Generation Skipping Trusts, also known as GSTs, are an excellent estate planning tool created to avoid double estate taxation at the death of a grantor and the subsequent death of their children. Considering the potential changes in estate tax exemptions coming soon, this type of trust may become an increasingly useful tool in planning for
Trusts
Will vs Trust – Which Is Right for You?
Will vs Trust Will vs Trust – Which Is Right for You? No matter your age, there is a necessity to plan for unforeseen circumstances. This includes planning for your death and deciding how you would like your property distributed. An estate plan allows you to do just this. Without an estate plan, the transfer
What Happens When Someone Dies without a Will?
What Happens When Someone Dies without a Will? What Happens When Someone Dies without a Will? If a California resident dies without a Will, the laws of intestate succession apply. This means the decedent’s estate will pass through probate court, and the court will distribute the assets according to state laws. However, this may be
How Does a Bypass Trust Work?
Bypass Trust A Bypass Trust allows you to provide for your surviving spouse and leave assets to your children, without the burden of estate taxes. Some BackgroundAs of 2023, the federal estate tax exemption is $12,920,000. This means estates valued below that number are exempt from the federal estate tax. The value of an estate
What is Step-Up Basis and How is it Beneficial for Trusts and Estates?
What is Step-Up Basis and How is it Beneficial for Trusts and Estates? Step-up basis allows for the tax basis to be stepped up to fair market value upon the transfer of an asset at death. What is basis? The IRS defines basis as “the amount of your capital investment in property for tax purposes.”