If you choose a last will to direct the distribution of your assets to your loved ones after you pass away, your estate will have to be probated. There could be outstanding debts, and creditors are guaranteed a substantial period of time to seek satisfaction during the probate process. In addition, anyone who takes exception to the will could present challenges before the probate court. Once the court determines that the will is indeed valid, it supervises the administration of the estate. As … [Read more...] about Probate Avoidance: Consider A Revocable Living Trust
Probate Avoidance Strategies
One of the things that you may want to consider when you are planning your estate is how to avoid probate. Probate is the judicial process of estate administration. The executor or personal representative of the estate pays debts, inventories assets, and prepares them for distribution to the beneficiaries of the estate. The probate court supervises this administration after determining the validity of the will. The probate court also hears any arguments presented by interested parties who want … [Read more...] about Probate Avoidance Strategies
Estate Planning Is An Ongoing Process
It is no secret that a lot of people procrastinate about any number of things, and this tendency certainly shows itself when it comes to estate planning. For most people, thinking about death is something that is low on their list of priorities. So even if you recognize that you should have estate planning documents in place, you may decide you have plenty of time to take care of it at a later date. Because of this, many people who do finally take action and create an estate plan often tuck it … [Read more...] about Estate Planning Is An Ongoing Process
GRAT Strategy Can Yield Tax Savings
On the surface it seems like there should be no obstacles standing between you and people that you would like to give gifts to. Unfortunately, the tax code says otherwise. There is a federal gift tax with a rate of 35% that is connected with the estate tax. While there is currently a lifetime $5 million gift tax exclusion, your available estate tax exclusion will also be reduced by the amount of any gifts that you give under this exclusion. (These are gifts over and beyond the $13,000 per … [Read more...] about GRAT Strategy Can Yield Tax Savings
Estate Planning: Do You Have Goals?
Over the course of your life you may have seen a car with a bumper sticker that says something like "We are busy spending our children's inheritances." This is the mentality of some people when it comes to estate planning. They figure their estates will be comprised of whatever happens to be left over after they pass away. However, there are others who take a different approach. They actually have certain things in mind that they want to be able to do for their loved ones. For example, many … [Read more...] about Estate Planning: Do You Have Goals?
Special Needs Trusts Need Special Planning
Living Trusts are becoming more common in Estate Planning, and these can include Special Needs Trusts to help take care of a disabled loved one. What may people don’t take into account, however, is that a Special Needs Trust must be drafted carefully to avoid interfering with the disabled person’s eligibility for government benefits such as Medicaid or Social Security benefits. When it comes to Medicaid, the government determines eligibility based on income and asset limits. Income is pretty … [Read more...] about Special Needs Trusts Need Special Planning
The Probate Process
The last will is the most common estate planning vehicle, and everyone knows what a will is intended to accomplish. However, when you are planning your estate you don't have to use a last will. There are a number of different vehicles to transfer assets; and depending on the nature of your assets, the dynamics of your family, and the specific details of your wishes, a last will may not be the best option for you. One reason a lot of people look for alternatives to a last will is because your … [Read more...] about The Probate Process
CRUT Can Be Part Of The Plan
People who have not given the subject of estate planning much thought often assume that they will simply use a last will to transfer assets to their loved ones after they pass away. This is of course one option that is available to you, but there are many different vehicles of asset transfer that can be woven into your comprehensive long-term plan. One of these that some people find to be extremely useful is the charitable remainder unitrust or CRUT. You fund the trust and name a non-charitable … [Read more...] about CRUT Can Be Part Of The Plan
Estate Planning: A Basic Responsibility Of Adulthood
Contrary to popular belief, estate planning is not something that is confined to senior citizens. As unfortunate as it may be, people of all ages pass away every single day leaving loved ones behind. Estate planning can be accurately described as a core responsibility of adulthood. This is one reason why many employers immediately offer new employees life insurance policies (a part of estate planning), with the employer usually providing a base level of coverage at no cost to the … [Read more...] about Estate Planning: A Basic Responsibility Of Adulthood
Al Davis And Estate Planning
October 8, 2011 was a sad day for professional football purists; it will be remembered as the day that legendary Oakland Raiders owner Al Davis passed away. Davis was a controversial figure. Loved by many and not as much by others, he was almost universally respected in the world of sports. He became the owner of the Raiders in 1970, and his teams captured four AFC Championships and three Super Bowls after the merger between the AFL and the NFL. Al Davis was inducted into the NFL Hall of Fame … [Read more...] about Al Davis And Estate Planning
