The new year is upon us, and you may want to view this renewal as a signal to consult with your estate planning attorney.
There are a number of different reasons why your existing estate plan may be in need of certain revisions. Sudden exposure to the estate tax is one of them.
Things do not stand still and this is something to keep in mind as it applies to your estate plan. Your original estate plan is going to be based on a snapshot of your life at the time of its creation. However, it is very likely that your financial situation will change over the years.
For this reason it is a good idea to keep close tabs on your net worth. If you work up a net worth statement each year you will always have a reasonably accurate idea of where you stand.
When you share this information with your estate planning lawyer he or she will be able to tell you if your family would be subject to the estate tax if you were to pass away.
The estate tax parameters are always in flux, and it is not realistic to think that the typical layperson is going to be fully apprised of the laws as they continually change. Your lawyer on the other hand makes a career of it.
Keep close tabs on the value of your resources and take action to schedule ongoing consultations with your estate planning attorney to preserve your wealth for the benefit of succeeding generations.
Mr. Kraft assists clients primarily in the areas of estate planning and administration, Medicaid planning, federal and state taxation, real estate and corporate law, bringing the added perspective of an accounting background to his work.