Why You Should Plan For An Inheritance

Page 1

3/23/2020

Why You Should Plan For An Inheritance | Brett Fingerhut

a Why You Should Plan For An Inheritance by brett ngerhut | Apr 9, 2018 | Brett Fingerhut

Those fortunate enough to receive an inheritance should consider important factors, such as estate taxes and liability protection. Otherwise, they may struggle to preserve their wealth. Bene ciaries need a game plan to protect their inheritance, so they can one day leave behind a legacy to their heirs. When devising a plan, there are speci c risks to mitigate.

Taxes Can Hurt Estate tax and tax rates are subject to change, making it important to know what the current thresholds are and how they impact one’s family. There is no getting around paying taxes, but it is helpful to know how much the net inheritance will be after taxes. This will allow bene ciaries to plan for the future and help them select investment vehicles. Also, if the owner of the estate has a lot of money tied up in an IRA account, it makes sense

https://brettďŹ ngerhut.com/why-you-should-plan-for-an-inheritance/

1/3


3/23/2020

Why You Should Plan For An Inheritance | Brett Fingerhut

to have that account roll down to their bene ciaries. This will prevent the liquidation of the retirement account, in most instances.

Family Disputes Siblings and other heirs can potentially ght over their inheritance money, which is a bad situation for families to be in. Feelings can get hurt, and grudges may ensue because someone feels they’ve been slighted or treated unfairly. Having a will in place is important for everyone involved in the inheritance and estate planning process. Bene ciaries will not be surprised at the moment they’re entitled to an inheritance if all stakeholders have read the will associated with the estate.

Liability Protection If one inherits a large sum of money, they can potentially become a target for lawsuits and fraudsters that want to take their wealth. Having trusts and other instruments to mitigate risks, and limit liability is wise and takes research. Speaking with a quali ed attorney about estate planning and what to do with an inheritance is a process that can take multiple sessions to gure out. The sooner bene ciaries get started, the better. Receiving an inheritance is a positive thing that can change the dynamics of one’s life. There are important steps to take before any portion of an estate passes into one’s hands, to avoid excessive taxes, family squabbles and loss of wealth. With a solid plan in place, bene ciaries can avoid inheritance pitfalls and expand their estates.

Search

RECENT POSTS Learning to Budget as a Family Best Ways To Learn All About Personal Finance Why College Grads Should Have A Financial Advisor Why You Should Plan For An Inheritance Best Uses for Your Tax Return

ARCHIVES July 2019 June 2018 May 2018 April 2018 https://brettfingerhut.com/why-you-should-plan-for-an-inheritance/

2/3


3/23/2020

Why You Should Plan For An Inheritance | Brett Fingerhut

March 2018 February 2018 January 2018 December 2017 November 2017 October 2017 September 2017 August 2017 July 2017

î‚” Designed by Elegant Themes | Powered by WordPress

https://brettďŹ ngerhut.com/why-you-should-plan-for-an-inheritance/

3/3


Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.