Estate Planning

When a loved one passes away, the emotional toll can be overwhelming, and dealing with the complexities of tax implications may not be a priority. However, understanding the concept of “step-up in tax basis” can significantly impact the tax burden on inherited assets. In this blog post, we’ll explore the basics of the step-up in tax basis, focusing on IRC Section 1014, and how Wisconsin’s marital property laws can provide a double stepped-up basis for inherited assets.

What is
Continue Reading Tax & Wealth Advisor Alert–Understanding the “Step-Up in Tax Basis”

Protect your kids’ future by learning what to avoid in your estate planning. While estate planning is mostly about transferring your wealth, your plan should encompass much more than that. Many individuals shy away from exploring family complexities or addressing emotionally charged matters. However, the truth is that failure to plan, confront tough issues, or neglect practical planning logic can sow the seeds of family dysfunction. While there are numerous ways an improperly handled estate plan can harm your
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In 2018, the “Queen of Soul” Aretha Franklin passed away, leaving behind four sons and a multimillion-dollar estate. Since this time, Franklin’s sons have been engaged in a fierce legal battle regarding the application of contradictory handwritten wills and the proper division of her assets. Recently, a jury in the probate court in Pontiac, Michigan decided that Franklin’s handwritten will drafted in 2014 revoked a previous handwritten will and will set forth how Franklin’s assets will be divided amongst
Continue Reading A Michigan Jury R-E-S-P-E-C-Ts Aretha Franklin’s Wishes

Payable on Death (POD) accounts are offered by banks and other financial institutions to permit an account owner to designate a beneficiary to receive the funds in a savings, checking, CD, or similar account, upon the account owner’s death. If there is a POD beneficiary on a joint account, the named beneficiary will receive the funds upon the death of the last account owner (see our previous article discussing the drawbacks of joint accounts here). Some financial institutions
Continue Reading The Pitfalls of Payable on Death Accounts

Can you handwrite a will? Technically, yes. But SHOULD you handwrite a will? No. Creating a will is an essential step in planning for the future, ensuring that your assets and wishes are properly distributed after your passing. Fans of HBO’s popular show Succession, learned this in a shocking episode in season 4. With the unexpected death of one of the main characters, and a Will with many handwritten amendments, the family was left stunned and unsure of how
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Don’t leave your kids an inheritance outright. The best ways to leave your kids’ an inheritance may not be the ways you think. As parents, one of our deepest desires is to provide for our children even after we are gone.  With careful planning and consideration, you can establish a solid foundation for your children’s future. When it comes to planning for the future, especially when it involves passing on your wealth to the next generation, it’s crucial to
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Estate planning for single individuals helps to create a plan for the unique situations that one may face. In an ever-evolving society, the concept of family and personal relationships has undergone significant changes. Today, there is a growing number of individuals who are widowed, unmarried, or live alone without immediate family members to rely on for support. These independent individuals can sometimes face unique challenges when it comes to planning for their future. Here we will delve into the
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A power of appointment is a legal instrument that grants an individual (the “appointee”) the authority to decide how a particular asset or assets will be distributed upon the death of the individual who created the power (the “donor”). The appointee can exercise this power during their lifetime or in their will, and they can direct the asset to be given to any person or entity they choose.

When selecting the type of power of appointment to include in
Continue Reading Tax & Wealth Advisor Alert: Powers of Appointment – A Tool to Add Flexibility Into an Estate Plan

As a business owner, you have many responsibilities, and estate planning may not be high on your priority list. However, failing to plan adequately can have significant consequences for your business and family. Estate planning is a complex process that requires careful consideration of various factors, and there are several pitfalls that business owners should avoid. Keep reading to learn the common estate planning mistakes that business owners make and provide guidance on how to mitigate them.
Estate Planning
Continue Reading Estate Planning Pitfalls to Avoid for Business Owners

Beneficiary designations (or sometimes called TOD [Transfer on Death] or POD [Payable on Death] designations) may be placed on almost any financial asset.  A Non-Probate Transfer at Death Deed (“TOD Deed”) may be used to transfer Wisconsin real estate without court to whomever the grantor names in the TOD Deed.  If a Decedent designates beneficiaries on all but fifty thousand dollars’ worth of his or her property, the Decedent will have avoided probate. While this strategy is not appropriate
Continue Reading Satisfying Bequests in a Will While Avoiding Probate

Estate planning strategies for business owners should consider both your professional and personal goals. As a business owner, you have likely invested a considerable amount of time, effort, and resources into building your company and accumulating wealth. However, without proper estate planning strategies in place, much of that wealth may be lost or subject to unnecessary taxes, fees, or legal disputes. To ensure that your assets are protected and transferred efficiently to your beneficiaries, it’s crucial to consider various
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Generally speaking, real estate is subject to the laws of the jurisdiction in which it is located. That makes coordination of property ownership outside your home state an especially important piece of your overall estate plan. Failing to specifically address the funding/titling of this real estate can cause, among other hassles, unnecessary court processes at death. The following are a few things to consider.

Out-Of-State Real Estate
If you utilize a revocable trust as your main estate planning vehicle
Continue Reading A Home Away From Home: Planning Considerations for Out-of-State Real Estate, Mobile Homes and Foreign Real Estate

With the proper planning you can safeguard your business legacy to ensure your business lives on for generations to come. As a business owner, you put everything into building and growing your business. It’s not just a source of income, but also a reflection of your passion, hard work, and dedication. However, amidst the daily hustle and bustle of running a business, one critical aspect that often gets overlooked is estate planning. Many business owners tend to neglect or
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When creating an estate plan, one of the most critical decisions you will make is selecting a personal representative and trustee, also known as “fiduciaries.” A fiduciary is a person or institution entrusted with the responsibility of managing assets and carrying out the terms of your estate plan.  Choosing the right fiduciary is essential, as they will play a significant role in ensuring your assets are managed and distributed according to your wishes. This blog post explores the various
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Funding your trust is the crucial step to making sure your estate plan works when the time comes. If you have an estate plan, you’ve already taken a crucial step in ensuring that your assets and property are distributed according to your wishes after you pass away. However, simply creating an estate plan is not enough. One of the key elements of a comprehensive estate plan is funding your trust.
Why Funding Your Trust is So Crucial
Funding a
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The Spousal Lifetime Access Trust (SLAT) is a type of irrevocable trust that allows married couples to transfer assets to their spouse and other family members while removing those assets from their combined estates. This type of trust can help high net worth individuals take advantage of the federal lifetime gift and estate tax exclusion, which is currently $12.92 million per person in 2023, or $25.84 million per married couple, while still retaining limited access to the assets, if
Continue Reading Spousal Lifetime Access Trusts, A Powerful Estate Planning Tool for Complex Estates