Arizona Living Trust Portfolios
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Mike On Money

August 27th, 2025. Well it’s time to add to my blog. Seems like the Covid ordeal put a damper on posting. This blog post is about disinheritance actions. I can say very honestly that this subject is one of the most controversial consulting areas in my legal documents practice. When I am hired to draft legal documents in estate planning that limit or completely disinherit a child or grandchild, my heart starts beating faster. I have had to do it a lot over my long career and it never sets well with me. However, the dictate to create terms of disinheritance for offspring does have value in the estate planning arena.

Perhaps, more and more children, grandchildren in the past few decades have gone against the wishes of their parents or grandparents and acted in ways, (including inactions as well) that did not please the estate client who after much deliberation, has come down to dictating this legal move to remind them, after the death, that there was a cost to pay for certain habits, actions, in-actions, harmfully spoken words in anger never recalled, abandonment of visiting, etc.

I hate to see the “hammer” come down this way after a client dies, but they are in charge at the time they draft and they have their reasons to restrict or eliminate certain beneficiaries, normally their own children, who they are unhappy about their lifestyle, habits, that have hurt the estate owner/s. So it is a way to remind after a death, the true cost of their actions. (or inactions) If this is something you are exploring, I have a lot of experience in drafting legal documents (Wills, Trusts) that will help carry out your wishes to disinherit someone. Smart attorneys can contest the provisions and try to prove a “senior” was not at full mental capacity when the disinheritance clauses were drafted. Or try to prove in a formal “contest” court filing they simply forgot them.

Just know, as much as I hate doing these, I have studied for years the best terms to draft so that the decision does not get amended by a Judge in a formal court contest filing. Since 2009, Arizona trust code law is pretty liberal in this area compared to other states (such as my home state of Iowa who will let a Judge disinherit you if you even get mad at a Executor or Trustee), as it takes a formal “contest” court procedure here in Arizona and an extremely clear and egregious situation in order to lose your share of an estate you were named a beneficiary (heir) of.

I close in saying the wording in Wills and Trusts will normally in most states contain language that you are to be treated as if you (and perhaps all of your offspring) are to be treated as if you pre-deceased the descendent. I tell clients that in honest frank language, (without practicing law of course), that this pretty well means you are “dead” to the parent who disinherited you and thus, not able to get any share. Leaving other siblings to redivide the money and assets amongst themselves right in front of your eyes. (legally dead, personally very much alive).

A free 15 minute conference by Zoom or in person can discuss the general legal information pertaining to drafting such a provision in your Will or Trust with me. Call me at 1-800-782-2806 or email me at mdanderson@webfsi.com

I hope and pray this blog post does not apply to you!

M.D. Anderson

Shock Market

Invested in the “Shock Market”?

Invested in the “Shock Market”?

There are many ways you can lose your money. For some, they just spend it. You know the type. They are always going somewhere next, or just back from another wonderful trip to whoknowswhere. Most of these people aren’t satisfied with just spending their extra cash, and so their credit lines get used as well and eventually, maxed out. We will call them the “spenders”.

Then there are the savers. They don’t invest. They just save. This group used to be able to brag on how much interest they were earning on their money. No bragging has been going on for quite a few years unless someone you know recently bragged they got 1.9 % on a 5 year CD. No, you probably haven’t heard anyone brag about their savings yields in what, over 10 years?

Next we have the investors. And three types. We have those who invest in the stock market and we have those that invest in real estate. Of course, some investors invest in both and that is probably better as long as they watch the shock market and try to sit out the “shock” time periods when things get dicey.

The last type of investor is the “hammer down” type. They buy the risky stuff: commodities, cryptos, trust deeds, domain names, etc. And some of these folks go hard. Meaning, they like to buy “hard” assets such as gold or silver bullion or coins and other precious metals.

Well today, a definite move in “shock market” took place with the Dow falling over 800 points, causing the biggest losses for the past 8 months. Now, it may rally back tomorrow or keep on adjusting down. Profits of doom say the market was over priced. Others say we haven’t seen the top yet and it will go much higher.

Which comes to the title of this blog entry. What is your level of risk you want to take on your investment money? How well do you sleep right now based on your investment positions? The spenders won’t read this blog entry, as they are pressing the plastic to go on their next adventure.

But perhaps, being overly invested in any one area of variable investments may be a reason to talk to a long term financial adviser who has seen the shock market go up and seen it go down many times and through many market cycles. And has come to the conclusion that investing in real estate makes more sense for a large part of your investment portfolio. And that includes your retirement money that most don’t even know you can transfer your IRA or 401-k plan at retirement (or before in some companies allowing early transfers) to a self directed IRA account in real estate.

Why not have a chat with me on my nickel? No obligation of course. Diversification is everything in modern investing. Maybe it’s time you discover true diversification from a new financial adviser who can assist in all the document preparation to take a new direction and shelter some of your money from a shock market that proved it can go down by 1/2 very quickly. Don’t wait until that happens again…

Arizona Estate Planning, Diversified InvestingMichael AndersonFinancial Strategies, Inc.Stock Market, Safe Investing, Self Directed IRAComment