Congress has passed and President Obama has signed into law the deal extending the Bush tax cuts that he struck with Congressional Republicans. The legislation restores the estate tax for two years at a 35 percent tax rate, with estates of $5 million or less exempt from paying any tax. If Congress does not change [...]
Senate Majority Leader Harry Reid (D-NV) has introduced legislation implementing the tax-cut deal that President Obama struck with Congressional Republicans. As expected the legislation restores the estate tax for two years with an exemption of $5 million and a 35 percent tax rates for estates over that amount, but the bill also contains several unexpected [...]
The knowledge that we will eventually die is one of the things that seems to distinguish humans from other living beings. At the same time, no one likes to dwell on the prospect of his or her own death. But if you postpone planning for your demise until it is too late, you run the [...]
One of the major concerns for Massachusetts parents or grandparents of children with disabilities is how to provide for their financial future. Here are some legal tips: 1. Buy enough life insurance. A parent is irreplaceable, but someone will have to fill in. In all likelihood, that person or family will have to pay for at [...]
Nursing home and assisted living rates in Massachusetts rose significantly from 2009 to 2010, according to the 2010 MetLife Market Survey of Long-Term Care Costs. Private room nursing home rates in Massachusetts rose to over $120,000 a year or an average of $329 a day, while assisted living facility costs climbed to over $53,000 a year or on [...]
With many people unwilling to purchase long-term care insurance policies due to the cost, insurers are rolling out new products that combine long-term care insurance with either a life insurance policy or an annuity. These new products have been on the market for awhile, but they are gaining in popularity due to a law that [...]
As many of you know, the estate tax expired on January 1, 2010. It remains to be seen whether Congress will reinstate it before it returns in 2011, but the fact that there is currently no estate tax can have unintended consequences for spouses. Standard language found in many estate plans could leave spouses with nothing. [...]
Everyone has heard the terms “will” and “trust,” but not everyone knows the differences between the two. Both are useful estate planning devices that serve different purposes, and both can work together to create a complete estate plan. One main difference between a will and a trust is that a will goes into effect only [...]
No one wants to face the fact that our loved ones will not be with us forever. Facing our own mortality is frightening as well. Although none of us wants to contemplate a time when we or a loved one might become disabled or die, it is important to be prepared. There are many steps [...]
Although your life insurance policy may pass to your heirs income tax-free, it can affect your estate tax. If you are the owner of the insurance policy, it will become a part of your taxable estate when you die. While the federal estate tax is currently zero, the exemption will be $1 million and the [...]
