Joint real estate ownership allows the property to bypass probate and pass directly to the other owner(s) upon death. However, it’s important to note that joint property ownership can lead to unintended consequences despite its appeal for succession planning. Let’s discuss these potential complications further: Financial Risks of a Co-Owner’s Debt Any debt or obligation,…
The Wall Street Journal (Julie Zauzmer Weil) 8/5/24 published an article titled “The IRS has opened its free tax filing for all states. Which ones will join?”. The article discusses how, in 2024, the IRS offered 12 states the chance to try Direct File, a new free tax tool allowing taxpayers to file federal taxes directly…
Our July newsletter brings to you the potential tax policies of the next administration that could have a major impact on your personal wealth and estate planning strategies. Then, we discuss all things estate planning for vacation properties. Lastly, we discuss passing down sports memorabilia in your estate plan. How Potential Presidential Policies Could Shape…
Many individuals choose to incorporate a charitable bequest into their estate plan. For some, this decision stems from a deep sense of altruism; for others, the drive is the significant financial advantage. Yet, for the vast majority of donors, the charity they leave behind represents a harmonious blend of both motivations. Including charitable donations in…
In this month’s newsletter, we provide a comprehensive understanding of the Generation-Skipping Transfer Tax and its implications. With each transfer of wealth, federal estate taxes are collected. Typically, money goes from spouses to children, then grandchildren, and so on, with taxes collected each time. Wealthy families discovered they could avoid estate taxes by giving money…
An intrafamily loan is a financial agreement between a family member who borrows money from a lending family member. These loans benefit children and grandchildren learning to be financially responsible but may have difficulty obtaining a loan due to age or credit score. In many circumstances, these loans offer flexible repayment terms and interest rates….
Effective financial management, particularly for married couples, includes a crucial component: estate planning. A critical factor in this process is reducing estate taxes, as taxes can significantly impact the allocation of money and property to loved ones. Planning could involve utilizing the deceased spousal unused exclusion amount. What Are Gift and Estate Taxes? In 2024, individuals…
In 2017, the Tax Cuts and Jobs Act (TCJA) substantially raised the federal estate tax exemption to $10 million. This designated sum allows you to gift assets to your loved ones, free from gift or estate tax obligations upon your passing. Any portion of this exemption utilized during your lifetime diminishes the available amount at…