As people age, they often open joint bank accounts in their name as well as that of a close friend or family member. This allows the friend/family member to have access to the account to write checks and use funds to pay bills or other expenses of the older person. The person setting up this account often does this because he/she thinks it is a cheaper alternative to a power of attorney. However, establishing such a bank account can have unintended consequences.
Trusts & Estates
Estate Planning Musts for Liquor License Owners
Individuals who hold a liquor license face a number of restrictions on their business operations. In the context of estate and business succession planning, these limitations add an extra burden when passing the business on to heirs due to additional restrictions which may come into play after the death of a license holder. If owners do not plan appropriately, their estate may face legal difficulties and high costs which could reduce their assets.
Avoiding Liability as a Trustee – Part 2
Trustees are given great responsibility under the law. As we discussed in our last post, trustees are held to a very high standard of care in exercising their duties and acting in the best interests of the beneficiaries. They must take care that they don’t breach their fiduciary duties. Below are some of the most common areas to result in liability.
Avoiding Liability as a Trustee – Part 1
Trustees have the important responsibility of protecting property for beneficiaries. However, the position carries a great deal of responsibility and potential legal liability for trustees who don’t understand the rules. That’s because trustees are fiduciaries, which means they are held to a very high standard of care in exercising their duties and acting in the best interests of the beneficiaries. In order to avoid liability, they must understand their role and potential problem areas.
How to Maximize Your Estate with a Retirement Asset Trust
For years, the government and financial experts have encouraged individuals to save more money for retirement. One of the best ways to save is to use tax beneficial accounts, including 401k, 403(b) or traditional IRAs. These accounts allow assets to grow tax deferred until the funds are withdrawn, which is not required until an individual reaches age 70 and a half. As a result, many people will die with significant assets in these tax protected accounts, which can pose challenges for proper estate planning. However, retirement asset trusts can provide a solution.
How a Conservation Easement Can Benefit Your Estate Planning
Could your estate benefit from a conservation easement? A conservation easement limits the amount of development that can be done on land. For the property owner, gifting or selling an easement can provide certain financial and business advantages. An easement can also benefit the larger community by conserving the property’s scenic and natural attributes, and ensuring that the property is preserved for open space, agricultural or passive recreational uses.
Don’t Think You Need a Will? Think again.
According to a Gallup Poll earlier this year, only 44% of Americans say they have a will. Unfortunately, from new parents, to one of the world’s biggest music stars, many people believe they don’t need a will; don’t understand why it’s so important; or simply do not take the time to meet with an estate attorney to prepare one.
Time To Act on Valuation Discounts For High-Value Estates
For many high-wealth individuals, effective estate planning is largely motivated by the desire to minimize the estate and income taxes their heirs may pay. Reducing estate taxes often means maximizing the benefits of the unified credit amount through the use of valuation discounts.