Insight on Estate Planning - June/July 2016

Jun 09, 2016

Related Practice: Estate Planning & Administration

Here's a brief glance at what you'll find in the June/July issue...

Portability is a thoroughly modern estate tax break

Computers and phones aren't the only things that are portable today. The gift and estate tax exemption is also "portable" for married couples. Portability simplifies estate planning by allowing a surviving spouse to use the deceased spouse's unused portion of the $5.45 million gift and estate tax exemption amount. This article explains how married couples can use portability to their estate planning advantage. Read more...

Should life insurance be a part of your estate plan?

Today, the federal gift and estate tax exemption stands at $5.45 million, so fewer families are facing estate tax liability. This raises the question: Can life insurance continue to play an important role in estate planning? The answer is: Yes. This article details why, even though a policy's proceeds may no longer be necessary to provide liquidity to pay estate taxes, even nontaxable estates may have a need for a policy's various other potential estate planning benefits. Read more...

Social Security loopholes close, but options remain open

The Bipartisan Budget Act of 2015 (BBA) closed two popular loopholes for future Social Security benefits. As a result, certain retirees may now realize less in the way of benefits during their lifetime and leave a smaller nest egg for their heirs. But astute planning can still maximize the Social Security benefits retirees are entitled to receive during their retirement years. This article examines how the BBA affects Social Security payments. Read more...

Estate Planning Pitfall: You're blindsided by tax on intrafamily loans

What's worse than being taxed on income received? Having to pay tax on income never actually collected. That can happen if a family member borrows money from another loved one (an intrafamily loan) on an interest-free basis. In this situation, the lender may owe tax on "phantom income." This brief article explains how to avoid this outcome. Read more...

Life insurance: Understanding a key part of your estate plan, part 2

This second article in a three-part series explains the basic functions and estate planning implications of universal whole life insurance, variable universal life insurance, and survivorship life insurance. Read more...

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This post provides general information and is not legal or other professional advice. To discuss issues specific to your circumstances, contact one our Estate Planning attorneys.