The Estate Planning Landscape

{2.5 minutes to read}  Today, I want to talk about the estate planning landscape in the United States. It seems to me that, whenever a new administration comes in, there is always a potential for change. Since the prior administration increased the lifetime exemption to an amount that now equates to over $12 million per person, the thought process is that now is the greatest opportunity we’ve ever had for wealth transfer in America. So, if you’re a married couple, you can pass up to $24 million.

Now, these laws sunset December 31, 2025. So, even if our Congresspeople cannot agree on the new tax law, we know that this is going away. It could go away faster, being that there may be an agreement and a new set of estate tax laws that may come into being. This opportunity, however, is one that I will describe as a use-it-or-lose-it.

If you can make substantial gifts, now is the time to do it. If you can maximize your lifetime exemption and start growing those assets outside of your estate, then you should do it. Many people believe that this is a time that will not be repeated in the near future.

On top of that, combining these large gifts into irrevocable trusts, dynasty trusts, and intentionally defective grantor trusts, allows us to further leverage the gifts by utilizing minority gifting techniques, lack of marketability, and other discounting strategies. We can use those dollars to potentially purchase life insurance, which is a very unique asset that will allow people to have money on time, untouched, and untaxed when their tax liability comes in at their death.

So, if you want to do some smart estate planning and wealth transfer techniques, give us a call. Let us know how we can be of help so that you can make sure that you’re preserving and protecting your wealth for your family’s next generation.

Thank you very much, and have a wonderful day.

Registered Representative offering Securities through American Portfolios Financial Services, Inc. (APFS) Member FINRA/SIPC. Investment Advisory Services are offered through G&G Planning Concepts, Inc. which is not affiliated with APFS.  Strategic Wealth Advisors Network and Gassman Financial Group are not affiliated with APFS.

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