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Estate Planning Information - Avoid
Estate Taxes as high as 55- 60%
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That's
right folks over half of your family's wealth
can be lost to our beloved federal and state
authorities. At its most basic Proper Estate
Planning Information will address the questions
of who, what, where, why and how.
To
Who do you want your wealth transferred.
What do you want transferred. Where
do you get proper advice. Why do you
need estate planning. When do should
you transfer your assets and How can
you best achieve this transfer.
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Estate Planning Information:
Lets Address the Issue of Why. It may not be well
known but your government because of the concept of
"sovereign right" has according to law the
right to property that precedes and supercedes your
rights as a property owner. This is in order to serve
the public good and protect the rights of the public
in general. Thus the government can seize and acquire
a property needed for public purposes without your
conscent. It also gives them the authority to put
restrictions on how you can transfer property even
in death. Proper Estate Planning Information must
address 5 key areas.
5 Key Areas of Estate Planning Information
1- Providing a Valid Will: If there is no will the
ownership and distribution of the property will be
controlled by the State.
2- Providing for Formal Administration of the Estate:
Adminsitrative laws in each State determine how property
is assessed and will be distributed.
3- Providing for Payment of Debts and Claims: If
assets are not sufficient to pay off the owners' creditors
the State wil prioritise disbursements.
4- Providing for Payment of State Levied Taxes: This
may be a State Estate Tax or a State Inheritance Tax
or both.
5- Providing for Payment of Federal Estate Taxes:
Estates that exceed the one-time federal credit or
as a result of inadequate estate plannining will have
a federal tax imposed on the total value of the property
transferred to ones hiers.
If you are thinking this can turn out to be expensive
you are right. Covering all areas of estate planning
information takes time and money particularily if
it isn't addressed ahead of time.
Fact:
Today the typical length of time of probate (process
of wealth transfer using a will) is now 12 to 18 months.
Longer if the will is contested. What time lag can
we expect to have in the future? You may with to contact
your estate planning attorney to develop some alternate
asset protection strategies.
Fact:
We
are expecting the greatest transfer of wealth to the
baby boom generation ever. Don't wait, maybe now is
the right time time to approach an estate planning
attorney.
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