Typically, a regular IRA is not the most efficient asset to use for inter-generational transfers of wealth. If the IRA and estate are large enough, both estate and income taxes will apply. As a result, heirs can end up with only about 20% of the actual value of an IRA. However, if estate taxes are … Continued
In planning for the event of your passing, you’ve thoughtfully established a living trust, generously gifted to family members along the way, invested wisely, and intend to leave a sizable estate for your heirs. Included in your financial planning has been the purchase of a life insurance policy to provide replacement income at your death. … Continued
“This is not a prediction, it is a certainty–there will be serious disruption in the world’s financial services industry…. It’s going to be ugly.” – The Times, London, 1999 (discussing the “Y2K” threat) Years ago in the midst of another date-specific moment in time, the world became obsessed that planes would drop from the sky … Continued
Estate planning is much more involved and offers more benefits than simply a plan to reduce your tax bill. In addition to issues that affect your family and control of your assets after your death, estate planning must also account for prevailing legislation that governs estates. For example, the American Taxpayer Relief Act of 2012 … Continued
It may already seem like a distant memory, but the last few months of 2012 were quite tumultuous as a result of the uncertainty surrounding the so-called fiscal cliff. Despite some significant unfinished business that got deferred to 2013—specifically the sequester and how to handle it—there were still many deliberate actions taken at the end … Continued