The tax situation that applies to inheritances is quite favorable for the vast majority of Americans. If you receive an inheritance through the terms of a will, you are not required to report the income when you file your tax returns. This would also apply to insurance policy proceeds. Inherited appreciated assets get a step-up in basis. To explain through the use of a simple example, let’s say that your grandfather bought 1000 shares of stock for $10 a share many years ago. When he dies, he … [Read more...] about Gift Tax Exclusion Will Remain Constant in 2021
Estate Planning
Biden Administration Could Reduce Estate Tax Exclusion
Runoff Elections in Georgia resulted in a Senate controlled by Democrats. Could this impact your Estate Planning? It’s possible. Read on to learn more. … [Read more...] about Biden Administration Could Reduce Estate Tax Exclusion
Joint Tenancy Problems in Estate Planning
Sometimes people use Joint Tenancy as an easy, simple way to do Estate Planning. However, this can have serious, unexpected drawbacks. Read on to learn more. … [Read more...] about Joint Tenancy Problems in Estate Planning
Starting the New Year Right
As we begin a new year, it’s a good time to start off right. If you don’t already have an estate plan, now’s a great time to make an appointment with an estate planning attorney to get one. Read on to learn more. … [Read more...] about Starting the New Year Right
Estate Planning Insight for Blended Families
There is no universal estate plan that is right for every situation, and this is the most important thing to understand when you are entering into the process. You don’t have to accept limitations or take risks, because your plan can be custom crafted to suit your needs. One situation that can be a bit complicated is inheritance planning for parents that are going to be part of blended families, and we will provide some tips in this post. A simple will is not a good choice. If you are … [Read more...] about Estate Planning Insight for Blended Families
Simple Wills 101
The simple will is the document that comes to mind first when most people think about estate planning. In reality, this device is really not the right choice unless the situation is very simple and straightforward. We will provide a basic explanation of simple wills here, and we will also look at the drawbacks and limitations. Purpose of a Will Everyone is aware of the fact that a will can be used to state your final wishes with regard to asset transfers after you are gone. You can also use … [Read more...] about Simple Wills 101
How Do You Include a Minor in Your Estate Plan?
There are some inheritance planning situations that can appear to be challenging on the surface, but if you speak with an attorney, you will inevitably find a solution. Providing for a minor child would fit into this category, and we will look at two potential courses of action in this post. Testamentary Trust A testamentary trust can be simply defined as a trust that is embedded within a will. If you want to provide for a minor child in your estate plan, you could include a testamentary trust … [Read more...] about How Do You Include a Minor in Your Estate Plan?
Step-Up in Basis May Be Targeted
There can be changes to tax laws that have an impact on your estate plan, and they often come about when a new presidential administration takes office. We are going to look at two matters that fit into this category, and we will start with capital gains taxes on inherited assets. Stepped-Up Basis Reform When numerous different candidates were vying for the Democratic presidential nomination, we heard a lot of different platform positions. Some of the candidates were in favor of the enactment … [Read more...] about Step-Up in Basis May Be Targeted
Updating Your Plan: Powers of Attorney
As we approach the end of the year, it’s a good time to think about updating your plan. This includes your entire plan, including Powers of Attorney. Powers of Attorney are part of even the simplest estate plan. A Power of Attorney allows your Agent to act for you. There are Powers of Attorney for financial matters and also those for health care. It’s important to consider whether you need to update either of these powers. Read on to learn more. … [Read more...] about Updating Your Plan: Powers of Attorney
Updating Your Plan: Your Trust or Will
As we approach the end of the year, it’s a good time to think about updating your plan. This includes your entire plan, including your primary vehicle, such as a trust or will. Read on to learn more. … [Read more...] about Updating Your Plan: Your Trust or Will
