Every state that recognizes trusts as a legal entity imposes fiduciary duties upon the Trustee of such trust. These duties may have different names in different jurisdictions, but ultimately a breach of fiduciary duties means that the Trustee has failed to do what is required of them under the terms of the trust instrument and local law. This second part of a three-part series examines a case ripped from the headlines that highlights what happens when plans go awry. Read on to learn more. … [Read more...] about Exploring the Many Issues Surrounding the Estate and Trust of Richard Blum – Part II
Estate Planning
The Magic of Grantor Trusts
Grantor trusts are a particularly powerful tool in estate planning. They allow the taxpayer to remove assets from their taxable estate, while those assets can grow tax-free because the grantor is paying the income tax for the trust. Read on to learn more about the magic of grantor trusts. … [Read more...] about The Magic of Grantor Trusts
How to Involve Your Family in the Estate Planning Process
There is no doubt that having a well thought out estate plan in place is one of the most meaningful gifts you can give to your family. In fact, you may want to get your family’s input when you are going through the process of creating your estate plan – or you may not want them involved. To get you started contemplating your options, the Los Angeles attorneys at Schomer Estate & Wealth Advisors discuss how to involve your family in the estate planning process. What’s in Your Estate … [Read more...] about How to Involve Your Family in the Estate Planning Process
Is a Survivor’s Trust Right for My California Estate Plan?
Although most estate plans begin with the execution of a Last Will and Testament, it is common to add to that initial estate plan over time. One of the most common additions to an estate plan is a trust agreement. The type of trust agreement you include in your estate plan will depend on the purpose or goal of the trust. If you are married, for example, you might include a survivor’s trust in your plan. The Los Angeles attorneys at Schomer Estate & Wealth Advisors discuss whether a survivor’s … [Read more...] about Is a Survivor’s Trust Right for My California Estate Plan?
The Importance of Reviewing Beneficiaries and Fiduciaries
Creating an initial estate plan is only the first step in protecting and providing for your loved ones. Much like the proverbial flower garden, an estate plan must be tended to for it to survive and function as intended. One crucial way to do that is to make sure that your beneficiary and fiduciary designations are up to date. Toward that end, the Los Angeles attorneys at Schomer Estate & Wealth Advisors explain the importance of reviewing beneficiaries and fiduciaries in your estate … [Read more...] about The Importance of Reviewing Beneficiaries and Fiduciaries
How Do I Make Changes to My Estate Plan?
Crafting a comprehensive estate plan should be a top priority to ensure both your personal well-being and the financial security of your loved ones. A meticulously designed estate plan serves the dual purpose of safeguarding your assets while fostering their growth throughout your lifetime, all while providing assurance that your loved ones will remain financially secure if something happens to you. If you've already established an estate plan, you are ahead of most Americans. At some point, … [Read more...] about How Do I Make Changes to My Estate Plan?
How Can an Incentive Trust Help Me Achieve My Estate Planning Goals?
Although the primary goal of your estate plan may be to create a roadmap to be used to distribute your estate assets according to your wishes after you are gone, your estate plan can achieve so much more. For example, you may want to pass down more than just monetarily valuable assets to your loved ones. You may hope to also pass down life lessons and wisdom you have gained over the course of your lifetime. You may also hope to continue to guide your children and grandchildren after you are … [Read more...] about How Can an Incentive Trust Help Me Achieve My Estate Planning Goals?
National Make-a-Will Month
Although many Estate Plans have a Revocable Trust as the foundation for the plan, Wills play an important role in a comprehensive Estate Plan. Alarmingly, most Americans don’t have a Will even though they know it’s important. As National Make-a-Will month comes to a close, let’s explore the often overlooked and neglected Estate Planning document, the Will. Read on to learn more. … [Read more...] about National Make-a-Will Month
IRS Confirms Grantor Trust Status Alone Does Not Cause a Step-Up in Basis
The IRS released Revenue Ruling 2023-2 explaining that assets in a trust which is not included in the estate of the decedent don’t receive a “step-up” in income tax basis. This is the case even if the trust is taxed to the grantor for income tax purposes. This confirms the plain language of the statute and what we’ve long known. Read more to learn more about this Ruling and how to qualify for one of the biggest tax loopholes. … [Read more...] about IRS Confirms Grantor Trust Status Alone Does Not Cause a Step-Up in Basis
Understanding the Importance of the Simultaneous Death Act
Most spouses create Estate Plans that are intertwined. The plans work well on numerous levels allowing the spouses to benefit the surviving spouse and then distributing their joint assets to their children upon the death of the survivor. Even in a second marriage situation, it’s possible for the first spouse to die to create a trust benefitting the surviving spouse for life, but then going to children from a prior relationship upon the surviving spouse’s death. What happens when two spouses die … [Read more...] about Understanding the Importance of the Simultaneous Death Act
