New Years Resolutions?

Is an estate planning tune up on your list of New Years Resolutions?

If yes, you’re in good company!

Check out this fun “punch list” from Above the Law: Estate Planning Resolutions For 2019: How To Be A Grown-Up In The New Year.

This is a great list and includes items I’ve written about here and here.  A short summary of their list:

  1. Write a Last Will and Testament.
  2. Make a Power of Attorney.
  3. Execute a Health Care Proxy.
  4. Purchase a life insurance policy.
  5. Check beneficiary designation forms.
  6. Consider long-term care and disability insurance.
  7. Consult with a financial advisor.
  8. Talk to your parents and grandparents about their estate plans.
  9. Consider burial options.
  10. Inventory your assets.

Happy New Year – 2019 Estate & Gift Tax

Happy New Year!

Now, time to talk taxes!  The 2019 tax changes are:

  • The Estate and Gift tax exemption rate is increased (adjusted for inflation) to $11.4 Million per individual in 2019.  This is an increase from $11.18 Million per individual in 2018.
  • Planning together, in 2019, married couples can transfer a total of $22.8 Million in inheritance or gifts without paying gift or estate tax (subject to prior use of the credit).
  • The annual gift exclusion amount is unchanged from 2018.  It remains at $15,000.

Remember, the tax law that ushered in these increased Federal Estate Tax exemption amounts expires at the end of 2025.  Talk with your accountant or attorney to see if you could benefit from taking steps before 2026 to utilize the tax exemption.