Advanced Estate Planning
Did you know that:
- The estate tax is separate from the income tax, and is paid on the net value of all your assets, including life insurance, owned at your death in excess of the exempt amount?
- In 2011, the estate tax rate is schedule to be 55% on all assets over $1 million?
- For most families, estate taxes are totally voluntary? Only people who fail to plan will end up paying estate taxes.
Advanced estate planning focuses primarily on reducing transfer taxes and income taxes, specifically the three taxes most commonly imposed on the transfer of assets: the gift tax, the estate tax, and the generation-skipping transfer tax. In addition to the transfer taxes that may apply, income tax can also reduce transfers.
The gift tax applies to transfers made during life. The estate tax applies to transfers at death. The generation-skipping transfer tax applies to transfers during life or at death which passes over the children's generation and goes directly to grandchildren and generations that follow.
Advanced Estate Planning Strategies
Depending on the needs of your family, the following tax reduction tools may be useful:
- Private Charitable Foundation
- Life Insurance Trusts
- Qualified Personal Residence Trust
- Grantor Retained Annuity Trust
- Retained Unitrust
- Asset Protection Trusts
- Land Trusts
- Dynasty Trust (Protection against the generation-skipping transfer tax)
- Family Limited Partnerships
- Asset Gifting
- Reduction of estate taxes
Call Today to discover how Carolina Family Estate Planning can help you create a strategy to preserve your wealth for your family and minimize your tax obligations, (919) 443-3035.