Estate planning can involve utilizing various legal instruments, and the best course of action will vary depending on individual circumstances. This is why websites that tell you anyone can plan an estate by simply filling in the blanks on a generic document are painting an incomplete picture.
Your legacy is important, and you and your family deserve personalized attention delivered by an experienced estate planning professional.
Some of the tools used by Estate Planning lawyers in Ashland, KY and Northern Kentucky are particularly efficient because they accomplish dual objectives. One of these is the GST or generation-skipping trust.
If you were to have a child who was a surgeon or in some other profession that was vulnerable to lawsuits, you may want to provide for this individual in a manner that shields the assets from potential claimants.
With a generation-skipping trust, you name your grandchildren as the beneficiaries rather than your children. Although your children can benefit from the trust’s resources, interested parties who have claims against your children cannot target them. So generation skipping trusts provide asset protection.
In addition, they yield tax efficiency because the estate tax is not imposed as the children benefit from the resources that have been placed in the trust. When the grandchildren inherit these funds the generation-skipping transfer tax is due, but one round of taxation is better than two.
To learn more about generation-skipping trusts and other estate planning tools, simply arrange for an appointment with an Estate Planning lawyer in the Ashland or Northern Kentucky area.