WV Courts back open for non-emergency proceedings

Several previous orders issued by the WV Supreme Court of Appeals closing the courts except for emergencies have expired and proceedings including hearings and trials will be happening again in magistrate, family, and circuit courts in our state.

Though all the courts are encouraged to use technology to allow remote attendance for proceedings, each county and court will function a little differently. 

If you have had a court proceeding that was delayed during the pandemic you should expect to get notified about scheduling soon. If you have concerns about your safety appearing in court you can call the judge or magistrate's office and talk to the clerk about how to safely make your appearance.

Here's the most recent order about how the courts will resume non-emergency operations http://www.courtswv.gov/covid19/ResumptionOfOperations-ProtocolsandMap5-6-20.pdf. If you are at least 60 years old and a West Virginian with a legal question or problem you can call WV Senior Legal Aid and talk to an attorney for free. 1.800.229.5068.

Retirement Account Changes

Significant changes relating to tax-deferred retirement account distributions have occurred in recent months.

First and foremost, for 2020, the CARES Act suspended the requirement for older account owners to make mandatory distributions from their retirement accounts during the year because of the economic downturn. Of course, voluntary distributions are still permitted.

Further, for over 30 years, those with retirement accounts knew that voluntary withdrawals, subject to federal income taxes, could begin at age 59 1/2 and that required minimum distributions, based on an age/rate chart, had to start at age 70 1/2 (with certain exceptions).

Now, because of the SECURE Act, the magic age for required withdrawals (other than during the 2020 suspension) is 72.

This federal law became effective in December 2019 and has permanently extended the starting time for future mandatory distributions from retirement accounts to age 72. In these roller coaster stock market times, being able to wait that extra time could allow the account balance to recover.

Many people earmark their retirement accounts as possible inheritance funds for their family. Delaying distributions on these tax-deferred funds as long as the law allows can mean larger future balances.

The new law also changes the after-death rules for distributions to heirs. The full account balance must be paid out within 10 years, with exceptions for spouses and certain other individuals. Previously, many heirs could stretch out distributions over their lifetimes to reduce the income taxes owed from receiving such distributions.

Charitable use of Individual Retirement Account (IRA) funds can also be a way to avoid income taxes. Starting at age 70 1/2, amounts up to $100,000 from an IRA (but not from other types of retirement accounts) can be used each year for charitable purposes and escape federal and West Virginia taxation. These charitable gifts satisfy the required minimum distribution rules, when applicable, as well.

For assistance dealing with tax and other legal issues, contact West Virginia Senior Legal Aid at 800-229–5068. Those age 60 and over living in the state are eligible for this free help.

TOO MANY DEBTS?

Too many debts to deal with these days?

Unfortunately, many Americans are finding that to be true as we endure the novel coronavirus pandemic and its far-reaching economic impact.

While there are programs to freeze or defer some debts and expenses temporarily, such as credit card payments and rent, that relief is just for the short term.

As many struggle to keep up with their bills in these uncertain times, the suggestion of contacting your creditors to work out terms to handle these debts probably should not be the first step taken.

Instead, looking at the big picture and listing which debts are past due, currently due, and will be owed in the near future may be the most beneficial starting point.

Of course, being able to pay for the necessities of food, shelter, utilities and transportation is at the top of the list for your budget. If one or more of those bills is past due, they are crucial to focus on immediately.

The staff attorneys at West Virginia Senior Legal Aid can help state residents, age 60 and over, review their current financial situation and work out a listing of which bills need to be given top priority, secondary priority, and so on.

The WVSLA attorneys have experience working with the laws, programs and regulations dealing with mortgages, rent, utilities, car loans, credit cards, etc. and can assist with recommending how to put your financial house in order. There is no charge for their guidance.

Remember also that some debt collectors will use predatory practices. They will attempt to persuade you to pay the debt they are trying to collect and will have no concern about any others that won’t be paid.

Finding the right combination of satisfying current living expenses and handling debt can take some thought and effort. Calling West Virginia Senior Legal Aid at 800-229-5068 can help seniors avoid painful mistakes and get going in the right direction.