Recent legislation provides unprecedented opportunities to minimize or avoid estate, gift and generation-skipping transfer taxes (GSTT).
Estate planning attorneys will agree that it is better to die with a properly drafted will, than to die without one. If you don’t have one, consider getting one.
The estate tax in the United States is a tax on your right to transfer property to other individuals upon your death, according to the IRS. In other words, when you die, the U.S. government might be entitled to a portion of your assets before the remainder can be passed to your heirs. Not all inherited assets are subject to the estate tax. In fact, the U.S. estate tax only affects the wealthiest households.
For many people, what comes to mind when they think about estate planning, is how much money they will be able to save in taxes as assets are passed from one generation to the next. While that is certainly an important part of any plan, there is much more to consider so that a person and his or her family are protected for the future.
With a new year upon us, it is a perfect time for people who have not begun the process to understand the benefits of getting a plan started.
Real estate is one of the most common types of assets that pass from one generation to the next through inheritance. Whether you expect to inherit property or plan to leave some behind, it pays to be aware of the basic tax implications.
Estate planning is a systematic process, which involves getting your personal and financial goods for the time, if you pass away or become mentally ill. It is also known as last will, and almost everyone does this planning for their family.
Where you retire can have a big impact on your tax bills for Social Security, pensions, IRAs, 401(k)s and other income.
If you miss the deadline for taking an RMD, you’ll be hit with a tax penalty. If you’re retired or have inherited a retirement account, you must take your required minimum distributions by December 31.
From changing brackets and penalties to increased estate-tax thresholds, next year will see tax changes for wealthy clients.
