JK Lasser's New Rules for Estate and Tax Planning, Revised and Updated

A complete guide to planning an estate under today's tax rules When it comes to your estate--no matter how big or small it may be--you shouldn't leave anything to chance. Proper planning is necessary to protect both your assets and your heirs. Estate Planning Law Specialist Harold Apolinsky and expert financial planner Stewart Welch III know this better than anyone else, and in the Revised and Updated Edition of J.K. Lasser's New Rules for Estate and Tax Planning, they offer valuable advice and solid strategies to help you plan your estate under today's tax rules as well as preserve your wealth. Packed with up-to-the-minute facts, this practical resource covers important issues, such as: * How new legislation will impact inheritances and trusts * Estate and generation-skipping tax planning * The role of wills, executors, and trusts * Treatment of charitable contributions * The do's and don'ts of gifting * Life insurance and retirement planning Filled with in-depth insights and expert advice, this book will show you how to efficiently arrange your estate today so that you can leave more to those you care about tomorrow. NEW RULES FOR ESTATE AND TAX PLANNING, Revised Edition 5 Contents 7 Acknowledgments 11 Introduction 15 Chapter 1: Tax Relief Act – 2001, and Jobs and Growth Tax Act – 2003: An Overview 19 Retirement Savings and Pension Reform 20 Marginal Tax Rates 24 Education Funding Incentives 25 Business and Corporate Tax Relief 31 Estate, Gift, and Generation-Skipping Transfers 31 Chapter 2: Estate Planning 39 Why Do You Need Estate Planning? 39 What Is Estate Planning? 39 The Benefits of Estate Planning 41 The Nightmares of Poor Planning 43 The Myths of Estate Planning 44 Guidelines for Successful Estate Planning 45 Chapter 3: The Estate Tax System 49 Determining Your Estate Net Worth 49 Understanding the Estate Tax System 50 Your Estate Tax Picture 56 Your Future Estate 59 Overview of Estate Planning Strategies 60 Chapter 4: Investment Strategies for Maximizing Estate Growth 63 Growth Strategy with a Safety Net 64 Prioritizing Your Investment Dollars 69 Retirement Planning: Choosing the Best Investment Environments 70 Some Final Thoughts on Investing 80 Chapter 5: Retire with Dignity 83 Your Retirement Requirements 84 Chapter 6: You Don’t Have a Will? Big Trouble! 97 Property Transfers at Death 98 Transfers via Probate 98 Direct Transfers by Title 101 Other Methods of Property Ownership 106 Choosing the Best Methods of Ownership 107 Setting Estate Planning Goals 108 Chapter 7: Where There’s a Will There's Your Way! 111 What Is a Will? 111 Types of Wills 111 Advantages and Disadvantages of Wills 113 Intelligent Decisions Concerning Your Will’s Basic Provisions 115 Executing Your Will 126 Where to Store Your Will 127 Other Important Documents 128 Working with Your Attorney 134 When to Review Your Estate Plan 136 Chapter 8: Using Trusts in Your Estate Plan 139 The Credit Shelter Trust Will 140 Disclaimers 144 Marital Trusts 145 Spendthrift Trust 151 Standby Trust 151 Other Trusts 151 Chapter 9: Understanding the Living Trust 153 Advantages of Living Trusts 153 Disadvantages of Living Trusts 155 How a Living Trust Operates 156 Transferring Property into Your Living Trust 158 Types of Property Likely to Be Transferred 161 Living Trust Myths 164 Transacting Business with Your Trust 165 Chapter 10: Using Insurance in Your Estate Plan 167 Life Insurance 167 Using Life Insurance to Replace Income 170 How Much Life Insurance Do You Need? 171 What Type of Life Insurance Is Best for You? 173 Insurance on a Homemaker 174 Insurance on Adult Children 174 How to Get the Best Deal on Term Life Insurance 174 Insurance Warnings! 175 Using Life Insurance for Estate Liquidity 176 How Much Is Enough? 177 What Type of Life Insurance Is Best for Estate Liquidity? 177 The Irrevocable Life Insurance Trust 179 Getting Your Life Insurance into Your Trust 180 Using Life Insurance to Leverage Your Estate 183 About Your Cash Values 186 Long Term Care Insurance 187 Chapter 11: Smart Strategies for Gifting Assets to Family Members 191 The Annual Gift Tax Exclusion 191 Unintended Gifts 192 Filing a Gift Tax Return 194 The Lifetime Applicable Exclusion Amount 194 Outright Gifts 195 When the Donee Is a Minor 197 Other Tax-Free Gifts 200 Family Gifts Utilizing Trusts 201 Grantor Retained Annuity Trust 201 Grantor Retained Unitrust 203 Qualified Personal Residence Trust 203 Taking Advantage of Generation Skipping Transfers 208 Sales to Family Members 210 Loans to Family Members 213 Chapter 12: Strategic Planning with Charities 215 Outright Gifts to Charities 216 Testamentary Gifts to Charities 218 Gifts Using Charitable Trusts 218 Using Your Charitable Trust for Retirement Planning 222 The Private Foundation 225 Chapter 13: Family Limited Partnerships 229 General Structure of the Family Limited Partnership 229 Family Limited Partnership Rules 234 Chapter 14: Succession Planning for the Family Business or Farm 241 Special Estate Tax Benefits for Farmers and Closely Held Business Owners 243 Valuing Your Business or Farm 245 Succession or Sale? 245 Succession Planning: Keeping the Family Business in the Family 245 Maximizing Your Business’s Value through a Sale 247 Structuring Your Buy-Sell Agreement 248 Types of Buy-Sell Agreements 249 Funding the Buy-Sell Agreement 250 One Final Strategy — the Employee Stock Ownership Plan 251 Chapter 15: Asset Protection Strategies 253 The Concept of Fraudulent Transfers 254 A Word about Jointly Held Property 258 Retirement Plans 258 Life Insurance 259 Using Trusts to Protect Assets 260 Using Limited Liability Entities to Protect Assets 262 Use of Multiple Limited Liability Entities 265 Foreign Asset Protection Trusts 265 Domestic Asset Protection Trusts 268 Epilogue: Dealing with Parents and Their Money 271 Appendix A: State-by-State Listing of Top Professional Advisors 273 The Top Professional Advisors List 275 Appendix B: Estate Planning Terms 295 Index 301

A complete guide to planning an estate under today's tax rules

When it comes to your estate--no matter how big or small it may be--you shouldn't leave anything to chance. Proper planning is necessary to protect both your assets and your heirs. Estate Planning Law Specialist Harold Apolinsky and expert financial planner Stewart Welch III know this better than anyone else, and in the Revised and Updated Edition of J.K. Lasser's New Rules for Estate and Tax Planning, they offer valuable advice and solid strategies to help you plan your estate under today's tax rules as well as preserve your wealth. Packed with up-to-the-minute facts, this practical resource covers important issues, such as:

* How new legislation will impact inheritances and trusts

* Estate and generation-skipping tax planning

* The role of wills, executors, and trusts

* Treatment of charitable contributions

* The do's and don'ts of gifting

* Life insurance and retirement planning

Filled with in-depth insights and expert advice, this book will show you how to efficiently arrange your estate today so that you can leave more to those you care about tomorrow.

Proper planning is necessary to protect your assets and heirs. This book offers strategies to help you plan your estate under tax rules as well as preserve your wealth. It covers issues, such as: how legislation can impact inheritances and trusts; estate and generation-skipping tax planning; and, the role of wills, executors, and trusts. The law signed on June 7, 2001, by President George W. Bush-the Economic Growth and Tax Relief Reconciliation Act of 2001 (Tax Relief Act-2001)-remains the largest tax cut in over twenty years and delivered tax savings to nearly every American taxpayer. A comprehensive guide to estate planning incorporates information about modern tax rules and covers a wide range of pertinent topics, including trusts, charitable contributions, gifts, life insurance, wills, and much more. Original.