Webinar Replay: Understanding the Step-up Basis for Assets Acquired from an Inheritance
Join us for an insightful webinar on “Understanding the Step-Up Basis for Assets Acquired from an Inheritance.” Discover the intricacies […]
What Should You Not Put in a Living Trust?
When you create a living trust, it’s often tempting to try to shelter everything you own by putting all your most valuable assets in it. A revocable trust offers numerous benefits, protecting you from creditors while you live, giving you control over your assets, and offering flexibility in how you distribute your assets after death. It also protects your privacy and saves your beneficiaries from the probate process.
Heir vs Beneficiary: Who Has Greater Right to Your Estate?
The distinction between an heir and a beneficiary is crucial in understanding their roles in estate planning. In the context of rights to an estate, heirs' entitlements are explicitly outlined under a Trust or Will. In cases where there is no formal Estate Plan, heirs are legally recognized as the next of kin, granting them rights to inherit property and assets in the absence of a Will or Trust. The succession order, dictated by state law, typically follows a pattern of spouse, children, descendants, and close relatives.
How to Leave an IRA to Your Heirs
When it comes to estate planning, retirement assets, particularly Individual Retirement Accounts (IRAs), often constitute a significant portion of a deceased individual's estate. Unfortunately, these retirement accounts are also prone to estate-planning errors, exacerbated by recent changes in the rules governing distributions for inherited IRAs. Amidst this complexity, if you wish to leave your IRA to your heirs, there are crucial considerations to bear in mind.
What Happens If I Inherit a House With a Mortgage?
For many people, their home is the biggest asset they own, often encumbered by a mortgage and holding sentimental value. This situation poses challenging decisions for heirs when the homeowner passes away.
Does the Bank Need a Copy of Your Trust?
One of the benefits of setting up a trust is to keep your financial affairs private. At AmeriEstate, we often field questions from our clients about how trusts work. We get a recurring question: "Why does the bank need a copy of my trust?” Typically, the question arises after they create their trust and attempt to move bank accounts into the trust, resulting in the bank asking for trust documents to proceed.
What Expenses Can Be Paid From an Irrevocable Trust?
If you’re considering an irrevocable trust, knowing what is permissible can help you make the right decision for you and your heirs. An irrevocable trust provides a few protections that a living trust doesn’t offer, making it an appealing option under certain circumstances. However, once you establish the trust, you can’t amend, modify or dissolve it without court approval or all your beneficiaries signing off, and you may need both.
Webinar Replay: Choose a Guardian Wisely – Understanding Why Your Children’s Guardian Choice Matters
Every parent wants the best for their children, and planning for their future is a critical part of that responsibility. […]
Can a Trustee Sell Trust Property Without All Beneficiaries Approving?
Trustees have fiduciary responsibility for managing a trust, so they must act in the best interests of the beneficiaries and in good faith. Can a trustee sell trust property without all beneficiaries’ approval? It depends on the trust type and terms. However, in most instances, the trustee does not need approval to sell property held in the trust.
The 2024 Estate & Gift Tax Exemption: What You Need to Know
The Estate Tax and Gift Tax are federal levies imposed on the transfer of an individual’s wealth upon their demise or when a gift surpasses the exempted amount during the donor’s lifetime. Typically, any transfer beyond this exemption threshold incurs a tax rate of 40%.