New Data on Life Expectancy

Courtesy of Jonathan Blattmachr and Marty Shenkman for the Heckerling Institute, last month we provide the following: ‘Over the past three decades, life expectancy of male workers retiring at age 65 has risen six years in the top half of the income spectrum, but only 1.3 years in the bottom half.  The age for peak financial decision making is age 50.  Financial decision making ability begins to decline by age 60 and is significantly impacted by age 80.  Even more worrisome is that the same studies indicated that people’s perceptions of their abilities do not decline.  At what age are most estate plans crafted?  Likely much older. Creating and implementing a plan at an earlier age to protect clients is important to properly protect them […]

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Video for new Book: Your Digital Afterlife

This is a short but very helpful piece about why this is important.  Its is worth sharing, and acting upon.  http://www.youtube.com/watch?feature=player_embedded&v=0_xV9UfCLXA We will continue to locate sites and resources that make it possible to deal with your online existence efficiently and privately, in case of your passing.  

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Cuomo Proposes Drastic Reduction in the New York Estate Tax!

Last week,  Andrew Cuomo proposed bringing New York into conformity with the liberalized Federal Estate Tax Regime, by 2019.  It’s not next year, but far better than a poke in the eye with a sharp stick. The proposal would reduce the NY maximum marginal rate to 10% from 16%, and tie the NY Exemption to the Federal-now $5.34 million, and indexed for inflation (it went up $90k last year).  This is great news, since a person with a $5 million estate under current law owes the IRS nothing (assuming no lifetime gifts), and owes NY $391,600. Of course, New Yorkers can take advantage of the fact that we don’t have a gift tax, and NY does not tax lifetime gifts.  So you can reduce the […]

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The Future is Bright: For Starters: The Knowledge Doubling Curve

The more we know, the faster we know more.  Knowledge volume undergoes exponential growth, doubling and redoubling over time. Buckminster Fuller created the “Knowledge Doubling Curve”. Up until 1900 it was said that the accumulation of knowledge doubled every century. At the end of World War 2 every 25 years.Today – well anywhere from 1 to 1.5 years to – Nanotechnology they say every 2 years – Clinical knowledge every 18 months. And IBM predicts that in the next couple of years, information will double every 11 hours! The Will Doctor is ENTHUSIASTIC about the future in store for our children and grandchildren-and even for us! More on this to come in future posts, to complement the (rather dry) dynamics of estate and tax planning!

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No More Taxes: Don’t Forget to Jump Through the Hoop

We recognize that far fewer individuals who pass away in 2013 will be required to file federal estate tax returns, with the AEA (Applicable Exclusion Amount) at $5.25 million, (before the increase of $90,000 next year to $5.34 million, per person).  Don’t  forget, however, that the AEA remaining to protect the inheritance will be reduced by taxable gifts made during life. Of course, married people can protect twice as much-either through careful planning with trusts (recommended, for many reasons), or through “portability”, the excellent (and long delayed) new tax break which allows the AEA of the spouse who dies first (the “predeceased spouse”, or PD) to “port” or pass over to the surviving spouse, to supplement their own AEA.  This tax benefit is called the […]

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Estate Planning for your Digital Assets

Since 2008, this new area has exploded in relevance and importance for all of us.  There is no better way to understand it than the step by step Infographic linked to below. http://www.lifeinsurancefinder.com.au/infographics/expert-guide-to-protect-yourself-online-before-you-die/ The Will Doctor is integrating digital planning in our basic service, and will expand references and information on the Willplan.com website, time permitting. Meantime, please visit the wonderful site TheDigitalBeyond.com for more information and a list of service providers with a comparison of features. In addition, don’t forget about our LEGAL VAULT, for your digital records and estate planning needs, built with the assistance of the Will Doctor, on Willplan.com.            

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The Will Doctor is Back!

It’s an exciting time to return to the trenches with my clients and trusted advisors.  Planning for the potential upheaval of estate and gift taxes next year forces us to be very sensitive to our client’s priorities.  Over the years, I have learned that taxes are often not the highest priority for them.  They worry about divorce, and making sure the wealth stays with the intended heirs for as long as possible-keeping taxes in mind, of course. The result is a bevy of creative solutions to meet the objectives of the clients, and not the attorney and advisor.  Some of these allow the client or their spouse to maintain control over, and access to their wealth, while taking advantage of what may be a once […]

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