Estate tax planning McKinney
Estate tax planning McKinney
Estate Duty Preparation in McKinney, Texas: Shielding Your Prosperity for Coming Generations
Estate duty preparation is a crucial part of the estate preparation procedure that assists people and families safeguard their prosperity for coming generations. Estate duties can have a significant impact on the value of an estate, and without proper preparation, your loved ones may be left with a considerable tax burden. As a McKinney-based lawyer who specializes in estate planning, Janelle Cremé has helped numerous clients develop comprehensive estate duty plans that meet their unique needs and goals.
Comprehending Estate Duties
An estate duty is a tax that is levied on the transfer of an individual's assets after their demise. In the United States, estate duties are based on the fair market value of the estate at the time of the individual's demise. For example, if the fair market value of your estate is $10 million and the estate duty rate is 40%, your estate duty liability would be $4 million.
The federal estate duty applies to estates with a value over $11.7 million, and the duty rate is currently 40%. However, Texas does not have a state-level estate duty, which means that estates in Texas are only subject to the federal estate duty.
Estate Duty Preparation Approaches
There are many estate duty preparation strategies that can help you minimize or eliminate your estate duty liability. Some of the most common strategies include:
Giving: One of the simplest ways to reduce your estate duty liability is to give away assets during your lifetime. The annual gift duty exclusion allows you to give up to $15,000 per person, per year, without incurring any gift duty liability. This means that you can give away a significant amount of assets tax-free over time.
Irrevocable Trusts: An irrevocable trust is a legal arrangement that allows you to transfer assets out of your estate and into a trust. Once the assets are in the trust, they are no longer considered part of your estate for tax purposes. This can help you reduce your estate duty liability and protect your assets from creditors and other risks.
Charitable Giving: Charitable giving is another effective estate duty preparation strategy. By making a charitable donation, you can reduce the size of your estate and lower your estate duty liability. Additionally, charitable donations are tax-deductible, which can provide additional tax benefits.
Family Limited Partnerships: A family limited partnership is a legal structure that allows you to transfer assets to your children or other family members while retaining control over the assets. This can help you reduce your estate duty liability while maintaining control over your assets during your lifetime.
Collaborating with an Estate Planning Lawyer
Developing a comprehensive estate duty plan requires a deep understanding of estate planning laws and regulations. Working with an experienced estate planning lawyer like Janelle Cremé can help ensure that your estate plan is tailored to your unique needs and goals. Janelle can provide guidance and support throughout the estate planning process, from developing a plan that meets your needs to implementing strategies to reduce your estate duty liability.
Get in Touch with Janelle Cremé Today
If you are interested in developing an estate duty plan, Janelle Cremé can help. As an experienced estate planning lawyer in McKinney, Texas, Janelle can provide the guidance and support you need to protect your assets for future generations. Get in touch with Janelle today to schedule a consultation and learn more about your estate duty preparation options.