Estate Planning – General Overview
You have worked long and hard to build your estate. Like most people you want your heirs and not the government to be the beneficiary of your estate. The first objective of an estate plan is to ensure that your estate assets are distributed according to your wishes. And secondly, to minimize the impact of taxation and settlement expenses so that the value of your estate is not unnecessarily eroded.
If you intend to keep your estate assets intact for the sole benefit of your heirs, you have to know how to protect these assets from the key elements that can take a big bite out of your estate. If you want to get more knowledge about estate planning then you can also visit http://speedwelllaw.com/alexandria-estate-planning-attorney/.
For example, income taxes, capital gains tax, inheritance tax, probate fees, legal fees, executor's fees and other related expenses can cause a major shrinkage of your estate. Applying basic estate and inheritance planning strategies will mitigate the negative impact of all these expenses and keep your estate assets intact for your heirs.
Without basic estate planning, a lifetime of work could be destroyed upon your demise. It would be a very sad experience for the surviving heirs to see a substantial shrinkage in the value of their inheritance something that could have been avoided through basic estate planning. The income tax regulations state that upon the demise of a taxpayer, apart from certain specific exemptions, there is a deemed disposition of all assets that the taxpayer owns at the time of his/her death.