Some Florida residents may be interested in setting up a trust for their beneficiaries. The type of trust that might be used varies. However, a trust is an effective way to care for loved ones if it is chosen carefully. An asset protection trust is one way the grantor could initiate trust planning so the assets intended for beneficiaries are protected. Such trusts are irrevocable, meaning that they cannot be revoked or altered. A third-party asset protection trust lets the grantor set up a trust that prevents creditors or ex-spouses from threatening the assets….
Florida readers may wonder whether a will is sufficient to protect their assets for their heirs. Depending on a person’s assets and net worth, a trust may be a useful tool for estate-planning and asset protection. An individual with a net worth of $100,000 or more may benefit from a trust as long as at least one of the following conditions is met, according to a financial and trust planning expert.
A trust may be deemed appropriate if an individual and his or her spouse wish to maximize exemptions on their estate taxes….
While most estate planning attorneys may be in favor of a trust for all of their clients, it may not be the best estate planning tool. Each person must consider the cost as well as the alternatives to a trust before deciding to create one. In some cases, it may be easier to go through a simplified probate process.
It may even be possible to assign a beneficiary to some assets and have them transferred automatically. For example, adding a payable on death form to a bank account may enable a beneficiary to collect that money by presenting a form to the bank….
The ways that statutes are written still leave plenty of room for interpretation in any area of law. Estate laws in Florida are no exception to this rule. This seems to have been the case in a recent legal dispute between the Internal Revenue Service (IRS) and a family trust. The ruling could become relevant for some people’s trust planning strategies.
The case involved the court’s interpretation of what it means for a trust to materially participate in business activities….
There are many tools available for planning an estate. The ones a person in Florida chooses will depend upon one’s specific circumstances. Although having something is usually better than nothing, if one chooses the wrong estate-planning strategy, it could cause significant problems down the line. It appears that Lou Reed had chosen a less-than-optimal estate-planning strategy by ignoring his need for trust planning.
Apparently, Reed, who was known as the lead singer and guitarist for the band The Velvet Underground, only had a will as his entire estate-planning strategy….
People commonly invest in trusts as part of their estate planning strategies. Trusts can be an effective tool if used correctly. However, it is necessary to adapt to changing tax laws which affect how trusts are taxed. The recent fiscal cliff tax agreement and other changes in tax laws have prompted many in Florida and elsewhere to adjust their estate planning strategies.
One estate planning technique which many people are utilizing in the wake of the new estate planning and tax law environment is known as ‘sprinkling’…
When planning an estate it is best to have an overall financial plan that takes into account the consequences of tax law, especially estate taxation rules and regulations. There are many ways for Florida individuals to help their heirs maximize family inheritances, an important consideration in light of estate tax laws. One popular method is through the use of life insurance trusts.
When a person dies, many times his or her life insurance policies will be included in their estate….
It is no secret that warmer southern states, including or especially Florida have a high number of retirees. But people of any age are often reluctant to talk about estate planning with their loved ones. It is generally an emotional subject which can also be scary as well. No one wants to consider their own mortality, however it is necessary to discuss one’s will planning with family and heirs because how one drafts his or her will has legal ramifications….
Nobody lives forever. This is why it is important that people in Florida have a proper estate plan in place just in case something unexpected occurs. When a person dies without carefully crafting an estate plan, his or her heirs may be subject to a variety of unnecessary costs. Hence, it is a good idea to periodically undergo an estate planning checkup in order to ensure everything is in place for proper estate administration at the appropriate time….
There are various aspects to consider when estate planning. One of these factors may require considering the tax implications of planning an estate. This is especially pertinent to some people, since previous cuts to the estate tax are set to expire at the end of this year if Congress does not act to extend them. This could affect individuals and families in Florida and may require.
The law which had previously provided a decrease in estate taxes was the 2010 Tax Relief Act….