Few of us feel delight when we hear the term "tax code". However, there has been some recent excitement in the area of trust taxation and administration that we all should direct our attention to.
If you're considering a living trust or revocable living trust, review these common questions and answers to help you better understand how they work and whether or not it's right for you:
When a person passes away, you assume they're safe from any wrongdoing, but you would be wrong. The number of identity theft cases against deceased individuals has grown substantially in the past few years. More family members are finding out their loved one's identity was stolen shortly after their death. While the estate won't be liable for the charges, it is a hassle that can still cost the family in the end.
When you create an estate plan, the first question that will be on your mind is whom you should discuss your wishes with. Unfortunately, the answer isn't as simple as you might think.
In most cases, if your estate has credit card debt the executor of your estate will need to use any funds left to pay those debts. There are different instances, however, where this is not the case.
When you start to plan your estate in earnest you would do well to consider the details that must be attended to after you pass away. Unless the situation is very simple there are going to be some considerable tasks that must be undertaken by the individual or individuals that you choose to administer the estate.
While it is indeed important to look ahead toward the future, the fact is that as a young adult you may not be that interested in the details of tax laws that are applicable to the field of estate planning. However, we all care a great deal about the well-being of our loved ones, and this tax can have an extraordinarily negative impact on succeeding generations of your family.
Your family is unique from every other, and this is something to keep in mind when you are considering the future. There are websites out there that will sell you generic legal documents. They say that anyone can plan his or her own estate by following the directions and filling in blank fields on a one-size-fits-all piece of paper that you download off the Internet (for a hefty fee).
Recording your final wishes on paper is all well and good and it is of course quite necessary. But as you are doing so you must also recognize the fact that somebody is going to have to carry out your wishes in a hands-on manner. If you use a Last Will to direct the transfer of your assets this legwork is done by the executor or personal representative.
Sometimes a highly publicized legal case can provide an example that resonates throughout society. This type of scenario took place several years ago with a young woman named Terri Schiavo at the center.