|
By Bob Bennie, CFP®, MBA and Christine Vanderford Attorney, Vanderford Law Office
 You have worked hard for your money, and have made every attempt to be a conscientious saver and investor. So, it is only natural that you want some control over what happens to your assets in the event of your death. At the very least, you probably want to minimize or avoid potential hassles and headaches for your loved ones.
Estate planning deals with what happens to your assets after you die. Even if you are a person of modest means, you have an estate. You also have several strategies to choose from to be sure your assets are distributed as you wish and in a timely manner. The right strategies depend on your individual circumstances-what is best for your neighbor, may not be what is best for your situation. It is important to learn as much as possible about your options and to seek out the experts who can assist you in making your legal and financial decisions.
|
|
Read more...
|
|
|
Many people perceive trusts as a complex subject better left to their attorney. When stripped of all its "bells and whistles," however, a trust can be viewed simply as a contract, wherein a grantor agrees to transfer assets to a beneficiary, or multiple beneficiaries, who then receives the assets as stipulated in the contract. A trustee, who may or may not be the grantor, manages the trust assets and ensures the stipulated terms of the trust are faithfully carried out.
|
|
Read more...
|
|
|
Advance Directives: Part I |
Part I—Securing Your Quality of Life
Historically, estate planning has focused on the minimization of taxes and the disposition of one's assets at death. However, managing one's affairs in the modern world has become more complicated, and quality of life issues (involving health care, finances, and how critical planning decisions are made) are becoming more important.
|
|
Read more...
|
|
|
Advance Directives: Part II |
Health Care Issues
Part I of this series looked at the durable power of attorney as an estate planning tool to direct financial quality of life decisions, designating an agent to act on one`s behalf when one is no longer able to do so.
|
|
Read more...
|
|
|
Maximizing the Applicable Exclusion Amount |
One of the most common estate planning strategies for married individuals is for each spouse to leave his or her entire estate to their surviving spouse. Due to the unlimited marital deduction, an entire estate (regardless of size) can pass to the surviving spouse without incurring any federal estate taxes upon the first death. However, such a strategy fails to take advantage of the applicable exclusion amount of $2,000,000 for 2008* that each individual can transfer to heirs completely free of gift or estate taxes, potentially subjecting the survivor’s estate to higher than necessary future taxes. This undesirable situation occurs because all property remaining in the survivor’s estate will otherwise be subject to estate taxation.
|
|
Read more...
|
|
|
