This is Estate Planning Week across Massachusetts and the rest of the country. The importance of estate planning should not be underestimated. While most people think about estate planning when it comes to their home, beneficiaries, guardians and asset distribution, there is another area that shouldn't be overlooked. Tax planning for the elderly is very important, and the American Taxpayer Relief Act of 2012 has changed the way that assets can be left for spouses, partners, family and other heirs.
Unfortunately, there is no perfect plan that works for everyone when it comes to estate planning in Massachusetts or around the country. It seems there are bound to be a few people that will be unhappy with one decision or another, whether it is over something as simple as who will get that beautiful antique broach or who has to pay out taxes because there was something overlooked in the tax planning. There are steps that you can take for tax minimization for the elderly and still ensure their wishes are carried out.
Few people enjoy thinking about their own deaths. Despite this, many people in Boston are getting older and should begin considering plans for their estates, especially if they haven't done so yet. One of the major parts of protecting an estate involves tax planning. But even with good tax planning in place, other factors may cause the whole estate to become compromised.
With tax laws finally set in stone, many people in Boston are now able to get a clear picture of their estate and what to expect when they pass away. This is providing relief to many senior citizens as the future of estate planning was questionable in years past. The tax agreement that came with the end of last year has allowed this state of stability to become a reality, giving many the ability to create plans providing for tax minimization.
The end of the year brought with it a new law that may change the tax field for years to come: the American Taxpayer Relief Act. Many financial experts have weighed in on the potential effects of this act and agreed that tax planning may never be the same again. Many elderly individuals in Massachusetts are wondering what they should do to protect their assets, especially those that own businesses and want to pass them on to their loved ones without the government getting too large of a bite.
Now that the new year is here, many estate planners are feeling relieved. Citizens are no longer living in a confusing time for planning, as the exemption amounts and rates for estate taxes have been solidified. This stability is giving many in Massachusetts the ability to make solid plans for tax minimization on their estates.
As the holidays approach, many people in Boston are concerned about money. This includes those elderly individuals that believe they have made solid estate plans, but that may no longer be the case considering the federal tax changes that are expected to happen at the end of the year. Tax planning is a major part of any estate plan, as long as the person that wants to keep as much money as he or she can for the beneficiaries of the estate.
Many experts believe that an estate plan is an essential part of the many documents a person should have prepared throughout her or his life. This is because it controls the fate of your estate after you have passed away and no longer have a living say in what happens to it. One of the major parts of an estate plan is tax minimization and many planners are paid to do their best to avoid as much of the estate tax as possible.
Estate taxes can cause a large amount of an elderly individual's estate to disappear upon her or his death. Any nonexempt portions of an estate can be taxed and taken by the government, forever leaving the reaches of the loved ones that many in Boston want to see their wealth bequeathed to. Tax minimization planning is a way to make sure that this is avoided.
Estate planning experts are often in agreement on at least one topic: The earlier a person prepares their estate, the better. This gives people that are aging the time to make healthy, cognizant decisions in regards to the future of their finances and where they want their leftover wealth to be distributed upon their deaths. One of the most important parts of getting an estate in order is tax planning. This has allowed many people in Boston to minimize or avoid paying taxes on their estates.