Estate Planning Dos and Don'ts
Estate planning is a complicated and on-going process. It can seem tiring because you
need to frequently update your plan, based on changes in your personal circumstances, as
well as changes in the tax laws. Although there is no way out of the frequent reviewing of
your estate plan, you can simplify the entire process by following a few do’s and don’ts.
Estate Planning Do’s
Create a plan that is flexible. Your plan should take into consideration the
possibility of a substantial change in estate laws. This has happened in the past
and can happen again.
Make a Will. Picasso died without a Will and we know the result of such a big
omission. An ill-drafted Will can also be effectively useless, as it might fail to
convey your wishes properly. A Will that has several loopholes can easily be
challenged in court.
Establish a trust. Similar to a Will, a trust helps you protect the interests of your
family. Trusts are often used to hold real estate for a beneficiary and can be highly
Donate land that you do not plan into develop to a charity. Giving away land
for charitable purposes enables you to receive income tax deductions and
reduction in estate taxes.
Estate Planning Don’ts
If you own a small business or a farm, don’t assume that you’ll receive special
estate tax benefits.These tax breaks were done away with in 2004.
Don’t expect estate taxes to be eliminated permanently.
Don’t change your plan, such as canceling life insurance, without consulting your
lawyer. Such a change could lead to countless legal hassles.
Don’t think you don’t need a backup plan. There is a chance of you outliving your
Experienced estate planning attorneys Seattle WA of the Byrd Garrett PLLC offers estate
planning and business planning resources to residents of Seattle WA. To learn more
about these free resources, please visit http://www.byrdgarrett.com today.