The article discusses asset protection and estate planning strategies that physicians can take advantage of, including gifting of property to family members, tenancy by the entirety, and mortgage against current home equity. The advantages of each strategy are cited and tips are offered on how to ...
In the example below, we explain how our independent Wealth Planners have set up an inheritance tax plan using this approach to manage how much IHT our client’s family will have to pay. Josephine, a widow aged 65, has substantial assets - and a large part of her estate will likely be...
How does inheritance tax affect gifting money to family? Inheritance tax can seem complicated. It’s paid on the total value of your estate, which is calculated by adding up all your assets (such as your home, and any savings or investments you have) and taking off any loans or debts yo...
Can I use my spouse’s annual exclusion to give more of my assets? Yes; one spouse can make a gift of twice his/her annual exclusion amount and elect to treat the gift as being made jointly by the donor and his/her spouse. This is known as gift-splitting. For example, suppose Husba...
Some business owners experienced a devaluation of their assets during the pandemic. As a result, now may be the time to transition the business to family members. Often, the best time to gift is when the value of assets is low, so the amount of lifetime exemption used is also low. This...
As noted above, in some implementations the first player may select the amount of assets to transfer as the gift value. In other implementations, the first player may accrue a predetermined amount of gift currency, and the gift value may be all or a portion of that amount of gift currency...
and other assets to another, while still retaining the Proposition 19 and Proposition 13 property tax benefits. This is often called a “sibling buyout” or “sibling buy out” or “buying out my sibling”. This can be accomplished with additional estate assets or the use of a third-party...