You may have heard about "probate avoidance" and wondered what it is all about. Many people aren't sure what probate is, and therefore aren't sure why someone would want to avoid it. Probate is the legal process of estate administration. When someone passes away, the probate court in the jurisdiction that is local to the deceased examines the Will to determine its validity. If the Will is deemed to be valid, the court will supervise the administration of the estate. The executor or the … [Read more...] about Avoiding Probate Expenses
Remember Online Accounts When Planning Estate
These days people do a lot of business online, and they socialize online as well. As a result, you have to take your Internet-based accounts into consideration when you are planning your estate. Many people conduct their banking over the Internet. You may want to give your executor, or a close family member that you trust, the access information so that this individual can act on your behalf if it becomes necessary. This can also be relevant when you are planning for the possibility of … [Read more...] about Remember Online Accounts When Planning Estate
CRUT Can Satisfy Dual Objectives
A lot of people have a desire to give something to charitable causes when they are engaged in financial planning, and it is certainly personally rewarding to engage in acts of generosity. But at the same time, you can also gain some tax benefits while you satisfy your philanthropic urges if you plan ahead intelligently with professional guidance. One legal tool that is sometimes used by individuals who want to gain tax efficiency while giving to charity is the CRUT, or charitable remainder … [Read more...] about CRUT Can Satisfy Dual Objectives
A Look at Grantor Retained Annuity Trusts
If you want to give gifts to your loved ones while you are still alive, you have to concern yourself with the looming specter of the gift tax. This tax carries a 35% rate at the present time, and it is scheduled to rise to 55% at the beginning of 2013. Part of what estate planning is all about is to find ways to get assets into the hands of your heirs without losing anything to taxes or probate in the process. There are a number of different instruments that can be utilized to this end, and one … [Read more...] about A Look at Grantor Retained Annuity Trusts
Lesson To Be Learned From Larsson Estate
It is a sad fact that the majority of adults in the United States are going through life without having executed any estate planning documents at all. Most people recognize the need to have a last will or a trust in place, but they procrastinate, feeling as though they will take the time to engage in estate planning when they have reached their twilight years. You never know when your time is going to come. If you feel as though estate planning is something that only senior citizens need to … [Read more...] about Lesson To Be Learned From Larsson Estate
FLP Can Reduce Tax Burden
It is important to have some understanding of the workings of the gift and estate taxes when you are making preparations for the transfer of your assets. The gift tax carries the same 40% rate that the estate tax carries. Though there is a $5.34 million lifetime exemption in 2014, it is unified with the gift tax exclusion. As a result, the estate tax exclusion that will eventually be available to you would be reduced by the amount of the gifts that you gave during your lifetime using this … [Read more...] about FLP Can Reduce Tax Burden
Houston Estate Details Slow To Emerge
The world of entertainment lost one of its most prominent voices when the singer and actress Whitney Houston passed away on February 11th at the young age of 48. Houston was a powerhouse during her heyday, garnering no less than six Grammy awards, a pair of Emmys, and countless other accolades. She holds the music industry record with seven consecutive number one singles, a record that may stand for a long time. As it is with any high profile individual that passes away, many people are … [Read more...] about Houston Estate Details Slow To Emerge
The Difference Between A Living Trust And A Living Will
Everyone knows that a last will is a document that is used to express your wishes with regard to the distribution of your assets to your loved ones after you pass away. However, there are other types of wills as well, and they do not all serve the same purpose. Because a last will is used to direct the distribution of property, there are those who would assume that a living will has something to do with asset transfers. In fact, a living will is an advance health care directive that is used to … [Read more...] about The Difference Between A Living Trust And A Living Will
POD Accounts: Simple, But Limiting
Some people believe that the easiest route is the best route, and they carry this mentality into their estate planning efforts. They may believe that payable on death accounts are the solution to their estate planning, but it is important to realize just how limiting these accounts can be. Banks, credit unions, and some brokerage firms offer payable on death or transfer on death options when you are opening your account. As the name implies, the assets that are in the account are transferred to … [Read more...] about POD Accounts: Simple, But Limiting
Lesser Known Will Can Add To Your Legacy
When you consider what a Will is intended to accomplish in an estate planning context, you are probably going to immediately think about the transfer of assets to your loved ones after you pass away. This is indeed what a Last Will and Testament can achieve, but there are other types of wills used in estate planning as well. One of these is called a Living Will. This type of will has nothing to do with the transfer of assets. With a Living Will, you express your wishes regarding certain medical … [Read more...] about Lesser Known Will Can Add To Your Legacy
