Retirement Watch Weekly
Estate Planning: How to Make the Most of 529 Plans
Section 529 college savings plans rapidly became a popular Estate Planning tool, especially for those who want to help their grandchildren. Each state now offers at least one 529 plan. A 529 plan allows a donor to give up to five years’ of tax-free gifts ($55,000) in one year. The donor can get the money […]
New ID Theft Protections
A new law was enacted fairly quietly at the end of 2003. It promises greater protection against identity thieves and more help for victims of the crime. Identity theft is believed to be the fastest growing crime of recent years. The Federal Trade Commission estimates that in 2002 there were 9.9 million victims of ID […]
Plan Charitable Contributions Now
Most taxpayers don’t realize the best way to contribute to charity. They also don’t know that to get the maximum benefit they need to begin planning early in the year. Waiting until near year-end won’t get the job done. The optimal giving strategy is to donate noncash items. Many people are aware that they can […]
Estate Planning Strategies: How to Cut Estate Taxes by Selling Assets
Reduce estate and gift taxes by selling assets? You can do it, and picking the right strategy will provide more benefits for your heirs. Now is a good time to consider an asset sale, even an unusually good time. A sale freezes the estate’s value at the current price of the assets. With a recovering […]
How Bad Trustee and Executor Choices in your Will and Trusts Can Destroy Estate Planning
NFL superstar Johnny Unitas passed away in September, 2002, and his estate has been a mess since. Unitas’s families from two marriages are at odds. His son and namesake is fighting to get the company father and son ran back from the estate’s executors. The executors are Unitas’s longtime accountant and attorney. Unitas and John, […]
Should You Take an Annuity or a Lump Sum?
Almost every retiree has a choice of how to receive benefits: as either a lump sum or a stream of annuity payments. The choice is critical, yet it doesn’t receive the critical analysis it should. About half of employers give these options on 401(k) and other retirement plans. You face a similar choice with an […]
How Much To Spend Safely in Retirement
The greatest fear of most retirees is outliving their money. A fair amount of research has been devoted to developing spending rules retirees can follow to avoid doing that. This month I want to show you a new way to determine how much to spend safely. Most retirement plans begin with an estimate of both […]
How to Fix Broken Estate Planning Strategies involving Family Limited Partnerships and Trusts
The usefulness of many estate planning vehicles lasts less than a generation. A host of estate planning strategies can slash taxes and help preserve family wealth. These include charitable trusts, family limited partnerships, and irrevocable family trusts. Events don’t always unfold as planned, and over time changes would be helpful. Unfortunately, most good estate planning […]
