate planning allows people to transfer various assets, such as their homes, automobiles, investments, and life insurance.
Estate planning involves numerous tasks, such as writing a will, minimizing estate taxes, making funeral arrangements, appointing an executor, and naming beneficiaries. Most individuals use an estate plan to coordinate the transfer of assets to heirs while alleviating the tax burden. This tax burden is sometimes connected with transferring assets in the absence of an estate plan. Furthermore, individuals can also use an estate plan to fund their dependents’ education, provide a source of income for spouses and children, or safeguard their family’s fortune.
It is important to remember that individuals cannot immediately transfer assets to minor beneficiaries. Instead, there are appointed guardians who monitor their affairs until they reach the age of 18.
One of the critical elements of an estate plan is writing a will. A will is a legal document containing instructions on how assets, such as money and real estate, should be distributed after their passing. They can also use it to name a new legal guardian for any young children they may have. Furthermore, a will allows them to appoint or name an individual known as a trustee or executor to carry out their expressed objectives.
Before a will is implemented, a probate court must validate it through a legal procedure known as probate. The attorney who typically serves as the custodian must do this within 30 days of the testator’s death. The custodian can give the will over to the appointed executor within that time. Once the probate court has validated the will, the executor will be granted legal authority to act on behalf of the dead.
Estate plans also include trusts that hold money and property and are either revocable or irrevocable. Revocable trusts are the most commonly used because they reduce estate taxes while avoiding probate and providing for minor children. Furthermore, revocable trusts are adaptable because they can be easily changed, canceled, or revised. They also allow individuals to serve as trustees during their lifetime, allowing them to use the trust’s assets with little or no complications.
Whereas revocable trusts can be changed, irrevocable trusts cannot. Unlike revocable trusts, individuals cannot act as a trustee. As a result, they are typically used for a second death insurance scheme or other health-related benefits such as elderly care.
Estate planning is a critical process that should begin when individuals acquire substantial assets and should be updated regularly to account for new assets and other major life changes. As a result, loved ones will have peace of mind at the point of their death or incapacity, free from the complications typically happening when a person dies without a will.
People have been cooking for thousands of years, and some consider it one of the earliest art forms. Over time, as human civilization became more diverse and advanced, so did its cooking techniques.
One such cooking technique is the use of banana leaves while steaming food. This is a key aspect of the cooking of tamales, a street food popular in Mexico and Guatemala. The process involves wrapping corn paste mixed with meat or vegetables in banana leaves, which are subsequently steamed. In doing so, the banana leaves infuse a rich flavor into the dish while also serving as a ready-to-go and eco-friendly package.
This cooking technique dates back to Aztec and Mayan civilizations and was used by hunters, travelers, and warriors alike as a means of packaging meals for long journeys. Banana wraps are used in other countries in steamed dishes as well, including fish amok in Cambodia and abara in Brazil.
During a luau in Hawaii, it is common to see food barbecued in an earth oven known as an imu. This type of oven is built with wood and stones. The first step to creating the oven is digging a pit in which someone lights a fire. Once lit, the fire is covered with flint-sized stones to heat them, and when they reach the appropriate temperature, some are removed from the pile, and the rest are covered with damp leaves. Then the cooking begins.
An imu is most commonly used for cooking Kalua pork, a central celebration dish for a luau. Interestingly, Kalua translates to “cooked underground,” and has been a Polynesian delicacy for centuries. A kalua pig takes over 20 hours to cook, with up to 10 hours spent on preparation.
Once the preparations are done, they wrap the pig with chicken wire and fill it with hot stones before placing it into the imu, along with other items such as sweet potatoes, chicken, and taro. All are wrapped in ti leaves and covered with an additional layer of damp leaves before being sealed with dirt.
In addition, Thais employ an intriguing technique known as bamboo baking when preparing various cultural dishes. It involves baking fish in hollowed-out bamboo shoots. However, it is most commonly used to make Khao Laam, a sticky rice dish. The baking process involves stuffing hollow bamboo sticks with sticky rice, palm sugar, and coconut milk into a bamboo stick, which is then sealed with a leaf. The ingredients are then infused into the sticks by heating them over hot coals.
Several other unique cooking methods can be found worldwide, such as the raw smoking technique that the Chinese use in preparing several of their local delicacies, particularly the camphor wood-smoked duck. Each of these techniques, undeniably the result of years of experimentation, has become an integral aspect of their respective cultures, especially as the resultant dishes are cultural staples. However, traveling and being open to sampling the local delicacies remain the best technique for experiencing unique cooking styles around the world.
An experienced certified public accountant and financial advisor, Richard Belott has co-owned and operated Belott & Company CPAs since 1992. As part of his responsibilities with this Chatham, New Jersey-based firm, Richard Belott helps clients plan for expected and unexpected nursing home care.
New Jersey may have expensive nursing home care compared to most other states, but across the nation the annual cost of both semi-private and private rooms are incredibly high at $97,747 and $111,657, respectively. By 2030, experts expect these annual costs to skyrocket to $123,823 for a semi-private room and $141,444 for a private room.
Because most people will need long-term care in their senior years, they should develop a financial strategy to pay for it. Skilled financial advisors can help clients allocate specific savings and investments to cover nursing home costs. They can also suggest long-term care insurance coverage, including any relevant federal and state insurance programs. Of course, a well versed financial advisor will help clients take full advantage of all available Medicare, Medicaid, and Veterans Administration benefits that apply to long-term care.
CPA Richard Belott serves as the owner of Belott & Company in Chatham, New Jersey. For more than three decades, he has provided professionals with accounting, retirement, and tax services. Outside of work, Richard Belott maintains a fondness for cooking.
Regardless of age, there are basic cooking skills everyone should master so they are safe and enjoy their time in the kitchen. One of these skills is making stocks or broths. While store-made stocks and broths are readily available, homemade ones give cooks total control over sodium and fat amounts.
Another essential skill for cooks is chopping an onion. Recipes of varying complexity include the use of onions, so knowing how to cut one properly is a must. The process begins by chopping off the top of the onion and cutting the onion in half. The root end must remain on. After the skin is fully peeled off the onion, make three horizontal cuts, followed by several vertical cuts that do not cross through the root. Next, chop downward through the length of the onion half.
Making homemade salad dressings can seem complicated, but it’s not. A simple vinaigrette lets cooks dress their salad without relying on store-bought bottles. It’s healthier and grants cooks more control over how their salads turn out.
Cooks should also know about cooking pasta properly. Great pasta requires the water to be boiled before the pasta is added. It also requires a hefty amount of salt. Before adding the pasta, place a large amount of salt in the water to guarantee good flavor. After this, the water must return to a rolling boil before the pasta is added and cooked according to the package.
Richard Belott is a New Jersey accountant who offers dedicated taxation and accounting solutions alongside his wife Linda. One of Richard Belott’s areas of focus is assisting small businesses and owners in reconciling accounts and ensuring that compliance mandates are met.
One common accounting issue involves equating profits with cash flow. For example, a company could hypothetically land an $80,000 deal to be fulfilled within a 6-month timeframe. If the project is expected to cost $50,000, a profit of $30,000 will often be booked, even before the deliverables are in.
Unfortunately, delays can happen and budget overruns can happen as the complexity or actual cost of the project becomes clear. In order to make sure that cost estimates remain accurate, refrain from marking a deal as income until after it is completed. At the same time, make a thorough monthly accounting of all assets and liabilities related to the project and overall business operations. This will help ensure accurate profit numbers at the time of completion.
Finally, avoid the trap of handling accounting and bookkeeping in house. While this may seem like a valid way of avoiding unnecessary expenses, even one significant accounting error can wind up costing more than a trusted professional service.
Richard Belott 