Insight on Estate Planning - October/November 2020

Sep 28, 2020

Related Practice: Estate Planning & Administration

Here’s a brief glance at what you’ll find in the October/November issue…

No Free Lunch for the Sandwich Generation

The sandwich generation is the name given to people caught in the middle between caring for elderly parents or in-laws and raising young, and sometimes not-so-young, children. And, of course, they still have to handle their own affairs. This article explains how to develop a comprehensive estate plan that accommodates the needs of all the parties by approaching the situation in a logical and organized manner. As the main article mainly focuses on dealing with elderly parents, a sidebar explores ideas on how to accommodate child-related needs.

FAQs About QPRTs

Using a qualified personal residence trust (QPRT) to transfer ownership of a home to a trust can avoid potential estate tax pitfalls without drastic changes during one’s lifetime. Essentially, a person can continue to live in the home for a stated term of years. When the trust ends, the remainder interest passes to designated beneficiaries, such as one’s children. This article answers FAQs about QPRTs.

Is Now the Right Time to Forgive Intrafamily Loans?

Whether one made intrafamily loans years ago or perhaps this year in response to a loved one’s financial troubles due to the COVID-19 pandemic, consider forgiving those loans. Why? A record-high gift and estate tax exemption amount and a low-interest-rate environment add up to an ideal time to forgive intrafamily loans. This article explains the reasons to forgive a loan and details the income tax considerations of doing so.

Estate Planning Pitfall: A Significant Portion of Your Wealth Is Concentrated in a Single Stock

When building a nest egg, it’s important to remember not to limit investment holdings to only a handful of winners. It’s often said that past performance isn’t a guarantee of future results. This brief article explains the risk of losing one’s nest egg because of having high-risk stock exposure.

A Brief Guide to Year-End Gifting

Every year, the holiday season brings with it a few seasonal estate planning considerations. This time of year many clients wish to make gifts to family, friends, or charities. This article touches on a few of the most important things to consider when making gifts this holiday season.

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To discuss issues specific to your circumstances, contact one of our Estate Planning attorneys.