We’ve been so inundated with the idea of tax-free investment accounts that the taxable investment account’s role in retirement planning is underutilized and overlooked. If you’re like most Americans, you’ve got at least one and maybe a few retirement accounts. You like the tax benefits that come from having IRA's,…
People think that Medicaid will solve all financial problems if they or a spouse will need expensive medical care late in life. It's not that simple. Concerns about outliving assets or having all their wealth spent on nursing home care has led many Houstonians in different economic brackets to take…
uilding a nest egg is an important goal for Americans, yet most Americans lag behind in their retirement planning goals. Many families are still recovering from economic downturns, and saving is a struggle, even for people who are over 50 and know they should do more. There are certain tax…
Utilizing intrafamily loans and trusts is one way that wealthy families can maximize their estate planning strategies. A recent issue of Barron’s features, “How Family Loans and Trusts Can Create Big Wins,” and outlines the specifics on intrafamily loans as an estate planning tool. The note has a fixed value,…
Estate taxes are seen by some as instruments of public policy, an attempt to fight economic inequality by diminishing the ability of wealthy families to aggregate vast amounts of wealth. Others see estate taxes as a “death tax” that penalizes those who are financially successful. Whatever your opinion, estate tax…
The Internal Revenue Service has won a settlement of $388 million from the estate of Detroit Pistons owner Bill Davidson. According to the IRS, the estate owned more than $2 billion in additional taxes. To gain some perspective: in 2013, the US Treasury took in a total of $12.7 billion…
At some point, everyone needs to consider estate planning. It’s time to create an up-to-date estate plan when you experience one of these life events. Think estate planning isn’t for you? Think again! And it’s not just a one-time deal; changes in your life should result in changes to your…
So how do you know if your estate plan is out-of-date? If your will or trust predates these four key “freshness dates,” it may be time to visit your attorney for a review. Estate plans are not meant to be a one-time deal. If life changes – or the law…
Actually the trusts are Crummey trusts named after one D. Clifford Crummey who won a decision in the Ninth Circuit in 1968, when I was just a high school lad. Israel and Erna Mikel were just in Tax Court showing how powerful the Crummey power can be as they used…
Few people get excited about doing estate planning, even though they might recognize the importance of leaving a legacy for their children and grandchildren. If you want to be smart about making gifts to your loved ones, though, there are some things you should consider before just writing a check.…