Each year, there are updates to certain figures that are relevant to estate planning because adjustments are made to account for inflation. Now that we are in a new year, there has been a relatively minor increase in the amount of the federal estate tax exclusion.The exclusion is an amount that can be transferred before this death tax would be imposed on the remainder of an estate before it is transferred to the heirs. It was essentially doubled when the tax laws were changed for the 2018 … [Read more...] about Estate Tax Exclusion Updates for 2020
The SECURE Act and What It Means for You
The SECURE Act passed in late December. The SECURE Act changes some lifetime rules, but the biggest change concerns rules for beneficiaries. Read on to learn more. … [Read more...] about The SECURE Act and What It Means for You
Kobe Bryant Tragedy Underscores the Importance of Planning
The sporting community and others around the country were stunned to hear about the untimely deaths of basketball great Kobe Bryant, his daughter Gianna, and seven others. Passing away is inevitable for everyone, but it is especially jarring when it happens to younger people. Nothing is certain, and these incidents remind us of this harsh reality.As estate planning attorneys, we try to emphasize this point whenever we can. Far too many people think that estate planning is something that they … [Read more...] about Kobe Bryant Tragedy Underscores the Importance of Planning
Cover All Your Bases With a Living Trust
Many people who are under the impression that a last will is the right asset transfer vehicle are surprised when they find out that they are mistaken. There are a number different trusts that can be preferable, and the right choice will depend upon the circumstances.One type of trust that is ideal for a large percentage of the clients we see is the revocable living trust. In this post, we will look at five reasons why you may want to use this legal device as the centerpiece of your estate … [Read more...] about Cover All Your Bases With a Living Trust
Estate Planning Conference Discusses SECURE Act and More
The Heckerling conference, the largest conference for Estate Planning in the country, occurred last week in Orlando, FL. Many of the thought leaders in Estate Planning and Elder Law got together and discussed recent developments and new strategies. The SECURE Act was the biggest topic this time. Read on to learn more. … [Read more...] about Estate Planning Conference Discusses SECURE Act and More
Consider a Life Insurance Trust
Before we share some details about life insurance trusts, we have to provide the necessary background information about taxation and how it can impact your legacy.Here in the United States, we have a federal estate tax that can have a huge impact, because it carries a draconian 40% maximum rate. It is only a factor for wealthy people, because there is an $11.58 million exclusion. You can transfer this much tax-free before the estate tax would become applicable.The federal estate tax can … [Read more...] about Consider a Life Insurance Trust
Planning for the SECURE Act
The SECURE Act passed in late December. The SECURE Act changes some lifetime rules, but the biggest change concerns rules for beneficiaries. The first article in this series examined the SECURE Act. This article examines some planning strategies for dealing with the SECURE Act. Read on to learn more. … [Read more...] about Planning for the SECURE Act
What Is a QDOT?
There are many acronyms used in the field of estate planning, and one of them is “QDOT.” It stands for a legal device called a qualified domestic trust.Before we look into the value of qualified domestic trusts, we should examine the federal estate tax, because this type of trust would be used by some people who are exposed to it.The estate tax can pose a significant threat to your financial legacy, because it carries a very hefty 40 percent maximum rate. Everyone does not pay the tax, … [Read more...] about What Is a QDOT?
Pet Planning Questions Answered
In this post we will provide an explanation of pet planning possibilities through the utilization of a hypothetical question and answer session.Can you leave money to a pet in a last will?Animals are not allowed to own property, so the answer is no, you cannot bequeath property to a pet in a last will.Is it possible to leave a pet to someone when you create a will?Absolutely, a pet is considered to be property and a will can be utilized to state your wishes regarding the transfer of your … [Read more...] about Pet Planning Questions Answered
Reasons an Estate Plan Could Be Challenged: Part 4 – Lack of Testamentary Capacity
An Estate Plan is an essential part of your planning process. But there are ways an Estate Plan can be challenged as being invalid. This is part of a series of articles on ways an Estate Plan might be invalid and how to avoid these pitfalls. This fourth article in the series looks at testamentary capacity.Reasons an Estate Plan Could Be Challenged: Part 4 – Lack of Testamentary Capacity … [Read more...] about Reasons an Estate Plan Could Be Challenged: Part 4 – Lack of Testamentary Capacity
