|
-
Wednesday, July 14, 2010
Q: My husband and I have three children under age six. Do we need wills?
A: You should each have a will for the benefit of your minor children. Here's why: If one of you dies the surviving parent will naturally continue as the children's guardian. But if both of you die your children will need to have a guardian appointed and the court will need assistance in determining who that person should be. Your individual wills allow you to name that guardian, someone who you believe to be the best person to care for and raise your children. You can ...
-
Wednesday, July 14, 2010
Q: My husband and I have real estate and other assets. Some assets are titled in our names as joint tenants, but most just have both of our names on the titles. What should we do for estate planning purposes?
A: You’ve asked for help in a complex area of the law. The complexity arises from the fact that different states recognize different kinds of property titles and those titles sometimes mean different things from state to state.
Correctly titling assets is important for estate planning because the way assets are titled determines how those assets are transferred to heirs when their owner ...
-
Wednesday, July 14, 2010
The IRS divides charities into two general groups: 50-percent charities and 30-percent charities. Generally churches, schools, hospitals, governmental units and certain qualifying foundations are considered 50-percent charities. Organizations that don’t qualify as 50-percent charities are considered to be 30-percent charities.
Gifts to qualifying charities are subject to different rules and depend upon the gross income of the donor, whether or not the donor is an individual or a corporation, the type of property donated and whether the donee/recipient is a 50-percent or a 30-percent charity.
If you as an individual want to donate cash to a 50-percent charity the total available deduction ...
-
Wednesday, July 14, 2010
Posted by Jim Ferguson - Many of us have heard of “probate” but don’t really know what it is. Often it seems to have attached to it some of the same connotations as a disease: Avoid it if possible. And it is sometimes possible to avoid probate by use of a trust…… but that’s a discussion for another time. Here’s what going to happen to your assets when your time comes. After you die assets that have a title (your home, any other real estate, your car, stocks, bonds, etc.) are still in your name. However, you’re no longer ...
-
Wednesday, July 14, 2010
Every state has laws, called intestacy laws, which determine what happens to real and personal property in the event that an individual dies without a will that can be located and probated. Acting within the scope of intestacy laws a court will determine who will act as guardian if the decedent had minor children and might appoint a trustee to administer any substantial amount of assets left to those minor children. Intestacy laws do not recognize personal circumstances or personalities, nor in many cases, do they provide the judge who is applying them much latitude with respect to his decisions. In certain circumstances, in certain ...
-
Wednesday, July 14, 2010
There is no hard and fast answer to these questions, however, we always recommend that you review your will (and trust documents if any) at least annually. You miht be surprised at how difficult this is to do since such a review is easily forgotten. If you need an effective way to schedule this review we suggest that a good time is immediately after you have filed your federal income tax return for the simple reason that you will probably have a good grasp of your personal financial matters at that time. However, any method that consistently helps you remember to review your will etc. is ...
-
Wednesday, July 14, 2010
The most difficult estate planning decisions involve the simultaneous death of both parents, and the most difficult of those decisions is who to choose as guardian of your minor children. It is difficult to imagine that anyone would raise your children with as much love and care as you would. For that reason, it may seem that no one will be a satisfactory choice. Nevertheless, a well-thought-out choice is better than no choice at all. Remember, should the need for a guardian arise, the situation is already less than ideal and difficult circumstances already exit. By careful thought and planning now you can ...
-
Saturday, July 03, 2010
Q: We’d like to begin giving some of our estate away to our children. How can we do that without paying gift taxes? A: In 2010 you can give as much as $13,000 to each of any number of individuals without paying any gift tax or being required to file a gift tax return. You can give up to that same amount annually to as many people as you wish including each of your children, your friends, or complete strangers. $13,000 is the current annual exclusion amount.
In other words, you can gift up to the current annual exclusion amount to any number of ...
-
Saturday, July 03, 2010
Q: My wife and I are worth about $4 million. We have two adult daughters. How can I avoid estate taxes when I die?
A: According to the current (2010) federal estate tax table when either of you dies there won’t be any federal estate tax on the decedent’s half of the estate. In fact, federal estate tax law currently provides that there is no federal estate tax if you die in 2010 no matter how large your estate. This is only a temporary situation since the federal estate tax exclusionary amount reverts to $1 million in 2011. There is no published federal estate tax ...
-
Thursday, June 03, 2010
Different jurisdictions use different terms for the taxes they levy when an individual dies so it isn't possible to make an absolute distinction between estate taxes and inheritance taxes. However, the tax that the federal government levies on larger estates is always called the "Federal Estate Tax". Beyond that, the most valid generalizations are as follows: - Estate taxes are taxes levied on the value of the assets that were owned by a deceased individual. They are usually paid out of the assets of the estate before the estate is distributed. A number of states levy estate taxes separate from and in addition to the federal estate tax. The federal estate tax, levied ...
Disclaimer: The information provided on this website, including the statements and responses of the consultants, is of a general nature and is not intended as a substitute for consulting a professional. The best advice is to consult a professional in your area to make sure that your specific facts and circumstances are adequately reviewed. No attorney-client, accountant-client, or consultant- client relationship is intended or established. Your review or participation on this site is an acknowledgement of and agreement with the terms of this disclaimer.
|
|