When Congress passed and President Barack Obama signed into law the American Taxpayer Relief Act in the first week of January — averting the so-called fiscal cliff — it made permanent the previous two years’ exclusions on estate and gift taxes. And those exclusions have been adjusted for inflation. As reported by Bloomberg, this means… Read More »
Page 5
Help Protect Your Senior Clients from Being Targeted by Scam Artists
The numbers are staggering. A recent survey by the Investor Protection Trust finds that one out of every five Americans 65 years old or older — or more than 7 million people — have been the victim of a financial scam. The Washington Post recently told the story of one of those victims, 73-year-old retired… Read More »
Help Clients Prevent Alzheimer’s from Destroying a Family’s Financial Future
Alzheimer’s disease, and the demands it places on a caregiver’s time and energy, can devastate a family’s emotional resources. It can devastate the family’s bank account, too. According to the Alzheimer’s Association, 5.4 million Americans are living with it, and one in eight older Americans is afflicted with the progressive, incurable disease. The association says… Read More »
Deadline Looming on Gift-Tax Rules
Time is running out for your wealthy clients to take advantage of the generous 2010 tax laws that lowered gift tax exemption amounts and tax rates. Currently, lifetime gift-tax exemptions are at $5 million per individual and $10 million for married couples — but those limits are set to dwindle dramatically to $1 million for… Read More »
Should Your Clients Consider Giving Away Property Over Cash?
It’s decision time for clients who want to take advantage of the $5.12 million gift tax exemption that expires at the end of this year. While cash is the most direct way to pass wealth to heirs, your clients might need that money at some point. If they’ve already given it away, it’s not very… Read More »
Advance Directives Could Have Saved ‘Legally Blonde’ Actress a Day in Court
Guardianship over a relative is much more difficult to obtain after a loved one has already become legally incompetent due to physical or mental illness. Lengthy, costly and heartbreaking court proceedings can be avoided with advance directives. As advisors, we have an obligation to ensure that clients understand the importance of having these documents in… Read More »
Now or Never to Take Advantage of Gift-Tax Exemption Limits
At the end of the year, the federal gift-tax exemption will fall from $5.12 million to $1 million, making this the perfect time for advisors to remind clients that now is the time to take advantage of the higher limits and avoid future estate taxes for beneficiaries. The Wall Street Journal (http://tinyurl.com/cy3xval) recently listed several… Read More »
Tax Scams the IRS Wants You to Avoid—For Their Benefit and Your Own
The IRS recently released its “Dirty Dozen Tax Scams”, and some of the items on the list will be of particular interest to anyone concerned about asset protection. According to this article in NASDAQ.com, taxpayers should “exercise caution during tax season to protect themselves against a wide range of schemes ranging from identity theft to… Read More »
Donor-Advised Funds Make a Splash in Political and Private Circles
Mitt Romney has recently gotten a lot of press about the extent of his charitable giving—and the recipients of that giving. While his donations have been both praised and panned depending on the source, the fact is that whatever you think of Romney’s politics, there is a lot to be learned from how he and… Read More »
Celebrity Divorces Highlight the Importance of a Prenuptial Agreement
One of the most important, and least pleasant, legal documents that I recommend for all of my clients is a prenuptial agreement. Nobody wants to enter into marriage with the thought that it could end in divorce. But, the reality is, we need to plan for the worst-case scenario. That is, after all, why we… Read More »