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ESTATE
PLANNING
At Isenhour Bleck we
can help put your mind at ease that you have provided for your loved ones
at your death. We will work with you to prepare a plan for how your assets
will be distributed at your death, we will advise you on how to minimize
estate taxes and we will assist you in coordinating your retirement
benefits with your estate plan.
What is included in
an Estate Plan?
- Will:
your Will provides for the transfer of your property at your
death.
- Durable
Power of Attorney: a
document to appoint an agent to make medical and financial decisions
for you if you are unable to do so because of illness or an accident.
- Health
Care Directive: a
statement of your wish not to be kept on life support if two doctors
agree that you are terminally ill or in a permanent vegetative
condition.
In some cases we will
recommend additional documents to help minimize estate taxes or deal with
unique aspects of your estate. For instance, if you own property in more
than one state, or have strong concerns about confidentiality, we can
prepare a revocable living trust to enable your heirs to bypass the
probate process after your death.
Why do I need a
Will?
A Will is your
opportunity to decide how you want to distribute your property after your
death. Without a Will your
property accumulated during your lifetime will be transferred according to
a statutory scheme that may be inconsistent with your wishes.
A Will is particularly important in the following circumstances:
- To
ensure that bequests made to your minor or adult children are held in
trust until the appropriate age, which you decide.
Without a Will, your children will receive their statutory
share of your estate at age 18, with no restrictions or supervision.
Also, with a Will you have an opportunity to select the person
you want to serve as the Guardian for your minor children.
- To
protect a disabled child or loved one by leaving a bequest in a Special
Needs Trust. This
type of trust will allow the disabled beneficiary to preserve
eligibility for government benefits such as Medicaid and SSI and still
benefit from the assets in the Special Needs Trust.
- To
avoid paying unnecessary estate taxes.
Married couples with a total estate above one million dollars
should consider including provisions in their Wills to maximize their
protection from estate taxes.
- To
ensure that a domestic partner is provided for at your death.
- To
protect your current spouse in a second marriage and your children
from an earlier marriage. Second
marriages can complicate your estate planning. It is important to
decide how you want to provide for your current spouse and other
family members and then specify those wishes in your Will.
How do I reduce
estate taxes?
Every individual can protect the first $2,000,000 of their estate from
state and federal estate taxes. (The federal limit, but not the state
limit, is set to increase to $3,500,000 for persons dying in 2009.)
Married couples can include provisions in their Wills to ensure that no
estate taxes are paid until the death of the second spouse and to ensure
that the couple maximizes the amount protected from estate taxes. (With
the proper planning, married couples can transfer, free of estate taxes,
twice as much as a single person.) At Isenhour Bleck we will review with
you the tax planning tools that are available to reduce or eliminate state
and federal estate taxes.
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