There are a number of different ways to make sure that your loved ones receive your property after you pass away. Joint tenancy is one possibility. Co-Ownership of Property If you own property, you could choose to add a co-owner to the title or deed of the property. This person would become a joint tenant in legal parlance. To provide a simple example, let's assume that you own your home outright. You want your son to inherit your home after you pass away, so you add him to the title as a … [Read more...] about What Is Joint Tenancy?
Estate Planning
What Is the Annual Gift Tax Exclusion?
In the United States, there are taxes that can be imposed on large asset transfers. We have a federal estate tax, and the tax carries a rather hefty 40 percent maximum rate. The reason why we say that the tax is applicable on large asset transfers only is because there is an estate tax exclusion. This exclusion stands at $5.43 million in 2015. If the value of your estate is less than the amount of this exclusion, it would not be subject to the estate tax. In addition to the federal estate … [Read more...] about What Is the Annual Gift Tax Exclusion?
Are Trusts Only for the Rich?
There are certain misconceptions that circulate with regard to estate planning. One of them is the belief that trusts are only useful for very wealthy people. High net worth individuals do have a unique set of estate planning concerns. Asset transfers that exceed the amount of the federal estate tax exclusion can be taxed at a maximum rate of 40 percent. At the time of this writing late in 2015, the estate tax exclusion stands at $5.43 million, but it is going up to $5.45 million next year … [Read more...] about Are Trusts Only for the Rich?
