Many people assume that planning their estate isn't something that they need to consider while they are young. When your assets are limited and you are just starting out in life, planning that far ahead may seem out of context, and this is understandable. However, there are some good reasons for young people to have a plan in place, and they are not all financial. Young people who have children are carrying a big responsibility, and though an untimely death may be unlikely, accidents do happen, … [Read more...]
Pay On Death Accounts
When you decide that it is time to plan your estate and you start to do some preliminary research, one of the first things you will hear about is probate. Probate is the legal process that must be undertaken to administer an estate, and this involves a probate or surrogate court. In a lot of cases probate is largely an administrative process when there is in fact a will in place and no one is contesting it. But if the will is contested, the arguments would be heard in probate court. This can … [Read more...]
What Are Advanced Directives?
The great thing about estate planning is that there’s so many different tools you can use to address your concerns. A Will for example, can distribute your assets and even name a guardian and/or conservator for your kids. A Trust on the other hand, can help you avoid probate and keep your estate private and away from those who browse public records looking for opportunities. But what about disability? How do you protect you and yours if you’re unable to speak on your own behalf? Fortunately, … [Read more...]
DIY Wills
There are times when you consider hiring someone to do a job and then say to yourself, you know what, I can do this myself and save some money, and I think I'd actually enjoy it. This mentality is what keeps the parking lots of the home improvement stores buzzing on the weekends, and there is nothing wrong with rolling up your sleeves and tackling a do-it-yourself project. However, you have to pick your spots in this regard. You wouldn't want to take out your child's tonsils with instructions … [Read more...]
Estate Planning Often Begins With Life Insurance
When you graduate from school and land your first job, you will usually spend a couple of days in orientation sessions. One of these invariably involves the benefits that your new company offers its employees, and in a very real sense this is the day that you begin to plan your estate. When they get around to addressing the company's life insurance offerings, it may be the first time you really give your mortality any serious thought. However, it is a good introduction to the responsibilities … [Read more...]
Generation-Skipping Trusts
It seems kind of strange in a way, but one of the primary goals of estate planning is to keep your assets intact as you are passing them along to your loved ones. The reason why this reality is rather odd is that you may naively think that what is yours is yours and when you pass away you simply leave your assets to your heirs in their entirety and that's it. But unfortunately, the government feels as though you do not have that right. Estate tax is imposed when you bequeath your assets to your … [Read more...]
Preparing for the Next Phase in Life
Despite the fact that life expectancy has increased in the last several decades, many people are not planning for what they want to do during the second half of their lives. Often, this is because we’re simply to busy to look that far ahead in the future but the truth is, retirement will be here before you know it and without a plan, it might not be as “golden” as you’d like. One of the most important aspects of planning for the second phase of your life is to ensure you have enough to live on … [Read more...]
Estate Planning Basics: How to Avoid Probate on Real Estate or Other Types of Property
One of the chief goals of the estate planning process is to minimize time-consuming and resource-draining burdens that will fall to your loved ones and family members after you have passed away. The best way to ensure that your survivors won’t be tied up with costly, time-consuming, and emotionally demanding administrative details in the aftermath of a painful loss is to devise an estate planning strategy that is likely to keep your assets out of probate. There are many different methods that … [Read more...]
Be Prepared For Estate Tax In 2011
We had a reprieve from the estate tax altogether in 2010, and this was a welcome touch of tax relief that came about as a result of The Economic Growth and Tax Relief Reconciliation Act of 2001. However, the estate tax will return in 2011 and it is important to understand the consequences. The estate tax as a concept is often assailed, and critics of this levy have quite a bit of ammunition. For one thing, the maximum rate of taxation for 2011 is going to be 55%. Plus, the exclusion for 2011 … [Read more...]
Health Insurance Tips for Retirement
Retiring can be tricky when it comes to health insurance. If you have group coverage through your employer, then dropping that coverage may also leave the rest of your family uninsured. Buying Health Insurance After 55 – If you need to purchase individual health insurance after you are 55 years old, you should be aware that insurance companies will base the premiums on the age of the oldest family member, thus you’re going to pay higher premiums. The best way to buy insurance is to put it in … [Read more...]
