Estate planning may sound like something that only the ultra-rich need to worry about. But there are many reasons why everyone needs an estate plan, regardless of their current income level.

Why You Need A Will

While federal estate taxes may not concern you, you need a will to have your wishes honored after your death. Without a will, state law dictates the distribution of your assets, which may not align with your intentions. 

Additionally, if you have minor children, a will allows you to name a guardian to care for them in the event of your untimely passing. Your heirs will appreciate your having a will that clearly spells out your wishes, as this can avoid costly and time-consuming legal proceedings.

The Benefits Of Using A Trust

A living trust gives you a valuable tool to avoid probate. By transferring legal ownership of your assets to the trust, you can ensure that your beneficiaries receive them without suffering through probate. You can amend your living trust as circumstances change, providing flexibility and control over your assets.

Other Tips

 - It is also essential to keep your beneficiary designations for investment and retirement accounts up-to-date, as they take precedence over wills and living trusts regarding asset distribution.

 - If your estate will be subject to federal or state death taxes, you should plan to minimize your exposure.

 - Estate planning is not a one-time event but a process that you should review and update regularly to accommodate life changes and fluctuations in estate and death tax rules. We recommend checking your estate plan annually to ensure it aligns with your wishes and circumstances.

If you would like help planning for your future, click here to schedule an appointment with one of Gold Standard's seasoned tax accountants.

Contact us: 
[email protected] | CA (760) 888-6247 | NY (845) 237-4060

Copyright © Gold Standard Tax & Accounting. All Rights Reserved.