One of the most compelling reasons to discuss your unique situation with an estate planning attorney is the simple fact that there are many different approaches to planning. As a layperson, there is no reason why you would or should be aware of all of them. However, in just about all instances, there are good solutions, even if the situation seems challenging. Estate planning for small business owners can fit into this category, and we will look at a couple of different scenarios that are … [Read more...] about Inheritance Balancing for Small Business Owners
Inherited Assets Get a Step Up in Basis
As estate planning attorneys, taxation is one of the subjects that we are asked about the most, and this makes sense. The Internal Revenue Service seems to want to know about every penny that finds its way into your pocket so you would assume that this would extend to inheritances. Plus, most people have heard about the existence of estate taxes so they assume that taxation comes with the territory. In this post, we will provide some clarity, with an emphasis on appreciated assets (assets … [Read more...] about Inherited Assets Get a Step Up in Basis
Five Things to Know About Estate Taxes
Since the tax man seems to be involved in every financial transfer imaginable, you may assume that your family will be forced to pay some type of estate taxes. We are glad to be able to tell clients that in fact, most people do not have to worry about this form of taxation. However, those who do are facing a maximum rate of 40% that can have a very serious impact. In this post, we will provide five key pieces of information about death taxes that will give you a basic but broad understanding … [Read more...] about Five Things to Know About Estate Taxes
Inheritance Planning: See the Entire Picture
If you were going on a trip somewhere and someone was going to be watching your home, you would make sure that they were prepared for everything that could occur. You wouldn’t simply give them the keys and hope that the rest falls into place. This is the mentality that you should apply to your inheritance planning efforts as well. It is important to ask yourself how your wishes will come to fruition after you are gone. Clearly, you state them in a legally binding document like a last will or … [Read more...] about Inheritance Planning: See the Entire Picture
Why Would You Use Irrevocable Trusts?
The most important reason why you should discuss your personal situation with a licensed estate planning attorney is because there are many different options. There is no one-size-fits-all inheritance plan that is right for everyone so you should learn about your options so you can make the right choices. With this in mind, we will look at the value of irrevocable trusts in this post. Incidents of Ownership One major distinction between the different types of trust is the ability to revoke … [Read more...] about Why Would You Use Irrevocable Trusts?
Aims a Living Trust Will and Won’t Accomplish
A revocable living trust is a versatile estate planning tool that can be the right choice for a wide range of people. That being said, there are different types of trusts. Though a revocable living trust can satisfy multiple aims, there are other options that can be preferable under certain circumstances. We will look at the matter of trust selection in this post. Revocability and Incidents of Ownership There are people who never even consider the possibility of using a trust because they are … [Read more...] about Aims a Living Trust Will and Won’t Accomplish
Estate Planning for Young Adults
A brand-new 2019 study has been conducted by Caring.com to evaluate the estate planning preparedness of American adults. One of the most compelling statistics that they share on their site demonstrates the head scratching nature of the phenomenon. Around 76% of people surveyed say that estate planning is important, but only 40% of the people that believe this actually have estate plans in place. In all, 57% of adults in the United States have not have executed a last will, a living trust, or … [Read more...] about Estate Planning for Young Adults
Estate Planning and Marital Status Changes
Since so many people procrastinate for years before they address the matter of estate planning, after they take action, inertia can set in once again. If you are in this category, life changes will probably come down the pike. As a result, your estate plan may become obsolete, and this is something that you should understand from the start. Indeed, estate planning should be viewed as a process, not a one-time event. You can always make sure that your estate plan reflects your current desires … [Read more...] about Estate Planning and Marital Status Changes
Inheritance Tax Can Impact Kentucky Residents
We often respond to clients who have questions about how taxation can enter the picture when assets are changing hands after someone dies. This is certainly understandable, and perhaps surprisingly, most of the news that we pass along is good news. Generally speaking, inheritances are not considered to be regular income for federal or state tax purposes. Plus, you get a step-up in basis if you inherit appreciated property. This means that for capital gains tax purposes, you are not … [Read more...] about Inheritance Tax Can Impact Kentucky Residents
Five Reasons to Consult With an Estate Planning Lawyer
Estate planning is one of the basic responsibilities of adulthood, but studies that are conducted show that most people are unprepared for an event that is an absolute inevitability. There are some good reasons why you should consult with an estate planning lawyer if you have been ignoring the matter, and we will look at five of them here. Prevent Intestacy A lot of people are not too concerned about inheritance planning because they assume that the government will step in to take care of … [Read more...] about Five Reasons to Consult With an Estate Planning Lawyer
