There are some pleasant problems that can present themselves as you are engaged in the process of estate planning. You may have to look for creative solutions as you are arranging for asset transfers with the well-being of your heirs in mind. Individuals who are in a position to leave behind significant sums of money to their loved ones are going to be people who understand how to handle financial resources effectively. This does not necessarily mean that all of your heirs will share this … [Read more...]
With Careful Planning Your Legacy Can Be Felt For Generations
If you want to you can look at estate planning as a bare-bones effort to arrange for the transfer of assets to your loved ones after your passing. This is certainly not the best perspective, but even a basic estate plan is better than none at all. However, there are those who see things in a different way. If you have ample resources you may be able to make your legacy felt for generations to come, and this is something to consider when you are contemplating the future. There are a number of … [Read more...]
Inheritance and Estate Taxes: NJ Gets Them Both
Being aware of the tax burden that your heirs may face after you pass away is very important when you are making preparations for the inevitable. Some states impose more of a burden than others, and here in New Jersey we are in rarefied company. Only the Garden State and the state of Maryland have both an estate and an inheritance tax at the state level. Before you even get started evaluating your New Jersey tax responsibility you have to be aware of the federal estate tax that is imposed … [Read more...]
Living Wills Demystified
Within any legal specialty you are going to find a great many acronyms and rather wordy descriptions defining procedures, instruments, and protocol. Estate planning is no different and because of the financial nature of this discipline there is a lot of ground to cover for anyone who has an interest in the strategies estate planning attorneys routinely employ. Once you understand the basic definition of something like a trust or a will you will invariably find that there are multiple types of … [Read more...]
Making The Most Of Your Inheritance Planning
When you are planning your estate that shadow you see over your shoulder is the estate tax and its 55% top rate looming, so one of the primary goals is to do what you can to avoid this harsh federal levy. One way that you can transfer assets to your heirs free of the estate tax is through the giving of gifts, and when you do this you also gain the tax advantage of reducing the overall value of your estate. The government is well aware of the fact that you could give your heirs their inheritances … [Read more...]
Should You Use A GRAT?
The basic goals of estate planning are to efficiently pass your assets along to your heirs and keep them intact in the process, and estate planning attorneys implement a number of different financial instruments to accomplish these objectives. One of these that can be very effective under certain circumstances is the grantor retained annuity trust, often shortened to the acronym GRAT. The GRAT accomplishes two different things if it is used successfully: it removes appreciable assets from your … [Read more...]
Incentive Trusts Can Give You Peace Of Mind
If you are on the outside looking in it may seem as though wealthy people who are planning their estates feel akin to jolly old St. Nick, capable of making the financial dreams of their loved ones come true. It would be disingenuous to suggest that being able to provide for your family after you pass on is not a blessing of sorts, but it's not without its pitfalls. We have all seen reports of the children of very wealthy people struggling in various ways throughout their lives, and there are … [Read more...]
An Ethical Will Is A Priceless Bequest
There are any number of confusing acronyms and unfamiliar terms tossed at you when you start to get serious about planning your estate. But there is one estate planning vehicle that everyone is very familiar with, and that would be the will. Of course there is the standard will that is used to state your wishes with regard to the way that you would like your assets to be distributed after you pass away. We also recommend the living will, with which you state your health care preferences in the … [Read more...]
Include Your Memoirs In Your Estate
There are pragmatic matters to address when you are planning your estate, and of course it is important to take stock of your assets and decide how you would like to distribute them upon your passing. Doing the above involves making some smart financial decisions that require intellect, but there can be a profound emotional component to it as well. You have to consider what you would like to give to each of your loved ones and why, and aside from doing the math this can involve a great deal of … [Read more...]
Retirement Planning: The Sooner The Better
When you look at an overview of the financial realities that we all face throughout our lives, you immediately notice how everything is connected. Depending on the extent of your assets, you are probably going to have to plan for your retirement years before you consider how to plan your estate. And how prepared you are to address the financial realities of retirement is going to have everything to do with the value of your estate when you pass on, so it is clear that estate planning and … [Read more...]
