Home and retirement account values continue to increase, exposing more middle-income families and older adults to estate taxes. Also known as a death tax, this federal or state tax can carve out a significant portion of what you intend to leave to your loved ones. Many are unaware that New York taxes estates of over about $7,000,000.
At Ettinger Law Firm, we work with you to ensure more of your hard-earned wealth reaches your beneficiaries. We’ll explore practical and established estate planning strategies that minimize or eliminate the burden of state and federal estate taxes, tailoring our plans to your unique financial situation and goals.
If you want to mitigate the impact of estate taxes on your loved ones, you need guidance from legal professionals who understand the intricacies of trust and estate planning. The team at Ettinger Law Firm can help you understand the impact of rising property values and complex state tax rules on your estate. We’ll work with you to craft proactive strategies that minimize tax liabilities and preserve your estate for your loved ones — which could include the following options.
We thoroughly review your assets and liabilities to estimate your potential estate tax exposures under federal and New York law — including real estate and investment properties. This analysis identifies risks and highlights opportunities for tax savings on investment property and other valuable assets.
Also called bypass trusts, these are designed to maximize the use of both your and your spouse’s estate tax exemptions. Upon the first spouse’s death, an amount chosen by the surviving spouse is retained in the deceased spouse’s trust, with the surviving spouse having exclusive control and enjoyment of the assets in the deceased spouse’s trust. However, the assets are not included in the surviving spouse’s estate at their death.
A QTIP trust provides income to your surviving spouse to use during their lifetime. The remainder then passes along to other beneficiaries upon their death. This marital deduction eliminates estate taxes when the first spouse dies, while controlling the ultimate distribution of assets.
Gifting money or property while you are alive can shrink the size of your estate, so your loved ones eventually pay less in taxes. For New York residents, careful timing and documentation are crucial. The state’s 3-year “clawback” rule imposes estate tax on any gift made during the three years preceding the grantor’s death. Charitable gifts upon death are also considered as a means to reduce or eliminate estate taxes.
When it comes to estate tax, minimizing the value of a taxable estate even a little bit can save a considerable amount. The firm you choose to help build your estate tax savings strategy will significantly impact the financial future of your loved ones.
Ettinger Law Firm is an organization you can trust to maximize your estate tax savings. We offer complete strategic support for anyone seeking estate and tax planning assistance. Our strategies comprise the following services and more:
With over 35 years of experience helping clients and their families retain more of their wealth, Ettinger Law Firm is committed to helping you understand complex tax codes and effective savings strategies. We focus on collaboration, working closely with you to refine a plan that considers your values and unique considerations.
Our estate planning tools account for today’s law with the flexibility to adapt to whatever the future may bring. In fact, we provide free legal reviews every three years to keep your plan up to date with the most current tax laws and your family circumstances.
Discover how to maximize estate tax savings and secure the wealth you want to leave your loved ones. Contact Ettinger Law Firm for a free, low-key consultation. With multiple locations across New York, our firm’s positive impact reaches individuals and families from Albany to the coasts of Long Island.
