The general estate planning unpreparedness among American adults is considerable. Carrying.com monitors this subject on an ongoing basis, and they have found that the numbers of people that have estate plans in place are decreasing year-by-year. In the 2020 survey, only 47.9 percent of survey respondents 55 years of age and older had estate plans in place. As you might imagine, the lack of preparedness was greater among younger adults. Just 27.2 percent of individuals between the ages of 35 … [Read more...] about Estate Planning Procrastination Is Dangerous
When Should You Use an Irrevocable Trust?
When you hear that there are revocable trusts and trusts that cannot be revoked, you may wonder why you would voluntarily surrender control of your assets to an irrevocable trust. If you can accomplish the same goals with the ability to revoke the trust, isn’t that the better way to go? In a perfect world, this would be the case, but there are legal realities that enter the picture here. Let’s look at the differences between these types of trust beyond the general right of … [Read more...] about When Should You Use an Irrevocable Trust?
Estate Administration: Make It Simple
When you start to conceptualize your estate plan, it is important to consider the administration of the estate after you are gone. If you take steps to streamline the process for the administrator, your loved ones will be the ultimate beneficiaries. We will provide some food for thought on the subject in this post. The Estate Executor and Probate If you use a last will as the centerpiece of your estate plan, you would name an executor in the document to act as the administrator. The executor … [Read more...] about Estate Administration: Make It Simple
Three Estate Planning Traps to Avoid
Most people do not have a full understanding of the reasons why you should plan your estate in a particular way. The ideal course of action will depend upon the circumstances so you should be careful about making assumptions. Individuals who go forward without the right information often make mistakes that yield negative consequences. In this post, we will look at three common estate planning traps to avoid. DIY Estate Planning There are websites that sell generic, boilerplate legal … [Read more...] about Three Estate Planning Traps to Avoid
Estate Planning: Emotions Often Lead to Inaction
Caring.com conducts surveys periodically to keep a finger on the pulse of the estate planning preparedness of Americans. The results are never encouraging, but things are actually getting worse. Their latest survey that has been conducted this year has found that the number of people who have a will or another estate planning document in place has decreased by 25 percent over the last three years. At this time, just 32 percent of adults in the United States have made the appropriate … [Read more...] about Estate Planning: Emotions Often Lead to Inaction
Choose the Right Inheritance Planning Tools
A lot of people think that legal advice is not necessary when it comes to estate planning because it is a very simple endeavor. You take a few minutes to draw up a will when you are old and gray, and that’s the long and short of it. People that adopt this perspective assume that trusts are only for the wealthy. In reality, this is a gross oversimplification. It is true that there are certain types of trusts that are used by affluent individuals who are exposed to estate taxes. However, there … [Read more...] about Choose the Right Inheritance Planning Tools
Estate Planning Is a Must for Single Parents
When you are a single parent, you must take action to put an estate plan in place. There is absolutely no way that you can responsibly go through life without making provisions for the well-being of your children if you were to pass away. This is true regardless of your age. Of course, we all expect to watch our children become adults in their own right, but there are no guarantees. Individuals pass away in accidents and due to sudden catastrophic health conditions each and every day. As sad … [Read more...] about Estate Planning Is a Must for Single Parents
Will My Estate Be Subject to Probate?
If you start to hear bits and pieces about the estate planning process, you will invariably run into the concept of probate. Most people have had no exposure to it so there are invariably going to be questions. We will try to answer some of them in this post. Legal Process of Estate Administration Probate can be succinctly defined as the legal process of estate administration. If you die while you are in possession of property that is going to be transferred through the terms of a will, the … [Read more...] about Will My Estate Be Subject to Probate?
Life Insurance Aids Succession Planning
The ideal estate plan will depend upon the circumstances, and this is one of the reasons why it is important to discuss your options with a licensed attorney. Some situations are more challenging than others, but there is an effective strategy to address just about any scenario. With this in mind, we will look at a couple of different ways that life insurance can provide solutions for small business people. Buy-Sell Agreements If you are planning your estate as a partner in a small … [Read more...] about Life Insurance Aids Succession Planning
Answers To Estate Taxation Questions
When money is changing hands, the tax man will usually want a piece of the action. Given this reality, people have questions about how taxation can impact inheritances. We will provide some answers to some of the typical questions that we hear in this blog post. Do you have to report an inheritance on your income tax returns? The answer to this question is generally no, and this is surprising to many people. An inheritance is not considered to be taxable income because the person that left you … [Read more...] about Answers To Estate Taxation Questions
