little planning can save thousands of dollars!
can't take it with you, but failing to plan for your estate can
mean that the government, rather than your heirs, may get the
major portion of your hard-earned money.
may be surprised what your estate is worth. Add up the value of
all your assets. Don't forget life insurance which may fall into
your estate. If your total value exceeds the exemption amount,
you should look into what a few simple planning techniques can
save your family at estate time. In
addition, there are some very effective estate planning ideas
that can also cut your current income tax bill.
here to use an estate planning calculator to help you
determine what your estate is worth.
Current tax law allows you to give away a certain amount each year to as many recipients as you choose with no gift tax consequences. Your spouse may join in this annual gifting even if he or she is not an owner in the transferred asset. This means that you could transfer double the exempt amount each year to each of your heirs. To double the annual exclusion yet again, you may want to include spouses of your children. The person receiving the gift does not need to be related to you. These annual gifts do not reduce your estate tax exclusion.
If you have property which is not needed for your retirement,
maybe it is a candidate for transferring during your lifetime.
If it is a large income-producer, the future income will be
taxed to the new owner and not to you, plus the property will
be out of your estate.
You can make unlimited transfers to your spouse either during your lifetime or through your estate. There are no taxes on spousal transfers, regardless of size.
With proper planning, certain life insurance proceeds can
be kept out of your estate.
assistance with your estate planning, contact
Wilson & Company
Certified Public Accountants, PC
701 Seneca Street, Suite 604
(716) 839-4900 Fax: