Estate Planning

If it's been a while since you dusted off your estate plan, now is the time to do it. EGTRRA vastly changed the landscape of estate and gift planning. The amount that can be transferred tax free to nonspousal beneficiaries is gradually increasing, and in 2010, the estate tax will be repealed. That repeal will only be in effect for one year, unless Congress acts to extend the repeal provisions. In 2011, the estate tax returns at levels in effect prior to EGTRRA.

You may think that estate planning is not important at this stage of your life or that your estate is too small to justify estate planning. But if you own a house, life insurance, a retirement account, or an interest in a closely held corporation or partnership, your estate could be larger than you think.

Failure to plan your estate not only increases your heirs' potential tax liability, it forces the state courts to parcel out your estate for you — in a manner which you may not like.

Without an estate plan in force, an impartial court will split up your assets, assign guardians for your children, and dictate all other details in handling your estate. Your involvement now is essential to your loved ones' futures.