The Worst Estate Planning Errors You Can Make
July 25, 2012 By Robert J. Kulas, P.A.
As Abraham Lincoln once said, “Everything on the Internet is true.” If you've ever looked for legal advice online, it won't take you very long to discover a wide range of advice, opinion, commentary, and information about estate planning topics. Unfortunately, you have no way of knowing if any of it is correct.
The surest way to sabotage your own estate plan is to rely on information you found on the Internet. While there is a lot of good information out there, only your estate planning attorney will be able to tell you if you should rely on it.
Error 2: Not Using Gifts
If you have a large estate and are concerned about estate taxes, one of the best ways to reduce your tax burden is to use tax exempt gifts. These annual gifts allow you to give individuals a substantial amount of money every year without having the value of that gift subject to taxation. In 2012, you can give up to $13,000 per year per individual, up to a lifetime limit of just over $5 million. However, that five million-dollar lifetime limit is set to expire beginning in 2013, when it will revert to the traditional $1 million limit.
Error 3: Not Having a Plan
Not having any type of estate plan is the single most common estate planning mistake people make. The fact is most people either don't believe they need an estate plan or are reluctant to begin estate planning efforts. While developing an estate plan may require you to face some uncomfortable issues, these issues will not go away if you ignore them and may end up hurting your family if you haven't adequately prepared.
ABOUT THE AUTHOR: Robert Kulas
Experienced estate planning attorneys Port St. Lucie FL of the Robert J. Kulas, P.A. offers estate planning and business planning resources to residents of Port St. Lucie FL.
Copyright Robert J. Kulas, P.A.
More information about Robert J. Kulas, P.A.
Disclaimer: While every effort has been made to ensure the accuracy of this publication, it is not intended to provide legal advice as individual situations will differ and should be discussed with an expert and/or lawyer. For specific technical or legal advice on the information provided and related topics, please contact the author.
Error 2: Not Using Gifts
If you have a large estate and are concerned about estate taxes, one of the best ways to reduce your tax burden is to use tax exempt gifts. These annual gifts allow you to give individuals a substantial amount of money every year without having the value of that gift subject to taxation. In 2012, you can give up to $13,000 per year per individual, up to a lifetime limit of just over $5 million. However, that five million-dollar lifetime limit is set to expire beginning in 2013, when it will revert to the traditional $1 million limit.
Error 3: Not Having a Plan
Not having any type of estate plan is the single most common estate planning mistake people make. The fact is most people either don't believe they need an estate plan or are reluctant to begin estate planning efforts. While developing an estate plan may require you to face some uncomfortable issues, these issues will not go away if you ignore them and may end up hurting your family if you haven't adequately prepared.
ABOUT THE AUTHOR: Robert Kulas
Experienced estate planning attorneys Port St. Lucie FL of the Robert J. Kulas, P.A. offers estate planning and business planning resources to residents of Port St. Lucie FL.
Copyright Robert J. Kulas, P.A.
More information about Robert J. Kulas, P.A.
View all articles published by Robert J. Kulas, P.A.
Disclaimer: While every effort has been made to ensure the accuracy of this publication, it is not intended to provide legal advice as individual situations will differ and should be discussed with an expert and/or lawyer. For specific technical or legal advice on the information provided and related topics, please contact the author.
