April Newsletter

Do you have a comprehensive, updated estate plan? Wills and trusts are vital tools to help preserve your wealth and transfer assets to your loved ones. You won’t be around to explain or interpret your plan, so it’s important to be as clear as possible when drafting documents. There are several strategies you can employ today to minimize disputes over your estate after your passing.

The mountain of paper and electronic records that’s needed to support your tax return may include receipts, bank and investment account statements, K-1s, W-2s, and 1099s. How long do you need to save these records? Three years is the general rule. But don’t be hasty: Failure to keep a paper trail for the information provided on your returns could lead to problems if you’re audited.

Most people don’t enjoy reading the finer points of their insurance coverage. Yet the key details of every one of your policies need to fit your stage of life and financial circumstances. So, do they? As this article explains, there’s no way to know unless you review your policies — particularly under certain circumstances.

Which state (or states) do you call home? Many people move to new states with lower state income tax rates, hoping to reduce their tax bills. But they may run into problems if they fail to establish legal residency in the new states — or terminate residency in the old states. Here, we discuss the importance of establishing “domicile” and several effective ways to prove it, including one decision based on the location of the taxpayer’s beloved pet.

Who would you choose to be the executor of your will? It’s not always the person you might expect. A spouse seems like the obvious choose, or an adult child. But there are many points to consider, like whether the person is respected by your heirs, and how big your estate actually is. Here’s a rundown of issues to think about as your make the choice.