Spring 2021 Advisor Newsletter
Strategies for IRA distributions following enactment of the SECURE Act
The SECURE Act changed the rules for distributions from most non-spousal inherited IRAs and eliminated the “stretch IRA” that allowed some beneficiaries to spread distributions out over their lifetimes. In this article, Robert Keebler of Keebler & Associates, LLP, offers suggested strategies that clients with large IRAs might use under the SECURE Act to maximize the wealth that can be accumulated from their IRAs for their families, which include CRTs, multi-generational accumulation trusts, IRC Section 678 trusts, ING trusts, life insurance, and Roth IRA conversions.
Revocable living trusts: advantages, drawbacks and misconceptions
Clients who are working on their estate plans are often baffled by the revocable living trust, frequently asking, “How is it different from a will” and “What exactly does it accomplish?” This article explains the advantages, drawbacks and common misconceptions of this popular estate planning tool.
Understanding the probate process
As clients experience the death of a loved one, most will also have to deal with probate wherein the state officially determines successor ownership of property and rights that were held by the decedent. This article helps to demystify this experience and explains the procedural steps that normally occur in the probate process.
Previous Newsletters
Winter 2021 Advisor Newsletter
Building a business: Entity selection and forms of organization.
Selecting a business entity or organization form can be intimidating and confusing, yet it is an important decision for business owners and one that can have far reaching consequences. This article looks at the different tax implications, characteristics, and administrative requirements for common business types and provides an overview of how the owner’s selection may complement or detract from the business’s ultimate objectives.
Donor advised funds: the Swiss Army knife of charitable planning
Donor advised funds are an extremely versatile tool for the charitably inclined, according to Bryan K. Clontz, founder and president of Charitable Solutions, LLC. Although DAFs have been around for many decades, they have grown in number, value, contributions and popularity over the last 20 years. In this article, Klontz explains why they appeal to donors with some combination of appreciated assets, unusually high income, or long-term charitable goals, especially given the significant latitude that DAFs allow when it comes to grantmaking.
Income tax reduction strategies using non-grantor trusts.
Many expenses taxpayers were accustomed to deducting on their income tax returns have been permanently eliminated, suspended, or limited until 2026. These changes – brought by the Tax Cuts and Jobs Act of 2017 – coupled with the increased applicable exclusion amount have shifted planning strategies for many clients from an estate tax focus to an income tax focus. This article describes how a non-grantor trust can help reduce income taxes by enhancing deductions.
Winter 2020 Advisor Newsletter
Basic estate planning considerations and documentation
By Eva Stark, JD, LL.M.
A significant number of Americans have no estate plan in place in the event of premature death. This may be due to not making time to address a seemingly far-off problem, avoiding potentially difficult conversations and decisions, not wanting to think of one’s mortality, or the perceived high cost of working with attorneys and other professionals. However, failing to plan can have consequences that could be very costly both financially and in terms of an undesirable outcome, delay and family disharmony. This article discusses general estate planning considerations and the documents incorporated into the typical estate plan.
Value and private enterprise
By Wes Shelton, CEPA, CM&AA, SM2 Advisors
As Baby Boomers prepare to retire, as much as six trillion dollars will change hands as privately owned businesses are transitioned to new owners. Yet most business owners are not afforded an understanding of how to maximize the value of their enterprises when they are ready to make that move. This article explores the ways that business owners can appeal to private capital markets and the opportunities this gap presents for advisors.
Impact of large gifts, “clawback” under estate tax law's potential sunset in 2026
By Matt Pate, JD, LL.M.
The current environment for estate and gift tax exemptions is a favorable one, but it won’t last. This article describes anti-clawback regulations which provide welcome guidance for those contemplating large gifts prior to sunset, as well as those who may have made large gifts and paid gift tax prior to the increase in the exemption in 2017; but it is important to note that the current increased exemptions do not appear to permit preservation of the marginal difference through gifting.
