Protecting the Money You’ve Earned for a Lifetime
Research shows that tens of trillions of dollars in wealth and assets will be transferred between generations over the next three decades. While estate and inheritance planning can be a sensitive topic, making these arrangements can bring peace of mind about how money and belongings will be managed in the future.
"It can be difficult discussing financial matters with family members, but estate planning is important to ensure your wishes are carried out as you want them to be after you are gone," said
These strategies from the
Understand how federal and
Estate planning explores different ways to pass assets to beneficiaries while also limiting tax burdens. While the federal estate-tax exemption amount is
Determine if your inheritance is subject to estate taxes, income taxes or both
Estate taxes are typically calculated based on the assets held by an individual on the date of their death, and include items like a home and other real estate, life insurance, investments, retirement plans, IRAs and personal belongings. Income tax is generally calculated on items such as retirement plan distributions,
Explore options to minimize the tax to the estate and beneficiaries
A number of strategies can be used to limit estate tax and income tax liabilities. These include proper wills, trusts and health care directives; special bequests; gifts; and beneficiary designations of life insurance, annuities, IRAs and retirement plans.
Make plans for today and in the future
An important part in planning your estate or managing an inheritance windfall is maintaining the lifestyle you want today while also thinking about the future. Consulting a team of advisers, including a CPA, attorney and financial adviser, can help determine the best way to manage this money. CPAs are experts in how these plans might affect you and your beneficiaries' taxes, and ensure you file the appropriate returns.
Don't have a CPA? Visit CPAmeASAP.com or call 800.331.4288 to connect with a CPA today.
[Category: Accounting]
11Y-Dash-5805555 11Y-Dash
FAU Poll Shows Majority of Floridians Want to Keep or Expand Obamacare and Oppose New Healthcare Proposals
Insurers study roof damage as district plans replacement
Advisor News
Annuity News
Health/Employee Benefits News
Life Insurance News