Seven states have enacted statutes that permit a trustee with discretion to distribute principal of a trust to exercise the discretion by transferring principal to a new trust, which may have terms different than the original trust. They are Alaska, Delaware, Florida, New Hampshire, New York, South Dakota and Tennessee.…
The following states will have an inheritance tax in 2009 Estates in excess of $3,500,000: NC, VT $3,000,000: OK (tax expires after 2009) $2,000,000: CT, IL (tax expires after 2009), WA $1,000,000: DC, KS (tax expires after 2009), ME, MD, MA, MN, NY, OR, TN $ 675,000: NJ, RI $…
As long as the sole designated beneficiary is not the surviving spouse the RMD is the life expectancy of the designated Beneficiary. Each years MRD’s is computed by dividing the prior year-end account balance by a life expectancy factor (called the “Applicable Distribution Period” (ADP) or divisor) obtained from an…
Some of the common issues with naming beneficiaries on retirement accounts: 1) Make sure you name a beneficiary on a retirement account or estate will become beneficiary. 2) Multiple Beneficiaries on accounts can cause problems because all Beneficiaries must take the ADP of the oldest beneficiary 3) Lump sum distribution…
We previously reported that there were no RMD (required minimum distribution) in 2009. This turns out not to be trust in at least one case. If you turned 70.5 in 2008 and did not make your RMS in 2009 as required. You must still make your RMD by April 1,…
The University of Miami School of Law’s Heckerling Institute will host the 43rd Annual Estate Planning Conference from January 12 –16, 2009 at the Orlando World Center Marriott Resort & Convention Center. The Heckerling Institute on Estate Planning is the nation’s leading conference for estate planning professionals. As the largest…
Professor Gerry Beyer, author of the WIlls, Trust & Estates Professor Blog wrote an article where a Texas court admitted a copy of a will which gave most of the assets to the decedents sister instead of the children. The will had been seen shortly before the decedents death and…
I have begun seeing attorneys advertise on Craigslist. Here is the latest one in San Francisco. This San Francisco Estate Planning Lawyer is offering a 25% off on California Estate Planning. I have tended to take a different approach and price my services at lower fixed rate than many of…
A common question with Florida Estate Planning is whether an adult who is adopted is considered a child. We often recomend that out clients places language in their Florida Wills or Florida Revocable Trusts that deal with these issues. The typical language deals with adopted children above or below a…
There seems to be articles misquoting the Suspension of RMDs by Congress. Congress has not suspended the 2008 RMDs. As of this time The Worker, Retiree, and Employer Recovery Act of 2008 is awaiting the President’s signature. One of the provisions of the bill is the suspension of required minimum…