Deferred Compensation
Deferred compensation can provide economic benefits to key employees by deferring the taxes on the compensation, and providing for individual investment direction of the account balance until the benefits are paid. Structured correctly, deferred compensation plans can also benefit employers by providing retention incentives.
For 25 years the attorneys at Sherman & Patterson have assisted clients in designing and documenting their nonqualified deferred compensation arrangements to benefit both the employer and the employees. We focus on assuring the plan passes IRS muster with respect to a host of issues, such as section 409A, constructive receipt and economic benefit limitations. In tax-exempt employers, we focus first on exhausting 457(b) eligible deferred compensation plan opportunities, and then on satisfying the requirements under Section 457(f) of the tax code regarding substantial risks of forfeiture. We also evaluate and install so-called “rabbi trusts” where appropriate.
Employee Benefits
The world of key employee benefits can be a confusing, ever-changing morass of federal legislative and regulatory rules, state law restrictions and judicial interpretations. With over 25 years of intense benefits experience, the attorneys at Sherman & Patterson assist employers in developing and documenting attractive benefit arrangements to attract new key employees and encourage retention of existing key employees. Examples of these arrangements are, insured and self-insured disability and survivor benefits, long-term care benefits, and severance benefits
Estate Planning
Sherman & Patterson assists clients in understanding estate planning issues and in developing estate plans that fit their individual situations. Many individuals with young children indicate that their main priorities are to nominate successor guardians for their children, and to make sure that any assets left for their children would be efficiently managed in trust rather than inefficiently managed in the courts. Other clients approach us with a desire to avoid probate at death. We explain to clients the differences between wills with testamentary trusts that require probate and funded living trusts that avoid probate. We highlight pros and cons of both approaches, taking an objective viewpoint on estate planning issues.
Probate
Sherman & Patterson practices in the area of probate administration. Clients are often overwhelmed by the complexity of the probate process, and are unsure about their role in getting the job done. We draft and file the necessary documents, make court appearances, notify creditors of the proceeding, assist in getting the personal representatives appointed and in walking them through the rest of the process. We make it a priority to help clients see the big picture and effectively manage their expectations. We help resolve issues that arise and strive to complete the probate proceeding in a timely fashion.
Corporate Law
Sherman & Patterson has established numerous business entities (e.g., corporations and limited liability companies). We advise clients about liability, business, tax and financial issues that commonly affect business owners. Although we attempt to anticipate as many issues as possible when we draw up the original organizational documents, we find that needs change as businesses grow and develop. Some of the trickiest issues clients face involve agreements among the shareholders, partners or members with respect to compensation, restrictions on voluntary transfers and succession.
Rental Real Estate
Owning rental property, done correctly, can be an important and effective investment. The attorneys at Sherman & Patterson
can assist you in acquiring and managing rental real estate in ways that minimize financial risks, answering questions such as:
- What are the tax benefits for owning rental real estate?
- Should I own the real estate personally, through a corporation or through a limited liability company?
- How can I limit my personal liability?
- What type of insurance do I need?
- Do I have to rent to anyone that applies?
- What are the key provisions for a lease agreement?
- How do I deal with bad tenants?
- How do I collect unpaid rent?
- How do I deal with utility companies?