Thursday, 24 July 2008 @ 10:45pm • My Weblog
Consider giving the Personal Representative the power to form a Special Needs Trust (SNT) on behalf of any of your beneficiaries that are named in your will. This streamlines the Personal Representative’s ability to provide for a loved one who may later become disabled. It is better to have the clause and not to use it than to not have the clause in your will, and then have the estate expenses of petitioning the probate court.
You may also want to discuss the tax consequences of setting up a Special Needs Trust with your attorney or your professional financial consultant, as this can affect your estate planning strategy.
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Thursday, 27 March 2008 @ 3:30pm • My Weblog
This attorney is in California, but some of her questions on her web page were thoughtful and demonstrated insight into what a client might want to consider in the estate planning process. Click here for link
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Tuesday, 18 March 2008 @ 7:35am • My Weblog
Contemplate your gifting options – you can give up to $12,000 per year as a gift without tax consequences. Now, this means $12,000 for the year, so giving your adult son $11,995 in a check at the beginning of the year, and a $30 shirt for his birthday puts you over the $12,000 transfer, and is taxable. As a strategy if you are going to gift throughout the course of the year is to give a smaller check, say $9000 so if the birthday or holiday presents are a little luxurious, then the $12,000 threshold isn’t breached, and taxes aren’t due.
Want to pay for your grandchildren’s education at a nice private school or university? Tuition falls in the netherland for tax purposes, and are allowable gifts without large tax penalties. Your grandchildren are two and three right now, and you are unsure if you will live to see them enter college? Setting up an educational trust is a way to get around having the assets go through probate and go to your grandchildren’s educational needs.
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