Discussions around estate planning often begin with taxes and how to avoid paying estate. In reality, only a small percentage of estates are subject to federal estate taxes. The new federal tax law enacted by congress earlier this year greatly reduced the number of estates subject to such taxes by essentially doubling the amount of money that is automatically exempt … Read More
Digital Assets and Estate Planning
It is important to recognize and identify digital assets in your estate planning. Digital assets include digital files (stored through a cloud service or stored locally), websites, email, social media and other online accounts. You should consider preparing a current list of your online accounts and other digital assets to include with your estate planning documents. You should also consider providing your … Read More
End of Life Option Act
The California Legislature recently passed Assembly Bill X215, commonly called the End of Life Option Act. Governor Brown signed the new law on October 5, 2015. It will become effective 91 days after the adjournment of the 2015-2016 second extraordinary session. The act authorizes an adult who meets certain qualifications, and who has been determined by his or her attending … Read More
Transfer on Death Deeds
The California Legislature recently passed legislation that allows for revocable transfer on death deeds. These deeds may significantly simplify estate planning for a large number of people. A revocable transfer on death deed seems to be well-suited for those persons with estates that primarily consist of a single family residence and retirement plans. Prior to the passing of this legislation, existing … Read More
Is the Stepped-Up Basis at Death Going Away?
President Obama in his press release in advance of his annual State of the Union address in January of this year recommended elimination of the stepped-up basis at death. If this were to incur, it would impose a capital gains tax at death. In order to avoid this alleged loophole, the President’s proposal was to treat bequests and gifts (other … Read More
Estate Planning for Vacation Homes
When it comes to vacation homes, effective estate planning often centers more on emotional factors than the legal issues of the succession. Developing a method to allow for one’s children and family to continue to use the family can be challenging. The current owner of the vacation home needs to determine how ownership will be held by the next generation. … Read More