PROTECTING YOUR ESTATE FROM UNNECESSARY EXPENSES

PROTECTING YOUR ESTATE FROM UNNECESSARY EXPENSES 

You have worked hard to accumulate and protect your estate, so you probably want to pass much of it to your heirs or beneficiaries. Protecting your estate normally moves you into a higher level of money management and often requires the advice of professionals—tax specialists, lawyers, or trust officers. Keep in mind that although you can obtain good information from an accountant or trust officer, only a lawyer can draft a will. To avoid extra expenses, you may want to go directly to an attorney. 

Federal estate tax rates start at 37 percent on taxable estates (over 1,500,000 in 2005) and go up to 55 percent on very large estates. In addition, 18 states collect inheritance taxes. The result can be a sizable portion of a modest estate going to the government. 

Federal law has three features you can use to minimize estate taxes  

Amounts left to qualified charities are deductible from the estate before calculating a tax liability. 

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PROTECTING YOUR ESTATE FROM UNNECESSARY EXPENSES... 

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