Your net worth is an important piece of information to have in hand when you are discussing things with your estate planning attorney. The federal estate tax can reduce the legacy that you pass along to those that you love. As a result, you must know where you stand with regard to the estate tax exclusion at all times. If the total value of your assets does not exceed the estate tax exclusion, you are in the clear; however, if your assets exceed the exclusion, you are going to have to work … [Read more...] about Keep Track of Your Net Worth
Sometimes you hear about an estate planning case that seems a bit bizarre, and this is certainly true when it comes to the case of the Robert Rauschenberg sculptural combine "Canyon." "Canyon" would be a very valuable work of art except for one thing: It can never be sold. The sculptural combine features a stuffed bald eagle. Due to federal regulations you cannot buy or sell a member of the species. This combine was the property of noted art dealer Ileana Sonnabend at the time of her death. … [Read more...] about Artistic Work Donated to NY MOMA to Settle Estate Tax Dispute
Giving something back to others is something to consider when you are contemplating your legacy. Any act of generosity is obviously going to be personally rewarding, and as you advance in age you may be all the more interested in doing something for others. From a financial perspective there can actually be some tax advantages that go along with certain acts of giving as well. This is something that you would want to discuss with a highly qualified estate planning attorney. Celebrities are … [Read more...] about Hagman Legacy Includes Charitable Foundation
People who are living on a fixed income can have a difficult time reacting to ever rising expenses. This is something to take into consideration when you are engaged in your retirement planning efforts. Planning ahead for your retirement years involves making accurate projections regarding your future debits and credits. With this in mind, you should certainly evaluate your anticipated property tax responsibilities. There is a certain confluence that can be troublesome when you have achieved … [Read more...] about Avoid Tax Liens Through Careful Retirement Planning
Estate planning attorneys are always going to remind clients about the fact that your planning efforts should be seen as important and ongoing. There is a great deal in the balance when you consider the potential ravages of the federal estate tax so you want to be optimally prepared at all times. With the above in mind, 2012 is a very significant year. Throughout the rest of this year the estate tax exclusion is $5.12 million, but it is going down to just $1 million in 2013. The maximum rate … [Read more...] about Your Property May Expose You to Estate Tax in 2013
Any time you give someone a gift, you are engaging in a taxable act. This is something that will go over the heads of most people because there is a $13,000 per year annual gift tax exemption. You can give gifts totaling this amount to any number of recipients each year without exposing yourself to the gift tax and its current 35% rate. Most people don't give gifts exceeding this amount to any one individual during a given year so it is usually not a factor. However, sometimes there are … [Read more...] about Can I Pay Someone’s Medical Bills as a Gift Tax-Free?
One of the highly publicized stories of the last couple of years in the realm of retirement planning is the unpreparedness of the baby boomer generation. Massive numbers of these individuals are reaching the typical retirement age, and many of them are finding that they are not in a financial position to retire. If you are someone who will have to budget carefully to be able to put your working years behind you, it is useful to enter into retirement with limited expenses. If you are saddled … [Read more...] about Retirement Budgeting: Taxes Can Be Stifling
The subject of taxes is always going to be prominent in an election year. Of course, 2012 is an election year, and it is an interesting year in the field of estate planning. At the end of the year, the tax relief act that was passed in December of 2010 is going to expire. This measure essentially extended the Bush era tax cuts. It provided a $5.12 million estate tax exclusion this year, along with a 35% maximum rate. As the laws are currently written, these parameters are going to change next … [Read more...] about Will the Estate Tax Issue Become a Political Football?
You have to be very concerned about the looming specter of the estate tax when you are positioning assets with the future well-being of your loved ones in mind. Contrary to popular belief, the estate tax is not just reserved for the very wealthy, and more people will be exposed to the tax in 2013. At the end of this year, the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010 is going to expire. When it does, under currently existing laws the estate tax exclusion … [Read more...] about Life Insurance Trust Can Deliver Tax Savings
Time passes quickly, and most people are firmly embedded in the routine of their day-to-day lives. So, you may not be aware of things that are taking place in Washington that could render your existing estate plan inadequate. With this in mind, we would like to raise awareness about the significance of this calendar year. Whether or not your family is going to be exposed to the estate tax, and how much they will potentially have to pay, varies depending on the parameters that are in place at … [Read more...] about Keep An Eye On Tax Debate