Recent Blog Posts
The Illinois Intestacy Will: An Unplanned Estate Plan
Are you thinking about creating a Will, but just have not gotten around to it yet? You’re not alone. I’m going to be completely honest with you, it’s not as much fun as watching a movie or going on vacation. Procrastination can be a powerful force. Even if you’ve never thought about estate planning,… Read More »
Facebook Makes Memorialized Accounts More Public
Last year I wrote an Introduction to Estate Planning for Digital Assets. Digital assets include everything from e-mail to photo sharing to cloud music storage to social networks. I explained that this is an emerging area without a lot of legal guidance and with a lot of change expected as laws and policies evolve… Read More »
Updating Living Trusts: Amendment vs. Restatement
One of the features of a revocable living trust is that it is easy to amend. When a trust is created, the person(s) who creates the trust (the “grantor”) will typically reserve full rights to amend or restate the terms at any time in a writing delivered to the trustee. This power to amend… Read More »
IRS Extends Portability Election Deadline for 2011 to 2013 Estates
Last week I discussed why every surviving spouse should consider filing a Federal Estate Tax Return Form 706 to elect portability of the unused portion of their spouse’s federal estate tax exemption. I explained that in order to take advantage of portability the estate’s representative must make an affirmative election on a timely filed… Read More »
Portability: The Tax Election Every Surviving Spouse Must Consider
The Federal Estate Tax exemption for 2014 is $5.34 million. This means that if a decedent’s gross estate (plus past taxable gifts) is less than $5.34 million then filing a Federal Estate Tax Return (Form 706) is not required. However, a surviving spouse should always consider the option of electing to file a Federal… Read More »
Retirement Account Beneficiary Designations
One of the most common estate planning mistakes is failing to properly consider and execute beneficiary designation forms for all IRA’s and 401(k)’s. Errors and oversights in beneficiary forms can lead to unintended consequences, including disinheriting intended beneficiaries and limiting income tax deferral options for beneficiaries. In a recent article, Forbes contributor Deborah L…. Read More »
2014 Estate Tax Summary
Happy New Year! I wrote a summary of the 2013 Estate Tax Essentials last year. 2013 saw some major changes to estate and gift taxes. The adjustments for 2014, however, are only minor automatic inflation adjustments. The federal estate, gift and GST tax exemption rose from $5.25 million to $5.34 million. Here is an… Read More »
IRS Clarifies New Same-Sex Marriage Tax Issues
As most of you are probably aware, the United States Supreme Court issued a landmark decision in June that struck down a portion of the Defense of Marriage Act (DOMA). Constitutional Due Process Challenge The case, United States vs. Windsor, was an estate tax case out of New York. Thea Spyer and Edith Windsor… Read More »
7 Basic Estate Planning Mistakes (to Avoid)
Usually I prefer to advise people on positive steps to take, rather than mistakes to avoid. I’m going to break that rule slightly in this post, which is adapted from a page that we used to have on our main website. I think it makes more sense here instead, with links back to our… Read More »
6 Ways to Designate Minor Children as Life Insurance Beneficiaries: the Good, Bad and Ugly
Many new or expecting parents wisely include obtaining life insurance policies on their to-do list. Protecting the financial security and future of minor, young adult and disabled children from a parent’s untimely death is critically important. But, selecting and obtaining the right policy is only half of the equation. It is equally critical to… Read More »