With the onset of COVID-19 and arguably one of the greatest economic challenges of our time, the Wealth Management team at Montecito Bank & Trust has been consulting with people reviewing their current estate plans, family gifting and charitable giving strategies to ensure they are up-to-date.
“There have been significant estate tax and policy changes and new charitable-giving provisions over the past couple of years that are important to evaluate,” advises Suzi Schomer, Vice President and Wealth Strategist at Montecito Bank & Trust. Additionally, “many families have experienced significant life-changing events, such as deaths, illness, divorce and births during this period and all of these changes could be a reason to review existing estate plans, family gifting and charitable-giving strategies.”
Income tax deadlines for filing and paying taxes were extended to July 15, “which provided taxpayers additional time to dedicate toward spring cleaning their financial houses,” Schomer says. All of the information that was gathered in anticipation of preparing tax returns is valuable in verifying assets and how they are held. For example, “reviewing estate plans to confirm that non-retirement assets are held in trust and that retirement plan beneficiary designations are up-to-date.”
Many of our clients are utilizing this “stay at home” time to think about what’s most important to them both now and in the future, Schomer says. A key component of a family’s overall financial plan includes health care—not just insurance, but an important document called an Advance Directive for Healthcare.
“This document allows you to outline your wishes and preferences for your care in the event you are not able to make decisions for yourself at a future date,” explains Schomer, adding that it also names the person or persons you have selected to make those decisions for you, following your stated wishes.
“The news about COVID-19 has prompted many people to seriously consider creating or updating their Advance Directives, and importantly, to have this critical conversation with your Healthcare Decision Maker,” Schomer says.
She notes that she has received a number of calls from many who wish to take this time to discuss their estate plans and other financial concerns, including the selection of a retirement community and how to provide liquidity for a buy-in.
For anyone wishing to talk through their individual situations, Schomer is available by phone at 805.560.3413 or via email at sschomer@montecito.bank.
“You are invited to call on me as a resource at your convenience,” Schomer says.
Montecito Bank & Trust has also provided support in other ways ensuring they make a substantial impact in their communities. For instance, they immediately donated $150,000 in urgent relief aid to nonprofits that were providing a safety net to the community, including Food Share of Ventura County and Ventura County Community Foundation. They mobilized their team to process and fund more than $205 million in Paycheck Protection Program (PPP) loans to local nonprofits and businesses—in line with their philanthropic business model, 10% of their PPP funding went to 191 nonprofits, saving 4,300 nonprofit jobs in Santa Barbara and Ventura counties.
Meanwhile, Montecito Bank & Trust continues to serve its clients while also complying with guidelines that have been mandated since the pandemic hit. They’ve implemented the following temporary changes to daily branch operations for the safety of their associates and clients:
· Ventura and Santa Barbara County branch lobbies are open Monday to Friday, 9 a.m. to5 p.m. Branch capacity is managed through socially distant lines outside the branch or clients can make an appointment.
· Face coverings are required and cough guards have also been installed.
· Sanitizer stations have been installed and branches are professionally cleaned each evening and receive a weekly deep clean.
· Complimentary hand sanitizer and free pens clients can use and take home.
As a community bank whose mission it is to make the communities they serve better places to live and work, providing support to their clients and communities during a time like this is what makes community banking such an integral part of keeping communities thriving.
Today, Montecito Bank & Trust is known as the oldest and largest, locally owned and managed community bank in Santa Barbara and Ventura counties. Over the past 45 years, the bank has grown to more than $1.5 billion in assets and 14 branches from Solvang to Westlake Village. With relationship banking and a desire to put exceptional service above all else for their clients and communities, Montecito Bank & Trust has earned 19 Best Bank awards in the past seven years and six Best Bank to Work For awards in the past three years.
For more information, visit Montecito.Bank/ or call the customer service line at 805.963.7511 from 8 a.m. to 5 p.m. Monday through Friday. To reach the Wealth Management Department, call 805.564.0298.