A Common Sense Approach to Estate Planning
Add Martin Luther King, Jr. to the list of famous people who died without a will in place. His family is currently in litigation with his 86-year-old former secretary who possesses documents, including a note from Rosa Parks, which she says Martin Luther King, Jr. gave her. The family contests that the notes are the […]
Revocable versus Irrevocable Trusts
“What’s the difference between a Revocable and Irrevocable Trust?” I’m asked this question often. Estate planning often involves setting up revocable or irrevocable trusts. Each one of those trusts begins with an intervivos trust — a trust you set up that goes into effect while you’re still alive. You then decide if the intervivos trust […]
Estate Planning 2013 Gift Tax Rates Schedule
Estate Planning Key indexed figures 2012 2013 Annual gift exclusion: $13,000 $14,000 Gift and estate tax applicable exclusion amount: $5,120,000 + DSUEA1 $5,250,000 + DSUEA1 Noncitizen spouse annual gift exclusion: $139,000 $143,000 Generation-skipping transfer (GST) tax exemption: $5,120,0002 $5,250,0002 Special use valuation limit (qualified real property in decedent’s gross estate): $1,040,000 $1,070,000 1 Basic exclusion […]
HOLDING REAL ESTATE IN CALIFORNIA Benefits of a LLC and a Trust
Owning investment properties can produce big rewards, but also big problems. This is why it is important to hold title to your property in the most beneficial way. A smart investor should consider using both a LLC and a trust to adequately protect himself and his property. Countless individuals invest in real estate every day. […]
Estate Planning in 2013
The new year began with some political drama, as last-minute negotiations attempted to avert sending the nation over the “fiscal cliff.” Technically, we actually did go over the cliff, however briefly, as a host of tax provisions and automatic spending cuts took effect at the stroke of midnight on December 31, 2012. However, January 1, […]
9 Estate Planning Success Tips
9 Estate Planning Success Tips Keep your will or trust up to date. Keep your legal residence address, marriage status, children, guardian list, etc. updated. Keep track of beneficiaries for all of your IRAs, qualified plans and insurance policies.Do you know who your beneficiaries are for these assets? If you don’t, they may be going to […]
What is Probate
If a person executes only a will or fails create Estate Planning documents, then at their death their estate will be subject to probate. Probate is a court procedure that oversees payment of debts and transfer of assets following an individual’s death. Probate is an option you do not want to take because of the […]
529 Plans Estate Planning
Not only are 529 plans an excellent way to fund a child’s future college expenses, but 529 college savings plans are also an important estate planning tool. In fact, for wealthier families, a 529 plan offers excellent opportunities to transfer wealth as part of your overall estate plans. 529 Plan Rules Today, all 50 states and the […]
Simple Ways to Avoid Paying Extra to Uncle Sam
Historically, in 2009 the Estate Tax exemption was $3.5 million per person and anything above that amount was taxed at 45%. President Obama signed the Tax Relief Act into law on December 17, 2010, which sets the estate tax exemption is $5,000,000 per person and any amount above $5,000,000 is taxed at 35%. Come 2013, the […]
Be Smart Create an Estate Plan
If you do not have an estate plan, then you and your property will end up in a court-supervised probate, guardianship or conservatorship proceeding. Thus, if you do not have an estate plan, then there is no way for your loved ones to know what you really wanted and your property may be distributed to […]
