How To Use Your Tax Refund To Start Or Update Your Estate Plan

In this article, you will discover:

• Whether you should use your tax refund for estate planning.
• How much of your tax refund you should set aside for estate planning.
• How to begin using your tax refund for estate planning.

How Can I Use My Tax Refund For Estate Planning?

Using your tax refund for estate planning is a good idea if you have nothing more financially pressing designated for its use. Speak with an estate planner and ask about their fees. Then, you can set aside part of your refund for estate planning.

How much of your refund should you set aside? Depending on its size, a third to a half of your tax refund could potentially be used for your estate planning.

Should I Use My Refund To Create A Will Or A Trust?

Whether you want to use your refund to create a will or a trust depends on what you want to happen after your death. Most people want to avoid probate for their families. If that is one of your goals, create a trust. You can do far more with a trust after you pass away than you can with a will.

Can A Tax Refund Help Me Update An Outdated Estate Plan?

You can use your tax refund to update your estate plan in several different ways. While there will be some fees for amendments, you can consider some new investments or increase some of your current, best-performing investments.

Are There Tax Benefits To Using A Refund For Estate Planning?

Unfortunately, there are no tax benefits to using your tax refund to create an estate plan.

What Is The First Step To Starting An Estate Plan With A Tax Refund?

First, discuss with your family what you want to do with your assets and your legacy when you pass away. Take notes, and when you have ideas in mind, consult with an estate planning attorney to determine the best way to make that happen.

Still Have Questions? Ready To Get Started?

For more information on using your tax refund for estate planning, a free initial consultation is your next best step. Get the information and legal answers you are seeking by calling (864) 271-7940 today.