Children and grandchildren inheriting traditional IRAs could quickly find themselves in the top 37% tax bracket, thanks to changes ushered in by the Tax Cuts and Jobs Act.
When you set up an IRA with a brokerage, you’ll usually be asked to designate a beneficiary. This is where you would enter the trust as your beneficiary, should that be the option you choose.
Some things don’t disappear even when you die, including credit card debt.
There are mechanisms that you can put in place through a trust to help your children become financially responsible with their inheritance.
If your loved one’s organizational style consists of dropping off paperwork somewhere in the spare room instead of creating a financial document file that would delight Marie Kondo, you might feel overwhelmed.
A pet trust is a legal arrangement that specifies how your animal companions would be cared for and taken care of financially if you pass away, or if you become ill or disabled and can no longer take care of them yourself.
Many annuities cannot be passed on to a beneficiary; any money left in them when you die goes to the insurance company.
The federal estate and gift tax are unified and allow you to give away property above the annual exclusionary gift amount or for your heirs to inherit up to a total of $11.4 million currently, without paying gift or estate taxes and this increases with inflation.
If you’re a father, there’s a good chance you help manage your household’s finances and you may even play the dominant role. This may work well now, but what if something were to happen to you? Would your family be financially okay?
One in five Americans has married at least twice. However, a sobering 60% of second marriages end in divorce, the Census Bureau found.
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