Estate planning can help ensure all the legalities are in place for passing on your estate after your demise. Making a plan in advance will alleviate any problems or issues with dividing assets to your beneficiaries. Here are some helpful tips in formulating your plan.
Prepare a will: Without a will, division of your estate can become complicated. A professional attorney can help you set up the legal documents for distributing your property as you desire.
Separate funds for specific expenditures: To separate funds for specific purposes such as a college fund or donating to charity, it’s best to set up a trust with these provisions. The trust’s trustee can then see to the distribution of funds accordingly.
Minimize Taxes: There are various ways to reduce taxes on the inheritance you’re leaving to beneficiaries. Taxable assets could be left to charities and non-taxable assets such as retirement accounts, life insurance, etc. to beneficiaries. You can also make financial gifts to family and friends while you’re alive. Gifts up to $13,000 per person are non-taxable.
For additional counsel on estate planning, wills, probate and trusts in California, contact Gaudy Law located in Upland, CA.