Category: Trusts
Before he died in 2010, at the age of 90, Albert made out a will – with a clause. Which brings us back to the Ravenholt family reunion. To receive their share of Albert’s wealth, his nieces and nephews are required to attend… Just as in life, the greatest gift is truly made in values […]
Many trusts were set up over the years to help protect wealth from estate taxes. But the federal estate-tax exemption has risen steadily in recent years, to $5.25 million, or $10.5 million for couples, from $1 million in 2003. This year, Congress made the exemption permanent and indexed it to inflation. As a result, fewer […]
Growing numbers of families – as older parents move into their 80s and 90s – are finding themselves grappling with the transfer of second homes. If you have a family vacation home, have you considered what will happen to the property after you are gone? While you are undoubtedly enjoying the memories you are making […]
Don’t be surprised if your CPA or financial planner starts babbling acronyms: CRUT, CRAT, NICRUT, NIMCRUT, Flip CRUT. Hear him out. The higher federal tax rates that kicked in this year have given all these variants of the four-decade-old charitable remainder trust new appeal for upper-income folks. Charity doesn’t always mean a one-way act of […]
Should it be maintained for close relatives? Will the next generation use it together or separately? Is it the site of family reunions? If not, will it be available to friends or even renters? Few places prove to be so powerfully uniting for a family as the family vacation home. Cabins, beach houses, you name […]
This type of trust allows a person to still live in a home for the term of the trust, deduct mortgage interest and real estate taxes, and then when the term of the trust expires, the home passes to the heirs and out of the owner’s estate. The owners can retain the right to live […]
Clients with swiftly appreciating assets can transfer these assets and escape both gift and estate taxation on almost all of the appreciation using a combination GRAT-life insurance strategy in connection with the steep gift tax valuation discount available today. Despite this, the Administration has often threatened to eliminate the tax benefits that can be realized […]
We all want to be remembered, to feel that we’ve contributed something to the world. For some, this can be a driving force leading to great accomplishments and extraordinary contributions to mankind. But for most of us with more modest goals, what pushes us is the desire to leave a legacy. Do you know the […]
If you live in one of the states with an estate tax, you need to take the tax into account when planning your estate … Another state tax to take into account when planning your estate is the inheritance tax. Just when you think you’ve got the whole federal estate tax figured out, you may […]
Many families today are living with trusts that their ancestors established decades ago. In each case, there’s a definition of “family,” either explicitly written into the trust or, by default, applied by its governing law. There are innumerable ways that these trusts might define which family members are eligible to be beneficiaries and/ or remaindermen of […]
