What Steps Lead to an Effective Estate Plan?

Do you have an estate plan? A lot of people don’t, for a lot of different reasons. Some people would rather not discuss their death under any circumstances, other people think they are too young to worry about an estate plan, while others just don’t know, or aren’t, sure where to begin. However, it’s a good idea for everyone to have an estate plan in place; and for those who already have one, it’s a good idea to review it often.

A good estate plan consists of several things, but every estate plan is a little different according to each individual’s circumstances. However, there are some aspects that are consistent with every effective estate plan. Let’s take a look at a few of them.

  • Be sure you determine who will be in charge of your estate and your affairs should become unable to do so.
  • It’s always a good idea to set things up to avoid probate both in this life and for your heirs when you die. Trusts can help you do this.
  • Make sure to take care of your children, including children from a first marriage if you have divorced and remarried.
  • Protect the assets that your heirs will inherit from lawsuits, divorces and high taxes.
  • Be sure to leave provisions and assets for any children or grandchildren with special needs.

These are just a few of the important things to keep in mind when planning your estate. If you have more questions about estate planning, especially as it pertains to your taxes, then please contact GROCO today at 1-877-CPA-2006. We can help answer your questions and get you prepared for the future. Click here to learn more.

Posted in

Saving for Retirement: 5 Steps to Building Significant Wealth

Saving for Retirement: 5 Steps to Building Significant Wealth Are you saving enough money for retirement? Do you know how much money you need to accumulate in order to retire? Are you concerned about how you should be saving for retirement? The simplicity of these questions can lead many people to believe that there is…

The Bypass Trust: Using Disclaimers to Manage Large IRA Balances

The Bypass Trust: Using Disclaimers to Manage Large IRA Balances

The Bypass IRA Trust: Using Disclaimers to Manage Large IRA Balances By Mary Kay Foss California CPA, December 2001Trying to fund a bypass trust can be problematic if clients only have a residence and a large retirement plan as their major assets. On the surface, a residence isn’t a good asset for a bypass trust…

Tax Break for College Tuition Payments

Tax Break for College Tuition Payments    If you are writing a college tuition check, there may be a hidden tax break that will allow you to deduct a part of your college tuition payment. In order to do this, you must utilize a ‘Section 529’ College Savings Plan in one of the 26 states…

Cost-Sharing Arrangements – Appeals Court Rules Against Xilinx

Cost-Sharing Arrangements – Appeals Court Rules Against Xilinx Taxpayer loses the Xilinx Case (click this link to see the complete Ninth Circuit Court of Appeals Decision of 5/27/09) in the Court of Appeal on May 27, 2009.Subject to further appeal to the Supreme Court (which almost never happens with tax related cases), the tax benefits of…