Newsletters | New York Life Advisors

3rd Quarter 2022 Newsletter

Three reasons why periodic reviews of estate planning documents are important.

Clients are often unsure how frequently their estate plans may need to be reevaluated and updated. In this article, you’ll read about three common scenarios that should trigger a review of an estate plan and the reasons why periodic updates are critical to achieving a client’s estate planning goals.

Planning for art collections: Rules and tax considerations.

Art can be a fickle and illiquid asset, and people who collect it tend to have a significant investment – both emotional and financial – in their collections. One in three high income earners collect art, but nearly two-thirds of those have not integrated their collections into their overall wealth strategy or even discussed the impact on their estate plans with their advisers. In this article from estate planning attorney Patricia Annino, you’ll learn why planning for that one family heirloom piece – or an entire art collection – requires careful thought and an understanding of the rules that apply to works of art.

Connelly v. U.S. decision allows proceeds of corporate-owned life insurance to be included in estate tax value of shares.

Using life insurance proceeds to purchase interest in a business entity under a buy-sell agreement is a very common practice, but as Bessemer Trust’s managing director, Steve Akers, explains in this article, the Connelly ruling has added a new twist for clients and planners to consider: Must corporate-owned life insurance be considered in valuing a decedent’s shares subject to a corporate purchase provision in a buy-sell agreement?

Spring 2022 Advisor Newsletter

Digital thought leadership: Steps to make your mark in a noisy, virtual world.

Do you know what your digital footprint looks like? If you are running a business, trying to get ahead in your career, or trying to establish an online presence and become known as a thought leader in your industry, you can’t afford not to, according to executive coach Dean DeLisle. In this article, DeLisle explains how to take ownership of your digital footprint and make sure all the internet content associated with your name and/or business is working for you, rather than against you.

Charitable gifts with retained life estates can provide tax and planning benefits.

Charitably inclined owners of a personal residence have a unique ability to benefit both family and charity though the use of a charitable gift with a retained life estate. This technique offers several tax and planning benefits to a donor and can help minimize any potential family conflict over real property while maximizing the inheritance.

Estate planning for 2022: Ten questions to ask your clients.

It’s a whole new world for estate planning – from an all-time high estate tax exemption that may soon be cut in half (without further action by Congress), to the prospect of higher taxes, larger inheritances, complicated family dynamics, rising rates of divorce and litigation, and electronic data – the list goes on and on. In this environment of uncertainty, estate planning attorney Marvin Blum offers ten questions that every advisor and client should consider in order to identify estate planning areas that need a timely update.

Six things you may not know about state estate taxes

Seventeen states and the District of Columbia currently impose some type of state-level estate tax or inheritance tax. Such taxes may impact both residents and nonresidents. Six surprising characteristics of these taxes are discussed in this article.

Often overlooked deductions for medical capital improvements and their financing

Parents caring for those with special needs are often unaware of the substantial tax benefits available to them and could miss out on potential tax deductions and reductions in their tax liability. This article, written by Thomas M. Brinker, Jr., LL.M., CPA, focuses on the medical expense and home equity interest expense deductions pertaining to home-related capital expenditures to help parents of individuals with special needs and their advisors be aware of some of the unusual tax code provisions that may be applicable.

Four critical areas of planning that can improve small business longevity, success

Proper planning throughout the lifespan of small businesses can be credited for significant improvements to their overall success rates. This article reviews four critical areas of planning that can help small business owners improve the longevity and success of their investment.

Five things you may not know about the federal estate tax basic exclusion.

Most high net worth clients or the owners of highly successful businesses are aware that estate taxes could be a potential concern, but many lack an understanding of some of the basic estate tax principles. This article describes five general principles you may not know about the federal estate tax basic exclusion amount and provides caveats and considerations to help you and your clients make educated choices when planning.

Transferring “family capital”: A new approach to succession planning.

Family business succession planning often involves preparing wills, determining future leadership, and developing plans for the transition. But after 40 years of experience in the field, W. Gibb Dyer, a professor at BYU’s Marriott School of Business, says the broader issues of family capital – the human, social, financial and other tangible resources available as a result of family affiliation – are often the key to a successful transition between generations. Dyer explains what types of capital families need to be aware of and how to transfer that capital to the next generation.

Creative charitable giving ideas for donors who want to give more.

Americans are generous. However, when giving to charity, most Americans write a check (or provide credit card information), try to remember to retain necessary records, and hope for the best come tax time. With a bit more intention, awareness, and planning, donors could not only enjoy greater tax savings but also make more impactful gifts.

Adding flexibility to irrevocable trusts can help address tax law uncertainty

With the possibility of a repeal of the Tax Cuts and Jobs Act approaching, creating an irrevocable trust to utilize the increased lifetime gift tax exemption amounts may be wise, and adding a bit of flexibility to the trust may just be wiser still.

Situs an irrevocable trust in a different jurisdiction for additional benefits

Most estate planners will situs an irrevocable trust in the jurisdiction in which the client lives, but in many situations, this can cause a loss of benefits such as tax savings and creditor and asset protection. This article describes some common reasons for exploring the use of a different trust situs and the benefits that may be obtained by doing so.

Why employer-provided life insurance may fall short

Many people rely solely on employer-provided life insurance for their protection needs, especially since that type of coverage is convenient and accessible. However, relying exclusively on this type of insurance for protection can present some areas of risk. This article looks at those risks and provides considerations for evaluating how much coverage is needed based on several individual factors.