News Category: Estate Planning
I Created an Estate Plan When My Spouse and I Had Kids, Why Should I Update it Now?
When you were younger, after getting married and having children, you met with a lawyer and created an estate plan. Now the kids are grown, finished with college, and are is settled in their adult lives. Of your three children, two are married. One has your first grandchild on the way. Your retirement is still
New Year, New Uncertainties: Estate Planning Changes on the Horizon
With Democrats gaining control of the White House, the House of Representatives, and, albeit somewhat tenuously, the Senate, there is a growing possibility of legislative changes to the federal estate tax laws to fulfill Democratic policy objectives and combat the significant budget deficits caused in part by the Covid-19 pandemic. In the unlikely event some
‘Tis the Season: A Gifting Opportunity
If you are in the holiday spirit this season, you may wish to make gifts using the 2020 annual federal gift tax exclusion amount. To qualify for this exclusion for the year 2020, the gifts must be made no later than December 31, 2020 if being made directly to an individual or December 1, 2020 if being made to
Creating a ‘Bridge’ Estate Plan – Why Spouses should Update their Estate Plan During a Divorce or Separation
While many people consider updating their estate planning documents following a divorce, it is best to update these documents when planning for a divorce or separation process, or risk potentially disastrous results. Washington law automatically overrides some, but not all, existing estate planning documents upon the filing of a marriage dissolution or legal separation action. Powers of
Why You Should Review Your Estate Planning Documents Every 3-5 Years
Upon finishing the estate planning process, clients often ask the understandable question, “how often should I update my estate planning documents?” Best practice is to review and/or update your estate planning documents either (1) every three-five years, or (2) after major life changes occur. Major life changes can include the birth of new children or
Estate Planning Alert: New Tax Law Doubles the Federal Estate Tax Exemption Amount … For Now
The Tax Cuts and Jobs Act, signed into law by President Trump on December 22, 2017, is the most significant U.S. tax reform to be enacted in over thirty years. One of its many components is the near doubling of the federal estate, gift, and generation-skipping transfer-tax exemption amount applicable to individuals. The Act raised
Tangible Personal Property: Planning for the “Small Stuff” in Your Will
Heirs battling over seemingly “small” personal property items after a loved one has died is a heartbreaking yet familiar scenario in the probate world. While such disputes might seem petty to outsiders, the issue of who gets mom’s favorite purse, dad’s music collection, or even grandmother’s little blue ceramic bowl is often a deeply personal process that can
Checklist: Estate Planning Essentials During Your Washington Divorce
If you’re currently weathering the stress of a divorce, the last thing you may be thinking about is updating your estate planning documents. Your divorce can have a major impact on your estate plan, however, with implications for you, your children, and those who depend on you. You should consider making the following updates to
The Federal Gift Tax Annual Exclusion and Lifetime Exemption
The most fundamental part of any gifting program is the federal gift tax annual exclusion. This exclusion allows a taxpayer to make a maximum gift of $14,000 (for 2017) each year to an individual free of tax and reporting (i.e., there is no need for the taxpayer to file a gift tax return). This is not a
Estate Tax Planning in Uncertain Times
Repeal of the federal estate tax has been a cornerstone of President Trump’s tax reform promises. Given the Republicans’ majority sweep in both houses of Congress this past November, repeal efforts that have stalled in the past are now a viable possibility. Although repeal is likely to be on the table legislatively at some point