Among Friends

[Sage04]

@pigletsmomin @hyacinth003 first post, she said it was in her dad´s name and SS# with her sis-in-law as beneficiary, Hope she finds out what went on and if any taxes are owed.

Maybe the Estate will have to pay the taxes otherwise she would not have received the mail.

[AuntG]

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@Tribesters wrote:

@hyacinth003 

I'm clueless in legal matters but if the current value is zero is that because the $10,000 was already paid? It sounds to me like a check was issued & cashed with $95 federal tax withheld. If the policy were cancelled or something why would federal income tax be withheld? 

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I agree. They paid out the policy and held back a small portion for taxes. Is your brother's wife $10,000 richer?

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[Sage04]

@AuntG it say the sis-in-law was the beneficiary.

Maybe brother really desn´t have a clue.

[50Mickey]

I agree. the first post said it was a policy worth about $10,000, with her brother and father listed as owners and the SIL as beneficiary. She had a tax form and letter from the insurance company showing that the value was now 0 and $95 was withheld for taxes. Sounds like a life insurance policy or an annuity that was paid out upon the Dad's death.  Subsequent posts show it was not a life insurance policy but a policy that paid monthly amounts into his checking account. What would I do? I would ask my brother if he and dad had a joint checking account separate from the one that I knew about. Either way this is money that your SIL was entitled to as beneficiary or money that your brother had a legal right to as a co-owner of the account/policy or whatever it was.  I agree Hyacinth probably needs to get some answers about this but it does not seem like a big mystery or anything nefarious on the part of the brother.

[AuntG]

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@Sage04 wrote:

@AuntG it say the sis-in-law was the beneficiary.

Maybe brother really desn´t have a clue.I

===

Thanks, I've revised my wording to include her. My point was it's money she got distributed to her. In fact, the brother's wife probably got it legally but not ethically in my opinion @Sage04 . 

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[Sage04]

@AuntG, I´ve changed my mind. I do think that the sis-in-law set a lot of things in motion just to benefit her. @hyacinth003 will never know everything that took place. Setting up a Bank Acc with her father-in-law was so easy. Her brother left everything up to his wife because he thought she was doing it out of love. Maybe she was.

Hope the husband wakes up one day.

It was not an insurance policy otherwise @hyacinth003 would not have been notified.

[hyacinth003]

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@50Mickey wrote:

If your dad's estate is as complicated as you are saying I don't understand why you have not turned it over to an attorney who handles estates and probate. Also why are you struggling with tax issues when you could turn all of this over to an accountant to sort through?  I am still shaking my head over an insurance company addressing a tax from to " the estate of Hyacinth's father." Was this tax form a 1099?  I don't mean to be  disrespectful but it sounds to me like you are enjoying this more than you care to admit. But I do wish you well and hope that you can soon get some peace and closure.

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@50Mickey 

I have a lawyer.  Most of this can be done by me.  At at least $400/hour, I am not going to rack up a lot of lawyer fees.  My husband's brothers spent $80,000 of their father's money in lawyer fees fighting.  I am going to have an accountant do the taxes because I want to make sure everything is done right.  I believe I need to know what this is in order to tell the accountant.  It is not really a complicated estate.  This was a form 1099 and a letter from the insurance company.

You don't know me, but that is one of the most hurtful things said - that I may be enjoying this.  My dad is dead and my only sibling may be gone from my life, not what I want.  Let me tell everyone there is nothing enjoyable about being the executor of an estate.

The part that makes it hard is my sister-in-law is so angry that I am the only executor.  She expected that my brother would be a co-executor so she would be able to see everything, and through him, do things herself.  I did not write the Will.  I did not even know my Dad named me until he told me himself.  I knew for 10 years, and he never changed it.  SIL had a copy of the Will and misinterpreted the wording to mean BOTH of us were co-executors.  It meant that I was the only executor UNLESS I was unwilling or unable.  Then my brother was executor.  I called the attorney (because my Dad had told me multiple times that I was the executor) to verify who was what.  He said I was SOLE executor and trustee of a Trust my dad set up. When I called my brother to tell him what the attorney said, his wife called me back and SCREAMED at me.  She ignored my whole family at my Dad's service and the luncheon afterward.  She made calls regarding estate assets (only executor duty).  She went to his assisted living and threw away all his clothing (without checking with me).

I have been exceedingly polite and not bothered them unless it had to do with my brother receiving his part of the estate.

Hyacinth

[hyacinth003]

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@50Mickey wrote:

I agree. the first post said it was a policy worth about $10,000, with her brother and father listed as owners and the SIL as beneficiary. She had a tax form and letter from the insurance company showing that the value was now 0 and $95 was withheld for taxes. Sounds like a life insurance policy or an annuity that was paid out upon the Dad's death.  Subsequent posts show it was not a life insurance policy but a policy that paid monthly amounts into his checking account. What would I do? I would ask my brother if he and dad had a joint checking account separate from the one that I knew about. Either way this is money that your SIL was entitled to as beneficiary or money that your brother had a legal right to as a co-owner of the account/policy or whatever it was.  I agree Hyacinth probably needs to get some answers about this but it does not seem like a big mystery or anything nefarious on the part of the brother.

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@50Mickey 

My first thoughts were not that it was nefarious.  I just needed to know what it was because I am responsible for the estate's taxes.  $95 is not enough in any way to pay taxes on over $10,000.  The insurance company has already told me that.

So my Dad is listed as first owner, and his SS# is on the document.  So I believe that makes it my business.  Not to pry or investigate their business, but to be informed for the estate's taxes. 

My brother's name and address is listed next to my Dad's as an "owner."  Later paragraph says SIL's name as beneficiary (spouse).

If my Dad's estate is responsible for the taxes, $95 not being adequate, then it becomes my business.  The insurance company tells me it was paid in monthly increments to my Dad's checking account, and I cannot find any evidence of that in the checking account.  I looked though all of 2019's bank statements for the checking account. So was there another checking account I don't know about? I don't think it would be responsible for an executor to pay from estate funds something they don't find or understand.

If this is legitimate between my brother and Dad, why not just tell me so I can settle the estate?  I didn't search for this, it came to me as executor.  I have no intent to pry into anyone's business.  It is my DUTY as executor to do right by my father's life business, collect what's owed him, pay what he owes, and distribute the rest to his beneficiaries, his 2 children.  I will write the insurance company with my proof of being executor and ask my questions.  I want to know the amounts monthly (since I don't see it) and to WHAT checking account (bank name and account #)  I didn't think it was necessarily nefarious until I got snarky responses.

Hyacinth

[hyacinth003]

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@AuntG wrote:

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@Sage04 wrote:

@AuntG it say the sis-in-law was the beneficiary.

Maybe brother really desn´t have a clue.I

===

Thanks, I've revised my wording to include her. My point was it's money she got distributed to her. In fact, the brother's wife probably got it legally but not ethically in my opinion @Sage04 . 

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@AuntG 

A beneficiary implies a death, right?  My Dad has died, but not my brother (also listed as an "owner.")  It seems to me that SIL would only be a BENEFICIARY upon both of their deaths.

If this was legitimately my brother's money, why only my Dad's SS#?  My brother is not deceased, so why would his wife get the money?  And since the insurance company says it was paid in monthly increments, why can't I find it in my Dad's checing account like they said?

And if it is all legit, why not answer me so I understand? I told my brother why I need to know.  I can only think of 2 possibilities.  One is that it is NOT right, or TWO, they just want me to have more work to investigate it.

I don't expect you to have the answers!  Just thinking "out loud."

Hyacinth

[Lilysmom]

@hyacinth003 , nothing nefarious about it.  Investigate as outlined with the insurance company and get the answers.

You might also consider asking your brother about it and compare his response to your fact finding. It may inform your future discussions with him.  LM