WHEN the virus makes your income disappear overnight, it can be very frightening to realize that you can’t go very long without it because your bills don’t stop just because your income did. No one ever wants to file bankruptcy. But if you are one of the millions laid off and don’t even know whether…
THE client is 72. He still works his normal job and makes about $3K a month. He also receives social security of $1K. So, his total income right now is $4K. He tells me that he is tired of working. His wife doesn’t want him to work anymore. His wife retired ahead of him at…
Biden tax plan series WHAT Is a Gift Tax? Gift tax is a federal tax applied to an individual giving anything of value to another person. The donor must report the gift on a tax return and pay the gift tax. Normally, the recipient doesn’t have to report the gift. In summary: Gift tax is…
MANY people are of the perception that simply downloading a prenuptial agreement from the internet and signing it with their fiance offers them a bullet proof protection from a divorce. What many people do not know is that certain statutory requirements must be met in order for the prenuptial agreement to be valid and to…
THERE are two conditions that can determine the best time to sell your house. The first condition is during a “seller’s market” and the second condition is seasonal. A seller’s market occurs when there are more buyers actively looking to purchase, and there’s a low inventory of homes listed for sale on the market. The…
WHAT Is a Step-Up in Basis? The term “step-up in basis” refers to the readjustment of the value of an appreciated asset for tax purposes upon inheritance. It adjusts the value of an asset when it passes from owner to heir. The higher market value of the asset at the time of inheritance is used for tax purposes….
AARON Kudatsky worked as an implementation consultant in California for Tyler Technologies, a company that sells business and public sector operations software being used in finance, payroll, billing, and others. Tyler’s implementation consultants assist its clients in customization and training in the use of Tyler’s products. The implementation consultants are classified as exempt and are…
AS you probably are aware, an individual can file either Chapter 7 or Chapter 13 under the bankruptcy code when he or she needs relief from accumulated debt. In Chapter 7, the debtor gets a fresh start in life, without having to pay anything to creditors. The debtor gets to keep most if not all…
WHEN it comes to credit card debt, a lot of people are in denial that they have a problem. Of course, denying doesn’t help because until you get to that point where you can honestly admit to yourself and acknowledge that a problem does exist, you will never do anything to change your situation. Thus,…
THE purpose of spousal support is not defined by the legislature in that its purpose varies according to the facts and circumstances of each case. The facts and circumstances of a particular case may be such which call for no spousal support, or for support for a very limited period of time, with the purpose…
Biden tax plan series WHAT is required minimum distribution (RMD)? A required minimum distribution (RMD) is the amount of money that you must withdraw from your traditional IRA, employer-sponsored retirement plan, SEP, or SIMPLE individual retirement account (IRA) when you reach retirement age. You must begin withdrawing from a retirement account by April 1 following the year you…
NO one ever likes to talk about bankruptcy. However, it’s simply a fact of life. Things happen. Whether it’s losing your job, going through a divorce, having huge medical bills that you can’t pay — or sometimes simply making poor financial decisions — any of these can lead to bankruptcy. It’s a scary thing to…
THE client is 66. He says he is now old all of a sudden. He migrated here in 2004 so that’s 15 years ago. When he deplaned at LAX, he was just 51 and single. He says he’s been working hard since he arrived, but hasn’t really been able to amass any wealth. He worked…
BACK in 2020, Proposition 22 was voted into law. App-based companies like Uber, Lyft, and Doordash spent upwards of $200 million in funding to get Californians to vote on this measure. Prop 22 styled its existence as a workers’ rights issue and touted the purported “flexibility” of workers being able to set their own work…
IF you are searching for debt reduction solutions, no doubt you’ve been inundated with advertisements for various debt management programs, companies and solutions. The choices seem confusing to the average consumer. The truth is that every situation is different and what may work perfectly for others is not necessarily going to work the same way…
THE ongoing debate of real estate is — “Should you buy or rent?” The right answer is: it depends. It depends on your situation and the factors in your lifestyle, your short-term goals, and long-term goals. The real estate market is hyperlocal, meaning that the market is based on your local market, as specific as…
Biden tax plan series WHAT is the Social Security tax? Social Security tax is levied on both employers and employees to fund the Social Security program. It’s collected through payroll taxes mandated by the Federal Insurance Contributions Act (FICA) or a self-employment tax mandated by the Self-Employed Contributions Act (SECA). The Social Security tax pays for the retirement, disability, and survivorship benefits…
William Maner worked for decades as a biomedical design engineer in the laboratory of employer, Dr. Robert Garfield. Garfield’s laboratory initially operated in Texas. Maner’s coworkers were Dr. Yuan Dong, a male researcher, and Dr. Leili Shi, a female researcher. Maner learned shortly after joining the lab that Garfield and Shi were engaged in a…
SENIOR no. 1 and senior no. 2 are in the same boat. They each have car repossession deficiencies of over $100,000 and business credit card debt of $50,000. Just by looking at these figures, you know there’s something not right. At their age, why should they each have several car repo deficiencies of over $100,000?…
Most debt problems don’t go away and solve themselves. They are there when you go to bed at night, and they’re still there when you get up in the morning. They can cause a lot of ulcers, sleepless nights, stress, and even physical sickness. As a bankruptcy attorney for the last 22 years, I have…
Biden tax plan series A certain provision in the Internal Revenue Code allows you to defer (postpone) gain on the sale of a business or investment property. “Tax deferred” means that the tax is postponed (not forgiven). The number “1031” is a section of the Internal Revenue Code which allows preferential treatment of gain. Current…
PAY debt off completely There are, of course, different ways of getting rid of debt. The most obvious is just pay it off. Let’s say you owe $50,000 of credit cards. It’s costing you $1,500 a month of minimum payments to keep them current, or $18,000 a year, every year. Obviously, the simplest way is…
Lime runs electric scooters, electric bikes, normal pedal bikes, electric mopeds and car sharing systems in metropolitan areas to customers through its mobile app. Lime hires persons known as “Juicers” to locate, recharge, and redistribute Lime’s scooters after being rented. Several “Juicers,” among them Jon Osuna, Yassin Olabi, and others, sued Lime claiming that the…
IF you’re in this situation, your question is probably: “Do I need to make repairs?” The quick answer is “No, you don’t need to make any repairs.” The real questions are — when do you need to sell by and what is your home’s current market value? The time it takes for a property to…
NO one ever wants to face a debt crisis but at one time or another in your life, you may have to deal with one. Having debt problems does not make you a bad person although some people feel a sense of guilt as they feel responsible for the decision that they have made that…
SOME premises liability cases involve multiple negligent parties who cause the plaintiff to suffer one single injury. In representing a single plaintiff in such a case, it may be difficult for the attorney to prove which defendant was responsible for the client’s injuries. As an example, inside of a store that is undergoing construction, a…
BITCOIN and other cryptocurrency has become popular lately as a new store of value. It is decentralized and not subject to regulation in any jurisdiction. It can be stored in a digital wallet or hard drive. Due to its lack of regulation, it is easy for one to assume that it is not necessary to…
THE client is 45, married with two sons, 16 and 12. He used to own and operate, together with his wife, a small business, which started in 2014. They sold the business for $40,000 in 2019 just before the pandemic started. He says the business was barely breaking even so they decided to just sell…
CAN an employer fire someone simply for being gay or transgender? No, according to the U.S. Supreme Court in its landmark decision in Bostock v Clayton County. Title VII of the Civil Rights Act of 1964 prohibits discrimination in the workplace on the basis of race, color, religion, sex, or national origin. “An employer who…
Biden tax plan series WHAT are capital assets, capital gains and long-term capital gains? When you sell a capital asset for more than you paid for it, you realize a capital gain. Capital assets include stocks, bonds, and real estate. The tax you’ll pay on the capital gain depends on how long you held the asset…
