There are a number of different factors to consider when you are engaged in inheritance planning, and one of them would be details specific to the people who comprise your inheritance list. It is not always as simple as handing over a lump sum bequest directly, because for one thing there can be estate tax implications that must be addressed. Some heirs may not be ready to handle a large sum of money, and for these individuals you may want to include stipulations, perhaps through the … [Read more...] about Asset Protection Can Be Key Consideration
Estate Planning
Consider An RLT
You may have heard the expression "the right tool for the right job," and a lot of times what separates the professionals from the rest of us is the fact that they have the right tools at their disposal. When it comes to estate planning there are different tools that are utilized under varying circumstances. There can be more to it than simply drawing up a last will, and this is why it is advisable to work with an Indianapolis estate planning lawyer when you are contemplating your … [Read more...] about Consider An RLT
Inheritance Planning: You Have The Control
When you are engaged in inheritance planning you have to consider the impact that a large windfall will have on the recipients. Perhaps you have some heirs on your inheritance list that are established in their own right, having demonstrated the ability to handle their own affairs effectively. You may have no hesitation about leaving a lump sum to someone like this, but there could be other people who will be receiving inheritances that could use some guidance. You have options … [Read more...] about Inheritance Planning: You Have The Control
Lessons To Be Learned Through MLK Estate
When famous people pass away you often hear about the way that they planned their estates, and some of the stories are quite positive. For example, we lost the mercurial British songstress Amy Winehouse over the summer, and according to reports she had an ironclad estate plan in place. Her parents and her brother were provided for while her former husband, who could have been in line for an inheritance had she failed to plan ahead, was excluded. Other people of note were not as … [Read more...] about Lessons To Be Learned Through MLK Estate
What Is A Buy-Sell Agreement?
Buy-sell agreements are often used by partners in small businesses who are engaged in succession planning, and they can provide a solution to a rather challenging situation. If you are a partner in a small business you may find that your share is your most significant financial asset. But you probably don't want to give this asset in its entirety to just one of your heirs. So how do you make it liquid so that you can spread it to multiple family members without forcing them to sell … [Read more...] about What Is A Buy-Sell Agreement?
Proper Incapacity Planning Can Prevent Guardianships
If you were to become incapable of handling your own affairs due to mental or physical incapacity, interested parties could petition the court to appoint a guardian to act in your behalf. You may have no say about who this guardian is going to be, and if the petition is granted you could become a ward of the state. This is a prospect that is not appealing to many people, but the good news is that you can avoid guardianship proceedings if you engage in intelligent incapacity … [Read more...] about Proper Incapacity Planning Can Prevent Guardianships
ILIT Can Deliver Tax Efficiency
There is a veritable alphabet soup of acronyms to contend with when you are trying to find out information about estate planning. One of these is the ILIT or irrevocable life insurance trust. These vehicles can provide people with tax savings and we would like to offer a brief explanation of ILITs here. It is important to understand the fact that the federal estate tax can be imposed on life insurance proceeds if the policy is owned by the deceased. In an effort to avoid this, you … [Read more...] about ILIT Can Deliver Tax Efficiency
2012 Could Be A Good Year For Gift Giving
It is important to understand the fact that estate planning is not a "one and done" kind of thing. There are events take place in your own life that call for estate plan updates and as we all know the only certainty is change. But in addition to the twists and turns that are specific to you and your family, there are also things that take place that can impact your existing estate plan that are outside of your control such as changes to the tax laws. With this in mind let's examine … [Read more...] about 2012 Could Be A Good Year For Gift Giving
FLP Can Deliver Tax Efficiency
Taxation can take its toll when you are attempting to transfer assets to your loved ones both during your life and after your passing. While it makes sense that you could choose to simply give gifts to your family members while you are still alive, you do have to contend with the gift tax if you choose to go this route. The gift tax carries the same 35% rate as the estate tax right now, but the maximum rate of both of these taxes is scheduled to rise to 55% in 2013. Though there … [Read more...] about FLP Can Deliver Tax Efficiency
Estate Planning: Don't Overlook The Practicalities
In estate planning there are some legal complexities that must be addressed, and this is the area that most people focus on when they get serious about making preparations for the future. This is going to require identifying an estate planning attorney that you feel comfortable working with. Along these lines it is important to understand that you are probably going to have to make adjustments along the way so you would do well to schedule estate plan reviews as they become … [Read more...] about Estate Planning: Don't Overlook The Practicalities
